mr president mr speaker members of the house and the senate distinguished americans here as visitors in this chamber as am i it is nice to have a fresh excuse for giving a long speech laughter when presidents speak to congress and the nation from this podium typically they comment on the full range and challenges and opportunities that face the united states but this is not an ordinary time and for all the many tasks that require our attention i believe tonight one calls on us to focus to unite and to act and that is our economy for more than anything else our task tonight as americans is to make our economy thrive again let me begin by saying that it has been too long at least three decades since a president has come and challenged americans to join him on a great national journey not merely to consume the bounty of today but to invest for a much greater one tomorrow like individuals nations must ultimately decide how they wish to conduct themselves how they wish to be thought of by those with whom they live and later how they wish to be judged by history like every individual man and woman nations must decide whether they are prepared to rise to the occasions history presents them we have always been a people of youthful energy and daring spirit and at this historic moment as communism has fallen as freedom is spreading around the world as a global economy is taking shape before our eyes americans have called for change and now it is up to those of us in this room to deliver for them our nation needs a new direction tonight i present to you a comprehensive plan to set our nation on that new course i believe we will find our new direction in the basic old values that brought us here over the last two centuries a commitment to opportunity to individual responsibility to community to work to family and to faith we must now break the habits of both political parties and say there can be no more something for nothing and admit frankly that we are all in this together the conditions which brought us as a nation to this point are well known two decades of low productivity growth and stagnant wages persistent unemployment and underemployment years of huge government deficits and declining investment in our future exploding health care costs and lack of coverage for millions of americans legions of poor children education and job training opportunities inadequate to the demands of this tough global economy for too long we have drifted without a strong sense of purpose or responsibility or community and our political system so often has seemed paralyzed by special interest groups by partisan bickering and by the sheer complexity of our problems i believe we can do better because we remain the greatest nation on earth the world's strongest economy the world's only military superpower if we have the vision the will and the heart to make the changes we must we can still enter the 21st century with possibilities our parents could not even have imagined and enter it having secured the american dream for ourselves and for future generations i well remember 12 years ago president reagan stood at this very podium and told you and the american people that if our national debt were stacked in thousand dollar bills the stack would reach 67 miles into space well today that stack would reach 267 miles i tell you this not to assign blame for this problem there is plenty of blame to go around in both branches of the government and both parties the time has come for the blame to end i did not seek this office to place blame i come here tonight to accept responsibility and i want you to accept responsibility with me and if we do right by this country i do not care who gets the credit for it the plan i offer you has four fundamental components first it shifts our emphasis in public and private spending from consumption to investment initially by jump starting the economy in the short term and investing in our people their jobs and their incomes over the long run second it changes the rhetoric of the past into the actions of the present by honoring work and families in every part of our public decisionmaking third it substantially reduces the federal deficit honestly and credibly by using in the beginning the most conservative estimates of government revenues not as the executive branch has done so often in the past using the most optimistic ones and finally it seeks to earn the trust of the american people by paying for these plans first with cuts in government waste and efficiency second with cuts not gimmicks in government spending and by fairness for a change in the way additional burdens are borne tonight i want to talk with you about what government can do because i believe government must do more but let me say first that the real engine of economic growth in this country is the private sector and second that each of us must be an engine of growth and change the truth is that as government creates more opportunity in this new and different time we must also demand more responsibility in turn our immediate priority must be to create jobs create jobs now some people say well we're in a recovery and we don't have to do that well we all hope we're in a recovery but we're sure not creating new jobs and there's no recovery worth its salt that doesn't put the american people back to work to create jobs and guarantee a strong recovery i call on congress to enact an immediate package of jobs investments of over $30 billion to put people to work now to create a half a million jobs jobs to rebuild our highways and airports to renovate housing to bring new life to rural communities and spread hope and opportunity among our nation's youth especially i want to emphasize after the events of last year in los angeles and the countless stories of despair in our cities and in our poor rural communities this proposal will create almost 700 000 new summer jobs for displaced unemployed young people alone this summer and tonight i invite america's business leaders to join us in this effort so that together we can provide over one million summer jobs in cities and poor rural areas for our young people second our plan looks beyond today's business cycle because our aspirations extend into the next century the heart of this plan deals with the long term it is an investment program designed to increase public and private investment in areas critical to our economic future and it has a deficit reduction program that will increase the savings available for the private sector to invest will lower interest rates will decrease the percentage of the federal budget claimed by interest payments and decrease the risk of financial market disruptions that could adversely affect our economy over the long run all this will bring us a higher rate of economic growth improved productivity more high quality jobs and an improved economic competitive position in the world in order to accomplish both increased investment and deficit reduction something no american government has ever been called upon to do at the same time before spending must be cut and taxes must be raised the spending cuts i recommend were carefully thought through in a way to minimize any adverse economic impact to capture the peace dividend for investment purposes and to switch the balance in the budget from consumption to more investment the tax increases and the spending cuts were both designed to assure that the cost of this historic program to face and deal with our problems will be borne by those who could readily afford it the most our plan is designed furthermore and perhaps in some ways most importantly to improve the health of american business through lower interest rates more incentives to invest and better trained workers because small business has created such a high percentage of all the new jobs in our nation over the last 10 or 15 years our plan includes the boldest targeted incentives for small business in history we propose a permanent investment tax credit for the smallest firms in this country with revenues of under $5 million that's about 90 percent of the firms in america employing about 40 percent of the work force but creating a big majority of the net new jobs for more than a decade and we propose new rewards for entrepreneurs who take new risks we propose to give small business access to all the new technologies of our time and we propose to attack this credit crunch which has denied small business the credit they need to flourish and prosper with a new network of community development banks and $1 billion to make the dream of enterprise zones real we propose to bring new hope and new jobs to storefronts and factories from south boston to south texas to south central los angeles this plan invests in our roads our bridges our transit systems in high speed railways and high tech information systems and it provides the most ambitious environmental cleanup in partnership with state and local government of our time to put people to work and to preserve the environment for our future standing as we are on the edge of a new century we know that economic growth depends as never before on opening up new markets overseas and expanding the volume of world trade and so we will insist on fair trade rules in international markets as a part of a national economic strategy to expand trade including the successful completion of the latest round of world trade talks and the successful completion of a north american free trade agreement with appropriate safeguards for our workers and for the environment at the same time and i say this to you in both parties and across america tonight all the people who are listening it is not enough to pass a budget or even to have a trade agreement this world is changing so fast that we must have aggressive targeted attempts to create the high wage jobs of the future that's what all our competitors are doing we must give special attention to those critical industries that are going to explode in the 21st century but that are in trouble in america today like aerospace we must provide special assistance to areas and to workers displaced by cuts in the defense budget and by other unavoidable economic dislocations and again i will say we must do this together i pledge to you that i will do my best to see that business and labor and government work together for a change but all of our efforts to strengthen the economy will fail let me say this again i feel so strongly about this all of our efforts to strengthen the economy will fail unless we also take this year not next year not 5 years from now but this year bold steps to reform our health care system in 1992 we spent 14 percent of our income on health care more than 30 percent more than any other country in the world and yet we were the only advanced nation that did not provide a basic package of health care benefits to all of its citizens unless we change the present pattern 50 percent of the growth in the deficit between now and the year 2000 will be in health care costs by the year 2000 almost 20 percent of our income will be in health care our families will never be secure our businesses will never be strong and our government will never again be fully solvent until we tackle the health care crisis we must do it this year the combination of the rising cost of care and the lack of care and the fear of losing care are endangering the security and the very lives of millions of our people and they are weakening our economy every day reducing health care costs can liberate literally hundreds of billions of dollars for new investment in growth and jobs bringing health costs in line with inflation would do more for the private sector in this country than any tax cut we could give and any spending program we could promote reforming health care over the long run is critically essential to reducing not only our deficit but to expanding investment in america later this spring after the first lady and the many good people who are helping her all across the country complete their work i will deliver to congress a comprehensive plan for health care reform that finally will bring costs under control and provide security to all of our families so that no one will be denied the coverage they need but so that our economic future will not be compromised either we'll have to root out fraud and overcharges and make sure that paperwork no longer chokes your doctor we'll have to maintain the highest american standards and the right to choose in a system that is the world's finest for all those who can access it but first we must make choices we must choose to give the american people the quality they demand and deserve with a system that will not bankrupt the country or further drive more americans into agony let me further say that i want to work with all of you on this i realize this is a complicated issue but we must address it and i believe if there is any chance that republicans and democrats who disagree on taxes and spending or anything else could agree on one thing surely we can all look at these numbers and go home and tell our people the truth we cannot continue these spending patterns in public or private dollars for health care for less and less and less every year we can do better and i will work to do better perhaps the most fundamental change the new direction i propose offers is its focus on the future and its investment which i seek in our children each day we delay really making a commitment to our children carries a dear cost half of the 2 year olds in this country today don't receive the immunizations they need against deadly diseases our plan will provide them for every eligible child and we know now that we will save $10 later for every $1 we spend by eliminating preventable childhood diseases that's a good investment no matter how you measure it i recommend that the women infants and children's nutrition program be expanded so that every expectant mother who needs the help gets it we all know that head start a program that prepares children for school is a success story we all know that it saves money but today it just reaches barely over one third of all the eligible children under this plan every eligible child will be able to get a head start this is not just the right thing to do it is the smart thing to do for every dollar we invest today we'll save $3 tomorrow we have to start thinking about tomorrow i've heard that somewhere before laughter we have to ask more in our schools of our students our teachers our principals our parents yes we must give them the resources they need to meet high standards but we must also use the authority and the influence and the funding of the education department to promote strategies that really work in learning money alone is not enough we have to do what really works to increase learning in our schools we have to recognize that all of our high school graduates need some further education in order to be competitive in this global economy so we have to establish a partnership between businesses and education and the government for apprenticeship programs in every state in this country to give our people the skills they need lifelong learning must benefit not just young high school graduates but workers too throughout their career the average 18 year old today will change jobs seven times in a lifetime we have done a lot in this country on worker training in the last few years but the system is too fractured we must develop a unified simplified sensible streamlined worker training program so that workers receive the training they need regardless of why they lost their jobs or whether they simply need to learn something new to keep them we have got to do better on this and finally i propose a program that got a great response from the american people all across this country last year a program of national service to make college loans available to all americans and to challenge them at the same time to give something back to their country as teachers or police officers or community service workers to give them the option to pay the loans back but at tax time so they can't beat the bill but to encourage them instead to pay it back by making their country stronger and making their country better and giving us the benefit of their knowledge a generation ago when president kennedy proposed and the united states congress embraced the peace corps it defined the character of a whole generation of americans committed to serving people around the world in this national service program we will provide more than twice as many slots for people before they go to college to be in national service than ever served in the peace corps this program could do for this generation of members of congress what the land grant college act did and what the gi bill did for former congressmen in the future historians who got their education through the national service loan will look back on you and thank you for giving america a new lease on life if you meet this challenge if we believe in jobs and we believe in learning we must believe in rewarding work if we believe in restoring the values that make america special we must believe that there is dignity in all work and there must be dignity for all workers to those who care for our sick who tend our children who do our most difficult and tiring jobs the new direction i propose will make this solemn simple commitment by expanding the refundable earned income tax credit we will make history we will reward the work of millions of working poor americans by realizing the principle that if you work 40 hours a week and you've got a child in the house you will no longer be in poverty later this year we will offer a plan to end welfare as we know it i have worked on this issue for the better part of a decade and i know from personal conversations with many people that no one no one wants to change the welfare system as badly as those who are trapped in it i want to offer the people on welfare the education the training the child care the health care they need to get back on their feet but say after 2 years they must get back to work too in private business if possible in public service if necessary we have to end welfare as a way of life and make it a path to independence and dignity our next great goal should be to strengthen our families i compliment the congress for passing the family and medical leave act as a good first step but it is time to do more this plan will give this country the toughest child support enforcement system it has ever had it is time to demand that people take responsibility for the children they bring in this world and i ask you to help to protect our families against the violent crime which terrorizes our people and which tears our communities apart we must pass a tough crime bill i support not only the bill which didn't quite make it to the president's desk last year but also an initiative to put 100 000 more police officers on the street to provide bootcamps for first time nonviolent offenders for more space for the hardened criminals in jail and i support an initiative to do what we can to keep guns out of the hands of criminals let me say this i will make you this bargain if you will pass the brady bill i'll sure sign it let me say now we should move to the harder parts i think it is clear to every american including every member of congress of both parties that the confidence of the people who pay our bills in our institutions in washington is not high we must restore it we must begin again to make government work for ordinary taxpayers not simply for organized interest groups and that beginning must start with real political reform i am asking the united states congress to pass a real campaign finance reform bill this year i ask you to increase the participation of the american people by passing the motor voter bill promptly i ask you to deal with the undue influence of special interest by passing a bill to end the tax deduction for lobbying and to act quickly to require all the people who lobby you to register as lobbyists by passing the lobbying registration bill believe me they were cheering that last section at home i believe lobby reform and campaign finance reform are a sure path to increased popularity for republicans and democrats alike because it says to the voters back home this is your house this is your senate we're your hired hands and every penny we draw is your money next to revolutionize government we have to ensure that we live within our means and that should start at the top and with the white house in the last few days i have announced a cut in the white house staff of 25 percent saving approximately $10 million i have ordered administrative cuts in budgets of agencies and departments i have cut the federal bureaucracy or will over the next 4 years by approximately 100 000 positions for a combined savings of $9 billion it is time for government to demonstrate in the condition we're in that we can be as frugal as any household in america and that's why i also want to congratulate the congress i noticed the announcement of the leadership today that congress is taking similar steps to cut its costs i think that is important i think it will send a very clear signal to the american people but if we really want to cut spending we're going to have to do more and some of it will be difficult tonight i call for an across the board freeze in federal government salaries for one year and thereafter during this 4 year period i recommend that salaries rise at one point lower than the cost of living allowance normally involved in federal pay increases next i recommend that we make 150 specific budget cuts as you know and that all those who say we should cut more be as specific as i have been finally let me say to my friends on both sides of the aisle it is not enough simply to cut government we have to rethink the whole way it works when i became president i was amazed at just the way the white house worked in ways that added lots of money to what taxpayers had to pay outmoded ways that didn't take maximum advantage of technology and didn't do things that any business would have done years ago to save taxpayers' money so i want to bring a new spirit of innovation into every government department i want to push education reform as i said not just to spend more money but to really improve learning some things work and some things don't we ought to be subsidizing the things that work and discouraging the things that don't i'd like to use that superfund to clean up pollution for a change and not just pay lawyers in the aftermath of all the difficulties with the savings and loans we must use federal bank regulators to protect the security and safety of our financial institutions but they should not be used to continue the credit crunch and to stop people from making sensible loans i'd like for us to not only have welfare reform but to reexamine the whole focus of all of our programs that help people to shift them from entitlement programs to empowerment programs in the end we want people not to need us anymore i think that's important but in the end we have to get back to the deficit for years there's been a lot of talk about it but very few credible efforts to deal with it and now i understand why having dealt with the real numbers for 4 weeks but i believe this plan does it tackles the budget deficit seriously and over the long term it puts in place one of the biggest deficit reductions and one of the biggest changes in federal priorities from consumption to investment in the history of this country at the same time over the next 4 years let me say to all the people watching us tonight who will ask me these questions beginning tomorrow as i go around the country and who've asked it in the past we're not cutting the deficit just because experts say it's the thing to do or because it has some intrinsic merit we have to cut the deficit because the more we spend paying off the debt the less tax dollars we have to invest in jobs and education and the future of this country and the more money we take out of the pool of available savings the harder it is for people in the private sector to borrow money at affordable interest rates for a college loan for their children for a home mortgage or to start a new business that's why we've got to reduce the debt because it is crowding out other activities that we ought to be engaged in and that the american people ought to be engaged in we cut the deficit so that our children will be able to buy a home so that our companies can invest in the future and in retraining their workers so that our government can make the kinds of investments we need to be a stronger and smarter and safer nation if we don't act now you and i might not even recognize this government 10 years from now if we just stay with the same trends of the last 4 years by the end of the decade the deficit will be $635 billion a year almost 80 percent of our gross domestic product and paying interest on that debt will be the costliest government program of all we'll still be the world's largest debtor and when members of congress come here they'll be devoting over 20 cents on the dollar to interest payments more than half of the budget to health care and to other entitlements and you'll come here and deliberate and argue over 6 or 7 cents on the dollar no matter what america's problems are we will not be able to have the independence we need to chart the future that we must and we'll be terribly dependent on foreign funds for a large portion of our investment this budget plan by contrast will by 1997 cut $140 billion in that year alone from the deficit a real spending cut a real revenue increase a real deficit reduction using the independent numbers of the congressional budget office laughter well you can laugh my fellow republicans but i'll point out that the congressional budget office was normally more conservative in what was going to happen and closer to right than previous presidents have been i did this so that we could argue about priorities with the same set of numbers i did this so that no one could say i was estimating my way out of this difficulty i did this because if we can agree together on the most prudent revenues we're likely to get if the recovery stays and we do right things economically then it will turn out better for the american people than we say in the last 12 years because there were differences over the revenue estimates you and i know that both parties were given greater elbow room for irresponsibility this is tightening the rein on the democrats as well as the republicans let's at least argue about the same set of numbers so the american people will think we're shooting straight with them as i said earlier my recommendation makes more than 150 difficult reductions to cut the federal spending by a total of $246 billion we are eliminating programs that are no longer needed such as nuclear power research and development we're slashing subsidies and canceling wasteful projects but many of these programs were justified in their time and a lot of them are difficult for me to recommend reductions in some really tough ones for me personally i recommend that we reduce interest subsidies to the rural electric administration that's a difficult thing for me to recommend but i think that i cannot exempt the things that exist in my state or in my experience if i ask you to deal with things that are difficult for you to deal with we're going to have to have no sacred cows except the fundamental abiding interest of the american people i have to say that we all know our government has been just great at building programs the time has come to show the american people that we can limit them too that we can not only start things that we can actually stop things about the defense budget i raise a hope and a caution as we restructure our military forces to meet the new threats of the post cold war world it is true that we can responsibly reduce our defense budget and we may all doubt what that range of reductions is but let me say that as long as i am president i will do everything i can to make sure that the men and women who serve under the american flag will remain the best trained the best prepared the best equipped fighting force in the world and every one of you should make that solemn pledge we still have responsibilities around the world we are the world's only superpower this is still a dangerous and uncertain time and we owe it to the people in uniform to make sure that we adequately provide for the national defense and for their interests and needs backed by an effective national defense and a stronger economy our nation will be prepared to lead a world challenged as it is everywhere by ethnic conflict by the proliferation of weapons of mass destruction by the global democratic revolution and by challenges to the health of our global environment i know this economic plan is ambitious but i honestly believe it is necessary for the continued greatness of the united states and i think it is paid for fairly first by cutting government then by asking the most of those who benefited the most in the past and by asking more americans to contribute today so that all of us can prosper tomorrow for the wealthiest those earning more than $180 000 per year i ask you all who are listening tonight to support a raise in the top rate for federal income taxes from 31 to 36 percent we recommend a 10 percent surtax on incomes over $250 000 a year and we recommend closing some loopholes that let some people get away without paying any tax at all for businesses with taxable incomes in excess of $10 million we recommend a raise in the corporate tax rate also to 36 percent as well as a cut in the deduction for business entertainment expenses our plan seeks to attack tax subsidies that actually reward companies more for shutting their operations down here and moving them overseas than for staying here and reinvesting in america i say that as someone who believes that american companies should be free to invest around the world and as a former governor who actively sought investment of foreign companies in my state but the tax code should not express a preference to american companies for moving somewhere else and it does in particular cases today we will seek to ensure that through effective tax enforcement foreign corporations who do make money in america simply pay the same taxes that american companies make on the same income to middle class americans who have paid a great deal for the last 12 years and from whom i ask a contribution tonight i will say again as i did on monday night you're not going alone any more you're certainly not going first and you're not going to pay more for less as you have too often in the past i want to emphasize the facts about this plan 98 8 percent of america's families will have no increase in their income tax rates only 1 2 percent at the top let me be clear there will also be no new cuts in benefits for medicare as we move toward the 4th year with the explosion in health care costs as i said projected to account for 50 percent of the growth of the deficit between now and the year 2000 there must be planned cuts in payments to providers to doctors to hospitals to labs as a way of controlling health care costs but i see these only as a stopgap until we can reform the entire health care system if you'll help me do that we can be fair to the providers and to the consumers of health care let me repeat this because i know it matters to a lot of you on both sides of the aisle this plan does not make a recommendation for new cuts in medicare benefits for any beneficiary secondly the only change we are making in social security is one that has already been publicized the plan does ask older americans with higher incomes who do not rely solely on social security to get by to contribute more this plan will not affect the 80 percent of social security recipients who do not pay taxes on social security now those who do not pay tax on social security now will not be affected by this plan our plan does include a broad based tax on energy and i want to tell you why i selected this and why i think it's a good idea i recommend that we adopt a btu tax on the heat content of energy as the best way to provide us with revenue to lower the deficit because it also combats pollution promotes energy efficiency promotes the independence economically of this country as well as helping to reduce the debt and because it does not discriminate against any area unlike a carbon tax that's not too hard on the coal states unlike a gas tax that's not too tough on people who drive a long way to work unlike an ad valorem tax it doesn't increase just when the price of an energy source goes up and it is environmentally responsible it will help us in the future as well as in the present with the deficit taken together these measures will cost an american family with an income of about $40 000 a year less than $17 a month it will cost american families with incomes under $30 000 nothing because of other programs we propose principally those raising the earned income tax credit because of our publicly stated determination to reduce the deficit if we do these things we will see the continuation of what's happened just since the election just since the election since the secretary of the treasury the director of the office of management and budget and others who have begun to speak out publicly in favor of a tough deficit reduction plan interest rates have continued to fall long term that means that for the middle class who will pay something more each month if they had any credit needs or demands their increased energy costs will be more than offset by lower interest costs for mortgages consumer loans credit cards this can be a wise investment for them and their country now i would also point out what the american people already know and that is because we're a big vast country where we drive long distances we have maintained far lower burdens on energy than any other advanced country we will still have far lower burdens on energy than any other advanced country and these will be spread fairly with real attempts to make sure that no cost is imposed on families with incomes under $30 000 and that the costs are very modest until you get into the higher income groups where the income taxes trigger in now i ask all of you to consider this whatever you think of the tax program whatever you think of the spending cuts consider the cost of not changing remember the numbers that you all know if we just keep on doing what we're doing by the end of the decade we'll have a $650 billion a year deficit if we just keep on doing what we're doing by the end of the decade 20 percent of our national income will go to health care every year twice as much as any other country on the face of the globe if we just keep on doing what we're doing over 20 cents on the dollar will have to go to service the debt unless we have the courage now to start building our future and stop borrowing from it we're condemning ourselves to years of stagnation interrupted by occasional recessions to slow growth in jobs to no more growth in income to more debt to more disappointment worse unless we change unless we increase investment and reduce the debt to raise productivity so that we can generate both jobs and incomes we will be condemning our children and our children's children to a lesser life than we enjoyed once americans looked forward to doubling their living standards every 25 years at present productivity rates it will take 100 years to double living standards until our grandchildren's grandchildren are born i say that is too long to wait tonight the american people know we have to change but they're also likely to ask me tomorrow and all of you for the weeks and months ahead whether we have the fortitude to make the changes happen in the right way they know that as soon as i leave this chamber and you go home various interest groups will be out in force lobbying against this or that piece of this plan and that the forces of conventional wisdom will offer a thousand reasons why we well ought to do this but we just can't do it our people will be watching and wondering not to see whether you disagree with me on a particular issue but just to see whether this is going to be business as usual or a real new day whether we're all going to conduct ourselves as if we know we're working for them we must scale the walls of the people's skepticisms not with our words but with our deeds after so many years of gridlock and indecision after so many hopeful beginnings and so few promising results the american people are going to be harsh in their judgments of all of us if we fail to seize this moment this economic plan can't please everybody if the package is picked apart there will be something that will anger each of us won't please anybody but if it is taken as a whole it will help all of us so i ask you all to begin by resisting the temptation to focus only on a particular spending cut you don't like or some particular investment that wasn't made and nobody likes the tax increases but let's just face facts for 20 years through administrations of both parties incomes have stalled and debt has exploded and productivity has not grown as it should we cannot deny the reality of our condition we have got to play the hand we were dealt and play it as best we can my fellow americans the test of this plan cannot be what is in it for me it has got to be what is in it for us if we work hard and if we work together if we rededicate ourselves to creating jobs to rewarding work to strengthening our families to reinventing our government we can lift our country's fortunes again tonight i ask everyone in this chamber and every american to look simply into your heart to spark your own hopes to fire your own imagination there is so much good so much possibility so much excitement in this country now that if we act boldly and honestly as leaders should our legacy will be one of prosperity and progress this must be america's new direction let us summon the courage to seize it thank you god bless america thank you very much mr speaker mr president members of the 103d congress my fellow americans i'm not at all sure what speech is in the teleprompter tonight laughter but i hope we can talk about the state of the union i ask you to begin by recalling the memory of the giant who presided over this chamber with such force and grace tip o'neill liked to call himself a man of the house and he surely was that but even more he was a man of the people a bricklayer's son who helped to build the great american middle class tip o'neill never forgot who he was where he came from or who sent him here tonight he's smiling down on us for the first time from the lord's gallery but in his honor may we too always remember who we are where we come from and who sent us here if we do that we will return over and over again to the principle that if we simply give ordinary people equal opportunity quality education and a fair shot at the american dream they will do extraordinary things we gather tonight in a world of changes so profound and rapid that all nations are tested our american heritage has always been to master such change to use it to expand opportunity at home and our leadership abroad but for too long and in too many ways that heritage was abandoned and our country drifted for 30 years family life in america has been breaking down for 20 years the wages of working people have been stagnant or declining for the 12 years of trickle down economics we built a false prosperity on a hollow base as our national debt quadrupled from 1989 to 1992 we experienced the slowest growth in a half century for too many families even when both parents were working the american dream has been slipping away in 1992 the american people demanded that we change a year ago i asked all of you to join me in accepting responsibility for the future of our country well we did we replaced drift and deadlock with renewal and reform and i want to thank every one of you here who heard the american people who broke gridlock who gave them the most successful teamwork between a president and a congress in 30 years this congress produced a budget that cut the deficit by half a trillion dollars cut spending and raised income taxes on only the wealthiest americans this congress produced tax relief for millions of low income workers to reward work over welfare it produced nafta it produced the brady bill now the brady law and thank you jim brady for being here and god bless you sir this congress produced tax cuts to reduce the taxes of 9 out of 10 small businesses who use the money to invest more and create more jobs it produced more research and treatment for aids more childhood immunizations more support for women's health research more affordable college loans for the middle class a new national service program for those who want to give something back to their country and their communities for higher education a dramatic increase in high tech investments to move us from a defense to a domestic high tech economy this congress produced a new law the motor voter bill to help millions of people register to vote it produced family and medical leave all passed all signed into law with not one single veto these accomplishments were all commitments i made when i sought this office and in fairness they all had to be passed by you in this congress but i am persuaded that the real credit belongs to the people who sent us here who pay our salaries who hold our feet to the fire but what we do here is really beginning to change lives let me just give you one example i will never forget what the family and medical leave law meant to just one father i met early one sunday morning in the white house it was unusual to see a family there touring early sunday morning but he had his wife and his three children there one of them in a wheelchair i came up and after we had our picture taken and had a little visit i was walking off and that man grabbed me by the arm and he said mr president let me tell you something my little girl here is desperately ill she's probably not going to make it but because of the family leave law i was able to take time off to spend with her the most important time i ever spent in my life without losing my job and hurting the rest of my family it means more to me than i will ever be able to say don't you people up here ever think what you do doesn't make a difference it does though we are making a difference our work has just begun many americans still haven't felt the impact of what we've done the recovery still hasn't touched every community or created enough jobs incomes are still stagnant there's still too much violence and not enough hope in too many places abroad the young democracies we are strongly supporting still face very difficult times and look to us for leadership and so tonight let us resolve to continue the journey of renewal to create more and better jobs to guarantee health security for all to reward work over welfare to promote democracy abroad and to begin to reclaim our streets from violent crime and drugs and gangs to renew our own american community last year we began to put our house in order by tackling the budget deficit that was driving us toward bankruptcy we cut $255 billion in spending including entitlements and over 340 separate budget items we froze domestic spending and used honest budget numbers led by the vice president we launched a campaign to reinvent government we cut staff cut perks even trimmed the fleet of federal limousines after years of leaders whose rhetoric attacked bureaucracy but whose action expanded it we will actually reduce it by 252 000 people over the next 5 years by the time we have finished the federal bureaucracy will be at its lowest point in 30 years because the deficit was so large and because they benefited from tax cuts in the 1980's we did ask the wealthiest americans to pay more to reduce the deficit so on april the 15th the american people will discover the truth about what we did last year on taxes only the top 1 applause yes listen the top 1 2 percent of americans as i said all along will pay higher income tax rates let me repeat only the wealthiest 1 2 percent of americans will face higher income tax rates and no one else will and that is the truth of course there were as there always are in politics naysayers who said this plan wouldn't work but they were wrong when i became president the experts predicted that next year's deficit would be $300 billion but because we acted those same people now say the deficit is going to be under $180 billion 40 percent lower than was previously predicted our economic program has helped to produce the lowest core inflation rate and the lowest interest rates in 20 years and because those interest rates are down business investment and equipment is growing at 7 times the rate of the previous 4 years auto sales are way up home sales are at a record high millions of americans have refinanced their homes and our economy has produced 1 6 million private sector jobs in 1993 more than were created in the previous 4 years combined the people who supported this economic plan should be proud of its early results proud but everyone in this chamber should know and acknowledge that there is more to do next month i will send you one of the toughest budgets ever presented to congress it will cut spending in more than 300 programs eliminate 100 domestic programs and reform the ways in which governments buy goods and services this year we must again make the hard choices to live within the hard spending ceilings we have set we must do it we have proved we can bring the deficit down without choking off recovery without punishing seniors or the middle class and without putting our national security at risk if you will stick with this plan we will post 3 consecutive years of declining deficits for the first time since harry truman lived in the white house and once again the buck stops here our economic plan also bolsters our strength and our credibility around the world once we reduced the deficit and put the steel back into our competitive edge the world echoed with the sound of falling trade barriers in one year with nafta with gatt with our efforts in asia and the national export strategy we did more to open world markets to american products than at any time in the last two generations that means more jobs and rising living standards for the american people low deficits low inflation low interest rates low trade barriers and high investments these are the building blocks of our recovery but if we want to take full advantage of the opportunities before us in the global economy you all know we must do more as we reduce defense spending i ask congress to invest more in the technologies of tomorrow defense conversion will keep us strong militarily and create jobs for our people here at home as we protect our environment we must invest in the environmental technologies of the future which will create jobs this year we will fight for a revitalized clean water act and a safe drinking water act and a reformed superfund program and the vice president is right we must also work with the private sector to connect every classroom every clinic every library every hospital in america into a national information super highway by the year 2000 think of it instant access to information will increase productivity will help to educate our children it will provide better medical care it will create jobs and i call on the congress to pass legislation to establish that information super highway this year as we expand opportunity and create jobs no one can be left out we must continue to enforce fair lending and fair housing and all civil rights laws because america will never be complete in its renewal until everyone shares in its bounty but we all know too we can do all these things put our economic house in order expand world trade target the jobs of the future guarantee equal opportunity but if we're honest we'll all admit that this strategy still cannot work unless we also give our people the education training and skills they need to seize the opportunities of tomorrow we must set tough world class academic and occupational standards for all our children and give our teachers and students the tools they need to meet them our goals 2000 proposal will empower individual school districts to experiment with ideas like chartering their schools to be run by private corporations or having more public school choice to do whatever they wish to do as long as we measure every school by one high standard are our children learning what they need to know to compete and win in the global economy goals 2000 links world class standards to grassroots reforms and i hope congress will pass it without delay our school to work initiative will for the first time link school to the world of work providing at least one year of apprenticeship beyond high school after all most of the people we're counting on to build our economic future won't graduate from college it's time to stop ignoring them and start empowering them we must literally transform our outdated unemployment system into a new reemployment system the old unemployment system just sort of kept you going while you waited for your old job to come back we've got to have a new system to move people into new and better jobs because most of those old jobs just don't come back and we know that the only way to have real job security in the future to get a good job with a growing income is to have real skills and the ability to learn new ones so we've got to streamline today's patchwork of training programs and make them a source of new skills for our people who lose their jobs reemployment not unemployment must become the centerpiece of our economic renewal i urge you to pass it in this session of congress and just as we must transform our unemployment system so must we also revolutionize our welfare system it doesn't work it defies our values as a nation if we value work we can't justify a system that makes welfare more attractive than work if people are worried about losing their health care if we value responsibility we can't ignore the $34 billion in child support absent parents ought to be paying to millions of parents who are taking care of their children if we value strong families we can't perpetuate a system that actually penalizes those who stay together can you believe that a child who has a child gets more money from the government for leaving home than for staying home with a parent or a grandparent that's not just bad policy it's wrong and we ought to change it i worked on this problem for years before i became president with other governors and with members of congress of both parties and with the previous administration of another party i worked on it with people who were on welfare lots of them and i want to say something to everybody here who cares about this issue the people who most want to change this system are the people who are dependent on it they want to get off welfare they want to go back to work they want to do right by their kids i once had a hearing when i was a governor and i brought in people on welfare from all over america who had found their way to work the woman from my state who testified was asked this question what's the best thing about being off welfare and in a job and without blinking an eye she looked at 40 governors and she said when my boy goes to school and they say what does you mother do for a living he can give an answer these people want a better system and we ought to give it to them last year we began this we gave the states more power to innovate because we know that a lot of great ideas come from outside washington and many states are already using it then this congress took a dramatic step instead of taxing people with modest incomes into poverty we helped them to work their way out of poverty by dramatically increasing the earned income tax credit it will lift 15 million working families out of poverty rewarding work over welfare making it possible for people to be successful workers and successful parents now that's real welfare reform but there is more to be done this spring i will send you a comprehensive welfare reform bill that builds on the family support act of 1988 and restores the basic values of work and responsibility we'll say to teenagers if you have a child out of wedlock we will no longer give you a check to set up a separate household we want families to stay together say to absent parents who aren't paying their child support if you're not providing for your children we'll garnish your wages suspend your license track you across state lines and if necessary make some of you work off what you owe people who bring children into this world cannot and must not walk away from them but to all those who depend on welfare we should offer ultimately a simple compact we'll provide the support the job training the child care you need for up to 2 years but after that anyone who can work must in the private sector wherever possible in community service if necessary that's the only way we'll ever make welfare what it ought to be a second chance not a way of life i know it will be difficult to tackle welfare reform in 1994 at the same time we tackle health care but let me point out i think it is inevitable and imperative it is estimated that one million people are on welfare today because it's the only way they can get health care coverage for their children those who choose to leave welfare for jobs without health benefits and many entry level jobs don't have health benefits find themselves in the incredible position of paying taxes that help to pay for health care coverage for those who made the other choice to stay on welfare no wonder people leave work and go back to welfare to get health care coverage we've got to solve the health care problem to have real welfare reform so this year we will make history by reforming the health care system and i would say to you all of you my fellow public servants this is another issue where the people are way ahead of the politicians that may not be popular with either party but it happens to be the truth you know the first lady has received now almost a million letters from people all across america and from all walks of life i'd like to share just one of them with you richard anderson of reno nevada lost his job and with it his health insurance two weeks later his wife judy suffered a cerebral aneurysm he rushed her to the hospital where she stayed in intensive care for 21 days the andersons' bills were over $120 000 although judy recovered and richard went back to work at $8 an hour the bills were too much for them and they were literally forced into bankruptcy mrs clinton he wrote to hillary no one in the united states of america should have to lose everything they've worked for all their lives because they were unfortunate enough to become ill it was to help the richard and judy andersons of america that the first lady and so many others have worked so hard and so long on this health care reform issue we owe them our thanks and our action i know there are people here who say there's no health care crisis tell it to richard and judy anderson tell it to the 58 million americans who have no coverage at all for some time each year tell it to the 81 million americans with those preexisting conditions those folks are paying more or they can't get insurance at all or they can't ever change their jobs because they or someone in their family has one of those preexisting conditions tell it to the small businesses burdened by the skyrocketing cost of insurance most small businesses cover their employees and they pay on average 35 percent more in premiums than big businesses or government or tell it to the 76 percent of insured americans three out of four whose policies have lifetime limits and that means they can find themselves without any coverage at all just when they need it the most so if any of you believe there's no crisis you tell it to those people because i can't there are some people who literally do not understand the impact of this problem on people's lives and all you have to do is go out and listen to them just go talk to them anywhere in any congressional district in this country they're republicans and democrats and independents it doesn't have a lick to do with party they think we don't get it and it's time we show them that we do get it from the day we began our health care initiative has been designed to strengthen what is good about our health care system the world's best health care professionals cutting edge research and wonderful research institutions medicare for older americans none of this none of it should be put at risk but we're paying more and more money for less and less care every year fewer and fewer americans even get to choose their doctors every year doctors and nurses spend more time on paperwork and less time with patients because of the absolute bureaucratic nightmare the present system has become this system is riddled with inefficiency with abuse with fraud and everybody knows it in today's health care system insurance companies call the shots they pick whom they cover and how they cover them they can cut off your benefits when you need your coverage the most they are in charge what does it mean it means every night millions of well insured americans go to bed just an illness an accident or a pink slip away from having no coverage or financial ruin it means every morning millions of americans go to work without any health insurance at all something the workers in no other advanced country in the world do it means that every year more and more hard working people are told to pick a new doctor because their boss has had to pick a new plan and countless others turn down better jobs because they know if they take the better job they will lose their health insurance if we just let the health care system continue to drift our country will have people with less care fewer choices and higher bills now our approach protects the quality of care and people's choices it builds on what works today in the private sector to expand employer based coverage to guarantee private insurance for every american and i might say employer based private insurance for every american was proposed 20 years ago by president richard nixon to the united states congress it was a good idea then and it's a better idea today why do we want guaranteed private insurance because right now 9 out of 10 people who have insurance get it through their employers and that should continue and if your employer is providing good benefits at reasonable prices that should continue too that ought to make the congress and the president feel better our goal is health insurance everybody can depend on comprehensive benefits that cover preventive care and prescription drugs health premiums that don't just explode when you get sick or you get older the power no matter how small your business is to choose dependable insurance at the same competitive rates governments and big business get today one simple form for people who are sick and most of all the freedom to choose a plan and the right to choose your own doctor our approach protects older americans every plan before the congress proposes to slow the growth of medicare the difference is this we believe those savings should be used to improve health care for senior citizens medicare must be protected and it should cover prescription drugs and we should take the first steps in covering long term care to those who would cut medicare without protecting seniors i say the solution to today's squeeze on middle class working people's health care is not to put the squeeze on middle class retired people's health care we can do better than that when it's all said and done it's pretty simple to me insurance ought to mean what it used to mean you pay a fair price for security and when you get sick health care's always there no matter what along with the guarantee of health security we all have to admit too there must be more responsibility on the part of all of us in how we use this system people have to take their kids to get immunized we should all take advantage of preventive care we must all work together to stop the violence that explodes our emergency rooms we have to practice better health habits and we can't abuse the system and those who don't have insurance under our approach will get coverage but they'll have to pay something for it too the minority of businesses that provide no insurance at all and in so doing shift the cost of the care of their employees to others should contribute something people who smoke should pay more for a pack of cigarettes everybody can contribute something if we want to solve the health care crisis there can't be any more something for nothing it will not be easy but it can be done now in the coming months i hope very much to work with both democrats and republicans to reform a health care system by using the market to bring down costs and to achieve lasting health security but if you look at history we see that for 60 years this country has tried to reform health care president roosevelt tried president truman tried president nixon tried president carter tried every time the special interests were powerful enough to defeat them but not this time i know that facing up to these interests will require courage it will raise critical questions about the way we finance our campaigns and how lobbyists yield their influence the work of change frankly will never get any easier until we limit the influence of well financed interests who profit from this current system so i also must now call on you to finish the job both houses began last year by passing tough and meaningful campaign finance reform and lobby reform legislation this year you know my fellow americans this is really a test for all of us the american people provide those of us in government service with terrific health care benefits at reasonable costs we have health care that's always there i think we need to give every hard working tax paying american the same health care security they have already given to us i want to make this very clear i am open as i have said repeatedly to the best ideas of concerned members of both parties i have no special brief for any specific approach even in our own bill except this if you send me legislation that does not guarantee every american private health insurance that can never be taken away you will force me to take this pen veto the legislation and we'll come right back here and start all over again but i don't think that's going to happen i think we're ready to act now i believe that you're ready to act now and if you're ready to guarantee every american the same health care that you have health care that can never be taken away now not next year or the year after now is the time to stand with the people who sent us here now as we take these steps together to renew our strength at home we cannot turn away from our obligation to renew our leadership abroad this is a promising moment because of the agreements we have reached this year last year russia's strategic nuclear missiles soon will no longer be pointed at the united states nor will we point ours at them instead of building weapons in space russian scientists will help us to build the international space station of course there are still dangers in the world rampant arms proliferation bitter regional conflicts ethnic and nationalist tensions in many new democracies severe environmental degradation the world over and fanatics who seek to cripple the world's cities with terror as the world's greatest power we must therefore maintain our defenses and our responsibilities this year we secured indictments against terrorists and sanctions against those who harbor them we worked to promote environmentally sustainable economic growth we achieved agreements with ukraine with belarus with kazahkstan to eliminate completely their nuclear arsenal we are working to achieve a korean peninsula free of nuclear weapons we will seek early ratification of a treaty to ban chemical weapons worldwide and earlier today we joined with over 30 nations to begin negotiations on a comprehensive ban to stop all nuclear testing but nothing nothing is more important to our security than our nation's armed forces we honor their contributions including those who are carrying out the longest humanitarian air lift in history in bosnia those who will complete their mission in somalia this year and their brave comrades who gave their lives there our forces are the finest military our nation has ever had and i have pledged that as long as i am president they will remain the best equipped the best trained and the best prepared fighting force on the face of the earth last year i proposed a defense plan that maintains our post cold war security at a lower cost this year many people urged me to cut our defense spending further to pay for other government programs i said no the budget i send to congress draws the line against further defense cuts it protects the readiness and quality of our forces ultimately the best strategy is to do that we must not cut defense further i hope the congress without regard to party will support that position ultimately the best strategy to ensure our security and to build a durable peace is to support the advance of democracy elsewhere democracies don't attack each other they make better trading partners and partners in diplomacy that is why we have supported you and i the democratic reformers in russia and in the other states of the former soviet bloc i applaud the bipartisan support this congress provided last year for our initiatives to help russia ukraine and the other states through their epic transformations our support of reform must combine patience for the enormity of the task and vigilance for our fundamental interest and values we will continue to urge russia and the other states to press ahead with economic reforms and we will seek to cooperate with russia to solve regional problems while insisting that if russian troops operate in neighboring states they do so only when those states agree to their presence and in strict accord with international standards but we must also remember as these nations chart their own futures and they must chart their own futures how much more secure and more prosperous our own people will be if democratic and market reforms succeed all across the former communist bloc our policy has been to support that move and that has been the policy of the congress we should continue it that is why i went to europe earlier this month to work with our european partners to help to integrate all the former communist countries into a europe that has a possibility of becoming unified for the first time in its entire history its entire history based on the simple commitments of all nations in europe to democracy to free markets and to respect for existing borders with our allies we have created a partnership for peace that invites states from the former soviet bloc and other non nato members to work with nato in military cooperation when i met with central europe's leaders including lech walesa and vaclav havel men who put their lives on the line for freedom i told them that the security of their region is important to our country's security this year we must also do more to support democratic renewal and human rights and sustainable development all around the world we will ask congress to ratify the new gatt accord we will continue standing by south africa as it works its way through its bold and hopeful and difficult transition to democracy we will convene a summit of the western hemisphere's democratic leaders from canada to the tip of south america and we will continue to press for the restoration of true democracy in haiti and as we build a more constructive relationship with china we must continue to insist on clear signs of improvement in that nation's human rights record we will also work for new progress toward the middle east peace last year the world watched yitzhak rabin and yasser arafat at the white house when they had their historic handshake of reconciliation but there is a long hard road ahead and on that road i am determined that i and our administration will do all we can to achieve a comprehensive and lasting peace for all the peoples of the region now there are some in our country who argue that with the cold war america should turn its back on the rest of the world many around the world were afraid we would do just that but i took this office on a pledge that had no partisan tinge to keep our nation secure by remaining engaged in the rest of the world and this year because of our work together enacting nafta keeping our military strong and prepared supporting democracy abroad we have reaffirmed america's leadership america's engagement and as a result the american people are more secure than they were before but while americans are more secure from threats abroad i think we all know that in many ways we are less secure from threats here at home every day the national peace is shattered by crime in petaluma california an innocent slumber party gives way to agonizing tragedy for the family of polly klaas an ordinary train ride on long island ends in a hail of 9 millimeter rounds a tourist in florida is nearly burned alive by bigots simply because he is black right here in our nation's capital a brave young man named jason white a policeman the son and grandson of policemen is ruthlessly gunned down violent crime and the fear it provokes are crippling our society limiting personal freedom and fraying the ties that bind us the crime bill before congress gives you a chance to do something about it a chance to be tough and smart what does that mean let me begin by saying i care a lot about this issue many years ago when i started out in public life i was the attorney general of my state i served as a governor for a dozen years i know what it's like to sign laws increasing penalties to build more prison cells to carry out the death penalty i understand this issue and it is not a simple thing first we must recognize that most violent crimes are committed by a small percentage of criminals who too often break the laws even when they are on parole now those who commit crimes should be punished and those who commit repeated violent crimes should be told when you commit a third violent crime you will be put away and put away for good three strikes and you are out second we must take serious steps to reduce violence and prevent crime beginning with more police officers and more community policing we know right now that police who work the streets know the folks have the respect of the neighborhood kids focus on high crime areas we know that they are more likely to prevent crime as well as catch criminals look at the experience of houston where the crime rate dropped 17 percent in one year when that approach was taken here tonight is one of those community policemen a brave young detective kevin jett whose beat is eight square blocks in one of the toughest neighborhoods in new york every day he restores some sanity and safety and a sense of values and connections to the people whose lives he protects i'd like to ask him to stand up and be recognized tonight thank you sir applause you will be given a chance to give the children of this country the law abiding working people of this country and don't forget in the toughest neighborhoods in this country in the highest crime neighborhoods in this country the vast majority of people get up every day and obey the law pay their taxes do their best to raise their kids they deserve people like kevin jett and you're going to be given a chance to give the american people another 100 000 of them well trained and i urge you to do it you have before you crime legislation which also establishes a police corps to encourage young people to get an education and pay it off by serving as police officers which encourages retiring military personnel to move into police forces an inordinate resource for our country one which has a safe schools provision which will give our young people the chance to walk to school in safety and to be in school in safety instead of dodging bullets these are important things the third thing we have to do is to build on the brady bill the brady law to take further steps to keep guns out of the hands of criminals i want to say something about this issue hunters must always be free to hunt law abiding adults should always be free to own guns and protect their homes i respect that part of our culture i grew up in it but i want to ask the sportsmen and others who lawfully own guns to join us in this campaign to reduce gun violence i say to you i know you didn't create this problem but we need your help to solve it there is no sporting purpose on earth that should stop the united states congress from banishing assault weapons that out gun police and cut down children fourth we must remember that drugs are a factor in an enormous percentage of crimes recent studies indicate sadly that drug use is on the rise again among our young people the crime bill contains all the crime bills contain more money for drug treatment for criminal addicts and boot camps for youthful offenders that include incentives to get off drugs and to stay off drugs our administration's budget with all its cuts contains a large increase in funding for drug treatment and drug education you must pass them both we need them desperately my fellow americans the problem of violence is an american problem it has no partisan or philosophical element therefore i urge you to find ways as quickly as possible to set aside partisan differences and pass a strong smart tough crime bill but further i urge you to consider this as you demand tougher penalties for those who choose violence let us also remember how we came to this sad point in our toughest neighborhoods on our meanest streets in our poorest rural areas we have seen a stunning and simultaneous breakdown of community family and work the heart and soul of civilized society this has created a vast vacuum which has been filled by violence and drugs and gangs so i ask you to remember that even as we say no to crime we must give people especially our young people something to say yes to many of our initiatives from job training to welfare reform to health care to national service will help to rebuild distressed communities to strengthen families to provide work but more needs to be done that's what our community empowerment agenda is all about challenging businesses to provide more investment through empowerment zones ensuring banks will make loans in the same communities their deposits come from passing legislation to unleash the power of capital through community development banks to create jobs opportunity and hope where they're needed most i think you know that to really solve this problem we'll all have to put our heads together leave our ideological armor aside and find some new ideas to do even more and let's be honest we all know something else too our problems go way beyond the reach of government they're rooted in the loss of values in the disappearance of work and the breakdown of our families and our communities my fellow americans we can cut the deficit create jobs promote democracy around the world pass welfare reform and health care pass the toughest crime bill in history but still leave too many of our people behind the american people have got to want to change from within if we're going to bring back work and family and community we cannot renew our country when within a decade more than half of the children will be born into families where there has been no marriage we cannot renew this country when 13 year old boys get semi automatic weapons to shoot 9 year olds for kicks we can't renew our country when children are having children and the fathers walk away as if the kids don't amount to anything we can't renew the country when our businesses eagerly look for new investments and new customers abroad but ignore those people right here at home who would give anything to have their jobs and would gladly buy their products if they had the money to do it we can't renew our country unless more of us i mean all of us are willing to join the churches and the other good citizens people like all the ministers i've worked with over the years or the priests and the nuns i met at our lady of help in east los angeles or my good friend tony campollo in philadelphia unless we're willing to work with people like that people who are saving kids adopting schools making streets safer all of us can do that we can't renew our country until we realize that governments don't raise children parents do parents who know their children's teachers and turn off the television and help with the homework and teach their kids right from wrong those kinds of parents can make all the difference i know i had one i'm telling you we have got to stop pointing our fingers at these kids who have no future and reach our hands out to them our country needs it we need it and they deserve it so i say to you tonight let's give our children a future let us take away their guns and give them books let us overcome their despair and replace it with hope let us by our example teach them to obey the law respect our neighbors and cherish our values let us weave these sturdy threads into a new american community that can once more stand strong against the forces of despair and evil because everybody has a chance to walk into a better tomorrow oh there will be naysayers who fear that we won't be equal to the challenges of this time but they misread our history our heritage even today's headlines all those things tell us we can and we will overcome any challenge when the earth shook and fires raged in california when i saw the mississippi deluge the farmlands of the midwest in a 500 year flood when the century's bitterest cold swept from north dakota to newport news it seemed as though the world itself was coming apart at the seams but the american people they just came together they rose to the occasion neighbor helping neighbor strangers risking life and limb to save total strangers showing the better angels of our nature let us not reserve the better angels only for natural disasters leaving our deepest and most profound problems to petty political fighting let us instead be true to our spirit facing facts coming together bringing hope and moving forward tonight my fellow americans we are summoned to answer a question as old as the republic itself what is the state of our union it is growing stronger but it must be stronger still with your help and god's help it will be thank you and god bless america mr president mr speaker members of the 104th congress my fellow americans again we are here in the sanctuary of democracy and once again our democracy has spoken so let me begin by congratulating all of you here in the 104th congress and congratulating you mr speaker if we agree on nothing else tonight we must agree that the american people certainly voted for change in 1992 and in 1994 and as i look out at you i know how some of you must have felt in 1992 laughter i must say that in both years we didn't hear america singing we heard america shouting and now all of us republicans and democrats alike must say we hear you we will work together to earn the jobs you have given us for we are the keepers of a sacred trust and we must be faithful to it in this new and very demanding era over 200 years ago our founders changed the entire course of human history by joining together to create a new country based on a single powerful idea we hold these truths to be self evident that all men are created equal endowed by their creator with certain unalienable rights and among these are life liberty and the pursuit of happiness it has fallen to every generation since then to preserve that idea the american idea and to deepen and expand its meaning in new and different times to lincoln and to his congress to preserve the union and to end slavery to theodore roosevelt and woodrow wilson to restrain the abuses and excesses of the industrial revolution and to assert our leadership in the world to franklin roosevelt to fight the failure and pain of the great depression and to win our country's great struggle against fascism and to all our presidents since to fight the cold war especially i recall two who struggled to fight that cold war in partnership with congresses where the majority was of a different party to harry truman who summoned us to unparalleled prosperity at home and who built the architecture of the cold war and to ronald reagan whom we wish well tonight and who exhorted us to carry on until the twilight struggle against communism was won in another time of change and challenge i had the honor to be the first president to be elected in the post cold war era an era marked by the global economy the information revolution unparalleled change and opportunity and insecurity for the american people i came to this hallowed chamber 2 years ago on a mission to restore the american dream for all our people and to make sure that we move into the 21st century still the strongest force for freedom and democracy in the entire world i was determined then to tackle the tough problems too long ignored in this effort i am frank to say that i have made my mistakes and i have learned again the importance of humility in all human endeavor but i am also proud to say tonight that our country is stronger than it was 2 years ago applause thank you record numbers of americans are succeeding in the new global economy we are at peace and we are a force for peace and freedom throughout the world we have almost 6 million new jobs since i became president and we have the lowest combined rate of unemployment and inflation in 25 years our businesses are more productive and here we have worked to bring the deficit down to expand trade to put more police on our streets to give our citizens more of the tools they need to get an education and to rebuild their own communities but the rising tide is not lifting all boats while our nation is enjoying peace and prosperity too many of our people are still working harder and harder for less and less while our businesses are restructuring and growing more productive and competitive too many of our people still can't be sure of having a job next year or even next month and far more than our material riches are threatened things far more precious to us our children our families our values our civil life is suffering in america today citizens are working together less and shouting at each other more the common bonds of community which have been the great strength of our country from its very beginning are badly frayed what are we to do about it more than 60 years ago at the dawn of another new era president roosevelt told our nation new conditions impose new requirements on government and those who conduct government and from that simple proposition he shaped the new deal which helped to restore our nation to prosperity and define the relationship between our people and their government for half a century that approach worked in its time but we today we face a very different time and very different conditions we are moving from an industrial age built on gears and sweat to an information age demanding skills and learning and flexibility our government once a champion of national purpose is now seen by many as simply a captive of narrow interests putting more burdens on our citizens rather than equipping them to get ahead the values that used to hold us all together seem to be coming apart so tonight we must forge a new social compact to meet the challenges of this time as we enter a new era we need a new set of understandings not just with government but even more important with one another as americans that's what i want to talk with you about tonight i call it the new covenant but it's grounded in a very very old idea that all americans have not just a right but a solemn responsibility to rise as far as their god given talents and determination can take them and to give something back to their communities and their country in return opportunity and responsibility they go hand in hand we can't have one without the other and our national community can't hold together without both our new covenant is a new set of understandings for how we can equip our people to meet the challenges of a new economy how we can change the way our government works to fit a different time and above all how we can repair the damaged bonds in our society and come together behind our common purpose we must have dramatic change in our economy our government and ourselves my fellow americans without regard to party let us rise to the occasion let us put aside partisanship and pettiness and pride as we embark on this new course let us put our country first remembering that regardless of party label we are all americans and let the final test of everything we do be a simple one is it good for the american people let me begin by saying that we cannot ask americans to be better citizens if we are not better servants you made a good start by passing that law which applies to congress all the laws you put on the private sector and i was proud to sign it yesterday but we have a lot more to do before people really trust the way things work around here three times as many lobbyists are in the streets and corridors of washington as were here 20 years ago the american people look at their capital and they see a city where the well connected and the well protected can work the system but the interests of ordinary citizens are often left out as the new congress opened its doors lobbyists were still doing business as usual the gifts the trips all the things that people are concerned about haven't stopped twice this month you missed opportunities to stop these practices i know there were other considerations in those votes but i want to use something that i've heard my republican friends say from time to time there doesn't have to be a law for everything so tonight i ask you to just stop taking the lobbyists' perks just stop we don't have to wait for legislation to pass to send a strong signal to the american people that things are really changing but i also hope you will send me the strongest possible lobby reform bill and i'll sign that too we should require lobbyists to tell the people for whom they work what they're spending what they want we should also curb the role of big money in elections by capping the cost of campaigns and limiting the influence of pac's and as i have said for 3 years we should work to open the airwaves so that they can be an instrument of democracy not a weapon of destruction by giving free tv time to candidates for public office when the last congress killed political reform last year it was reported in the press that the lobbyists actually stood in the halls of this sacred building and cheered this year let's give the folks at home something to cheer about more important i think we all agree that we have to change the way the government works let's make it smaller less costly and smarter leaner not meaner applause i just told the speaker the equal time doctrine is alive and well laughter the new covenant approach to governing is as different from the old bureaucratic way as the computer is from the manual typewriter the old way of governing around here protected organized interests we should look out for the interests of ordinary people the old way divided us by interest constituency or class the new covenant way should unite us behind a common vision of what's best for our country the old way dispensed services through large top down inflexible bureaucracies the new covenant way should shift these resources and decisionmaking from bureaucrats to citizens injecting choice and competition and individual responsibility into national policy the old way of governing around here actually seemed to reward failure the new covenant way should have built in incentives to reward success the old way was centralized here in washington the new covenant way must take hold in the communities all across america and we should help them to do that our job here is to expand opportunity not bureaucracy to empower people to make the most of their own lives and to enhance our security here at home and abroad we must not ask government to do what we should do for ourselves we should rely on government as a partner to help us to do more for ourselves and for each other i hope very much that as we debate these specific and exciting matters we can go beyond the sterile discussion between the illusion that there is somehow a program for every problem on the one hand and the other illusion that the government is a source of every problem we have our job is to get rid of yesterday's government so that our own people can meet today's and tomorrow's needs and we ought to do it together you know for years before i became president i heard others say they would cut government and how bad it was but not much happened we actually did it we cut over a quarter of a trillion dollars in spending more than 300 domestic programs more than 100 000 positions from the federal bureaucracy in the last 2 years alone based on decisions already made we will have cut a total of more than a quarter of a million positions from the federal government making it the smallest it has been since john kennedy was president by the time i come here again next year under the leadership of vice president gore our initiatives have already saved taxpayers $63 billion the age of the $500 hammer and the ashtray you can break on david letterman is gone deadwood programs like mohair subsidies are gone we've streamlined the agriculture department by reducing it by more than 1 200 offices we've slashed the small business loan form from an inch thick to a single page we've thrown away the government's 10 000 page personnel manual and the government is working better in important ways fema the federal emergency management agency has gone from being a disaster to helping people in disasters you can ask the farmers in the middle west who fought the flood there or the people in california who have dealt with floods and earthquakes and fires and they'll tell you that government workers working hand in hand with private business rebuilt southern california's fractured freeways in record time and under budget and because the federal government moved fast all but one of the 5 600 schools damaged in the earthquake are back in business now there are a lot of other things that i could talk about i want to just mention one because it will be discussed here in the next few weeks university administrators all over the country have told me that they are saving weeks and weeks of bureaucratic time now because of our direct college loan program which makes college loans cheaper and more affordable with better repayment terms for students costs the government less and cuts out paperwork and bureaucracy for the government and for the universities we shouldn't cap that program we should give every college in america the opportunity to be a part of it previous government programs gathered dust the reinventing government report is getting results and we're not through there's going to be a second round of reinventing government we propose to cut $130 billion in spending by shrinking departments extending our freeze on domestic spending cutting 60 public housing programs down to 3 getting rid of over 100 programs we do not need like the interstate commerce commission and the helium reserve program and we're working on getting rid of unnecessary regulations and making them more sensible the programs and regulations that have outlived their usefulness should go we have to cut yesterday's government to help solve tomorrow's problems and we need to get government closer to the people it's meant to serve we need to help move programs down to the point where states and communities and private citizens in the private sector can do a better job if they can do it we ought to let them do it we should get out of the way and let them do what they can do better taking power away from federal bureaucracies and giving it back to communities and individuals is something everyone should be able to be for it's time for congress to stop passing on to the states the cost of decisions we make here in washington i know there are still serious differences over the details of the unfunded mandates legislation but i want to work with you to make sure we pass a reasonable bill which will protect the national interests and give justified relief where we need to give it for years congress concealed in the budget scores of pet spending projects last year was no difference there was a $1 million to study stress in plants and $12 million for a tick removal program that didn't work it's hard to remove ticks those of us who have had them know laughter but i'll tell you something if you'll give me line item veto i'll remove some of that unnecessary spending but i think we should all remember and almost all of us would agree that government still has important responsibilities our young people we should think of this when we cut our young people hold our future in their hands we still owe a debt to our veterans and our senior citizens have made us what we are now my budget cuts a lot but it protects education veterans social security and medicare and i hope you will do the same thing you should and i hope you will and when we give more flexibility to the states let us remember that there are certain fundamental national needs that should be addressed in every state north and south east and west immunization against childhood disease school lunches in all our schools head start medical care and nutrition for pregnant women and infants applause medical care and nutrition for pregnant women and infants all these things all these things are in the national interest i applaud your desire to get rid of costly and unnecessary regulations but when we deregulate let's remember what national action in the national interest has given us safer food for our families safer toys for our children safer nursing homes for our parents safer cars and highways and safer workplaces cleaner air and cleaner water do we need common sense and fairness in our regulations you bet we do but we can have common sense and still provide for safe drinking water we can have fairness and still clean up toxic dumps and we ought to do it should we cut the deficit more well of course we should of course we should but we can bring it down in a way that still protects our economic recovery and does not unduly punish people who should not be punished but instead should be helped i know many of you in this chamber support the balanced budget amendment i certainly want to balance the budget our administration has done more to bring the budget down and to save money than any in a very very long time if you believe passing this amendment is the right thing to do then you have to be straight with the american people they have a right to know what you're going to cut what taxes you're going to raise and how it's going to affect them we should be doing things in the open around here for example everybody ought to know if this proposal is going to endanger social security i would oppose that and i think most americans would nothing has done more to undermine our sense of common responsibility than our failed welfare system this is one of the problems we have to face here in washington in our new covenant it rewards welfare over work it undermines family values it lets millions of parents get away without paying their child support it keeps a minority but a significant minority of the people on welfare trapped on it for a very long time i've worked on this problem for a long time nearly 15 years now as a governor i had the honor of working with the reagan administration to write the last welfare reform bill back in 1988 in the last 2 years we made a good start at continuing the work of welfare reform our administration gave two dozen states the right to slash through federal rules and regulations to reform their own welfare systems and to try to promote work and responsibility over welfare and dependency last year i introduced the most sweeping welfare reform plan ever presented by an administration we have to make welfare what it was meant to be a second chance not a way of life we have to help those on welfare move to work as quickly as possible to provide child care and teach them skills if that's what they need for up to 2 years and after that there ought to be a simple hard rule anyone who can work must go to work if a parent isn't paying child support they should be forced to pay we should suspend drivers' license track them across state lines make them work off what they owe that is what we should do governments do not raise children people do and the parents must take responsibility for the children they bring into this world i want to work with you with all of you to pass welfare reform but our goal must be to liberate people and lift them up from dependence to independence from welfare to work from mere childbearing to responsible parenting our goal should not be to punish them because they happen to be poor we should we should require work and mutual responsibility but we shouldn't cut people off just because they're poor they're young or even because they're unmarried we should promote responsibility by requiring young mothers to live at home with their parents or in other supervised settings by requiring them to finish school but we shouldn't put them and their children out on the street and i know all the arguments pro and con and i have read and thought about this for a long time i still don't think we can in good conscience punish poor children for the mistakes of their parents my fellow americans every single survey shows that all the american people care about this without regard to party or race or region so let this be the year we end welfare as we know it but also let this be the year that we are all able to stop using this issue to divide america no one is more eager to end welfare applause i may be the only president who has actually had the opportunity to sit in a welfare office who's actually spent hours and hours talking to people on welfare and i am telling you the people who are trapped on it know it doesn't work they also want to get off so we can promote together education and work and good parenting i have no problem with punishing bad behavior or the refusal to be a worker or a student or a responsible parent i just don't want to punish poverty and past mistakes all of us have made our mistakes and none of us can change our yesterdays but every one of us can change our tomorrows and america's best example of that may be lynn woolsey who worked her way off welfare to become a congresswoman from the state of california i know the members of this congress are concerned about crime as are all the citizens of our country and i remind you that last year we passed a very tough crime bill longer sentences three strikes and you're out almost 60 new capital punishment offenses more prisons more prevention 100 000 more police and we paid for it all by reducing the size of the federal bureaucracy and giving the money back to local communities to lower the crime rate there may be other things we can do to be tougher on crime to be smarter with crime to help to lower that rate first well if there are let's talk about them and let's do them but let's not go back on the things that we did last year that we know work that we know work because the local law enforcement officers tell us that we did the right thing because local community leaders who have worked for years and years to lower the crime rate tell us that they work let's look at the experience of our cities and our rural areas where the crime rate has gone down and ask the people who did it how they did it and if what we did last year supports the decline in the crime rate and i am convinced that it does let us not go back on it let's stick with it implement it we've got 4 more hard years of work to do to do that i don't want to destroy the good atmosphere in the room or in the country tonight but i have to mention one issue that divided this body greatly last year the last congress also passed the brady bill and in the crime bill the ban on 19 assault weapons i don't think it's a secret to anybody in this room that several members of the last congress who voted for that aren't here tonight because they voted for it and i know therefore that some of you who are here because they voted for it are under enormous pressure to repeal it i just have to tell you how i feel about it the members of congress who voted for that bill and i would never do anything to infringe on the right to keep and bear arms to hunt and to engage in other appropriate sporting activities i've done it since i was a boy and i'm going to keep right on doing it until i can't do it anymore but a lot of people laid down their seats in congress so that police officers and kids wouldn't have to lay down their lives under a hail of assault weapon attack and i will not let that be repealed i will not let it be repealed i'd like to talk about a couple of other issues we have to deal with i want us to cut more spending but i hope we won't cut government programs that help to prepare us for the new economy promote responsibility and are organized from the grassroots up not by federal bureaucracy the very best example of this is the national service corps americorps it passed with strong bipartisan support and now there are 20 000 americans more than ever served in one year in the peace corps working all over this country helping people person to person in local grassroots volunteer groups solving problems and in the process earning some money for their education this is citizenship at its best it's good for the americorps members but it's good for the rest of us too it's the essence of the new covenant and we shouldn't stop it all americans not only in the states most heavily affected but in every place in this country are rightly disturbed by the large numbers of illegal aliens entering our country the jobs they hold might otherwise be held by citizens or legal immigrants the public service they use impose burdens on our taxpayers that's why our administration has moved aggressively to secure our borders more by hiring a record number of new border guards by deporting twice as many criminal aliens as ever before by cracking down on illegal hiring by barring welfare benefits to illegal aliens in the budget i will present to you we will try to do more to speed the deportation of illegal aliens who are arrested for crimes to better identify illegal aliens in the workplace as recommended by the commission headed by former congresswoman barbara jordan we are a nation of immigrants but we are also a nation of laws it is wrong and ultimately self defeating for a nation of immigrants to permit the kind of abuse of our immigration laws we have seen in recent years and we must do more to stop it the most important job of our government in this new era is to empower the american people to succeed in the global economy america has always been a land of opportunity a land where if you work hard you can get ahead we've become a great middle class country middle class values sustain us we must expand that middle class and shrink the underclass even as we do everything we can to support the millions of americans who are already successful in the new economy america is once again the world's strongest economic power almost 6 million new jobs in the last 2 years exports booming inflation down high wage jobs are coming back a record number of american entrepreneurs are living the american dream if we want it to stay that way those who work and lift our nation must have more of its benefits today too many of those people are being left out they're working harder for less they have less security less income less certainty that they can even afford a vacation much less college for their kids or retirement for themselves we cannot let this continue if we don't act our economy will probably keep doing what it's been doing since about 1978 when the income growth began to go to those at the very top of our economic scale and the people in the vast middle got very little growth and people who worked like crazy but were on the bottom then fell even further and further behind in the years afterward no matter how hard they worked we've got to have a government that can be a real partner in making this new economy work for all of our people a government that helps each and every one of us to get an education and to have the opportunity to renew our skills that's why we worked so hard to increase educational opportunities in the last 2 years from head start to public schools to apprenticeships for young people who don't go to college to making college loans more available and more affordable that's the first thing we have to do we've got to do something to empower people to improve their skills the second thing we ought to do is to help people raise their incomes immediately by lowering their taxes we took the first step in 1993 with a working family tax cut for 15 million families with incomes under $27 000 a tax cut that this year will average about $1 000 a family and we also gave tax reductions to most small and new businesses before we could do more than that we first had to bring down the deficit we inherited and we had to get economic growth up now we've done both and now we can cut taxes in a more comprehensive way but tax cuts should reinforce and promote our first obligation to empower our citizens through education and training to make the most of their own lives the spotlight should shine on those who make the right choices for themselves their families and their communities i have proposed the middle class bill of rights which should properly be called the bill of rights and responsibilities because its provisions only benefit those who are working to educate and raise their children and to educate themselves it will therefore give needed tax relief and raise incomes in both the short run and the long run in a way that benefits all of us there are four provisions first a tax deduction for all education and training after high school if you think about it we permit businesses to deduct their investment we permit individuals to deduct interest on their home mortgages but today an education is even more important to the economic well being of our whole country than even those things are we should do everything we can to encourage it and i hope you will support it second we ought to cut taxes $500 for families with children under 13 third we ought to foster more savings and personal responsibility by permitting people to establish an individual retirement account and withdraw from it tax free for the cost of education health care first time homebuying or the care of a parent and fourth we should pass a gi bill for america's workers we propose to collapse nearly 70 federal programs and not give the money to the states but give the money directly to the american people offer vouchers to them so that they if they're laid off or if they're working for a very low wage can get a voucher worth $2 600 a year for up to 2 years to go to their local community colleges or wherever else they want to get the skills they need to improve their lives let's empower people in this way move it from the government directly to the workers of america now any one of us can call for a tax cut but i won't accept one that explodes the deficit or puts our recovery at risk we ought to pay for our tax cuts fully and honestly just 2 years ago it was an open question whether we would find the strength to cut the deficit thanks to the courage of the people who were here then many of whom didn't return we did cut the deficit we began to do what others said would not be done we cut the deficit by over $600 billion about $10 000 for every family in this country it's coming down 3 years in a row for the first time since mr truman was president and i don't think anybody in america wants us to let it explode again in the budget i will send you the middle class bill of rights is fully paid for by budget cuts in bureaucracy cuts in programs cuts in special interest subsidies and the spending cuts will more than double the tax cuts my budget pays for the middle class bill of rights without any cuts in medicare and i will oppose any attempts to pay for tax cuts with medicare cuts that's not the right thing to do i know that a lot of you have your own ideas about tax relief and some of them i find quite interesting i really want to work with all of you my test for our proposals will be will it create jobs and raise incomes will it strengthen our families and support our children is it paid for will it build the middle class and shrink the underclass if it does i'll support it but if it doesn't i won't the goal of building the middle class and shrinking the underclass is also why i believe that you should raise the minimum wage it rewards work two and a half million americans two and a half million americans often women with children are working out there today for $4 25 an hour in terms of real buying power by next year that minimum wage will be at a 40 year low that's not my idea of how the new economy ought to work now i've studied the arguments and the evidence for and against a minimum wage increase i believe the weight of the evidence is that a modest increase does not cost jobs and may even lure people back into the job market but the most important thing is you can't make a living on $4 25 an hour especially if you have children even with the working families tax cut we passed last year in the past the minimum wage has been a bipartisan issue and i think it should be again so i want to challenge you to have honest hearings on this to get together to find a way to make the minimum wage a living wage members of congress have been here less than a month but by the end of the week 28 days into the new year every member of congress will have earned as much in congressional salary as a minimum wage worker makes all year long everybody else here including the president has something else that too many americans do without and that's health care now last year we almost came to blows over health care but we didn't do anything and the cold hard fact is that since last year since i was here another 1 1 million americans in working families have lost their health care and the cold hard fact is that many millions more most of them farmers and small business people and self employed people have seen their premiums skyrocket their copays and deductibles go up there's a whole bunch of people in this country that in the statistics have health insurance but really what they've got is a piece of paper that says they won't lose their home if they get sick now i still believe our country has got to move toward providing health security for every american family but i know that last year as the evidence indicates we bit off more than we could chew so i'm asking you that we work together let's do it step by step let's do whatever we have to do to get something done let's at least pass meaningful insurance reform so that no american risks losing coverage for facing skyrocketing prices that nobody loses their coverage because they face high prices or unavailable insurance when they change jobs or lose a job or a family member gets sick i want to work together with all of you who have an interest in this with the democrats who worked on it last time with the republican leaders like senator dole who has a longtime commitment to health care reform and made some constructive proposals in this area last year we ought to make sure that self employed people in small businesses can buy insurance at more affordable rates through voluntary purchasing pools we ought to help families provide long term care for a sick parent or a disabled child we can work to help workers who lose their jobs at least keep their health insurance coverage for a year while they look for work and we can find a way it may take some time but we can find a way to make sure that our children have health care you know i think everybody in this room without regard to party can be proud of the fact that our country was rated as having the world's most productive economy for the first time in nearly a decade but we can't be proud of the fact that we're the only wealthy country in the world that has a smaller percentage of the work force and their children with health insurance today than we did 10 years ago the last time we were the most productive economy in the world so let's work together on this it is too important for politics as usual much of what the american people are thinking about tonight is what we've already talked about a lot of people think that the security concerns of america today are entirely internal to our borders they relate to the security of our jobs and our homes and our incomes and our children our streets our health and protecting those borders now that the cold war has passed it's tempting to believe that all the security issues with the possible exception of trade reside here at home but it's not so our security still depends upon our continued world leadership for peace and freedom and democracy we still can't be strong at home unless we're strong abroad the financial crisis in mexico is a case in point i know it's not popular to say it tonight but we have to act not for the mexican people but for the sake of the millions of americans whose livelihoods are tied to mexico's well being if we want to secure american jobs preserve american exports safeguard america's borders then we must pass the stabilization program and help to put mexico back on track now let me repeat it's not a loan it's not foreign aid it's not a bailout we will be given a guarantee like cosigning a note with good collateral that will cover our risks this legislation is the right thing for america that's why the bipartisan leadership has supported it and i hope you in congress will pass it quickly it is in our interest and we can explain it to the american people because we're going to do it in the right way you know tonight this is the first state of the union address ever delivered since the beginning of the cold war when not a single russian missile is pointed at the children of america and along with the russians we're on our way to destroying the missiles and the bombers that carry 9 000 nuclear warheads we've come so far so fast in this post cold war world that it's easy to take the decline of the nuclear threat for granted but it's still there and we aren't finished yet this year i'll ask the senate to approve start ii to eliminate weapons that carry 5 000 more warheads the united states will lead the charge to extend indefinitely the nuclear non proliferation treaty to enact a comprehensive nuclear test ban and to eliminate chemical weapons to stop and roll back north korea's potentially deadly nuclear program we'll continue to implement the agreement we have reached with that nation it's smart it's tough it's a deal based on continuing inspection with safeguards for our allies and ourselves this year i'll submit to congress comprehensive legislation to strengthen our hand in combating terrorists whether they strike at home or abroad as the cowards who bombed the world trade center found out this country will hunt down terrorists and bring them to justice just this week another horrendous terrorist act in israel killed 19 and injured scores more on behalf of the american people and all of you i send our deepest sympathy to the families of the victims i know that in the face of such evil it is hard for the people in the middle east to go forward but the terrorists represent the past not the future we must and we will pursue a comprehensive peace between israel and all her neighbors in the middle east accordingly last night i signed an executive order that will block the assets in the united states of terrorist organizations that threaten to disrupt the peace process it prohibits financial transactions with these groups and tonight i call on all our allies and peace loving nations throughout the world to join us with renewed fervor in a global effort to combat terrorism we cannot permit the future to be marred by terror and fear and paralysis from the day i took the oath of office i pledged that our nation would maintain the best equipped best trained and best prepared military on earth we have and they are they have managed the dramatic downsizing of our forces after the cold war with remarkable skill and spirit but to make sure our military is ready for action and to provide the pay and the quality of life the military and their families deserve i'm asking the congress to add $25 billion in defense spending over the next 6 years i have visited many bases at home and around the world since i became president tonight i repeat that request with renewed conviction we ask a very great deal of our armed forces now that they are smaller in number we ask more of them they go out more often to more different places and stay longer they are called to service in many many ways and we must give them and their families what the times demand and what they have earned just think about what our troops have done in the last year showing america at its best helping to save hundreds of thousands of people in rwanda moving with lightning speed to head off another threat to kuwait giving freedom and democracy back to the people of haiti we have proudly supported peace and prosperity and freedom from south africa to northern ireland from central and eastern europe to asia from latin america to the middle east all these endeavors are good in those places but they make our future more confident and more secure well my fellow americans that's my agenda for america's future expanding opportunity not bureaucracy enhancing security at home and abroad empowering our people to make the most of their own lives it's ambitious and achievable but it's not enough we even need more than new ideas for changing the world or equipping americans to compete in the new economy more than a government that's smaller smarter and wiser more than all of the changes we can make in government and in the private sector from the outside in our fortunes and our posterity also depend upon our ability to answer some questions from within from the values and voices that speak to our hearts as well as our heads voices that tell us we have to do more to accept responsibility for ourselves and our families for our communities and yes for our fellow citizens we see our families and our communities all over this country coming apart and we feel the common ground shifting from under us the pta the town hall meeting the ball park it's hard for a lot of overworked parents to find the time and space for those things that strengthen the bonds of trust and cooperation too many of our children don't even have parents and grandparents who can give them those experiences that they need to build their own character and their sense of identity we all know what while we here in this chamber can make a difference on those things that the real differences will be made by our fellow citizens where they work and where they live and that it will be made almost without regard to party when i used to go to the softball park in little rock to watch my daughter's league and people would come up to me fathers and mothers and talk to me i can honestly say i had no idea whether 90 percent of them were republicans or democrats when i visited the relief centers after the floods in california northern california last week a woman came up to me and did something that very few of you would do she hugged me and said mr president i'm a republican but i'm glad you're here laughter now why we can't wait for disasters to act the way we used to act every day because as we move into this next century everybody matters we don't have a person to waste and a lot of people are losing a lot of chances to do better that means that we need a new covenant for everybody for our corporate and business leaders we're going to work here to keep bringing the deficit down to expand markets to support their success in every possible way but they have an obligation when they're doing well to keep jobs in our communities and give their workers a fair share of the prosperity they generate for people in the entertainment industry in this country we applaud your creativity and your worldwide success and we support your freedom of expression but you do have a responsibility to assess the impact of your work and to understand the damage that comes from the incessant repetitive mindless violence and irresponsible conduct that permeates our media all the time we've got to ask our community leaders and all kinds of organizations to help us stop our most serious social problem the epidemic of teen pregnancies and births where there is no marriage i have sent to congress a plan to target schools all over this country with antipregnancy programs that work but government can only do so much tonight i call on parents and leaders all across this country to join together in a national campaign against teen pregnancy to make a difference we can do this and we must and i would like to say a special word to our religious leaders you know i'm proud of the fact the united states has more houses of worship per capita than any country in the world these people who lead our houses of worship can ignite their congregations to carry their faith into action can reach out to all of our children to all of the people in distress to those who have been savaged by the breakdown of all we hold dear because so much of what must be done must come from the inside out and our religious leaders and their congregations can make all the difference they have a role in the new covenant as well there must be more responsibility for all of our citizens you know it takes a lot of people to help all the kids in trouble stay off the streets and in school it takes a lot of people to build the habitat for humanity houses that the speaker celebrates on his lapel pin it takes a lot of people to provide the people power for all of the civic organizations in this country that made our communities mean so much to most of us when we were kids it takes every parent to teach the children the difference between right and wrong and to encourage them to learn and grow and to say no to the wrong things but also to believe that they can be whatever they want to be i know it's hard when you're working harder for less when you're under great stress to do these things a lot of our people don't have the time or the emotional stress they think to do the work of citizenship most of us in politics haven't helped very much for years we've mostly treated citizens like they were consumers or spectators sort of political couch potatoes who were supposed to watch the tv ads either promise them something for nothing or play on their fears and frustrations and more and more of our citizens now get most of their information in very negative and aggressive ways that are hardly conducive to honest and open conversations but the truth is we have got to stop seeing each other as enemies just because we have different views if you go back to the beginning of this country the great strength of america as de tocqueville pointed out when he came here a long time ago has always been our ability to associate with people who were different from ourselves and to work together to find common ground and in this day everybody has a responsibility to do more of that we simply cannot want for a tornado a fire or a flood to behave like americans ought to behave in dealing with one another i want to finish up here by pointing out some folks that are up with the first lady that represent what i'm trying to talk about citizens i have no idea what their party affiliation is or who they voted for in the last election but they represent what we ought to be doing cindy perry teaches second graders to read in americorps in rural kentucky she gains when she gives she's a mother of four she says that her service inspired her to get her high school equivalency last year she was married when she was a teenager stand up cindy she was married when she was a teenager she had four children but she had time to serve other people to get her high school equivalency and she's going to use her americorps money to go back to college chief stephen bishop is the police chief of kansas city he's been a national leader stand up steve he's been a national leader in using more police in community policing and he's worked with americorps to do it and the crime rate in kansas city has gone down as a result of what he did corporal gregory depestre went to haiti as part of his adopted country's force to help secure democracy in his native land and i might add we must be the only country in the world that could have gone to haiti and taken haitian americans there who could speak the language and talk to the people and he was one of them and we're proud of him the next two folks i've had the honor of meeting and getting to know a little bit the reverend john and the reverend diana cherry of the ame zion church in temple hills maryland i'd like to ask them to stand i want to tell you about them in the early eighties they left government service and formed a church in a small living room in a small house in the early eighties today that church has 17 000 members it is one of the three or four biggest churches in the entire united states it grows by 200 a month they do it together and the special focus of their ministry is keeping families together two things they did make a big impression on me i visited their church once and i learned they were building a new sanctuary closer to the washington dc line in a higher crime higher drug rate area because they thought it was part of their ministry to change the lives of the people who needed them the second thing i want to say is that once reverend cherry was at a meeting at the white house with some other religious leaders and he left early to go back to this church to minister to 150 couples that he had brought back to his church from all over america to convince them to come back together to save their marriages and to raise their kids this is the kind of work that citizens are doing in america we need more of it and it ought to be lifted up and supported the last person i want to introduce is jack lucas from hattiesburg mississippi jack would you stand up fifty years ago in the sands of iwo jima jack lucas taught and learned the lessons of citizenship on february 20th 1945 he and three of his buddies encountered the enemy and two grenades at their feet jack lucas threw himself on both of them in that moment he saved the lives of his companions and miraculously in the next instant a medic saved his life he gained a foothold for freedom and at the age of 17 just a year older than his grandson who is up there with him today and his son who is a west point graduate and a veteran at 17 jack lucas became the youngest marine in history and the youngest soldier in this century to win the congressional medal of honor all these years later yesterday here's what he said about that day it didn't matter where you were from or who you were you relied on one another you did it for your country we all gain when we give and we reap what we sow that's at the heart of this new covenant responsibility opportunity and citizenship more than stale chapters in some remote civic book they're still the virtue by which we can fulfill ourselves and reach our god given potential and be like them and also to fulfill the eternal promise of this country the enduring dream from that first and most sacred covenant i believe every person in this country still believes that we are created equal and given by our creator the right to life liberty and the pursuit of happiness this is a very very great country and our best days are still to come thank you and god bless you all thank you very much mr speaker mr vice president members of the 104th congress distinguished guests my fellow americans all across our land let me begin tonight by saying to our men and women in uniform around the world and especially those helping peace take root in bosnia and to their families i thank you america is very very proud of you my duty tonight is to report on the state of the union not the state of our government but of our american community and to set forth our responsibilities in the words of our founders to form a more perfect union the state of the union is strong our economy is the healthiest it has been in three decades we have the lowest combined rates of unemployment and inflation in 27 years we have completed created nearly 8 million new jobs over a million of them in basic industries like construction and automobiles america is selling more cars than japan for the first time since the 1970's and for 3 years in a row we have had a record number of new businesses started in our country our leadership in the world is also strong bringing hope for new peace and perhaps most important we are gaining ground in restoring our fundamental values the crime rate the welfare and food stamp rolls the poverty rate and the teen pregnancy rate are all down and as they go down prospects for america's future go up we live in an age of possibility a hundred years ago we moved from farm to factory now we move to an age of technology information and global competition these changes have opened vast new opportunities for our people but they have also presented them with stiff challenges while more americans are living better too many of our fellow citizens are working harder just to keep up and they are rightly concerned about the security of their families we must answer here three fundamental questions first how do we make the american dream of opportunity for all a reality for all americans who are willing to work for it second how do we preserve our old and enduring values as we move into the future and third how do we meet these challenges together as one america we know big government does not have all the answers we know there's not a program for every problem we know and we have worked to give the american people a smaller less bureaucratic government in washington and we have to give the american people one that lives within its means the era of big government is over but we cannot go back to the time when our citizens were left to fend for themselves instead we must go forward as one america one nation working together to meet the challenges we face together self reliance and teamwork are not opposing virtues we must have both i believe our new smaller government must work in an old fashioned american way together with all of our citizens through state and local governments in the workplace in religious charitable and civic associations our goal must be to enable all our people to make the most of their own lives with stronger families more educational opportunity economic security safer streets a cleaner environment in a safer world to improve the state of our union we must ask more of ourselves we must expect more of each other and we must face our challenges together here in this place our responsibility begins with balancing the budget in a way that is fair to all americans there is now broad bipartisan agreement that permanent deficit spending must come to an end i compliment the republican leadership and the membership for the energy and determination you have brought to this task of balancing the budget and i thank the democrats for passing the largest deficit reduction plan in history in 1993 which has already cut the deficit nearly in half in 3 years since 1993 we have all begun to see the benefits of deficit reduction lower interest rates have made it easier for businesses to borrow and to invest and to create new jobs lower interest rates have brought down the cost of home mortgages car payments and credit card rates to ordinary citizens now it is time to finish the job and balance the budget though differences remain among us which are significant the combined total of the proposed savings that are common to both plans is more than enough using the numbers from your congressional budget office to balance the budget in 7 years and to provide a modest tax cut these cuts are real they will require sacrifice from everyone but these cuts do not undermine our fundamental obligations to our parents our children and our future by endangering medicare or medicaid or education or the environment or by raising taxes on working families i have said before and let me say again many good ideas have come out of our negotiations i have learned a lot about the way both republicans and democrats view the debate before us i have learned a lot about the good ideas that each side has that we could all embrace we ought to resolve our remaining differences i am willing to work to resolve them i am ready to meet tomorrow but i ask you to consider that we should at least enact these savings that both plans have in common and give the american people their balanced budget a tax cut lower interest rates and a brighter future we should do that now and make permanent deficits yesterday's legacy now it is time for us to look also to the challenges of today and tomorrow beyond the burdens of yesterday the challenges are significant but our nation was built on challenges america was built on challenges not promises and when we work together to meet them we never fail that is the key to a more perfect union our individual dreams must be realized by our common efforts tonight i want to speak to you about the challenges we all face as a people our first challenge is to cherish our children and strengthen america's families family is the foundation of american life if we have stronger families we will have a stronger america before i go on i'd like to take just a moment to thank my own family and to thank the person who has taught me more than anyone else over 25 years about the importance of families and children a wonderful wife a magnificent mother and a great first lady thank you hillary all strong families begin with taking more responsibility for our children i've heard mrs gore say that it's hard to be a parent today but it's even harder to be a child so all of us not just as parents but all of us in our other roles our media our schools our teachers our communities our churches and synagogues our businesses our governments all of us have a responsibility to help our children to make it and to make the most of their lives and their god given capacities to the media i say you should create movies and cd's and television shows you'd want your own children and grandchildren to enjoy i call on congress to pass the requirement for a v chip in tv sets so that parents can screen out programs they believe are inappropriate for their children when parents control what their young children see that is not censorship that is enabling parents to assume more personal responsibility for their children's upbringing and i urge them to do it the v chip requirement is part of the important telecommunications bill now pending in this congress it has bipartisan support and i urge you to pass it now to make the v chip work i challenge the broadcast industry to do what movies have done to identify your program in ways that help parents to protect their children and i invite the leaders of major media corporations in the entertainment industry to come to the white house next month to work with us in a positive way on concrete ways to improve what our children see on television i am ready to work with you i say to those who make and market cigarettes every year a million children take up smoking even though it's against the law three hundred thousand of them will have their lives shortened as a result our administration has taken steps to stop the massive marketing campaigns that appeal to our children we are simply saying market your products to adults if you wish but draw the line on children i say to those who are on welfare and especially to those who have been trapped on welfare for a long time for too long our welfare system has undermined the values of family and work instead of supporting them the congress and i are near agreement on sweeping welfare reform we agree on time limits tough work requirements and the toughest possible child support enforcement but i believe we must also provide child care so that mothers who are required to go to work can do so without worrying about what is happening to their children i challenge this congress to send me a bipartisan welfare reform bill that will really move people from welfare to work and do the right thing by our children i will sign it immediately let us be candid about this difficult problem passing a law even the best possible law is only a first step the next step is to make it work i challenge people on welfare to make the most of this opportunity for independence i challenge american businesses to give people on welfare the chance to move into the work force i applaud the work of religious groups and others who care for the poor more than anyone else in our society they know the true difficulty of the task before us and they are in a position to help every one of us should join them that is the only way we can make real welfare reform a reality in the lives of the american people to strengthen the family we must do everything we can to keep the teen pregnancy rate going down i am gratified as i'm sure all americans are that it has dropped for 2 years in a row but we all know it is still far too high tonight i am pleased to announce that a group of prominent americans is responding to that challenge by forming an organization that will support grassroots community efforts all across our country in a national campaign against teen pregnancy and i challenge all of us and every american to join their efforts i call on american men and women in families to give greater respect to one another we must end the deadly scourge of domestic violence in our country and i challenge america's families to work harder to stay together for families who stay together not only do better economically their children do better as well in particular i challenge the fathers of this country to love and care for their children if your family has separated you must pay your child support we're doing more than ever to make sure you do and we're going to do more but let's all admit something about that too a check will not substitute for a parent's love and guidance and only you only you can make the decision to help raise your children no matter who you are how low or high your station in life it is the most basic human duty of every american to do that job to the best of his or her ability our second challenge is to provide americans with the educational opportunities we'll all need for this new century in our schools every classroom in america must be connected to the information superhighway with computers and good software and well trained teachers we are working with the telecommunications industry educators and parents to connect 20 percent of california's classrooms by this spring and every classroom and every library in the entire united states by the year 2000 i ask congress to support this education technology initiative so that we can make sure this national partnership succeeds every diploma ought to mean something i challenge every community every school and every state to adopt national standards of excellence to measure whether schools are meeting those standards to cut bureaucratic redtape so that schools and teachers have more flexibility for grassroots reform and to hold them accountable for results that's what our goals 2000 initiative is all about i challenge every state to give all parents the right to choose which public school their children will attend and to let teachers form new schools with a charter they can keep only if they do a good job i challenge all our schools to teach character education to teach good values and good citizenship and if it means that teenagers will stop killing each other over designer jackets then our public schools should be able to require their students to wear school uniforms i challenge our parents to become their children's first teachers turn off the tv see that the homework is done and visit your children's classroom no program no teacher no one else can do that for you my fellow americans higher education is more important today than ever before we've created a new student loan program that's made it easier to borrow and repay those loans and we have dramatically cut the student loan default rate that's something we should all be proud of because it was unconscionably high just a few years ago through americorps our national service program this year 25 000 young people will earn college money by serving their local communities to improve the lives of their friends and neighbors these initiatives are right for america and we should keep them going and we should also work hard to open the doors of college even wider i challenge congress to expand work study and help one million young americans work their way through college by the year 2000 to provide a $1 000 merit scholarship for the top 5 percent of graduates in every high school in the united states to expand pell grant scholarships for deserving and needy students and to make up to $10 000 a year of college tuition tax deductible it's a good idea for america our third challenge is to help every american who is willing to work for it achieve economic security in this new age people who work hard still need support to get ahead in the new economy they need education and training for a lifetime they need more support for families raising children they need retirement security they need access to health care more and more americans are finding that the education of their childhood simply doesn't last a lifetime so i challenge congress to consolidate 70 overlapping antiquated job training programs into a simple voucher worth $2 600 for unemployed or underemployed workers to use as they please for community college tuition or other training this is a gi bill for america's workers we should all be able to agree on more and more americans are working hard without a raise congress sets the minimum wage within a year the minimum wage will fall to a 40 year low in purchasing power four dollars and 25 cents an hour is no longer a minimum wage but millions of americans and their children are trying to live on it i challenge you to raise their minimum wage in 1993 congress cut the taxes of 15 million hard pressed working families to make sure that no parents who work full time would have to raise their children in poverty and to encourage people to move from welfare to work this expanded earned income tax credit is now worth about $1 800 a year to a family of four living on $20 000 the budget bill i vetoed would have reversed this achievement and raised taxes on nearly 8 million of these people we should not do that we should not do that i also agree that the people who are helped under this initiative are not all those in our country who are working hard to do a good job raising their children and at work i agree that we need a tax credit for working families with children that's one of the things most of us in this chamber i hope can agree on i know it is strongly supported by the republican majority and it should be part of any final budget agreement i want to challenge every business that can possibly afford it to provide pensions for your employees and i challenge congress to pass a proposal recommended by the white house conference on small business that would make it easier for small businesses and farmers to establish their own pension plans that is something we should all agree on we should also protect existing pension plans two years ago with bipartisan support that was almost unanimous on both sides of the aisle we moved to protect the pensions of 8 million working people and to stabilize the pensions of 32 million more congress should not now let companies endanger those workers' pension funds i know the proposal to liberalize the ability of employers to take money out of pension funds for other purposes would raise money for the treasury but i believe it is false economy i vetoed that proposal last year and i would have to do so again finally if our working families are going to succeed in the new economy they must be able to buy health insurance policies that they do not lose when they change jobs or when someone in their family gets sick over the past 2 years over one million americans in working families have lost their health insurance we have to do more to make health care available to every american and congress should start by passing the bipartisan bill sponsored by senator kennedy and senator kassebaum that would require insurance companies to stop dropping people when they switch jobs and stop denying coverage for preexisting conditions let's all do that and even as we enact savings in these programs we must have a common commitment to preserve the basic protections of medicare and medicaid not just to the poor but to people in working families including children people with disabilities people with aids senior citizens in nursing homes in the past 3 years we've saved $15 billion just by fighting health care fraud and abuse we have all agreed to save much more we have all agreed to stabilize the medicare trust fund but we must not abandon our fundamental obligations to the people who need medicare and medicaid america cannot become stronger if they become weaker the gi bill for workers tax relief for education and child rearing pension availability and protection access to health care preservation of medicare and medicaid these things along with the family and medical leave act passed in 1993 these things will help responsible hard working american families to make the most of their own lives but employers and employees must do their part as well as they are doing in so many of our finest companies working together putting the long term prosperity ahead of the short term gain as workers increase their hours and their productivity employers should make sure they get the skills they need and share the benefits of the good years as well as the burdens of the bad ones when companies and workers work as a team they do better and so does america our fourth great challenge is to take our streets back from crime and gangs and drugs at last we have begun to find a way to reduce crime forming community partnerships with local police forces to catch criminals and prevent crime this strategy called community policing is clearly working violent crime is coming down all across america in new york city murders are down 25 percent in st louis 18 percent in seattle 32 percent but we still have a long way to go before our streets are safe and our people are free from fear the crime bill of 1994 is critical to the success of community policing it provides funds for 100 000 new police in communities of all sizes we're already a third of the way there and i challenge the congress to finish the job let us stick with a strategy that's working and keep the crime rate coming down community policing also requires bonds of trust between citizens and police i ask all americans to respect and support our law enforcement officers and to our police i say our children need you as role models and heroes don't let them down the brady bill has already stopped 44 000 people with criminal records from buying guns the assault weapons ban is keeping 19 kinds of assault weapons out of the hands of violent gangs i challenge the congress to keep those laws on the books our next step in the fight against crime is to take on gangs the way we once took on the mob i'm directing the fbi and other investigative agencies to target gangs that involve juveniles and violent crime and to seek authority to prosecute as adults teenagers who maim and kill like adults and i challenge local housing authorities and tenant associations criminal gang members and drug dealers are destroying the lives of decent tenants from now on the rule for residents who commit crime and pedal drugs should be one strike and you're out i challenge every state to match federal policy to assure that serious violent criminals serve at least 85 percent of their sentence more police and punishment are important but they're not enough we have got to keep more of our young people out of trouble with prevention strategies not dictated by washington but developed in communities i challenge all of our communities all of our adults to give our children futures to say yes to and i challenge congress not to abandon the crime bill's support of these grassroots prevention efforts finally to reduce crime and violence we have to reduce the drug problem the challenge begins in our homes with parents talking to their children openly and firmly it embraces our churches and synagogues our youth groups and our schools i challenge congress not to cut our support for drug free schools people like the d a r e officers are making a real impression on grade schoolchildren that will give them the strength to say no when the time comes meanwhile we continue our efforts to cut the flow of drugs into america for the last 2 years one man in particular has been on the front lines of that effort tonight i am nominating him a hero of the persian gulf war and the commander in chief of the united states military southern command general barry mccaffrey as america's new drug czar general mccaffrey has earned three purple hearts and two silver stars fighting for this country tonight i ask that he lead our nation's battle against drugs at home and abroad to succeed he needs a force far larger than he has ever commanded before he needs all of us every one of us has a role to play on this team thank you general mccaffrey for agreeing to serve your country one more time our fifth challenge to leave our environment safe and clean for the next generation because of a generation of bipartisan effort we do have cleaner water and air lead levels in children's blood has been cut by 70 percent toxic emissions from factories cut in half lake erie was dead and now it's a thriving resource but 10 million children under 12 still live within 4 miles of a toxic waste dump a third of us breathe air that endangers our health and in too many communities the water is not safe to drink we still have much to do yet congress has voted to cut environmental enforcement by 25 percent that means more toxic chemicals in our water more smog in our air more pesticides in our food lobbyists for polluters have been allowed to write their own loopholes into bills to weaken laws that protect the health and safety of our children some say that the taxpayer should pick up the tab for toxic waste and let polluters who can afford to fix it off the hook i challenge congress to reexamine those policies and to reverse them this issue has not been a partisan issue the most significant environmental gains in the last 30 years were made under a democratic congress and president richard nixon we can work together we have to believe some basic things do you believe we can expand the economy without hurting the environment i do do you believe we can create more jobs over the long run by cleaning the environment up i know we can that should be our commitment we must challenge businesses and communities to take more initiative in protecting the environment and we have to make it easier for them to do it to businesses this administration is saying if you can find a cheaper more efficient way than government regulations require to meet tough pollution standards do it as long as you do it right to communities we say we must strengthen community right to know laws requiring polluters to disclose their emissions but you have to use the information to work with business to cut pollution people do have a right to know that their air and their water are safe our sixth challenge is to maintain america's leadership in the fight for freedom and peace throughout the world because of american leadership more people than ever before live free and at peace and americans have known 50 years of prosperity and security we owe thanks especially to our veterans of world war ii i would like to say to senator bob dole and to all others in this chamber who fought in world war ii and to all others on both sides of the aisle who have fought bravely in all our conflicts since i salute your service and so do the american people all over the world even after the cold war people still look to us and trust us to help them seek the blessings of peace and freedom but as the cold war fades into memory voices of isolation say america should retreat from its responsibilities i say they are wrong the threats we face today as americans respect no nation's borders think of them terrorism the spread of weapons of mass destruction organized crime drug trafficking ethnic and religious hatred aggression by rogue states environmental degradation if we fail to address these threats today we will suffer the consequences in all our tomorrows of course we can't be everywhere of course we can't do everything but where our interests and our values are at stake and where we can make a difference america must lead we must not be isolationist we must not be the world's policeman but we can and should be the world's very best peacemaker by keeping our military strong by using diplomacy where we can and force where we must by working with others to share the risk and the cost of our efforts america is making a difference for people here and around the world for the first time since the dawn of the nuclear age for the first time since the dawn of the nuclear age there is not a single russian missile pointed at america's children north korea has now frozen its dangerous nuclear weapons program in haiti the dictators are gone democracy has a new day the flow of desperate refugees to our shores has subsided through tougher trade deals for america over 80 of them we have opened markets abroad and now exports are at an all time high growing faster than imports and creating good american jobs we stood with those taking risks for peace in northern ireland where catholic and protestant children now tell their parents violence must never return in the middle east where arabs and jews who once seemed destined to fight forever now share knowledge and resources and even dreams and we stood up for peace in bosnia remember the skeletal prisoners the mass graves the campaign to rape and torture the endless lines of refugees the threat of a spreading war all these threats all these horrors have now begun to give way to the promise of peace now our troops and a strong nato together with our new partners from central europe and elsewhere are helping that peace to take hold as all of you know i was just there with a bipartisan congressional group and i was so proud not only of what our troops were doing but of the pride they evidenced in what they were doing they knew what america's mission in this world is and they were proud to be carrying it out through these efforts we have enhanced the security of the american people but make no mistake about it important challenges remain the start ii treaty with russia will cut our nuclear stockpiles by another 25 percent i urge the senate to ratify it now we must end the race to create new nuclear weapons by signing a truly comprehensive nuclear test ban treaty this year as we remember what happened in the japanese subway we can outlaw poison gas forever if the senate ratifies the chemical weapons convention this year we can intensify the fight against terrorists and organized criminals at home and abroad if congress passes the antiterrorism legislation i proposed after the oklahoma city bombing now we can help more people move from hatred to hope all across the world in our own interest if congress gives us the means to remain the world's leader for peace my fellow americans the six challenges i have just discussed are for all of us our seventh challenge is really america's challenge to those of us in this hallowed hall tonight to reinvent our government and make our democracy work for them last year this congress applied to itself the laws it applies to everyone else this congress banned gifts and meals from lobbyists this congress forced lobbyists to disclose who pays them and what legislation they are trying to pass or kill this congress did that and i applaud you for it now i challenge congress to go further to curb special interest influence in politics by passing the first truly bipartisan campaign finance reform bill in a generation you republicans and democrats alike can show the american people that we can limit spending and we can open the airwaves to all candidates i also appeal to congress to pass the line item veto you promised the american people our administration is working hard to give the american people a government that works better and costs less thanks to the work of vice president gore we are eliminating 16 000 pages of unnecessary rules and regulations shifting more decisionmaking out of washington back to states and local communities as we move into the era of balanced budgets and smaller government we must work in new ways to enable people to make the most of their own lives we are helping america's communities not with more bureaucracy but with more opportunities through our successful empowerment zones and community development banks we're helping people to find jobs to start businesses and with tax incentives for companies that clean up abandoned industrial property we can bring jobs back to places that desperately desperately need them but there are some areas that the federal government should not leave and should address and address strongly one of these areas is the problem of illegal immigration after years of neglect this administration has taken a strong stand to stiffen the protection of our borders we are increasing border controls by 50 percent we are increasing inspections to prevent the hiring of illegal immigrants and tonight i announce i will sign an executive order to deny federal contracts to businesses that hire illegal immigrants let me be very clear about this we are still a nation of immigrants we should be proud of it we should honor every legal immigrant here working hard to be a good citizen working hard to become a new citizen but we are also a nation of laws i want to say a special word now to those who work for our federal government today the federal work force is 200 000 employees smaller than it was the day i took office as president our federal government today is the smallest it has been in 30 years and it's getting smaller every day most of our fellow americans probably don't know that and there's a good reason a good reason the remaining federal work force is composed of hard working americans who are now working harder and working smarter than ever before to make sure the quality of our services does not decline i'd like to give you one example his name is richard dean he's a 49 year old vietnam veteran who's worked for the social security administration for 22 years now last year he was hard at work in the federal building in oklahoma city when the blast killed 169 people and brought the rubble down all around him he reentered that building four times he saved the lives of three women he's here with us this evening and i want to recognize richard and applaud both his public service and his extraordinary personal heroism but richard dean's story doesn't end there this last november he was forced out of his office when the government shut down and the second time the government shut down he continued helping social security recipients but he was working without pay on behalf of richard dean and his family and all the other people who are out there working every day doing a good job for the american people i challenge all of you in this chamber let's never ever shut the federal government down again on behalf of all americans especially those who need their social security payments at the beginning of march i also challenge the congress to preserve the full faith and credit of the united states to honor the obligations of this great nation as we have for 220 years to rise above partisanship and pass a straightforward extension of the debt limit and show people america keeps its word i know that this evening i have asked a lot of congress and even more from america but i am confident when americans work together in their homes their schools their churches their synagogues their civic groups their workplace they can meet any challenge i say again the era of big government is over but we can't go back to the era of fending for yourself we have to go forward to the era of working together as a community as a team as one america with all of us reaching across these lines that divide us the division the discrimination the rancor we have to reach across it to find common ground we have got to work together if we want america to work i want you to meet two more people tonight who do just that lucius wright is a teacher in the jackson mississippi public school system a vietnam veteran he has created groups to help inner city children turn away from gangs and build futures they can believe in sergeant jennifer rodgers is a police officer in oklahoma city like richard dean she helped to pull her fellow citizens out of the rubble and deal with that awful tragedy she reminds us that in their response to that atrocity the people of oklahoma city lifted all of us with their basic sense of decency and community lucius wright and jennifer rodgers are special americans and i have the honor to announce tonight that they are the very first of several thousand americans who will be chosen to carry the olympic torch on its long journey from los angeles to the centennial of the modern olympics in atlanta this summer not because they are star athletes but because they are star citizens community heroes meeting america's challenges they are our real champions please stand up applause now each of us must hold high the torch of citizenship in our own lives none of us can finish the race alone we can only achieve our destiny together one hand one generation one american connecting to another there have always been things we could do together dreams we could make real which we could never have done on our own we americans have forged our identity our very union from the very point of view that we can accommodate every point on the planet every different opinion but we must be bound together by a faith more powerful than any doctrine that divides us by our belief in progress our love of liberty and our relentless search for common ground america has always sought and always risen to every challenge who would say that having come so far together we will not go forward from here who would say that this age of possibility is not for all americans our country is and always has been a great and good nation but the best is yet to come if we all do our parts thank you god bless you and god bless the united states of america thank you mr speaker mr vice president members of the 105th congress distinguished guests and my fellow americans i think i should start by saying thanks for inviting me back i come before you tonight with a challenge as great as any in our peacetime history and a plan of action to meet that challenge to prepare our people for the bold new world of the 21st century we have much to be thankful for with four years of growth we have won back the basic strength of our economy with crime and welfare rolls declining we are winning back our optimism the enduring faith that we can master any difficulty with the cold war receding and global commerce at record levels we are helping to win an unrivaled peace and prosperity all across the world my fellow americans the state of our union is strong but now we must rise to the decisive moment to make a nation and a world better than any we have ever known the new promise of the global economy the information age unimagined new work life enhancing technology all these are ours to seize that is our honor and our challenge we must be shapers of events not observers for if we do not act the moment will pass and we will lose the best possibilities of our future we face no imminent threat but we do have an enemy the enemy of our time is inaction so tonight i issue a call to action action by this congress action by our states by our people to prepare america for the 21st century action to keep our economy and our democracy strong and working for all our people action to strengthen education and harness the forces of technology and science action to build stronger families and stronger communities and a safer environment action to keep america the world's strongest force for peace freedom and prosperity and above all action to build a more perfect union here at home the spirit we bring to our work will make all the difference we must be committed to the pursuit of opportunity for all americans responsibility from all americans in a community of all americans and we must be committed to a new kind of government not to solve all our problems for us but to give our people all our people the tools they need to make the most of their own lives and we must work together the people of this nation elected us all they want us to be partners not partisans they put us all right here in the same boat they gave us all oars and they told us to row now here is the direction i believe we should take first we must move quickly to complete the unfinished business of our country to balance the budget renew our democracy and finish the job of welfare reform over the last four years we have brought new economic growth by investing in our people expanding our exports cutting our deficits creating over 11 million new jobs a 4 year record now we must keep our economy the strongest in the world we here tonight have an historic opportunity let this congress be the congress that finally balances the budget applause thank you in 2 days i will propose a detailed plan to balance the budget by 2002 this plan will balance the budget and invest in our people while protecting medicare medicaid education and the environment it will balance the budget and build on the vice president's efforts to make our government work better even as it costs less it will balance the budget and provide middle class tax relief to pay for education and health care to help to raise a child to buy and sell a home balancing the budget requires only your vote and my signature it does not require us to rewrite our constitution i believe it is both unnecessary and unwise to adopt a balanced budget amendment that could cripple our country in time of economic crisis and force unwanted results such as judges halting social security checks or increasing taxes let us at least agree we should not pass any measure no measure should be passed that threatens social security whatever your view on that we all must concede we don't need a constitutional amendment we need action whatever our differences we should balance the budget now and then for the long term health of our society we must agree to a bipartisan process to preserve social security and reform medicare for the long run so that these fundamental programs will be as strong for our children as they are for our parents and let me say something that's not in my script tonight i know this is not going to be easy but i really believe one of the reasons the american people gave me a second term was to take the tough decisions in the next 4 years that will carry our country through the next 50 years i know it is easier for me than for you to say or do but another reason i was elected is to support all of you without regard to party to give you what is necessary to join in these decisions we owe it to our country and to our future our second piece of unfinished business requires us to commit ourselves tonight before the eyes of america to finally enacting bipartisan campaign finance reform now senators mccain and feingold representatives shays and meehan have reached across party lines here to craft tough and fair reform their proposal would curb spending reduce the role of special interests create a level playing field between challengers and incumbents and ban contributions from noncitizens all corporate sources and the other large soft money contributions that both parties receive you know and i know that this can be delayed and you know and i know the delay will mean the death of reform so let's set our own deadline let's work together to write bipartisan campaign finance reform into law and pass mccain feingold by the day we celebrate the birth of our democracy july the fourth there is a third piece of unfinished business over the last four years we moved a record 2 25 million people off the welfare rolls then last year congress enacted landmark welfare reform legislation demanding that all able bodied recipients assume the responsibility of moving from welfare to work now each and every one of us has to fulfill our responsibility indeed our moral obligation to make sure that people who now must work can work now we must act to meet a new goal 2 million more people off the welfare rolls by the year 2000 here is my plan tax credits and other incentives for businesses that hire people off welfare incentives for job placement firms and states to create more jobs for welfare recipients training transportation and child care to help people go to work now i challenge every state turn those welfare checks into private sector paychecks i challenge every religious congregation every community nonprofit every business to hire someone off welfare and i'd like to say especially to every employer in our country who ever criticized the old welfare system you can't blame that old system anymore we have torn it down now do your part give someone on welfare the chance to go to work tonight i am pleased to announce that five major corporations sprint monsanto ups burger king and united airlines will be the first to join in a new national effort to marshal america's businesses large and small to create jobs so that people can move from welfare to work we passed welfare reform all of you know i believe we were right to do it but no one can walk out of this chamber with a clear conscience unless you are prepared to finish the job and we must join together to do something else too something both republican and democratic governors have asked us to do to restore basic health and disability benefits when misfortune strikes immigrants who came to this country legally who work hard pay taxes and obey the law to do otherwise is simply unworthy of a great nation of immigrants now looking ahead the greatest step of all the high threshold of the future we must now cross and my number one priority for the next 4 years is to ensure that all americans have the best education in the world let's work together to meet these three goals every 8 year old must be able to read every 12 year old must be able to log on to the internet every 18 year old must be able to go to college and every adult american must be able to keep on learning for a lifetime my balanced budget makes an unprecedented commitment to these goals $51 billion next year but far more than money is required i have a plan a call to action for american education based on these 10 principles first a national crusade for education standards not federal government standards but national standards representing what all our students must know to succeed in the knowledge economy of the 21st century every state and school must shape the curriculum to reflect these standards and train teachers to lift students up to them to help schools meet the standards and measure their progress we will lead an effort over the next 2 years to develop national tests of student achievement in reading and math tonight i issue a challenge to the nation every state should adopt high national standards and by 1999 every state should test every fourth grader in reading and every eighth grader in math to make sure these standards are met raising standards will not be easy and some of our children will not be able to meet them at first the point is not to put our children down but to lift them up good tests will show us who needs help what changes in teaching to make and which schools need to improve they can help us end social promotions for no child should move from grade school to junior high or junior high to high school until he or she is ready last month our secretary of education dick riley and i visited northern illinois where eighth grade students from 20 school districts in a project aptly called first in the world took the third international math and science study that's a test that reflects the world class standards our children must meet for the new era and those students in illinois tied for first in the world in science and came in second in math two of them kristen tanner and chris getsler are here tonight along with their teacher sue winski they're up there with the first lady and they prove that when we aim high and challenge our students they will be the best in the world let's give them a hand stand up please applause second to have the best schools we must have the best teachers most of us in this chamber would not be here tonight without the help of those teachers i know that i wouldn't be here for years many of our educators led by north carolina's governor jim hunt and the national board for professional teaching standards have worked very hard to establish nationally accepted credentials for excellence in teaching just 500 of these teachers have been certified since 1995 my budget will enable 100 000 more to seek national certification as master teachers we should reward and recognize our best teachers and as we reward them we should quickly and fairly remove those few who don't measure up and we should challenge more of our finest young people to consider teaching as a career third we must do more to help all our children read forty percent 40 percent of our 8 year olds cannot read on their own that's why we have just launched the america reads initiative to build a citizen army of one million volunteer tutors to make sure every child can read independently by the end of the third grade we will use thousands of americorps volunteers to mobilize this citizen army we want at least 100 000 college students to help and tonight i am pleased that 60 college presidents have answered my call pledging that thousands of their work study students will serve for one year as reading tutors this is also a challenge to every teacher and every principal you must use these tutors to help students read and it is especially a challenge to our parents you must read with your children every night this leads to the fourth principle learning begins in the first days of life scientists are now discovering how young children develop emotionally and intellectually from their very first days and how important it is for parents to begin immediately talking singing even reading to their infants the first lady has spent years writing about this issue studying it and she and i are going to convene a white house conference on early learning and the brain this spring to explore how parents and educators can best use these startling new findings we already know we should start teaching children before they start school that's why this balanced budget expands head start to one million children by 2002 and that is why the vice president and mrs gore will host their annual family conference this june on what we can do to make sure that parents are an active part of their children's learning all the way through school they've done a great deal to highlight the importance of family in our life and now they're turning their attention to getting more parents involved in their children's learning all the way through school and i thank you mr vice president and i thank you especially tipper for what you do fifth every state should give parents the power to choose the right public school for their children their right to choose will foster competition and innovation that can make public schools better we should also make it possible for more parents and teachers to start charter schools schools that set and meet the highest standards and exist only as long as they do our plan will help america to create 3 000 of these charter schools by the next century nearly 7 times as there are in the country today so that parents will have even more choices in sending their children to the best schools sixth character education must be taught in our schools we must teach our children to be good citizens and we must continue to promote order and discipline supporting communities that introduce school uniforms impose curfews enforce truancy laws remove disruptive students from the classroom and have zero tolerance for guns and drugs in school seventh we cannot expect our children to raise themselves up in schools that are literally falling down with the student population at an all time high and record numbers of school buildings falling into disrepair this has now become a serious national concern therefore my budget includes a new initiative $5 billion to help communities finance $20 billion in school construction over the next 4 years eighth we must make the 13th and 14th years of education at least 2 years of college just as universal in america by the 21st century as a high school education is today and we must open the doors of college to all americans to do that i propose america's hope scholarship based on georgia's pioneering program 2 years of a $1 500 tax credit for college tuition enough to pay for the typical community college i also propose a tax deduction of up to $10 000 a year for all tuition after high school an expanded ira you can withdraw from tax free for education and the largest increase in pell grant scholarships in 20 years now this plan will give most families the ability to pay no taxes on money they save for college tuition i ask you to pass it and give every american who works hard the chance to go to college ninth in the 21st century we must expand the frontiers of learning across a lifetime all our people of whatever age must have the chance to learn new skills most americans live near a community college the roads that take them there can be paths to a better future my gi bill for america's workers will transform the confusing tangle of federal training programs into a simple skill grant to go directly into eligible workers' hands for too long this bill has been sitting on that desk there without action i ask you to pass it now let's give more of our workers the ability to learn and to earn for a lifetime tenth we must bring the power of the information age into all our schools last year i challenged america to connect every classroom and library to the internet by the year 2000 so that for the first time in our history children in the most isolated rural towns the most comfortable suburbs the poorest inner city schools will have the same access to the same universe of knowledge that is my plan a call to action for american education some may say that it is unusual for a president to pay this kind of attention to education some may say it is simply because the president and his wonderful wife have been obsessed with this subject for more years than they can recall that is not what is driving these proposals we must understand the significance of this endeavor one of the greatest sources of our strength throughout the cold war was a bipartisan foreign policy because our future was at stake politics stopped at the water's edge now i ask you and i ask all our nation's governors i ask parents teachers and citizens all across america for a new nonpartisan commitment to education because education is a critical national security issue for our future and politics must stop at the schoolhouse door to prepare america for the 21st century we must harness the powerful forces of science and technology to benefit all americans this is the first state of the union carried live in video over the internet but we've only begun to spread the benefits of a technology revolution that should become the modern birthright of every citizen our effort to connect every classroom is just the beginning now we should connect every hospital to the internet so that doctors can instantly share data about their patients with the best specialists in the field and i challenge the private sector tonight to start by connecting every children's hospital as soon as possible so that a child in bed can stay in touch with school family and friends a sick child need no longer be a child alone we must build the second generation of the internet so that our leading universities and national laboratories can communicate in speeds 1 000 times faster than today to develop new medical treatments new sources of energy new ways of working together but we cannot stop there as the internet becomes our new town square a computer in every home a teacher of all subjects a connection to all cultures this will no longer be a dream but a necessity and over the next decade that must be our goal we must continue to explore the heavens pressing on with the mars probes and the international space station both of which will have practical applications for our everyday living we must speed the remarkable advances in medical science the human genome project is now decoding the genetic mysteries of life american scientists have discovered genes linked to breast cancer and ovarian cancer and medication that stops a stroke in progress and begins to reverse its effects and treatments that dramatically lengthen the lives of people with hiv and aids since i took office funding for aids research at the national institutes of health has increased dramatically to $1 5 billion with new resources nih will now become the most powerful discovery engine for an aids vaccine working with other scientists to finally end the threat of aids remember that every year every year we move up the discovery of an aids vaccine will save millions of lives around the world we must reinforce our commitment to medical science to prepare america for the 21st century we must build stronger families over the past 4 years the family and medical leave law has helped millions of americans to take time off to be with their families with new pressures on people in the way they work and live i believe we must expand family leave so that workers can take time off for teacher conferences and a child's medical checkup we should pass flex time so workers can choose to be paid for overtime in income or trade it in for time off to be with their families we must continue step by step to give more families access to affordable quality health care forty million americans still lack health insurance ten million children still lack health insurance 80 percent of them have working parents who pay taxes that is wrong my balanced budget will extend health coverage to up to 5 million of those children since nearly half of all children who lose their insurance do so because their parents lose or change a job my budget will also ensure that people who temporarily lose their jobs can still afford to keep their health insurance no child should be without a doctor just because a parent is without a job my medicare plan modernizes medicare increases the life of the trust fund to 10 years provides support for respite care for the many families with loved ones afflicted with alzheimer's and for the first time it would fully pay for annual mammograms just as we ended drive through deliveries of babies last year we must now end the dangerous and demeaning practice of forcing women home from the hospital only hours after a mastectomy i ask your support for bipartisan legislation to guarantee that a woman can stay in the hospital for 48 hours after a mastectomy with us tonight is dr kristen zarfos a connecticut surgeon whose outrage at this practice spurred a national movement and inspired this legislation i'd like her to stand so we can thank her for her efforts dr zarfos thank you applause in the last 4 years we have increased child support collections by 50 percent now we should go further and do better by making it a felony for any parent to cross a state line in an attempt to flee from this his or her most sacred obligation finally we must also protect our children by standing firm in our determination to ban the advertising and marketing of cigarettes that endanger their lives to prepare america for the 21st century we must build stronger communities we should start with safe streets serious crime has dropped 5 years in a row the key has been community policing we must finish the job of putting 100 000 community police on the streets of the united states we should pass the victims' rights amendment to the constitution and i ask you to mount a full scale assault on juvenile crime with legislation that declares war on gangs with new prosecutors and tougher penalties extends the brady bill so violent teen criminals will not be able to buy handguns requires child safety locks on handguns to prevent unauthorized use and helps to keep our schools open after hours on weekends and in the summer so our young people will have someplace to go and something to say yes to this balanced budget includes the largest antidrug effort ever to stop drugs at their source punish those who push them and teach our young people that drugs are wrong drugs are illegal and drugs will kill them i hope you will support it our growing economy has helped to revive poor urban and rural neighborhoods but we must do more to empower them to create the conditions in which all families can flourish and to create jobs through investment by business and loans by banks we should double the number of empowerment zones they've already brought so much hope to communities like detroit where the unemployment rate has been cut in half in 4 years we should restore contaminated urban land and buildings to productive use we should expand the network of community development banks and together we must pledge tonight that we will use this empowerment approach including private sector tax incentives to renew our capital city so that washington is a great place to work and live and once again the proud face america shows the world we must protect our environment in every community in the last 4 years we cleaned up 250 toxic waste sites as many as in the previous 12 now we should clean up 500 more so that our children grow up next to parks not poison i urge you to pass my proposal to make big polluters live by a simple rule if you pollute our environment you should pay to clean it up in the last 4 years we strengthened our nation's safe food and clean drinking water laws we protected some of america's rarest most beautiful land in utah's red rocks region created three new national parks in the california desert and began to restore the florida everglades now we must be as vigilant with our rivers as we are with our lands tonight i announce that this year i will designate 10 american heritage rivers to help communities alongside them revitalize their waterfronts and clean up pollution in the rivers proving once again that we can grow the economy as we protect the environment we must also protect our global environment working to ban the worst toxic chemicals and to reduce the greenhouse gases that challenge our health even as they change our climate now we all know that in all of our communities some of our children simply don't have what they need to grow and learn in their own homes or schools or neighborhoods and that means the rest of us must do more for they are our children too that's why president bush general colin powell former housing secretary henry cisneros will join the vice president and me to lead the president's summit of service in philadelphia in april our national service program americorps has already helped 70 000 young people to work their way through college as they serve america now we intend to mobilize millions of americans to serve in thousands of ways citizen service is an american responsibility which all americans should embrace and i ask your support for that endeavor i'd like to make just one last point about our national community our economy is measured in numbers and statistics and it's very important but the enduring worth of our nation lies in our shared values and our soaring spirit so instead of cutting back on our modest efforts to support the arts and humanities i believe we should stand by them and challenge our artists musicians and writers challenge our museums libraries and theaters we should challenge all americans in the arts and humanities to join with our fellow citizens to make the year 2000 a national celebration of the american spirit in every community a celebration of our common culture in the century that has passed and in the new one to come in the new millennium so that we can remain in the world's beacon not only of liberty but of creativity long after the fireworks have faded to prepare america for the 21st century we must master the forces of change in the world and keep american leadership strong and sure for an uncharted time fifty years ago a farsighted america led in creating the institutions that secured victory in the cold war and built a growing world economy as a result today more people than ever embrace our ideals and share our interests already we have dismantled many of the blocs and barriers that divided our parents' world for the first time more people live under democracy than dictatorship including every nation in our own hemisphere but one and its day too will come now we stand at another moment of change and choice and another time to be farsighted to bring america 50 more years of security and prosperity in this endeavor our first task is to help to build for the very first time an undivided democratic europe when europe is stable prosperous and at peace america is more secure to that end we must expand nato by 1999 so that countries that were once our adversaries can become our allies at the special nato summit this summer that is what we will begin to do we must strengthen nato's partnership for peace with non member allies and we must build a stable partnership between nato and a democratic russia an expanded nato is good for america and a europe in which all democracies define their future not in terms of what they can do to each other but in terms of what they can do together for the good of all that kind of europe is good for america second america must look to the east no less than to the west our security demands it americans fought three wars in asia in this century our prosperity requires it more than 2 million american jobs depend upon trade with asia there too we are helping to shape an asia pacific community of cooperation not conflict let our progress there not mask the peril that remains together with south korea we must advance peace talks with north korea and bridge the cold war's last divide and i call on congress to fund our share of the agreement under which north korea must continue to freeze and then dismantle its nuclear weapons program we must pursue a deeper dialog with china for the sake of our interests and our ideals an isolated china is not good for america a china playing its proper role in the world is i will go to china and i have invited china's president to come here not because we agree on everything but because engaging china is the best way to work on our common challenges like ending nuclear testing and to deal frankly with our fundamental differences like human rights the american people must prosper in the global economy we've worked hard to tear down trade barriers abroad so that we can create good jobs at home i am proud to say that today america is once again the most competitive nation and the number one exporter in the world now we must act to expand our exports especially to asia and latin america two of the fastest growing regions on earth or be left behind as these emerging economies forge new ties with other nations that is why we need the authority now to conclude new trade agreements that open markets to our goods and services even as we preserve our values we need not shrink from the challenge of the global economy after all we have the best workers and the best products in a truly open market we can out compete anyone anywhere on earth but this is about more than economics by expanding trade we can advance the cause of freedom and democracy around the world there is no better example of this truth than latin america where democracy and open markets are on the march together that is why i will visit there in the spring to reinforce our important tie we should all be proud that america led the effort to rescue our neighbor mexico from its economic crises and we should all be proud that last month mexico repaid the united states 3 full years ahead of schedule with half a billion dollar profit to us america must continue to be an unrelenting force for peace from the middle east to haiti from northern ireland to africa taking reasonable risks for peace keeps us from being drawn into far more costly conflicts later with american leadership the killing has stopped in bosnia now the habits of peace must take hold the new nato force will allow reconstruction and reconciliation to accelerate tonight i ask congress to continue its strong support of our troops they are doing a remarkable job there for america and america must do right by them fifth we must move strongly against new threats to our security in the past 4 years we agreed to ban we led the way to a worldwide agreement to ban nuclear testing with russia we dramatically cut nuclear arsenals and we stopped targeting each others citizens we are acting to prevent nuclear materials from falling into the wrong hands and to rid the world of landmines we are working with other nations with renewed intensity to fight drug traffickers and to stop terrorists before they act and hold them fully accountable if they do now we must rise to a new test of leadership ratifying the chemical weapons convention make no mistake about it it will make our troops safer from chemical attack it will help us to fight terrorism we have no more important obligations especially in the wake of what we now know about the gulf war this treaty has been bipartisan from the beginning supported by republican and democratic administrations and republican and democratic members of congress and already approved by 68 nations but if we do not act by april 29th when this convention goes into force with or without us we will lose the chance to have americans leading and enforcing this effort together we must make the chemical weapons convention law so that at last we can begin to outlaw poison gas from the earth finally we must have the tools to meet all these challenges we must maintain a strong and ready military we must increase funding for weapons modernization by the year 2000 and we must take good care of our men and women in uniform they are the world's finest we must also renew our commitment to america's diplomacy and pay our debts and dues to international financial institutions like the world bank and to a reforming united nations every dollar we devote to preventing conflicts to promoting democracy to stopping the spread of disease and starvation brings a sure return in security and savings yet international affairs spending today is just one percent of the federal budget a small fraction of what america invested in diplomacy to choose leadership over escapism at the start of the cold war if america is to continue to lead the world we here who lead america simply must find the will to pay our way a farsighted america moved the world to a better place over these last 50 years and so it can be for another 50 years but a shortsighted america will soon find its words falling on deaf ears all around the world almost exactly 50 years ago in the first winter of the cold war president truman stood before a republican congress and called upon our country to meet its responsibilities of leadership this was his warning he said if we falter we may endanger the peace of the world and we shall surely endanger the welfare of this nation that congress led by republicans like senator arthur vandenberg answered president truman's call together they made the commitments that strengthened our country for 50 years now let us do the same let us do what it takes to remain the indispensable nation to keep america strong secure and prosperous for another 50 years in the end more than anything else our world leadership grows out of the power of our example here at home out of our ability to remain strong as one america all over the world people are being torn asunder by racial ethnic and religious conflicts that fuel fanaticism and terror we are the world's most diverse democracy and the world looks to us to show that it is possible to live and advance together across those kinds of differences america has always been a nation of immigrants from the start a steady stream of people in search of freedom and opportunity have left their own lands to make this land their home we started as an experiment in democracy fueled by europeans we have grown into an experiment in democratic diversity fueled by openness and promise my fellow americans we must never ever believe that our diversity is a weakness it is our greatest strength americans speak every language know every country people on every continent can look to us and see the reflection of their own great potential and they always will as long as we strive to give all of our citizens whatever their background an opportunity to achieve their own greatness we're not there yet we still see evidence of abiding bigotry and intolerance in ugly words and awful violence in burned churches and bombed buildings we must fight against this in our country and in our hearts just a few days before my second inauguration one of our country's best known pastors reverend robert schuller suggested that i read isaiah 58 12 here's what it says thou shalt raise up the foundations of many generations and thou shalt be called the repairer of the breach the restorer of paths to dwell in i placed my hand on that verse when i took the oath of office on behalf of all americans for no matter what our differences in our faiths our backgrounds our politics we must all be repairers of the breach i want to say a word about two other americans who show us how congressman frank tejeda was buried yesterday a proud american whose family came from mexico he was only 51 years old he was awarded the silver star the bronze star and the purple heart fighting for his country in vietnam and he went on to serve texas and america fighting for our future here in this chamber we are grateful for his service and honored that his mother lillie tejeda and his sister mary alice have come from texas to be with us here tonight and we welcome you gary locke the newly elected governor of washington state is the first chinese american governor in the history of our country he's the proud son of two of the millions of asian american immigrants who have strengthened america with their hard work family values and good citizenship he represents the future we can all achieve thank you governor for being here please stand up applause reverend schuller congressman tejeda governor locke along with kristen tanner and chris getsler sue winski and dr kristen zarfos they're all americans from different roots whose lives reflect the best of what we can become when we are one america we may not share a common past but we surely do share a common future building one america is our most important mission the foundation for many generations of every other strength we must build for this new century money cannot buy it power cannot compel it technology cannot create it it can only come from the human spirit america is far more than a place it is an idea the most powerful idea in the history of nations and all of us in this chamber we are now the bearers of that idea leading a great people into a new world a child born tonight will have almost no memory of the 20th century everything that child will know about america will be because of what we do now to build a new century we don't have a moment to waste tomorrow there will be just over 1 000 days until the year 2000 1 000 days to prepare our people 1 000 days to work together 1 000 days to build a bridge to a land of new promise my fellow americans we have work to do let us seize those days and the century thank you god bless you and god bless america mr speaker mr vice president members of the 105th congress distinguished guests my fellow americans since the last time we met in this chamber america has lost two patriots and fine public servants though they sat on opposite sides of the aisle representatives walter capps and sonny bono shared a deep love for this house and an unshakable commitment to improving the lives of all our people in the past few weeks they've both been eulogized tonight i think we should begin by sending a message to their families and their friends that we celebrate their lives and give thanks for their service to our nation for 209 years it has been the president's duty to report to you on the state of the union because of the hard work and high purpose of the american people these are good times for america we have more than 14 million new jobs the lowest unemployment in 24 years the lowest core inflation in 30 years incomes are rising and we have the highest homeownership in history crime has dropped for a record 5 years in a row and the welfare rolls are at their lowest levels in 27 years our leadership in the world is unrivaled ladies and gentlemen the state of our union is strong but with barely 700 days left in the 20th century this is not a time to rest it is a time to build to build the america within reach an america where everybody has a chance to get ahead with hard work where every citizen can live in a safe community where families are strong schools are good and all our young people can go on to college an america where scientists find cures for diseases from diabetes to alzheimer's to aids an america where every child can stretch a hand across a keyboard and reach every book ever written every painting ever painted every symphony ever composed where government provides opportunity and citizens honor the responsibility to give something back to their communities an america which leads the world to new heights of peace and prosperity this is the america we have begun to build this is the america we can leave to our children if we join together to finish the work at hand let us strengthen our nation for the 21st century rarely have americans lived through so much change in so many ways in so short a time quietly but with gathering force the ground has shifted beneath our feet as we have moved into an information age a global economy a truly new world for 5 years now we have met the challenge of these changes as americans have at every turning point in our history by renewing the very idea of america widening the circle of opportunity deepening the meaning of our freedom forging a more perfect union we shaped a new kind of government for the information age i thank the vice president for his leadership and the congress for its support in building a government that is leaner more flexible a catalyst for new ideas and most of all a government that gives the american people the tools they need to make the most of their own lives we have moved past the sterile debate between those who say government is the enemy and those who say government is the answer my fellow americans we have found a third way we have the smallest government in 35 years but a more progressive one we have a smaller government but a stronger nation we are moving steadily toward an even stronger america in the 21st century an economy that offers opportunity a society rooted in responsibility and a nation that lives as a community first americans in this chamber and across our nation have pursued a new strategy for prosperity fiscal discipline to cut interest rates and spur growth investments in education and skills in science and technology and transportation to prepare our people for the new economy new markets for american products and american workers when i took office the deficit for 1998 was projected to be $357 billion and heading higher this year our deficit is projected to be $10 billion and heading lower for three decades six presidents have come before you to warn of the damage deficits pose to our nation tonight i come before you to announce that the federal deficit once so incomprehensibly large that it had 11 zeros will be simply zero i will submit to congress for 1999 the first balanced budget in 30 years and if we hold fast to fiscal discipline we may balance the budget this year 4 years ahead of schedule you can all be proud of that because turning a sea of red ink into black is no miracle it is the product of hard work by the american people and of two visionary actions in congress the courageous vote in 1993 that led to a cut in the deficit of 90 percent and the truly historic bipartisan balanced budget agreement passed by this congress here's the really good news if we maintain our resolve we will produce balanced budgets as far as the eye can see we must not go back to unwise spending or untargeted tax cuts that risk reopening the deficit last year together we enacted targeted tax cuts so that the typical middle class family will now have the lowest tax rates in 20 years my plan to balance the budget next year includes both new investments and new tax cuts targeted to the needs of working families for education for child care for the environment but whether the issue is tax cuts or spending i ask all of you to meet this test approve only those priorities that can actually be accomplished without adding a dime to the deficit now if we balance the budget for next year it is projected that we'll then have a sizable surplus in the years that immediately follow what should we do with this projected surplus i have a simple four word answer save social security first applause thank you tonight i propose that we reserve 100 percent of the surplus that's every penny of any surplus until we have taken all the necessary measures to strengthen the social security system for the 21st century let us say to all americans watching tonight whether you're 70 or 50 or whether you just started paying into the system social security will be there when you need it let us make this commitment social security first let's do that together i also want to say that all the american people who are watching us tonight should be invited to join in this discussion in facing these issues squarely and forming a true consensus on how we should proceed we'll start by conducting nonpartisan forums in every region of the country and i hope that lawmakers of both parties will participate we'll hold a white house conference on social security in december and one year from now i will convene the leaders of congress to craft historic bipartisan legislation to achieve a landmark for our generation a social security system that is strong in the 21st century applause thank you in an economy that honors opportunity all americans must be able to reap the rewards of prosperity because these times are good we can afford to take one simple sensible step to help millions of workers struggling to provide for their families we should raise the minimum wage the information age is first and foremost an education age in which education must start at birth and continue throughout a lifetime last year from this podium i said that education has to be our highest priority i laid out a 10 point plan to move us forward and urged all of us to let politics stop at the schoolhouse door since then this congress across party lines and the american people have responded in the most important year for education in a generation expanding public school choice opening the way to 3 000 new charter schools working to connect every classroom in the country to the information superhighway committing to expand head start to a million children launching america reads sending literally thousands of college students into our elementary schools to make sure all our 8 year olds can read last year i proposed and you passed 220 000 new pell grant scholarships for deserving students student loans already less expensive and easier to repay now you get to deduct the interest families all over america now can put their savings into new tax free education ira's and this year for the first 2 years of college families will get a $1 500 tax credit a hope scholarship that will cover the cost of most community college tuition and for junior and senior year graduate school and job training there is a lifetime learning credit you did that and you should be very proud of it and because of these actions i have something to say to every family listening to us tonight your children can go on to college if you know a child from a poor family tell her not to give up she can go on to college if you know a young couple struggling with bills worried they won't be able to send their children to college tell them not to give up their children can go on to college if you know somebody who's caught in a dead end job and afraid he can't afford the classes necessary to get better jobs for the rest of his life tell him not to give up he can go on to college because of the things that have been done we can make college as universal in the 21st century as high school is today and my friends that will change the face and future of america we have opened wide the doors of the world's best system of higher education now we must make our public elementary and secondary schools the world's best as well by raising standards raising expectations and raising accountability thanks to the actions of this congress last year we will soon have for the very first time a voluntary national test based on national standards in fourth grade reading and eighth grade math parents have a right to know whether their children are mastering the basics and every parent already knows the key good teachers and small classes tonight i propose the first ever national effort to reduce class size in the early grades applause thank you my balanced budget will help to hire 100 000 new teachers who've passed a state competency test now with these teachers listen with these teachers we will actually be able to reduce class size in the first second and third grades to an average of 18 students a class all across america if i've got the math right more teachers teaching smaller classes requires more classrooms so i also propose a school construction tax cut to help communities modernize or build 5 000 schools we must also demand greater accountability when we promote a child from grade to grade who hasn't mastered the work we don't do that child any favors it is time to end social promotion in america's schools last year in chicago they made that decision not to hold our children back but to lift them up chicago stopped social promotion and started mandatory summer school to help students who are behind to catch up i propose to help other communities follow chicago's lead let's say to them stop promoting children who don't learn and we will give you the tools to make sure they do i also ask this congress to support our efforts to enlist colleges and universities to reach out to disadvantaged children starting in the sixth grade so that they can get the guidance and hope they need so they can know that they too will be able to go on to college as we enter the 21st century the global economy requires us to seek opportunity not just at home but in all the markets of the world we must shape this global economy not shrink from it in the last 5 years we have led the way in opening new markets with 240 trade agreements that remove foreign barriers to products bearing the proud stamp made in the usa today record high exports account for fully one third of our economic growth i want to keep them going because that's the way to keep america growing and to advance a safer more stable world all of you know whatever your views are that i think this is a great opportunity for america i know there is opposition to more comprehensive trade agreements i have listened carefully and i believe that the opposition is rooted in two fears first that our trading partners will have lower environmental and labor standards which will give them an unfair advantage in our market and do their own people no favors even if there's more business and second that if we have more trade more of our workers will lose their jobs and have to start over i think we should seek to advance worker and environmental standards around the world i have made it abundantly clear that it should be a part of our trade agenda but we cannot influence other countries' decisions if we send them a message that we're backing away from trade with them this year i will send legislation to congress and ask other nations to join us to fight the most intolerable labor practice of all abusive child labor we should also offer help and hope to those americans temporarily left behind by the global marketplace or by the march of technology which may have nothing to do with trade that's why we have more than doubled funding for training dislocated workers since 1993 and if my new budget is adopted we will triple funding that's why we must do more and more quickly to help workers who lose their jobs for whatever reason you know we help communities in a special way when their military base closes we ought to help them in the same way if their factory closes again i ask the congress to continue its bipartisan work to consolidate the tangle of training programs we have today into one single gi bill for workers a simple skills grant so people can on their own move quickly to new jobs to higher incomes and brighter futures we all know in every way in life change is not always easy but we have to decide whether we're going to try to hold it back and hide from it or reap its benefits and remember the big picture here while we've been entering into hundreds of new trade agreements we've been creating millions of new jobs so this year we will forge new partnerships with latin america asia and europe and we should pass the new african trade act it has bipartisan support i will also renew my request for the fast track negotiating authority necessary to open more new markets create more new jobs which every president has had for two decades you know whether we like it or not in ways that are mostly positive the world's economies are more and more interconnected and interdependent today an economic crisis anywhere can affect economies everywhere recent months have brought serious financial problems to thailand indonesia south korea and beyond now why should americans be concerned about this first these countries are our customers if they sink into recession they won't be able to buy the goods we'd like to sell them second they're also our competitors so if their currencies lose their value and go down then the price of their goods will drop flooding our market and others with much cheaper goods which makes it a lot tougher for our people to compete and finally they are our strategic partners their stability bolsters our security the american economy remains sound and strong and i want to keep it that way but because the turmoil in asia will have an impact on all the world's economies including ours making that negative impact as small as possible is the right thing to do for america and the right thing to do for a safer world our policy is clear no nation can recover if it does not reform itself but when nations are willing to undertake serious economic reform we should help them do it so i call on congress to renew america's commitment to the international monetary fund and i think we should say to all the people we're trying to represent here that preparing for a far off storm that may reach our shores is far wiser than ignoring the thunder till the clouds are just overhead a strong nation rests on the rock of responsibility a society rooted in responsibility must first promote the value of work not welfare we can be proud that after decades of finger pointing and failure together we ended the old welfare system and we're now replacing welfare checks with paychecks last year after a record 4 year decline in welfare rolls i challenged our nation to move 2 million more americans off welfare by the year 2000 i'm pleased to report we have also met that goal 2 full years ahead of schedule this is a grand achievement the sum of many acts of individual courage persistence and hope for 13 years elaine kinslow of indianapolis indiana was on and off welfare today she's a dispatcher with a van company she's saved enough money to move her family into a good neighborhood and she's helping other welfare recipients go to work elaine kinslow and all those like her are the real heroes of the welfare revolution there are millions like her all across america and i'm happy she could join the first lady tonight elaine we're very proud of you please stand up applause we still have a lot more to do all of us to make welfare reform a success providing child care helping families move closer to available jobs challenging more companies to join our welfare to work partnership increasing child support collections from deadbeat parents who have a duty to support their own children i also want to thank congress for restoring some of the benefits to immigrants who are here legally and working hard and i hope you will finish that job this year we have to make it possible for all hard working families to meet their most important responsibilities two years ago we helped guarantee that americans can keep their health insurance when they change jobs last year we extended health care to up to 5 million children this year i challenge congress to take the next historic steps a hundred and sixty million of our fellow citizens are in managed care plans these plans save money and they can improve care but medical decisions ought to be made by medical doctors not insurance company accountants i urge this congress to reach across the aisle and write into law a consumer bill of rights that says this you have the right to know all your medical options not just the cheapest you have the right to choose the doctor you want for the care you need you have the right to emergency room care wherever and whenever you need it you have the right to keep your medical records confidential traditional care or managed care every american deserves quality care millions of americans between the ages of 55 and 65 have lost their health insurance some are retired some are laid off some lose their coverage when their spouses retire after a lifetime of work they are left with nowhere to turn so i ask the congress let these hard working americans buy into the medicare system it won't add a dime to the deficit but the peace of mind it will provide will be priceless next we must help parents protect their children from the gravest health threat that they face an epidemic of teen smoking spread by multimillion dollar marketing campaigns i challenge congress let's pass bipartisan comprehensive legislation that will improve public health protect our tobacco farmers and change the way tobacco companies do business forever let's do what it takes to bring teen smoking down let's raise the price of cigarettes by up to a dollar and a half a pack over the next 10 years with penalties on the tobacco industry if it keeps marketing to our children tomorrow like every day 3 000 children will start smoking and 1 000 will die early as a result let this congress be remembered as the congress that saved their lives in the new economy most parents work harder than ever they face a constant struggle to balance their obligations to be good workers and their even more important obligations to be good parents the family and medical leave act was the very first bill i was privileged to sign into law as president in 1993 since then about 15 million people have taken advantage of it and i've met a lot of them all across this country i ask you to extend that law to cover 10 million more workers and to give parents time off when they have to go see their children's teachers or take them to the doctor child care is the next frontier we must face to enable people to succeed at home and at work last year i cohosted the very first white house conference on child care with one of our foremost experts america's first lady from all corners of america we heard the same message without regard to region or income or political affiliation we've got to raise the quality of child care we've got to make it safer we've got to make it more affordable so here's my plan help families to pay for child care for a million more children scholarships and background checks for child care workers and a new emphasis on early learning tax credits for businesses that provide child care for their employees and a larger child care tax credit for working families now if you pass my plan what this means is that a family of four with an income of $35 000 and high child care costs will no longer pay a single penny of federal income tax i think this is such a big issue with me because of my own personal experience i have often wondered how my mother when she was a young widow would have been able to go away to school and get an education and come back and support me if my grandparents hadn't been able to take care of me she and i were really very lucky how many other families have never had that same opportunity the truth is we don't know the answer to that question but we do know what the answer should be not a single american family should ever have to choose between the job they need and the child they love a society rooted in responsibility must provide safe streets safe schools and safe neighborhoods we pursued a strategy of more police tougher punishment smarter prevention with crimefighting partnerships with local law enforcement and citizen groups where the rubber hits the road i can report to you tonight that it's working violent crime is down robbery is down assault is down burglary is down for 5 years in a row all across america we need to finish the job of putting 100 000 more police on our streets again i ask congress to pass a juvenile crime bill that provides more prosecutors and probation officers to crack down on gangs and guns and drugs and bar violent juveniles from buying guns for life and i ask you to dramatically expand our support for after school programs i think every american should know that most juvenile crime is committed between the hours of 3 in the afternoon and 8 at night we can keep so many of our children out of trouble in the first place if we give them someplace to go other than the streets and we ought to do it drug use is on the decline i thank general mccaffrey for his leadership and i thank this congress for passing the largest antidrug budget in history now i ask you to join me in a groundbreaking effort to hire 1 000 new border patrol agents and to deploy the most sophisticated available new technologies to help close the door on drugs at our borders police prosecutors and prevention programs as good as they are they can't work if our court system doesn't work today there are large number of vacancies in the federal courts here is what the chief justice of the united states wrote judicial vacancies cannot remain at such high levels indefinitely without eroding the quality of justice i simply ask the united states senate to heed this plea and vote on the highly qualified judicial nominees before you up or down we must exercise responsibility not just at home but around the world on the eve of a new century we have the power and the duty to build a new era of peace and security but make no mistake about it today's possibilities are not tomorrow's guarantees america must stand against the poisoned appeals of extreme nationalism we must combat an unholy axis of new threats from terrorists international criminals and drug traffickers these 21st century predators feed on technology and the free flow of information and ideas and people and they will be all the more lethal if weapons of mass destruction fall into their hands to meet these challenges we are helping to write international rules of the road for the 21st century protecting those who join the family of nations and isolating those who do not within days i will ask the senate for its advice and consent to make hungary poland and the czech republic the newest members of nato for 50 years nato contained communism and kept america and europe secure now these three formerly communist countries have said yes to democracy i ask the senate to say yes to them our new allies by taking in new members and working closely with new partners including russia and ukraine nato can help to assure that europe is a stronghold for peace in the 21st century next i will ask congress to continue its support of our troops and their mission in bosnia this christmas hillary and i traveled to sarajevo with senator and mrs dole and a bipartisan congressional delegation we saw children playing in the streets where 2 years ago they were hiding from snipers and shells the shops are filled with food the cafes were alive with conversation the progress there is unmistakable but it is not yet irreversible to take firm root bosnia's fragile peace still needs the support of american and allied troops when the current nato mission ends in june i think senator dole actually said it best he said this is like being ahead in the 4th quarter of a football game now is not the time to walk off the field and forfeit the victory i wish all of you could have seen our troops in tuzla they're very proud of what they're doing in bosnia and we're all very proud of them one of those applause thank you one of those brave soldiers is sitting with the first lady tonight army sergeant michael tolbert his father was a decorated vietnam vet after college in colorado he joined the army last year he led an infantry unit that stopped a mob of extremists from taking over a radio station that is a voice of democracy and tolerance in bosnia thank you very much sergeant for what you represent please stand up applause in bosnia and around the world our men and women in uniform always do their mission well our mission must be to keep them well trained and ready to improve their quality of life and to provide the 21st century weapons they need to defeat any enemy i ask congress to join me in pursuing an ambitious agenda to reduce the serious threat of weapons of mass destruction this year four decades after it was first proposed by president eisenhower a comprehensive nuclear test ban is within reach by ending nuclear testing we can help to prevent the development of new and more dangerous weapons and make it more difficult for non nuclear states to build them i'm pleased to announce that four former chairmen of the joint chiefs of staff generals john shalikashvili colin powell and david jones and admiral william crowe have endorsed this treaty and i ask the senate to approve it this year applause thank you together we must confront the new hazards of chemical and biological weapons and the outlaw states terrorists and organized criminals seeking to acquire them saddam hussein has spent the better part of this decade and much of his nation's wealth not on providing for the iraqi people but on developing nuclear chemical and biological weapons and the missiles to deliver them the united nations weapons inspectors have done a truly remarkable job finding and destroying more of iraq's arsenal than was destroyed during the entire gulf war now saddam hussein wants to stop them from completing their mission i know i speak for everyone in this chamber republicans and democrats when i say to saddam hussein you cannot defy the will of the world and when i say to him you have used weapons of mass destruction before we are determined to deny you the capacity to use them again last year the senate ratified the chemical weapons convention to protect our soldiers and citizens from poison gas now we must act to prevent the use of disease as a weapon of war and terror the biological weapons convention has been in effect for 23 years now the rules are good but the enforcement is weak we must strengthen it with a new international inspection system to detect and deter cheating in the months ahead i will pursue our security strategy with old allies in asia and europe and new partners from africa to india and pakistan from south america to china and from belfast to korea to the middle east america will continue to stand with those who stand for peace finally it's long past time to make good on our debt to the united nations applause thank you more and more we are working with other nations to achieve common goals if we want america to lead we've got to set a good example as we see so clearly in bosnia allies who share our goals can also share our burdens in this new era our freedom and independence are actually enriched not weakened by our increasing interdependence with other nations but we have to do our part our founders set america on a permanent course toward a more perfect union to all of you i say it is a journey we can only make together living as one community first we have to continue to reform our government the instrument of our national community everyone knows elections have become too expensive fueling a fundraising arms race this year by march 6th at long last the senate will actually vote on bipartisan campaign finance reform proposed by senators mccain and feingold let's be clear a vote against mccain feingold is a vote for soft money and for the status quo i ask you to strengthen our democracy and pass campaign finance reform this year at least equally important we have to address the real reason for the explosion in campaign costs the high cost of media advertising at this point audience members responded to the folks watching at home those were the groans of pain in the audience laughter i will formally request that the federal communications commission act to provide free or reduced cost television time for candidates who observe spending limits voluntarily the airwaves are a public trust and broadcasters also have to help us in this effort to strengthen our democracy under the leadership of vice president gore we've reduced the federal payroll by 300 000 workers cut 16 000 pages of regulation eliminated hundreds of programs and improved the operations of virtually every government agency but we can do more like every taxpayer i'm outraged by the reports of abuses by the irs we need some changes there new citizen advocacy panels a stronger taxpayer advocate phone lines open 24 hours a day relief for innocent taxpayers last year by an overwhelming bipartisan margin the house of representatives passed sweeping irs reforms this bill must not now languish in the senate tonight i ask the senate follow the house pass the bipartisan package as your first order of business i hope to goodness before i finish i can think of something to say follow the senate on so i'll be out of trouble laughter a nation that lives as a community must value all its communities for the past 5 years we have worked to bring the spark of private enterprise to inner city and poor rural areas with community development banks more commercial loans in the poor neighborhoods cleanup of polluted sites for development under the continued leadership of the vice president we propose to triple the number of empowerment zones to give business incentives to invest in those areas we should applause thank you we should also give poor families more help to move into homes of their own and we should use tax cuts to spur the construction of more low income housing last year this congress took strong action to help the district of columbia let us renew our resolve to make our capital city a great city for all who live and visit here our cities are the vibrant hubs of great metropolitan areas they are still the gateways for new immigrants from every continent who come here to work for their own american dreams let's keep our cities going strong into the 21st century they're a very important part of our future our communities are only as healthy as the air our children breathe the water they drink the earth they will inherit last year we put in place the toughest ever controls on smog and soot we moved to protect yellowstone the everglades lake tahoe we expanded every community's right to know about the toxins that threaten their children just yesterday our food safety plan took effect using new science to protect consumers from dangers like e coli and salmonella tonight i ask you to join me in launching a new clean water initiative a far reaching effort to clean our rivers our lakes and our coastal waters for our children applause thank you our overriding environmental challenge tonight is the worldwide problem of climate change global warming the gathering crisis that requires worldwide action the vast majority of scientists have concluded unequivocally that if we don't reduce the emission of greenhouse gases at some point in the next century we'll disrupt our climate and put our children and grandchildren at risk this past december america led the world to reach a historic agreement committing our nation to reduce greenhouse gas emissions through market forces new technologies energy efficiency we have it in our power to act right here right now i propose $6 billion in tax cuts and research and development to encourage innovation renewable energy fuel efficient cars energy efficient homes every time we have acted to heal our environment pessimists have told us it would hurt the economy well today our economy is the strongest in a generation and our environment is the cleanest in a generation we have always found a way to clean the environment and grow the economy at the same time and when it comes to global warming we'll do it again finally community means living by the defining american value the ideal heard 'round the world that we are all created equal throughout our history we haven't always honored that ideal and we've never fully lived up to it often it's easier to believe that our differences matter more than what we have in common it may be easier but it's wrong what we have to do in our day and generation to make sure that america becomes truly one nation what do we have to do we're becoming more and more and more diverse do you believe we can become one nation the answer cannot be to dwell on our differences but to build on our shared values we all cherish family and faith freedom and responsibility we all want our children to grow up in a world where their talents are matched by their opportunities i've launched this national initiative on race to help us recognize our common interests and to bridge the opportunity gaps that are keeping us from becoming one america let us begin by recognizing what we still must overcome discrimination against any american is un american we must vigorously enforce the laws that make it illegal i ask your help to end the backlog at the equal employment opportunity commission sixty thousand of our fellow citizens are waiting in line for justice and we should act now to end their wait we also should recognize that the greatest progress we can make toward building one america lies in the progress we make for all americans without regard to race when we open the doors of college to all americans when we rid all our streets of crime when there are jobs available to people from all our neighborhoods when we make sure all parents have the child care they need we're helping to build one nation we in this chamber and in this government must do all we can to address the continuing american challenge to build one america but we'll only move forward if all our fellow citizens including every one of you at home watching tonight is also committed to this cause we must work together learn together live together serve together on the forge of common enterprise americans of all backgrounds can hammer out a common identity we see it today in the united states military in the peace corps in americorps wherever people of all races and backgrounds come together in a shared endeavor and get a fair chance we do just fine with shared values and meaningful opportunities and honest communication and citizen service we can unite a diverse people in freedom and mutual respect we are many we must be one in that spirit let us lift our eyes to the new millennium how will we mark that passage it just happens once every 1 000 years this year hillary and i launched the white house millennium program to promote america's creativity and innovation and to preserve our heritage and culture into the 21st century our culture lives in every community and every community has places of historic value that tell our stories as americans we should protect them i am proposing a public private partnership to advance our arts and humanities and to celebrate the millennium by saving american's treasures great and small and while we honor the past let us imagine the future now think about this the entire store of human knowledge now doubles every 5 years in the 1980's scientists identified the gene causing cystic fibrosis it took 9 years last year scientists located the gene that causes parkinson's disease in only 9 days within a decade gene chips will offer a roadmap for prevention of illnesses throughout a lifetime soon we'll be able to carry all the phone calls on mother's day on a single strand of fiber the width of a human hair a child born in 1998 may well live to see the 22d century tonight as part of our gift to the millennium i propose a 21st century research fund for path breaking scientific inquiry the largest funding increase in history for the national institutes of health the national science foundation the national cancer institute we have already discovered genes for breast cancer and diabetes i ask you to support this initiative so ours will be the generation that finally wins the war against cancer and begins a revolution in our fight against all deadly diseases as important as all this scientific progress is we must continue to see that science serves humanity not the other way around we must prevent the misuse of genetic tests to discriminate against any american and we must ratify the ethical consensus of the scientific and religious communities and ban the cloning of human beings we should enable all the world's people to explore the far reaches of cyberspace think of this the first time i made a state of the union speech to you only a handful of physicists used the world wide web literally just a handful of people now in schools in libraries homes and businesses millions and millions of americans surf the net every day we must give parents the tools they need to help protect their children from inappropriate material on the internet but we also must make sure that we protect the exploding global commercial potential of the internet we can do the kinds of things that we need to do and still protect our kids for one thing i ask congress to step up support for building the next generation internet it's getting kind of clogged you know and the next generation internet will operate at speeds up to 1 000 times faster than today even as we explore this inner space in the new millennium we're going to open new frontiers in outer space throughout all history humankind has had only one place to call home our planet earth beginning this year 1998 men and women from 16 countries will build a foothold in the heavens the international space station with its vast expanses scientists and engineers will actually set sail on an uncharted sea of limitless mystery and unlimited potential and this october a true american hero a veteran pilot of 149 combat missions and one 5 hour space flight that changed the world will return to the heavens godspeed john glenn applause john you will carry with you america's hopes and on your uniform once again you will carry america's flag marking the unbroken connection between the deeds of america's past and the daring of america's future nearly 200 years ago a tattered flag its broad stripes and bright stars still gleaming through the smoke of a fierce battle moved francis scott key to scribble a few words on the back of an envelope the words that became our national anthem today that star spangled banner along with the declaration of independence the constitution and the bill of rights are on display just a short walk from here they are america's treasures and we must also save them for the ages i ask all americans to support our project to restore all our treasures so that the generations of the 21st century can see for themselves the images and the words that are the old and continuing glory of america an america that has continued to rise through every age against every challenge a people of great works and greater possibilities who have always always found the wisdom and strength to come together as one nation to widen the circle of opportunity to deepen the meaning of our freedom to form that more perfect union let that be our gift to the 21st century god bless you and god bless the united states mr speaker mr vice president members of congress honored guests my fellow americans tonight i have the honor of reporting to you on the state of the union let me begin by saluting the new speaker of the house and thanking him especially tonight for extending an invitation to two guests sitting in the gallery with mrs hastert lyn gibson and wenling chestnut are the widows of the two brave capitol hill police officers who gave their lives to defend freedom's house mr speaker at your swearing in you asked us all to work together in a spirit of civility and bipartisanship mr speaker let's do exactly that tonight i stand before you to report that america has created the longest peacetime economic expansion in our history with nearly 18 million new jobs wages rising at more than twice the rate of inflation the highest homeownership in history the smallest welfare rolls in 30 years and the lowest peacetime unemployment since 1957 for the first time in three decades the budget is balanced from a deficit of $290 billion in 1992 we had a surplus of $70 billion last year and now we are on course for budget surpluses for the next 25 years thanks to the pioneering leadership of all of you we have the lowest violent crime rate in a quarter century and the cleanest environment in a quarter century america is a strong force for peace from northern ireland to bosnia to the middle east thanks to the leadership of vice president gore we have a government for the information age once again a government that is a progressive instrument of the common good rooted in our oldest values of opportunity responsibility and community devoted to fiscal responsibility determined to give our people the tools they need to make the most of their own lives in the 21st century a 21st century government for 21st century america my fellow americans i stand before you tonight to report that the state of our union is strong now america is working again the promise of our future is limitless but we cannot realize that promise if we allow the hum of our prosperity to lull us into complacency how we fare as a nation far into the 21st century depends upon what we do as a nation today so with our budget surplus growing our economy expanding our confidence rising now is the moment for this generation to meet our historic responsibility to the 21st century our fiscal discipline gives us an unsurpassed opportunity to address a remarkable new challenge the aging of america with the number of elderly americans set to double by 2030 the baby boom will become a senior boom so first and above all we must save social security for the 21st century early in this century being old meant being poor when president roosevelt created social security thousands wrote to thank him for eliminating what one woman called the stark terror of penniless helpless old age even today without social security half our nation's elderly would be forced into poverty today social security is strong but by 2013 payroll taxes will no longer be sufficient to cover monthly payments by 2032 the trust fund will be exhausted and social security will be unable to pay the full benefits older americans have been promised the best way to keep social security a rock solid guarantee is not to make drastic cuts in benefits not to raise payroll tax rates not to drain resources from social security in the name of saving it instead i propose that we make the historic decision to invest the surplus to save social security specifically i propose that we commit 60 percent of the budget surplus for the next 15 years to social security investing a small portion in the private sector just as any private or state government pension would do this will earn a higher return and keep social security sound for 55 years but we must aim higher we should put social security on a sound footing for the next 75 years we should reduce poverty among elderly women who are nearly twice as likely to be poor as our other seniors and we should eliminate the limits on what seniors on social security can earn now these changes will require difficult but fully achievable choices over and above the dedication of the surplus they must be made on a bipartisan basis they should be made this year so let me say to you tonight i reach out my hand to all of you in both houses in both parties and ask that we join together in saying to the american people we will save social security now now last year we wisely reserved all of the surplus until we knew what it would take to save social security again i say we shouldn't spend any of it not any of it until after social security is truly saved first things first second once we have saved social security we must fulfill our obligation to save and improve medicare already we have extended the life of the medicare trust fund by 10 years but we should extend it for at least another decade tonight i propose that we use one out of every $6 in the surplus for the next 15 years to guarantee the soundness of medicare until the year 2020 but again we should aim higher we must be willing to work in a bipartisan way and look at new ideas including the upcoming report of the bipartisan medicare commission if we work together we can secure medicare for the next two decades and cover the greatest growing need of seniors affordable prescription drugs third we must help all americans from their first day on the job to save to invest to create wealth from its beginning americans have supplemented social security with private pensions and savings yet today millions of people retire with little to live on other than social security americans living longer than ever simply must save more than ever therefore in addition to saving social security and medicare i propose a new pension initiative for retirement security in the 21st century i propose that we use a little over 11 percent of the surplus to establish universal savings accounts usa accounts to give all americans the means to save with these new accounts americans can invest as they choose and receive funds to match a portion of their savings with extra help for those least able to save usa accounts will help all americans to share in our nation's wealth and to enjoy a more secure retirement i ask you to support them fourth we must invest in long term care i propose a tax credit of $1 000 for the aged ailing or disabled and the families who care for them long term care will become a bigger and bigger challenge with the aging of america and we must do more to help our families deal with it i was born in 1946 the first year of the baby boom i can tell you that one of the greatest concerns of our generation is our absolute determination not to let our growing old place an intolerable burden on our children and their ability to raise our grandchildren our economic success and our fiscal discipline now give us an opportunity to lift that burden from their shoulders and we should take it saving social security medicare creating usa accounts this is the right way to use the surplus if we do so if we do so we will still have resources to meet critical needs in education and defense and i want to point out that this proposal is fiscally sound listen to this if we set aside 60 percent of the surplus for social security and 16 percent for medicare over the next 15 years that saving will achieve the lowest level of publicly held debt since right before world war i in 1917 so with these four measures saving social security strengthening medicare establishing the usa accounts supporting long term care we can begin to meet our generation's historic responsibility to establish true security for 21st century seniors now there are more children from more diverse backgrounds in our public schools than at any time in our history their education must provide the knowledge and nurture the creativity that will allow our entire nation to thrive in the new economy today we can say something we couldn't say 6 years ago with tax credits and more affordable student loans with more work study grants and more pell grants with education ira's and the new hope scholarship tax cut that more than 5 million americans will receive this year we have finally opened the doors of college to all americans with our support nearly every state has set higher academic standards for public schools and a voluntary national test is being developed to measure the progress of our students with over $1 billion in discounts available this year we are well on our way to our goal of connecting every classroom and library to the internet last fall you passed our proposal to start hiring 100 000 new teachers to reduce class size in the early grades now i ask you to finish the job you know our children are doing better sat scores are up math scores have risen in nearly all grades but there's a problem while our fourth graders outperform their peers in other countries in math and science our eighth graders are around average and our twelfth graders rank near the bottom we must do better now each year the national government invests more than $15 billion in our public schools i believe we must change the way we invest that money to support what works and to stop supporting what does not work first later this year i will send to congress a plan that for the first time holds states and school districts accountable for progress and rewards them for results my education accountability act will require every school district receiving federal help to take the following five steps first all schools must end social promotion no child should graduate from high school with a diploma he or she can't read we do our children no favors when we allow them to pass from grade to grade without mastering the material but we can't just hold students back because the system fails them so my balanced budget triples the funding for summer school and after school programs to keep a million children learning now if you doubt this will work just look at chicago which ended social promotion and made summer school mandatory for those who don't master the basics math and reading scores are up 3 years running with some of the biggest gains in some of the poorest neighborhoods it will work and we should do it second all states and school districts must turn around their worst performing schools or shut them down that's the policy established in north carolina by governor jim hunt north carolina made the biggest gains in test scores in the nation last year our budget includes $200 million to help states turn around their own failing schools third all states and school districts must be held responsible for the quality of their teachers the great majority of our teachers do a fine job but in too many schools teachers don't have college majors or even minors in the subjects they teach new teachers should be required to pass performance exams and all teachers should know the subjects they're teaching this year's balanced budget contains resources to help them reach higher standards and to attract talented young teachers to the toughest assignments i recommend a sixfold increase in our program for college scholarships for students who commit to teach in the inner cities and isolated rural areas and in indian communities let us bring excellence in every part of america fourth we must empower parents with more information and more choices in too many communities it's easier to get information on the quality of the local restaurants than on the quality of the local schools every school district should issue report cards on every school and parents should be given more choices in selecting their public school when i became president there was just one independent public charter school in all america with our support on a bipartisan basis today there are 1 100 my budget assures that early in the next century there will be 3 000 fifth to assure that our classrooms are truly places of learning and to respond to what teachers have been asking us to do for years we should say that all states and school districts must both adopt and implement sensible discipline policies now let's do one more thing for our children today too many schools are so old they're falling apart or so over crowded students are learning in trailers last fall congress missed the opportunity to change that this year with 53 million children in our schools congress must not miss that opportunity again i ask you to help our communities build or modernize 5 000 schools if we do these things end social promotion turn around failing schools build modern ones support qualified teachers promote innovation competition and discipline then we will begin to meet our generation's historic responsibility to create 21st century schools now we also have to do more to support the millions of parents who give their all every day at home and at work the most basic tool of all is a decent income so let's raise the minimum wage by a dollar an hour over the next 2 years and let's make sure that women and men get equal pay for equal work by strengthening enforcement of equal pay laws that was encouraging you know laughter there was more balance on the seesaw i like that let's give them a hand that's great applause working parents also need quality child care so again this year i ask congress to support our plan for tax credits and subsidies for working families for improved safety and quality for expanded after school programs and our plan also includes a new tax credit for stay at home parents too they need support as well parents should never have to worry about choosing between their children and their work now the family and medical leave act the very first bill i signed into law has now since 1993 helped millions and millions of americans to care for a newborn baby or an ailing relative without risking their jobs i think it's time with all the evidence that it has been so little burdensome to employers to extend family leave to 10 million more americans working for smaller companies and i hope you will support it finally on the matter of work parents should never have to face discrimination in the workplace so i want to ask congress to prohibit companies from refusing to hire or promote workers simply because they have children that is not right america's families deserve the world's best medical care thanks to bipartisan federal support for medical research we are now on the verge of new treatments to prevent or delay diseases from parkinson's to alzheimer's to arthritis to cancer but as we continue our advances in medical science we can't let our medical system lag behind managed care has literally transformed medicine in america driving down costs but threatening to drive down quality as well i think we ought to say to every american you should have the right to know all your medical options not just the cheapest if you need a specialist you should have a right to see one you have a right to the nearest emergency care if you're in an accident these are things that we ought to say and i think we ought to say you should have a right to keep your doctor during a period of treatment whether it's a pregnancy or a chemotherapy treatment or anything else i believe this now i've ordered these rights to be extended to the 85 million americans served by medicare medicaid and other federal health programs but only congress can pass a patients' bill of rights for all americans now last year congress missed that opportunity and we must not miss that opportunity again for the sake of our families i ask us to join together across party lines and pass a strong enforceable patients' bill of rights as more of our medical records are stored electronically the threats to all our privacy increase because congress has given me the authority to act if it does not do so by august one way or another we can all say to the american people we will protect the privacy of medical records and we will do it this year now 2 years ago the congress extended health coverage to up to 5 million children now we should go beyond that we should make it easier for small businesses to offer health insurance we should give people between the ages of 55 and 65 who lose their health insurance the chance to buy into medicare and we should continue to ensure access to family planning no one should have to choose between keeping health care and taking a job and therefore i especially ask you tonight to join hands to pass the landmark bipartisan legislation proposed by senators kennedy and jeffords roth and moynihan to allow people with disabilities to keep their health insurance when they go to work we need to enable our public hospitals our community our university health centers to provide basic affordable care for all the millions of working families who don't have any insurance they do a lot of that today but much more can be done and my balanced budget makes a good down payment toward that goal i hope you will think about them and support that provision let me say we must step up our efforts to treat and prevent mental illness no american should ever be afraid ever to address this disease this year we will host a white house conference on mental health with sensitivity commitment and passion tipper gore is leading our efforts here and i'd like to thank her for what she's done thank you applause thank you as everyone knows our children are targets of a massive media campaign to hook them on cigarettes now i ask this congress to resist the tobacco lobby to reaffirm the fda's authority to protect our children from tobacco and to hold tobacco companies accountable while protecting tobacco farmers smoking has cost taxpayers hundreds of billions of dollars under medicare and other programs you know the states have been right about this taxpayers shouldn't pay for the cost of lung cancer emphysema and other smoking related illnesses the tobacco companies should so tonight i announce that the justice department is preparing a litigation plan to take the tobacco companies to court and with the funds we recover to strengthen medicare now if we act in these areas minimum wage family leave child care health care the safety of our children then we will begin to meet our generation's historic responsibilities to strengthen our families for the 21st century today america is the most dynamic competitive job creating economy in history but we can do even better in building a 21st century economy that embraces all americans today's income gap is largely a skills gap last year the congress passed a law enabling workers to get a skills grant to choose the training they need and i applaud all of you here who were part of that this year i recommend a 5 year commitment to the new system so that we can provide over the next 5 years appropriate training opportunities for all americans who lose their jobs and expand rapid response teams to help all towns which have been really hurt when businesses close i hope you will support this also i ask your support for a dramatic increase in federal support for adult literacy to mount a national campaign aimed at helping the millions and millions of working people who still read at less than a fifth grade level we need to do this here's some good news in the past 6 years we have cut the welfare rolls nearly in half you can all be proud of that two years ago from this podium i asked five companies to lead a national effort to hire people off welfare tonight our welfare to work partnership includes 10 000 companies who have hired hundreds of thousands of people and our balanced budget will help another 200 000 people move to the dignity and pride of work i hope you will support it we must do more to bring the spark of private enterprise to every corner of america to build a bridge from wall street to appalachia to the mississippi delta to our native american communities with more support for community development banks for empowerment zones for 100 000 more vouchers for affordable housing and i ask congress to support our bold new plan to help businesses raise up to $15 billion in private sector capital to bring jobs and opportunities to our inner cities and rural areas with tax credits loan guarantees including the new american private investment company modeled on the overseas private investment company for years and years and years we've had this opic this overseas private investment corporation because we knew we had untapped markets overseas but our greatest untapped markets are not overseas they are right here at home and we should go after them we must work hard to help bring prosperity back to the family farm as this congress knows very well dropping prices and the loss of foreign markets have devastated too many family farms last year the congress provided substantial assistance to help stave off a disaster in american agriculture and i am ready to work with lawmakers of both parties to create a farm safety net that will include crop insurance reform and farm income assistance i ask you to join with me and do this this should not be a political issue everyone knows what an economic problem is going on out there in rural america today and we need an appropriate means to address it we must strengthen our lead in technology it was government investment that led to the creation of the internet i propose a 28 percent increase in long term computing research we also must be ready for the 21st century from its very first moment by solving the so called y2k computer problem we had one member of congress stand up and applaud laughter and we may have about that ratio out there applauding at home in front of their television sets but remember this is a big big problem and we've been working hard on it already we've made sure that the social security checks will come on time but i want all the folks at home listening to this to know that we need every state and local government every business large and small to work with us to make sure that this y2k computer bug will be remembered as the last headache of the 20th century not the first crisis of the 21st for our own prosperity we must support economic growth abroad you know until recently a third of our economic growth came from exports but over the past year and a half financial turmoil overseas has put that growth at risk today much of the world is in recession with asia hit especially hard this is the most serious financial crisis in half a century to meet it the united states and other nations have reduced interest rates and strengthened the international monetary fund and while the turmoil is not over we have worked very hard with other nations to contain it at the same time we have to continue to work on the long term project building a global financial system for the 21st century that promotes prosperity and tames the cycle of boom and bust that has engulfed so much of asia this june i will meet with other world leaders to advance this historic purpose and i ask all of you to support our endeavors i also ask you to support creating a freer and fairer trading system for 21st century america i'd like to say something really serious to everyone in this chamber in both parties i think trade has divided us and divided americans outside this chamber for too long somehow we have to find a common ground on which business and workers and environmentalists and farmers and government can stand together i believe these are the things we ought to all agree on so let me try first we ought to tear down barriers open markets and expand trade but at the same time we must ensure that ordinary citizens in all countries actually benefit from trade a trade that promotes the dignity of work and the rights of workers and protects the environment we must insist that international trade organizations be more open to public scrutiny instead of mysterious secret things subject to wild criticism when you come right down to it now that the world economy is becoming more and more integrated we have to do in the world what we spent the better part of this century doing here at home we have got to put a human face on the global economy we must enforce our trade laws when imports unlawfully flood our nation i have already informed the government of japan that if that nation's sudden surge of steel imports into our country is not reversed america will respond we must help all manufacturers hit hard by the present crisis with loan guarantees and other incentives to increase american exports by nearly $2 billion i'd like to believe we can achieve a new consensus on trade based on these principles and i ask the congress again to join me in this common approach and to give the president the trade authority long used and now overdue and necessary to advance our prosperity in the 21st century tonight i issue a call to the nations of the world to join the united states in a new round of global trade negotiations to expand exports of services manufactures and farm products tonight i say we will work with the international labor organization on a new initiative to raise labor standards around the world and this year we will lead the international community to conclude a treaty to ban abusive child labor everywhere in the world if we do these things invest in our people our communities our technology and lead in the global economy then we will begin to meet our historic responsibility to build a 21st century prosperity for america you know no nation in history has had the opportunity and the responsibility we now have to shape a world that is more peaceful more secure more free all americans can be proud that our leadership helped to bring peace in northern ireland all americans can be proud that our leadership has put bosnia on the path to peace and with our nato allies we are pressing the serbian government to stop its brutal repression in kosovo to bring those responsible to justice and to give the people of kosovo the self government they deserve all americans can be proud that our leadership renewed hope for lasting peace in the middle east some of you were with me last december as we watched the palestinian national council completely renounce its call for the destruction of israel now i ask congress to provide resources so that all parties can implement the wye agreement to protect israel's security to stimulate the palestinian economy to support our friends in jordan we must not we dare not let them down i hope you will help as we work for peace we must also meet threats to our nation's security including increased dangers from outlaw nations and terrorism we will defend our security wherever we are threatened as we did this summer when we struck at usama bin ladin's network of terror the bombing of our embassies in kenya and tanzania reminds us again of the risks faced every day by those who represent america to the world so let's give them the support they need the safest possible workplaces and the resources they must have so america can continue to lead we must work to keep terrorists from disrupting computer networks we must work to prepare local communities for biological and chemical emergenices to support research into vaccines and treatments we must increase our efforts to restrain the spread of nuclear weapons and missiles from korea to india and pakistan we must expand our work with russia ukraine and other former soviet nations to safeguard nuclear materials and technology so they never fall into the wrong hands our balanced budget will increase funding for these critical efforts by almost two thirds over the next 5 years with russia we must continue to reduce our nuclear arsenals the start ii treaty and the framework we have already agreed to for start iii could cut them by 80 percent from their cold war height it's been 2 years since i signed the comprehensive test ban treaty if we don't do the right thing other nations won't either i ask the senate to take this vital step approve the treaty now to make it harder for other nations to develop nuclear arms and to make sure we can end nuclear testing forever for nearly a decade iraq has defied its obligations to destroy its weapons of terror and the missiles to deliver them america will continue to contain saddam and we will work for the day when iraq has a government worthy of its people now last month in our action over iraq our troops were superb their mission was so flawlessly executed that we risk taking for granted the bravery and the skill it required captain jeff taliaferro a 10 year veteran of the air force flew a b 1b bomber over iraq as we attacked saddam's war machine he's here with us tonight i'd like to ask you to honor him and all the 33 000 men and women of operation desert fox captain taliaferro applause it is time to reverse the decline in defense spending that began in 1985 since april together we have added nearly $6 billion to maintain our military readiness my balanced budget calls for a sustained increase over the next 6 years for readiness for modernization and for pay and benefits for our troops and their families we are the heirs of a legacy of bravery represented in every community in america by millions of our veterans america's defenders today still stand ready at a moment's notice to go where comforts are few and dangers are many to do what needs to be done as no one else can they always come through for america we must come through for them the new century demands new partnerships for peace and security the united nations plays a crucial role with allies sharing burdens america might otherwise bear alone america needs a strong and effective u n i want to work with this new congress to pay our dues and our debts we must continue to support security and stability in europe and asia expanding nato and defining its new missions maintaining our alliance with japan with korea with our other asian allies and engaging china in china last year i said to the leaders and the people what i'd like to say again tonight stability can no longer be bought at the expense of liberty but i'd also like to say again to the american people it's important not to isolate china the more we bring china into the world the more the world will bring change and freedom to china last spring with some of you i traveled to africa where i saw democracy and reform rising but still held back by violence and disease we must fortify african democracy and peace by launching radio democracy for africa supporting the transition to democracy now beginning to take place in nigeria and passing the african trade and development act we must continue to deepen our ties to the americas and the caribbean our common work to educate children fight drugs strengthen democracy and increase trade in this hemisphere every government but one is freely chosen by its people we are determined that cuba too will know the blessings of liberty the american people have opened their hearts and their arms to our central american and caribbean neighbors who have been so devastated by the recent hurricanes working with congress i am committed to help them rebuild when the first lady and tipper gore visited the region they saw thousands of our troops and thousands of american volunteers in the dominican republic hillary helped to rededicate a hospital that had been rebuilt by dominicans and americans working side by side with her was someone else who has been very important to the relief efforts you know sports records are made and sooner or later they're broken but making other people's lives better and showing our children the true meaning of brotherhood that lasts forever so for far more than baseball sammy sosa you're a hero in two countries tonight applause thank you so i say to all of you if we do these things if we pursue peace fight terrorism increase our strength renew our alliances we will begin to meet our generation's historic responsibility to build a stronger 21st century america in a freer more peaceful world as the world has changed so have our own communities we must make them safer more livable and more united this year we will reach our goal of 100 000 community police officers ahead of schedule and under budget the brady bill has stopped a quarter million felons fugitives and stalkers from buying handguns and now the murder rate is the lowest in 30 years and the crime rate has dropped for 6 straight years tonight i propose a 21st century crime bill to deploy the latest technologies and tactics to make our communities even safer our balanced budget will help put up to 50 000 more police on the street in the areas hardest hit by crime and then to equip them with new tools from crime mapping computers to digital mug shots we must break the deadly cycle of drugs and crime our budget expands support for drug testing and treatment saying to prisoners if you stay on drugs you have to stay behind bars and to those on parole if you want to keep your freedom you must stay free of drugs i ask congress to restore the 5 day waiting period for buying a handgun and extend the brady bill to prevent juveniles who commit violent crimes from buying a gun we must do more to keep our schools the safest places in our communities last year every american was horrified and heartbroken by the tragic killings in jonesboro paducah pearl edinboro springfield we were deeply moved by the courageous parents now working to keep guns out of the hands of children and to make other efforts so that other parents don't have to live through their loss after she lost her daughter suzann wilson of jonesboro arkansas came here to the white house with a powerful plea she said please please for the sake of your children lock up your guns don't let what happened in jonesboro happen in your town it's a message she is passionately advocating every day suzann is here with us tonight with the first lady i'd like to thank her for her courage and her commitment applause thank you in memory of all the children who lost their lives to school violence i ask you to strengthen the safe and drug free school act to pass legislation to require child trigger locks to do everything possible to keep our children safe a century ago president theodore roosevelt defined our great central task as leaving this land even a better land for our descendants than it is for us today we're restoring the florida everglades saving yellowstone preserving the red rock canyons of utah protecting california's redwoods and our precious coasts but our most fateful new challenge is the threat of global warming 1998 was the warmest year ever recorded last year's heat waves floods and storms are but a hint of what future generations may endure if we do not act now tonight i propose a new clean air fund to help communities reduce greenhouse and other pollution and tax incentives and investments to spur clean energy technology and i want to work with members of congress in both parties to reward companies that take early voluntary action to reduce greenhouse gases all our communities face a preservation challenge as they grow and green space shrinks seven thousand acres of farmland and open space are lost every day in response i propose two major initiatives first a $1 billion livability agenda to help communities save open space ease traffic congestion and grow in ways that enhance every citizen's quality of life and second a $1 billion lands legacy initiative to preserve places of natural beauty all across america from the most remote wilderness to the nearest city park these are truly landmark initiatives which could not have been developed without the visionary leadership of the vice president and i want to thank him very much for his commitment here now to get the most out of your community you have to give something back that's why we created americorps our national service program that gives today's generation a chance to serve their communities and earn money for college so far in just 4 years 100 000 young americans have built low income homes with habitat for humanity helped to tutor children with churches worked with fema to ease the burden of natural disasters and performed countless other acts of service that have made america better i ask congress to give more young americans the chance to follow their lead and serve america in americorps now we must work to renew our national community as well for the 21st century last year the house passed the bipartisan campaign finance reform legislation sponsored by representatives shays and meehan and senators mccain and feingold but a partisan minority in the senate blocked reform so i'd like to say to the house pass it again quickly and i'd like to say to the senate i hope you will say yes to a stronger american democracy in the year 2000 since 1997 our initiative on race has sought to bridge the divides between and among our people in its report last fall the initiative's advisory board found that americans really do want to bring our people together across racial lines we know it's been a long journey for some it goes back to before the beginning of our republic for others back since the civil war for others throughout the 20th century but for most of us alive today in a very real sense this journey began 43 years ago when a woman named rosa parks sat down on a bus in alabama and wouldn't get up she's sitting down with the first lady tonight and she may get up or not as she chooses we thank her applause thank you rosa we know that our continuing racial problems are aggravated as the presidential initiative said by opportunity gaps the initiative i've outlined tonight will help to close them but we know that the discrimination gap has not been fully closed either discrimination or violence because of race or religion ancestry or gender disability or sexual orientation is wrong and it ought to be illegal therefore i ask congress to make the employment non discrimination act and the hate crimes prevention act the law of the land now since every person in america counts every american ought to be counted we need a census that uses modern scientific methods to do that our new immigrants must be part of our one america after all they're revitalizing our cities they're energizing our culture they're building up our economy we have a responsibility to make them welcome here and they have a responsibility to enter the mainstream of american life that means learning english and learning about our democratic system of government there are now long waiting lines of immigrants that are trying to do just that therefore our budget significantly expands our efforts to help them meet their responsibility i hope you will support it whether our ancestors came here on the mayflower on slave ships whether they came to ellis island or lax in los angeles whether they came yesterday or walked this land a thousand years ago our great challenge for the 21st century is to find a way to be one america we can meet all the other challenges if we can go forward as one america you know barely more than 300 days from now we will cross that bridge into the new millennium this is a moment as the first lady has said to honor the past and imagine the future i'd like to take just a minute to honor her for leading our millennium project for all she's done for our children for all she has done in her historic role to serve our nation and our best ideals at home and abroad i honor her applause last year i called on congress and every citizen to mark the millennium by saving america's treasures hillary has traveled all across the country to inspire recognition and support for saving places like thomas edison's invention factory or harriet tubman's home now we have to preserve our treasures in every community and tonight before i close i want to invite every town every city every community to become a nationally recognized millennium community by launching projects that save our history promote our arts and humanities prepare our children for the 21st century already the response has been remarkable and i want to say a special word of thanks to our private sector partners and to members in congress of both parties for their support just one example because of you the star spangled banner will be preserved for the ages in ways large and small as we look to the millennium we are keeping alive what george washington called the sacred fire of liberty six years ago i came to office in a time of doubt for america with our economy troubled our deficit high our people divided some even wondered whether our best days were behind us but across this country in a thousand neighborhoods i have seen even amidst the pain and uncertainty of recession the real heart and character of america i knew then that we americans could renew this country tonight as i deliver the last state of the union address of the 20th century no one anywhere in the world can doubt the enduring resolve and boundless capacity of the american people to work toward that more perfect union of our founders' dream we're now at the end of a century when generation after generation of americans answered the call to greatness overcoming depression lifting up the disposed bringing down barriers to racial prejudice building the largest middle class in history winning two world wars and the long twilight struggle of the cold war we must all be profoundly grateful for the magnificent achievement of our forebears in this century yet perhaps in the daily press of events in the clash of controversy we don't see our own time for what it truly is a new dawn for america a hundred years from tonight another american president will stand in this place and report on the state of the union he or she he or she will look back on a 21st century shaped in so many ways by the decisions we make here and now so let it be said of us then that we were thinking not only of our time but of their time that we reached as high as our ideals that we put aside our divisions and found a new hour of healing and hopefulness that we joined together to serve and strengthen the land we love my fellow americans this is our moment let us lift our eyes as one nation and from the mountaintop of this american century look ahead to the next one asking god's blessing on our endeavors and on our beloved country thank you and good evening mr speaker mr vice president members of congress honored guests my fellow americans we are fortunate to be alive at this moment in history never before has our nation enjoyed at once so much prosperity and social progress with so little internal crisis and so few external threats never before have we had such a blessed opportunity and therefore such a profound obligation to build the more perfect union of our founders' dreams we begin the new century with over 20 million new jobs the fastest economic growth in more than 30 years the lowest unemployment rates in 30 years the lowest poverty rates in 20 years the lowest african american and hispanic unemployment rates on record the first back to back surpluses in 42 years and next month america will achieve the longest period of economic growth in our entire history we have built a new economy and our economic revolution has been matched by a revival of the american spirit crime down by 20 percent to its lowest level in 25 years teen births down 7 years in a row adoptions up by 30 percent welfare rolls cut in half to their lowest levels in 30 years my fellow americans the state of our union is the strongest it has ever been as always the real credit belongs to the american people my gratitude also goes to those of you in this chamber who have worked with us to put progress over partisanship eight years ago it was not so clear to most americans there would be much to celebrate in the year 2000 then our nation was gripped by economic distress social decline political gridlock the title of a best selling book asked america what went wrong in the best traditions of our nation americans determined to set things right we restored the vital center replacing outmoded ideologies with a new vision anchored in basic enduring values opportunity for all responsibility from all a community of all americans we reinvented government transforming it into a catalyst for new ideas that stress both opportunity and responsibility and give our people the tools they need to solve their own problems with the smallest federal work force in 40 years we turned record deficits into record surpluses and doubled our investment in education we cut crime with 100 000 community police and the brady law which has kept guns out of the hands of half a million criminals we ended welfare as we knew it requiring work while protecting health care and nutrition for children and investing more in child care transportation and housing to help their parents go to work we've helped parents to succeed at home and at work with family leave which 20 million americans have now used to care for a newborn child or a sick loved one we've engaged 150 000 young americans in citizen service through americorps while helping them earn money for college in 1992 we just had a roadmap today we have results even more important america again has the confidence to dream big dreams but we must not let this confidence drift into complacency for we all of us will be judged by the dreams and deeds we pass on to our children and on that score we will be held to a high standard indeed because our chance to do good is so great my fellow americans we have crossed the bridge we built to the 21st century now we must shape a 21st century american revolution of opportunity responsibility and community we must be now as we were in the beginning a new nation at the dawn of the last century theodore roosevelt said the one characteristic more essential than any other is foresight it should be the growing nation with a future that takes the long look ahead so tonight let us take our long look ahead and set great goals for our nation to 21st century america let us pledge these things every child will begin school ready to learn and graduate ready to succeed every family will be able to succeed at home and at work and no child will be raised in poverty we will meet the challenge of the aging of america we will assure quality affordable health care at last for all americans we will make america the safest big country on earth we will pay off our national debt for the first time since 1835 * we will bring prosperity to every american community we will reverse the course of climate change and leave a safer cleaner planet america will lead the world toward shared peace and prosperity and the far frontiers of science and technology and we will become at last what our founders pledged us to be so long ago one nation under god indivisible with liberty and justice for all * white house correction these are great goals worthy of a great nation we will not reach them all this year not even in this decade but we will reach them let us remember that the first american revolution was not won with a single shot the continent was not settled in a single year the lesson of our history and the lesson of the last 7 years is that great goals are reached step by step always building on our progress always gaining ground of course you can't gain ground if you're standing still and for too long this congress has been standing still on some of our most pressing national priorities so let's begin tonight with them again i ask you to pass a real patients' bill of rights i ask you to pass commonsense gun safety legislation i ask you to pass campaign finance reform i ask you to vote up or down on judicial nominations and other important appointees and again i ask you i implore you to raise the minimum wage now 2 years ago let me try to balance the seesaw here laughter 2 years ago as we reached across party lines to reach our first balanced budget i asked that we meet our responsibility to the next generation by maintaining our fiscal discipline because we refused to stray from that path we are doing something that would have seemed unimaginable 7 years ago we are actually paying down the national debt now if we stay on this path we can pay down the debt entirely in just 13 years now and make america debt free for the first time since andrew jackson was president in 1835 in 1993 we began to put our fiscal house in order with the deficit reduction act which you'll all remember won passages in both houses by just a single vote your former colleague my first secretary of the treasury led that effort and sparked our long boom he's here with us tonight lloyd bentsen you have served america well and we thank you beyond paying off the debt we must ensure that the benefits of debt reduction go to preserving two of the most important guarantees we make to every american social security and medicare tonight i ask you to work with me to make a bipartisan downpayment on social security reform by crediting the interest savings from debt reduction to the social security trust fund so that it will be strong and sound for the next 50 years but this is just the start of our journey we must also take the right steps toward reaching our great goals first and foremost we need a 21st century revolution in education guided by our faith that every single child can learn because education is more important than ever more than ever the key to our children's future we must make sure all our children have that key that means quality pre school and after school the best trained teachers in the classroom and college opportunities for all our children for 7 years now we've worked hard to improve our schools with opportunity and responsibility investing more but demanding more in turn reading math college entrance scores are up some of the most impressive gains are in schools in very poor neighborhoods but all successful schools have followed the same proven formula higher standards more accountability and extra help so children who need it can get it to reach those standards i have sent congress a reform plan based on that formula it holds states and school districts accountable for progress and rewards them for results each year our national government invests more than $15 billion in our schools it is time to support what works and stop supporting what doesn't now as we demand more from our schools we should also invest more in our schools let's double our investment to help states and districts turn around their worst performing schools or shut them down let's double our investments in after school and summer school programs which boost achievement and keep people off the streets and out of trouble if we do this we can give every single child in every failing school in america everyone the chance to meet high standards since 1993 we've nearly doubled our investment in head start and improved its quality tonight i ask you for another $1 billion for head start the largest increase in the history of the program we know that children learn best in smaller classes with good teachers for 2 years in a row congress has supported my plan to hire 100 000 new qualified teachers to lower class size in the early grades i thank you for that and i ask you to make it three in a row and to make sure all teachers know the subjects they teach tonight i propose a new teacher quality initiative to recruit more talented people into the classroom reward good teachers for staying there and give all teachers the training they need we know charter schools provide real public school choice when i became president there was just one independent public charter school in all america today thanks to you there are 1 700 i ask you now to help us meet our goal of 3 000 charter schools by next year we know we must connect all our classrooms to the internet and we're getting there in 1994 only 3 percent of our classrooms were connected today with the help of the vice president's e rate program more than half of them are and 90 percent of our schools have at least one internet connection but we cannot finish the job when a third of all our schools are in serious disrepair many of them have walls and wires so old they're too old for the internet so tonight i propose to help 5 000 schools a year make immediate and urgent repairs and again to help build or modernize 6 000 more to get students out of trailers and into high tech classrooms i ask all of you to help me double our bipartisan gear up program which provides mentors for disadvantaged young people if we double it we can provide mentors for 1 4 million of them let's also offer these kids from disadvantaged backgrounds the same chance to take the same college test prep courses wealthier students use to boost their test scores to make the american dream achievable for all we must make college affordable for all for 7 years on a bipartisan basis we have taken action toward that goal larger pell grants more affordable student loans education ira's and our hope scholarships which have already benefited 5 million young people now 67 percent of high school graduates are going on to college that's up 10 percent since 1993 yet millions of families still strain to pay college tuition they need help so i propose a landmark $30 billion college opportunity tax cut a middle class tax deduction for up to $10 000 in college tuition costs the previous actions of this congress have already made 2 years of college affordable for all it's time make 4 years of college affordable for all if we take all these steps we'll move a long way toward making sure every child starts school ready to learn and graduates ready to succeed we also need a 21st century revolution to reward work and strengthen families by giving every parent the tools to succeed at work and at the most important work of all raising children that means making sure every family has health care and the support to care for aging parents the tools to bring their children up right and that no child grows up in poverty from my first days as president we've worked to give families better access to better health care in 1997 we passed the children's health insurance program chip so that workers who don't have coverage through their employers at least can get it for their children so far we've enrolled 2 million children we're well on our way to our goal of 5 million but there are still more than 40 million of our fellow americans without health insurance more than there were in 1993 tonight i propose that we follow vice president gore's suggestion to make low income parents eligible for the insurance that covers their children together with our children's initiative think of this together with our children's initiative this action would enable us to cover nearly a quarter of all the uninsured people in america again i want to ask you to let people between the ages of 55 and 65 the fastest growing group of uninsured buy into medicare and this year i propose to give them a tax credit to make that choice an affordable one i hope you will support that as well when the baby boomers retire medicare will be faced with caring for twice as many of our citizens yet it is far from ready to do so my generation must not ask our children's generation to shoulder our burden we simply must act now to strengthen and modernize medicare my budget includes a comprehensive plan to reform medicare to make it more efficient and more competitive and it dedicates nearly $400 billion of our budget surplus to keep medicare solvent past 2025 and at long last it also provides funds to give every senior a voluntary choice of affordable coverage for prescription drugs lifesaving drugs are an indispensable part of modern medicine no one creating a medicare program today would even think of excluding coverage for prescription drugs yet more than three in five of our seniors now lack dependable drug coverage which can lengthen and enrich their lives millions of older americans who need prescription drugs the most pay the highest prices for them in good conscience we cannot let another year pass without extending to all our seniors this lifeline of affordable prescription drugs record numbers of americans are providing for aging or ailing loved ones at home it's a loving but a difficult and often very expensive choice last year i proposed a $1 000 tax credit for long term care frankly it wasn't enough this year let's triple it to $3 000 but this year let's pass it we also have to make needed investments to expand access to mental health care i want to take a moment to thank the person who led our first white house conference on mental health last year and who for 7 years has led all our efforts to break down the barriers to decent treatment of people with mental illness thank you tipper gore taken together these proposals would mark the largest investment in health care in the 35 years since medicare was created the largest investment in 35 years that would be a big step toward assuring quality health care for all americans young and old and i ask you to embrace them and pass them we must also make investments that reward work and support families nothing does that better than the earned income tax credit the eitc the e in the eitc is about earning working taking responsibility and being rewarded for it in my very first address to you i asked congress to greatly expand this credit and you did as a result in 1998 alone the eitc helped more than 4 3 million americans work their way out of poverty toward the middle class that's double the number in 1993 tonight i propose another major expansion of the eitc to reduce the marriage penalty to make sure it rewards marriage as it rewards work and also to expand the tax credit for families that have more than two children it punishes people with more than two children today our proposal would allow families with three or more children to get up to $1 100 more in tax relief these are working families their children should not be in poverty we also can't reward work and family unless men and women get equal pay for equal work today the female unemployment rate is the lowest it has been in 46 years yet women still only earn about 75 cents for every dollar men earn we must do better by providing the resources to enforce present equal pay laws training more women for high paying high tech jobs and passing the paycheck fairness act many working parents spend up to a quarter a quarter of their income on child care last year we helped parents provide child care for about 2 million children my child care initiative before you now along with funds already secured in welfare reform would make child care better safer and more affordable for another 400 000 children i ask you to pass that they need it out there for hard pressed middle income families we should also expand the child care tax credit and i believe strongly we should take the next big step and make that tax credit refundable for low income families for people making under $30 000 a year that could mean up to $2 400 for child care costs you know we all say we're pro work and pro family passing this proposal would prove it ten of millions of americans live from paycheck to paycheck as hard as they work they still don't have the opportunity to save too few can make use of ira's and 401k plans we should do more to help all working families save and accumulate wealth that's the idea behind the individual development accounts the ida's i ask you to take that idea to a new level with new retirement savings accounts that enable every low and moderate income family in america to save for retirement a first home a medical emergency or a college education i propose to match their contributions however small dollar for dollar every year they save and i propose to give a major new tax credit to any small business that will provide a meaningful pension to its workers those people ought to have retirement as well as the rest of us nearly one in three american children grows up without a father these children are 5 times more likely to live in poverty than children with both parents at home clearly demanding and supporting responsible fatherhood is critical to lifting all our children out of poverty we've doubled child support collections since 1992 and i'm proposing to you tough new measures to hold still more fathers responsible but we should recognize that a lot of fathers want to do right by their children but need help to do it carlos rosas of st paul minnesota wanted to do right by his son and he got the help to do it now he's got a good job and he supports his little boy my budget will help 40 000 more fathers make the same choices carlos rosas did i thank him for being here tonight stand up carlos applause thank you if there is any single issue on which we should be able to reach across party lines it is in our common commitment to reward work and strengthen families just remember what we did last year we came together to help people with disabilities keep their health insurance when they go to work and i thank you for that thanks to overwhelming bipartisan support from this congress we have improved foster care we've helped those young people who leave it when they turn 18 and we have dramatically increased the number of foster care children going into adoptive homes i thank all of you for all of that of course i am forever grateful to the person who has led our efforts from the beginning and who's worked so tirelessly for children and families for 30 years now my wife hillary and i thank her if we take the steps just discussed we can go a long long way toward empowering parents to succeed at home and at work and ensuring that no child is raised in poverty we can make these vital investments in health care education support for working families and still offer tax cuts to help pay for college for retirement to care for aging parents to reduce the marriage penalty we can do these things without forsaking the path of fiscal discipline that got us to this point here tonight indeed we must make these investments and these tax cuts in the context of a balanced budget that strengthens and extends the life of social security and medicare and pays down the national debt crime in america has dropped for the past 7 years that's the longest decline on record thanks to a national consensus we helped to forge on community police sensible gun safety laws and effective prevention but nobody nobody here nobody in america believes we're safe enough so again i ask you to set a higher goal let's make this country the safest big country in the world last fall congress supported my plan to hire in addition to the 100 000 community police we've already funded 50 000 more concentrated in high crime neighborhoods i ask your continued support for that soon after the columbine tragedy congress considered commonsense gun legislation to require brady background checks at the gun shows child safety locks for new handguns and a ban on the importation of large capacity ammunition clips with courage and a tie breaking vote by the vice president laughter the senate faced down the gun lobby stood up for the american people and passed this legislation but the house failed to follow suit now we have all seen what happens when guns fall into the wrong hands daniel mauser was only 15 years old when he was gunned down at columbine he was an amazing kid a straight a student a good skier like all parents who lose their children his father tom has borne unimaginable grief somehow he has found the strength to honor his son by transforming his grief into action earlier this month he took a leave of absence from his job to fight for tougher gun safety laws i pray that his courage and wisdom will at long last move this congress to make commonsense gun legislation the very next order of business tom mauser stand up we thank you for being here tonight tom thank you tom we must strengthen our gun laws and enforce those already on the books better federal gun crime prosecutions are up 16 percent since i took office but we must do more i propose to hire more federal and local gun prosecutors and more atf agents to crack down on illegal gun traffickers and bad apple dealers and we must give them the enforcement tools that they need tools to trace every gun and every bullet used in every gun crime in the united states i ask you to help us do that every state in this country already requires hunters and automobile drivers to have a license i think they ought to do the same thing for handgun purchases now specifically i propose a plan to ensure that all new handgun buyers must first have a photo license from their state showing they passed the brady background check and a gun safety course before they get the gun i hope you'll help me pass that in this congress listen to this listen to this the accidental gun rate the accidental gun death rate of children under 15 in the united states is 9 times higher than in the other 25 industrialized countries combined now technologies now exist that could lead to guns that can only be fired by the adults who own them i ask congress to fund research into smart gun technology to save these children's lives i ask responsible leaders in the gun industry to work with us on smart guns and other steps to keep guns out of the wrong hands to keep our children safe you know every parent i know worries about the impact of violence in the media on their children i want to begin by thanking the entertainment industry for accepting my challenge to put voluntary ratings on tv programs and video and internet games but frankly the ratings are too numerous diverse and confusing to be really useful to parents so tonight i ask the industry to accept the first lady's challenge to develop a single voluntary rating system for all children's entertainment that is easier for parents to understand and enforce the steps i outline will take us well on our way to making america the safest big country in the world now to keep our historic economic expansion going the subject of a lot of discussion in this community and others i believe we need a 21st century revolution to open new markets start new businesses hire new workers right here in america in our inner cities poor rural areas and native american reservations our nation's prosperity hasn't yet reached these places over the last 6 months i've traveled to a lot of them joined by many of you and many far sighted business people to shine a spotlight on the enormous potential in communities from appalachia to the mississippi delta from watts to the pine ridge reservation everywhere i go i meet talented people eager for opportunity and able to work tonight i ask you let's put them to work for business it's the smart thing to do for america it's the right thing to do and let me ask you something if we don't do this now when in the wide world will we ever get around to it so i ask congress to give businesses the same incentives to invest in america's new markets they now have to invest in markets overseas tonight i propose a large new markets tax credit and other incentives to spur $22 billion in private sector capital to create new businesses and new investments in our inner cities and rural areas because empowerment zones have been creating these opportunities for 5 years now i also ask you to increase incentives to invest in them and to create more of them and let me say to all of you again what i have tried to say at every turn this is not a democratic or a republican issue giving people a chance to live their dreams is an american issue mr speaker it was a powerful moment last november when you joined reverend jesse jackson and me in your home state of illinois and committed to working toward our common goal by combining the best ideas from both sides of the aisle i want to thank you again and to tell you mr speaker i look forward to working with you this is a worthy joint endeavor thank you i also ask you to make special efforts to address the areas of our nation with the highest rates of poverty our native american reservations and the mississippi delta my budget includes a $110 million initiative to promote economic development in the delta and a billion dollars to increase economic opportunity health care education and law enforcement for our native american communities we should begin this new century by honoring our historic responsibility to empower the first americans and i want to thank tonight the leaders and the members from both parties who've expressed to me an interest in working with us on these efforts they are profoundly important there's another part of our american community in trouble tonight our family farmers when i signed the farm bill in 1996 i said there was great danger it would work well in good times but not in bad well droughts floods and historically low prices have made these times very bad for the farmers we must work together to strengthen the farm safety net invest in land conservation and create some new markets for them by expanding our programs for bio based fuels and products please they need help let's do it together opportunity for all requires something else today having access to a computer and knowing how to use it that means we must close the digital divide between those who've got the tools and those who don't connecting classrooms and libraries to the internet is crucial but it's just a start my budget ensures that all new teachers are trained to teach 21st century skills and it creates technology centers in 1 000 communities to serve adults this spring i'll invite high tech leaders to join me on another new markets tour to close the digital divide and open opportunity for our people i want to thank the high tech companies that already are doing so much in this area i hope the new tax incentives i have proposed will get all the rest of them to join us this is a national crusade we have got to do this and do it quickly now again i say to you these are steps but step by step we can go a long way toward our goal of bringing opportunity to every community to realize the full possibilities of this economy we must reach beyond our own borders to shape the revolution that is tearing down barriers and building new networks among nations and individuals and economies and cultures globalization it's the central reality of our time of course change this profound is both liberating and threatening to people but there's no turning back and our open creative society stands to benefit more than any other if we understand and act on the realities of interdependence we have to be at the center of every vital global network as a good neighbor and a good partner we have to recognize that we cannot build our future without helping others to build theirs the first thing we have got to do is to forge a new consensus on trade now those of us who believe passionately in the power of open trade we have to ensure that it lifts both our living standards and our values never tolerating abusive child labor or a race to the bottom in the environment and worker protection but others must recognize that open markets and rule based trade are the best engines we know of for raising living standards reducing global poverty and environmental destruction and assuring the free flow of ideas i believe as strongly tonight as i did the first day i got here the only direction forward for america on trade the only direction for america on trade is to keep going forward i ask you to help me forge that consensus we have to make developing economies our partners in prosperity that's why i would like to ask you again to finalize our groundbreaking african and caribbean basin trade initiatives but globalization is about more than economics our purpose must be to bring together the world around freedom and democracy and peace and to oppose those who would tear it apart here are the fundamental challenges i believe america must meet to shape the 21st century world first we must continue to encourage our former adversaries russia and china to emerge as stable prosperous democratic nations both are being held back today from reaching their full potential russia by the legacy of communism an economy in turmoil a cruel and self defeating war in chechnya china by the illusion that it can buy stability at the expense of freedom but think how much has changed in the past decade 5 000 former soviet nuclear weapons taken out of commission russian soldiers actually serving with ours in the balkans russian people electing their leaders for the first time in a thousand years and in china an economy more open to the world than ever before of course no one not a single person in this chamber tonight can know for sure what direction these great nations will take but we do know for sure that we can choose what we do and we should do everything in our power to increase the chance that they will choose wisely to be constructive members of our global community that's why we should support those russians who are struggling for a democratic prosperous future continue to reduce both our nuclear arsenals and help russia to safeguard weapons and materials that remain and that's why i believe congress should support the agreement we negotiated to bring china into the wto by passing permanent normal trade relations with china as soon as possible this year i think you ought to do it for two reasons first of all our markets are already open to china this agreement will open china's markets to us and second it will plainly advance the cause of peace in asia and promote the cause of change in china no we don't know where it's going all we can do is decide what we're going to do but when all is said and done we need to know we did everything we possibly could to maximize the chance that china will choose the right future a second challenge we've got is to protect our own security from conflicts that pose the risk of wider war and threaten our common humanity we can't prevent every conflict or stop every outrage but where our interests are at stake and we can make a difference we should be and we must be peacemakers we should be proud of our role in bringing the middle east closer to a lasting peace building peace in northern ireland working for peace in east timor and africa promoting reconciliation between greece and turkey and in cyprus working to defuse these crises between india and pakistan in defending human rights and religious freedom and we should be proud of the men and women of our armed forces and those of our allies who stopped the ethnic cleansing in kosovo enabling a million people to return to their homes when slobodan milosevic unleashed his terror on kosovo captain john cherrey was one of the brave airmen who turned the tide and when another american plane was shot down over serbia he flew into the teeth of enemy air defenses to bring his fellow pilot home thanks to our armed forces' skill and bravery we prevailed in kosovo without losing a single american in combat i want to introduce captain cherrey to you we honor captain cherrey and we promise you captain we'll finish the job you began stand up so we can see you a third challenge we have is to keep this inexorable march of technology from giving terrorists and potentially hostile nations the means to undermine our defenses keep in mind the same technological advances that have shrunk cell phones to fit in the palms of our hands can also make weapons of terror easier to conceal and easier to use we must meet this threat by making effective agreements to restrain nuclear and missile programs in north korea curbing the flow of lethal technology to iran preventing iraq from threatening its neighbors increasing our preparedness against chemical and biological attack protecting our vital computer systems from hackers and criminals and developing a system to defend against new missile threats while working to preserve our abm missile treaty with russia we must do all these things i predict to you when most of us are long gone but some time in the next 10 to 20 years the major security threat this country will face will come from the enemies of the nation state the narcotraffickers and the terrorists and the organized criminals who will be organized together working together with increasing access to ever more sophisticated chemical and biological weapons and i want to thank the pentagon and others for doing what they're doing right now to try to help protect us and plan for that so that our defenses will be strong i ask for your support to ensure they can succeed i also want to ask you for a constructive bipartisan dialog this year to work to build a consensus which i hope will eventually lead to the ratification of the comprehensive nuclear test ban treaty i hope we can also have a constructive effort to meet the challenge that is presented to our planet by the huge gulf between rich and poor we cannot accept a world in which part of humanity lives on the cutting edge of a new economy and the rest live on the bare edge of survival i think we have to do our part to change that with expanded trade expanded aid and the expansion of freedom this is interesting from nigeria to indonesia more people got the right to choose their leaders in 1999 than in 1989 when the berlin wall fell we've got to stand by these democracies including and especially tonight colombia which is fighting narcotraffickers for its own people's lives and our children's lives i have proposed a strong 2 year package to help colombia win this fight i want to thank the leaders in both parties in both houses for listening to me and the president of colombia about it we have got to pass this i want to ask your help a lot is riding on it and it's so important for the long term stability of our country and for what happens in latin america i also want you to know i'm going to send you new legislation to go after what these drug barons value the most their money and i hope you'll pass that as well in a world where over a billion people live on less than a dollar a day we also have got to do our part in the global endeavor to reduce the debts of the poorest countries so they can invest in education health care and economic growth that's what the pope and other religious leaders have urged us to do and last year congress made a downpayment on america's share i ask you to continue that i thank you for what you did and ask you to stay the course i also want to say that america must help more nations to break the bonds of disease last year in africa 10 times as many people died from aids as were killed in wars 10 times the budget i give you invests $150 million more in the fight against this and other infectious killers and today i propose a tax credit to speed the development of vaccines for diseases like malaria tb and aids i ask the private sector and our partners around the world to join us in embracing this cause we can save millions of lives together and we ought to do it i also want to mention our final challenge which as always is the most important i ask you to pass a national security budget that keeps our military the best trained and best equipped in the world with heightened readiness and 21st century weapons which raises salaries for our service men and women which protects our veterans which fully funds the diplomacy that keeps our soldiers out of war which makes good on our commitment to our u n dues and arrears i ask you to pass this budget i also want to say something if i might very personal tonight the american people watching us at home with the help of all the commentators can tell from who stands and who sits and who claps and who doesn't that there's still modest differences of opinion in this room laughter but i want to thank you for something every one of you i want to thank you for the extraordinary support you have given republicans and democrats alike to our men and women in uniform i thank you for that i also want to thank especially two people first i want to thank our secretary of defense bill cohen for symbolizing our bipartisan commitment to national security thank you sir even more i want to thank his wife janet who more than any other american citizen has tirelessly traveled this world to show the support we all feel for our troops thank you janet cohen i appreciate that thank you these are the challenges we have to meet so that we can lead the world toward peace and freedom in an era of globalization i want to tell you that i am very grateful for many things as president but one of the things i'm grateful for is the opportunity that the vice president and i have had to finally put to rest the bogus idea that you cannot grow the economy and protect the environment at the same time as our economy has grown we've rid more than 500 neighborhoods of toxic waste ensured cleaner air and water for millions of people in the past 3 months alone we've helped preserve 40 million acres of roadless lands in the national forests created three new national monuments but as our communities grow our commitment to conservation must continue to grow tonight i propose creating a permanent conservation fund to restore wildlife protect coastlines save natural treasures from the california redwoods to the florida everglades this lands legacy endowment would represent by far the most enduring investment in land preservation ever proposed in this house i hope we can get together with all the people with different ideas and do this this is a gift we should give to our children and our grandchildren for all time across party lines we can make an agreement to do this last year the vice president launched a new effort to make communities more liberal livable laughter liberal i know laughter wait a minute i've got a punchline now that's this year's agenda last year was livable right laughter that's what senator lott is going to say in the commentary afterwards laughter to make our communities more livable this is big business this is a big issue what does that mean you ask anybody that lives in an unlivable community and they'll tell you they want their kids to grow up next to parks not parking lots the parents don't have to spend all their time stalled in traffic when they could be home with their children tonight i ask you to support new funding for the following things to make american communities for liberal livable laughter i've done pretty well with this speech but i can't say that one i want you to help us to do three things we need more funding for advanced transit systems we need more funding for saving open spaces in places of heavy development and we need more funding this ought to have bipartisan appeal we need more funding for helping major cities around the great lakes protect their waterways and enhance their quality of life we need these things and i want you to help us the greatest environmental challenge of the new century is global warming the scientists tell us the 1990's were the hottest decade of the entire millennium if we fail to reduce the emission of greenhouse gases deadly heat waves and droughts will become more frequent coastal areas will flood and economies will be disrupted that is going to happen unless we act many people in the united states some people in this chamber and lots of folks around the world still believe you cannot cut greenhouse gas emissions without slowing economic growth in the industrial age that may well have been true but in this digital economy it is not true anymore new technologies make it possible to cut harmful emissions and provide even more growth for example just last week automakers unveiled cars that get 70 to 80 miles a gallon the fruits of a unique research partnership between government and industry and before you know it efficient production of bio fuels will give us the equivalent of hundreds of miles from a gallon of gasoline to speed innovation in these kind of technologies i think we should give a major tax incentive to business for the production of clean energy and to families for buying energy saving homes and appliances and the next generation of super efficient cars when they hit the showroom floor i also ask the auto industry to use the available technologies to make all new cars more fuel efficient right away and i ask this congress to do something else please help us make more of our clean energy technology available to the developing world that will create cleaner growth abroad and a lot more new jobs here in the united states of america in the new century innovations in science and technology will be key not only to the health of the environment but to miraculous improvements in the quality of our lives and advances in the economy later this year researchers will complete the first draft of the entire human genome the very blueprint of life it is important for all our fellow americans to recognize that federal tax dollars have funded much of this research and that this and other wise investments in science are leading to a revolution in our ability to detect treat and prevent disease for example researchers have identified genes that cause parkinson's diabetes and certain kinds of cancer they are designing precision therapies that will block the harmful effect of these genes for good researchers already are using this new technique to target and destroy cells that cause breast cancer soon we may be able to use it to prevent the onset of alzheimer's scientists are also working on an artificial retina to help many blind people to see and listen to this microchips that would actually directly stimulate damaged spinal cords in a way that could allow people now paralyzed to stand up and walk these kinds of innovations are also propelling our remarkable prosperity information technology only includes 8 percent of our employment but now it counts for a third of our economic growth along with jobs that pay by the way about 80 percent above the private sector average again we ought to keep in mind government funded research brought supercomputers the internet and communications satellites into being soon researchers will bring us devices that can translate foreign languages as fast as you can talk materials 10 times stronger than steel at a fraction of the weight and this is unbelievable to me molecular computers the size of a teardrop with the power of today's fastest supercomputers to accelerate the march of discovery across all these disciplines in science and technology i ask you to support my recommendation of an unprecedented $3 billion in the 21st century research fund the largest increase in civilian research in a generation we owe it to our future now these new breakthroughs have to be used in ways that reflect our values first and foremost we have to safeguard our citizens' privacy last year we proposed to protect every citizen's medical record this year we will finalize those rules we've also taken the first steps to protect the privacy of bank and credit card records and other financial statements soon i will send legislation to you to finish that job we must also act to prevent any genetic discrimination whatever by employers or insurers i hope you will support that these steps will allow us to lead toward the far frontiers of science and technology they will enhance our health the environment the economy in ways we can't even imagine today but we all know that at a time when science technology and the forces of globalization are bringing so many changes into all our lives it's more important than ever that we strengthen the bonds that root us in our local communities and in our national community no tie binds different people together like citizen service there's a new spirit of service in america a movement we've tried to support with americorps expanded peace corps unprecedented new partnerships with businesses foundations community groups partnerships for example like the one that enlisted 12 000 companies which have now moved 650 000 of our fellow citizens from welfare to work partnerships to battle drug abuse aids teach young people to read save america's treasures strengthen the arts fight teen pregnancy prevent violence among young people promote racial healing the american people are working together but we should do more to help americans help each other first we should help faith based organizations to do more to fight poverty and drug abuse and help people get back on the right track with initiatives like second chance homes that do so much to help unwed teen mothers second we should support americans who tithe and contribute to charities but don't earn enough to claim a tax deduction for it tonight i propose new tax incentives that would allow low and middle income citizens who don't itemize to get that deduction it's nothing but fair and it will get more people to give we should do more to help new immigrants to fully participate in our community that's why i recommend spending more to teach them civics and english and since everybody in our community counts we've got to make sure everyone is counted in this year's census within 10 years just 10 years there will be no majority race in our largest state of california in a little more than 50 years there will be no majority race in america in a more interconnected world this diversity can be our greatest strength just look around this chamber look around we have members in this congress from virtually every racial ethnic and religious background and i think you would agree that america is stronger because of it applause you also have to agree that all those differences you just clapped for all too often spark hatred and division even here at home just in the last couple of years we've seen a man dragged to death in texas just because he was black we saw a young man murdered in wyoming just because he was gay last year we saw the shootings of african americans asian americans and jewish children just because of who they were this is not the american way and we must draw the line i ask you to draw that line by passing without delay the hate crimes prevention act and the employment non discrimination act and i ask you to reauthorize the violence against women act finally tonight i propose the largest ever investment in our civil rights laws for enforcement because no american should be subjected to discrimination in finding a home getting a job going to school or securing a loan protections in law should be protections in fact last february because i thought this was so important i created the white house office of one america to promote racial reconciliation that's what one of my personal heroes hank aaron has done all his life from his days as our all time home run king to his recent acts of healing he has always brought people together we should follow his example and we're honored to have him with us tonight stand up hank aaron i just want to say one more thing about this and i want every one of you to think about this the next time you get mad at one of your colleagues on the other side of the aisle this fall at the white house hillary had one of her millennium dinners and we had this very distinguished scientist there who is an expert in this whole work in the human genome and he said that we are all regardless of race genetically 99 9 percent the same now you may find that uncomfortable when you look around here laughter but it is worth remembering we can laugh about this but you think about it modern science has confirmed what ancient faiths have always taught the most important fact of life is our common humanity therefore we should do more than just tolerate our diversity we should honor it and celebrate it my fellow americans every time i prepare for the state of the union i approach it with hope and expectation and excitement for our nation but tonight is very special because we stand on the mountain top of a new millennium behind us we can look back and see the great expanse of american achievement and before us we can see even greater grander frontiers of possibility we should all of us be filled with gratitude and humility for our present progress and prosperity we should be filled with awe and joy at what lies over the horizon and we should be filled with absolute determination to make the most of it you know when the framers finished crafting our constitution in philadelphia benjamin franklin stood in independence hall and he reflected on the carving of the sun that was on the back of a chair he saw the sun was low on the horizon so he said this he said i've often wondered whether that sun was rising or setting today franklin said i have the happiness to know it's a rising sun today because each succeeding generation of americans has kept the fire of freedom burning brightly lighting those frontiers of possibility we all still bask in the glow and the warmth of mr franklin's rising sun after 224 years the american revolution continues we remain a new nation and as long as our dreams outweigh our memories america will be forever young that is our destiny and this is our moment thank you god bless you and god bless america