European Stars and Stripes (Newspaper) - February 19, 1993, Darmstadt, Hesse Of truvy 19, up the stabs Anft stripes the state of the a a we have got to play the hand we were dealt from pm 8 a me realty Lough erne fur me personally. I recommend that we reduce interest subsidies to the Rural electric administration. That s 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 arc 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. 1 have to say that we All know Pur government has been just great at building programs. The time has conic 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 Hope and 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. Now 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 arc the world s Only superpower. This is still a dangerous and Uncertain time and we owe it to the people in uniform tomake 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 be 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 36percent. 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 Tor staying Here and reinvesting in America. 1 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 of icing 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 Over the last 12 years and from whom 1 ask a contribution tonight 1 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 rate Only 1.2 percent at the top. Let me be Clear. There will also be no new cuts in benefits for we move toward the fourth year with the explosion in health care costs As i said projected to account for 50 percent of the growth in the deficit Between now and the year 2uoo, 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 Sec these Only As a Stopgap until we can Reform the entire health care system. If you la help me do that we can be fair to the providers and to the Consumers of health care. Let me repeat this because 1 know it matters to a lot of you on both sides of the aisle. This plan docs not make recommendation for new cuts in medicare benefits for any , the Only change we arc 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 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 docs include a Broad bused tax on Energy and 1 want to Tell you Why i selected this and Why i think it s u Good idea. I recommend thai 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 is helping to reduce the debt and because it does not discriminate against any area. Unlike a Carbon tax it s not too hard on the Coal a Gas tax it s not too Tough on people who drive a Long Way to work. Unlike an and Valorme tax it does t increase just members of Congress gather in the House chamber wednesday night to hear president Clinton s speech. 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 proposed principally those raising the earned income tax credits. 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 Anil budget have begun to speak out publicly in favor of u Tough deficit reduction plan interest rates have continued to full Long term. That Means that for the Middle class who will pay something More each month if they have any credit needs or demand their increased Energy Cost 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. 1 would Ulso 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 u imposed on families with incomes under $30,000 and that the costs Are very modest until you gel into the higher income groups where the income taxes trigger in. Now i Usk All of you to consider this whatever you think of the tax program whatever you think of the spending Cut. Consider the Cost of not changing. Remember the number that you All know. If we just keep on doing what we re doing by the end of the decade Well have a to 50 billion a year deficit. 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 an much As any other country on the face of the Gooc. If we just keep on doing what we re doing Over 20 cents on the Dollar will Haw to go to service the Dubi. Wiiks we Haw the courage now to Start building our future and Stop borrowing from it we re condemning ourselves toy Caison stagnation interrupted by occasional , to slow growth in jobs and no More growth in income us More debt to More disappointment. Noise. Unless we change unless we increase investment Kaiui Feducc the debt to Raie productivity so that we can jobs and income we will be our children and our children s children to a lesser life Frau we ii Josed. Once americans k oked Forward to doubling the of ring standards every 2.s cais. At present productivity rates. It la take 100 years to double living Standard until our grandchildren s grandchildren arc born. I say that is too Long to wait. Tonight the american people know we have to change but they re also Likely to Usk me tomorrow and All of you for the weeks and months ahead whether we Haw the fortitude to make the changes happen in the right Way. They know that a soon us i leave this chamber Ami you go Home various interest groups will to out in Force lobbying against this or that Niece of his 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 not to see whether you disagree with me on a particular us in but just to Sec whether this is going to he business As usual or a new Day w a Cher we re All going to conduct our envy As if we know we re working for them. We must scale the Walls of the people s scepticism a not with our words but with our do Xiv after so Many of gridlock and indecision after so Many Hook Ful beginnings and so few Praht Wmk results the american people arc going to be Harch in their judgments of All of us if we Tail to set a this moment. This economic plan can t please Cvar Boj. If tic package it picked apart there la be something that will angry each of us won t please an body. But if it n As a who Lou All to Bogia b resisting the temptation to Usu Only on a particular Cut us Don t like pm Vamik particular investment thai Wawi l Ancl a Only likes the to increases but it s just face fact. For 20 year through Juriw atom or both a it Tiv income have to talk and debt has Ciple Kvil and product my has not grown As it should. We cannot a inv Ira in Surv i the hand we were Cfaft and play it As but we can. My fellow americans the Tot of this Jaii cannot b Whu is in it Evv me it hot to re " Whai a a it for us it we hard Kaiui u we we a Tot Fiher i one ourselves to creating of to Cwa Juhng Vuk u pfc the Nuti our families to rim Chung our government we can Utt out country s Forve again. To Ghl j k Ever one i this Clumber and every ant Tjui to look Iun pry into Jour on he Ait to Smik Toaru tiie our ctn , there s to much Gwi of Vii ugh a Tiv. So excitement m let no � that if pc act vk4h a. He tras leaders should. V urk Lvi to a Woi a and r he us t be u Seu e
