THE PRESIDENT: Thanks for the warm welcome. (Laughter.) More
inside than outside, I might add. (Laughter.) But thank you all very
much for giving me a chance to come and share some thoughts about
this great land and some of the challenges that face us.
I'm particularly thrilled to be
in a place where the entrepreneurial spirit is strong, and that is
J.S. Logistics. (Applause.) It is strong because of the spirit of
the guys who run the company, John and Greg, and the people that
work with them to provide good service and product.
It's important for our fellow Americans to understand that the
strength of our country, the strength of our economy really depends
upon the strength of the small business community all across
America. (Applause.) And that's why I'm here today in this small
business, to remind people about the importance of small business.
I brought Hector Barreto, who is the Administrator of the Small
Business Administration. Thank you for coming, Hector. (Applause.) I
know there's a lot of other small business owners here from around
the state of Missouri. I'm honored you came. Thank you for lending
your support to what I am going to describe today as a way to make
sure people can find work in America.
I want to thank the employees of this good company for putting up
with the small entourage I travel with. (Laughter.) I want to thank
the folks that came to the roundtable today -- not only were some
employees of JS, but there's some folks who are running their own
businesses and companies. We heard from single moms, newly-married
couples, people that are working hard to make sure the three-person
company stays afloat. It was a good discussion, and I'm going to
share some of the stories from that discussion with you in a minute.
I want you to know that this country has got some big challenges
ahead of us. There's no question in my mind that we're going to meet
every challenge. (Applause.) One of the challenges we have is to
make sure that every American, from every walk of life, has a chance
to succeed in this country. (Applause.) That's an important
challenge. Where I spend a lot of time talking about education, to
make sure every child is educated; to make sure we insist upon high
standards for our schools; to make sure that we measure to
understand whether those standards are being met; and to make sure
we solve problems early, before it's too late. No child in America
should be left behind in this country. (Applause.)
Today I had the honor of meeting
Dezzie Houston, who came out to Air Force One to say hello. She is a
volunteer with the Missouri Mentoring Partnership. Where are you,
Dezzie? Oh, there you are. Thanks for coming. (Applause.) The reason
I bring this up is, part of making sure people aren't left behind in
our society, we've got to recognize in our plenty there are people
who hurt, and there are some who wonder whether or not the so-called
American Dream is meant for them. And so long as any of us hurt, we
all hurt. And one way to help heal hurt and encourage hope is to
mentor somebody in need. You see, I like to remind people,
government can hand out money, but it can't put love into people's
hearts or a sense of purpose in people's lives. That happens when
some caring individual finds somebody in need and says, can I help
you; what can I do to help you make a better life. (Applause.)
And this society of ours is filled with all kinds of heroes,
American citizens doing their duty. And Dezzie is one such person.
She told me that she has mentored three people, three teens,
encouraging them to either go to college or how to find a job. I'm
told, recently one of your mentorees graduated from college. It must
have made you feel incredibly proud to know that you had a hand in
encouraging that person to reach for the best in America. You had a
hand in encouraging that person to realize that his or her God-given
talents should be used to the fullest on the short time we have on
Earth.
I want to congratulate you for being a mentor. I call upon any
American who is concerned about the future of our society to find
somebody who needs a hand and surround that person with your love
and your talents. Thank you for being here, Dezzie. (Applause.)
A big challenge we face is how to make sure that this world is a
peaceful world, and make sure our country is a secure country. I
still remember September the 11th, 2001. It was a time in which
history changed for America. When I was coming up in Texas, it used
to be that oceans could protect us. We wouldn't have to worry about
gathering threats abroad. We could pick and choose problems as they
arose because we felt we were safe and secure. We felt that our
history was such that the future would be secure and safe. But
that's not what happened. September the 11th changed the stakes for
America. It changed the attitude we must have if we're going to make
sure our children can grow up in a safe and secure world.
Even though September the 11th is-- appears to be distant in our
rear-view mirror, our country is still under threat. We're under
threat because of terrorists who don't value life like we value life
in America. See, in this country, we say everybody is precious,
everybody counts, everybody has got values. The enemy we face
doesn't feel that way. They don't care about innocent life. They
don't believe every life has value. They only believe the lives that
have values are those who bow to their sick ideologies.
And so we're still on guard here in America. And we're running
these terrorists down, one by one. It's a different kind of war that
we fight. It's a war in which the enemy hides in the recesses of the
world. It's a war in which they try to get inside caves in remote
regions of the world. But you need to know that America is on the
hunt. There is a cave -- there's no cave deep enough or corner of
the world dark enough for them to hide from the long arm of justice
of the United States of America. (Applause.)
We're making progress. Sometimes you'll see about it, sometimes
you won't. And progress comes in different kinds of-- different
kinds of ways. Our friends in Great Britain have recently uncovered
and have arrested a group of al Qaeda that they think were intending
to poison the British people. Slowly but surely, we're rounding them
up. That coalition of freedom-loving people still stands: Either
you're with us and those of us who love freedom, or you're with the
enemy. (Applause.)
We've got an obligation to our children to hunt these people
down. We've also got an obligation to our children to address
problems before they come back to America, and in my judgment, in my
considered judgment, there is a real risk to America and our friends
and allies in Iraq. (Applause.)
The dictator of Iraq has got weapons of mass destruction. He has
used weapons of mass destruction. He can't stand America and what we
stand for. He can't stand our friends and allies. He's a dangerous,
dangerous man with dangerous, dangerous weapons. And that's why the
world came together at the United Nations Security Council and said,
Mr. Saddam Hussein must disarm. The message was as clear as can
possibly be delivered -- Mr. Saddam Hussein must disarm.
And the first step of that disarmament was for him to make a
declaration of his weapons -- 12,000 pages of deceit and deception
were placed at the U.N. Security Council. We know what it means to
disarm; we know what a disarmed regime does. We know how a disarmed
regime accounts for weapons of mass destruction. Saddam Hussein is
not disarming, like the world has told him he must do.
He's a dangerous man, with dangerous weapons. He's a danger to
America, and our friends and allies. And that's why the world has
said, disarm.
But Saddam Hussein has learned lessons from the past. See, the
first time he was told to disarm was 11 years ago. He is adept at
deception and delays and denying. He asked for more time so he can
give the so-called inspectors more runaround. He's interested in
playing hide and seek in a huge country. He's not interested in
disarming.
I hope the world has learned the lessons from the past, just like
Saddam Hussein has learned the lessons from the past, but in a
different way. It's time for us to hold the world to account, and
for Saddam to be held to account. We must not -- (applause.) We must
not be fooled by the ways of the past. After all, we just discovered
undeclared chemical warheads in Iraq. It's incredibly troubling and
disturbing for a man -- that is evidence of a man not disarming.
He wants to play a game. For the sake of peace, we must not let
him play a game. And so the resolutions of the Security Council will
be enforced. (Applause.)
My hope is that Saddam Hussein will disarm voluntarily; that's my
hope. I take seriously the commitment of any troop into combat. I
desire peace. But in the name of peace, in the name of securing our
future, if Saddam Hussein will not disarm, the United States of
America and friends of freedom will disarm Saddam Hussein.
(Applause.)
And should that path be forced upon us, there will be serious
consequences. There will be serious consequences for the dictator in
Iraq. And there will be serious consequences for any Iraqi general
or soldier who were to use weapons of mass destruction on our troops
or on innocent lives within Iraq. (Applause.) Should any Iraqi
officer or soldier receive an order from Saddam Hussein, or his
sons, or any of the killers who occupy the high levels of their
government, my advice is, don't follow that order. Because if you
choose to do so, when Iraq is liberated, you will be treated, tried
and persecuted as a war criminal. (Applause.)
And there will be serious consequences -- should we be forced
into action, there will be serious consequences for the Iraqi people
-- and that's freedom, freedom from oppression. (Applause.) Freedom
from oppression, freedom from torture, freedom from murder, freedom
to realize your God-given talents.
And so we've got a lot of challenges when it comes to keeping the
peace. But this great, mighty nation, this kind, generous,
compassionate nation will lead the world to peace, so that not only
our children, but children in the far reaches of our globe can grow
up in a peaceful society. (Applause.)
And here at home, we've got economic challenges. Think about what
this economy of ours has been through. In a short time, we've had a
recession. I -- first three quarters of my presidency were negative
growth. That's the definition of a recession. And then before we
could get our head above water, the enemy hit us -- and hurt us. It
took thousands of innocent lives, and at the same time, hurt our
economy.
And we acted. We acted on the recession by letting you have more
of your own money. We enacted the largest tax cut in a generation.
(Applause.) And it helped. It helped bottom out that recession. You
see, when people have more of their own money, they tend to spend
it. And when they spend it, it means somebody is going to produce
the product or the service in which they're spending their money,
which means, then, somebody is likely to find work.
We acted after the enemy hit us. We made sure our airlines got
moving, and we passed a terrorism insurance bill to encourage large
construction projects to move forward, so our hard-hats could find
work here in America. We got the stock markets up and running. We
acted.
And then the confidence of our country was affected when it
turned out some of our corporate leaders didn't tell the truth, that
they fudged the books, that they thought in this-- they thought it
was okay to deceive their employees and shareholders. And they found
out that it's not okay. We're going to find them and prosecute those
who don't tell the truth. (Applause.)
We've taken action, but there's more to do, because there's still
people looking for work. There's still uncertainty about the
economic future of this country. Any time somebody is looking for
work and can't find a job says to me, we've got a problem. And so
today, I want to talk to you about how I think it's best to address
the problem, what Congress can do to make sure that the environment
for job growth is strong in America. And it starts with accelerating
the tax relief plan we've already passed. (Applause.)
The tax plan that passed doesn't take effect-- finally take
effect until years from now. The rates in 2006 -- dropping the lower
rate from 15 percent to 10 percent in out-years; getting rid of
parts of the marriage penalty; raising the child credit from $600 to
$1,000 -- (applause) -- all these plans have been approved by the
Congress. And yet our economy is still bumping along. For the sake
of economic vitality and growth, the Congress needs to accelerate
the tax plans. (Applause.) If the tax relief is good enough three
years from now, surely it's good enough today. (Applause.)
And when they act-- because I'm confident they'll hear the voices
of the people-- and when they act, we will then make sure that the
tax relief takes effect of January of this year, to immediately get
money in your pockets and into the economy. (Applause.)
You hear a lot of talk about fairness, and there ought to be
fairness in our society. That's one of the great things about
America, we try to be fair. A family of four with an income of
$40,000 will receive a 96-percent tax cut. (Applause.) That's fair.
And it's good for the economy. It's the right thing to do.
Ninety-two million Americans will keep an average of $1,083 more of
their own money when this tax plan goes through. And that's good for
the economy. (Applause.)
But there is a difference of opinion about who best to spend your
money in Washington, D.C. Sometimes they forget whose money you're
spending. Listen to the rhetoric. The government's money, they say.
The money in Washington is not the government's money, it's your
money. And you can spend it just as good or better than the
government can. (Applause.)
In order to make sure people can find work, we've got to
strengthen our small business environment. And one of the things
that gets lost in this debate about tax relief is the effect of tax
rate reductions on our small businesses. Oh, sure, you hear the
typical class warfare rhetoric, trying to pit one group of people
against another. But lost in the all the rhetoric is the fact that a
significant number of small businesses pay taxes at the individual
income tax rate, starting right here with JS Logistics. They are
organized such that they pay taxes on the company profits at the
individual tax rate. So, therefore, when you reduce all rates on the
income tax code, you're affecting small business, like JS.
The best way to encourage job growth is to let companies like JS
keep more of their own money so they can invest in their business
and make it easier for somebody to find work. (Applause.)
Twenty-three million small business owners will receive an
average tax cut of $2,042 under this plan. Now, some will say in
Washington, of course, that's not much money. It's a lot of money to
somebody who has got two employees. It's a lot of money to somebody
making a decision whether or not to expand a business. It's a lot of
money. And when you multiply the effects of that money throughout
our society, with all the individual decisions that are being made
to strengthen these small businesses, it is going to have an
incredibly positive effect on job growth in America.
And to make sure that job growth at the small business level is
even more significant, we ought to allow small firms to right off as
expenses up to $75,000 a year, instead of the limit of $25,000 a
year. (Applause.)
So I met a guy today named Joe. He runs Software-to-Go. He's got
three employees. He said, I looked at your plan. Where are you, Joe?
There you are. He said, I looked at your plan. He said, by allowing
businesses to expense up to $75,000, it means somebody is more
likely to buy a copying machine, or in this case, an architectural
fancy machine. (Laughter.) But the point is, is that he then has
more business opportunity, even though this tax relief doesn't
affect him directly. It affects his customers. It makes his
customers more likely to buy a product. And when Joe's customers are
more likely to buy a product, he's more likely to be able to employ
people.
It is important for Congress to understand that the
revitalization of the small business sector is incredibly important
to the job growth of the United States of America. (Applause.)
One aspect of the tax relief plan that I haven't mentioned yet,
which is important to small business owners, is the elimination of
the death tax. A lot of people work all their lives to build up
their business or their farm or their ranch. And after they're gone,
their heirs are unable to keep their assets because of the death
tax. It's unfair. It taxes a person's assets twice. It means that
family farms leave the family sooner than the owners of the farms
would have liked. It means small business owners like Joe may have
problems passing their business off to a child or somebody they
choose to pass their business off of.
We put it on its way to extinction. Unfortunately, the law -- the
rules of the Senate are such that after 10 years from the time of
the passage of the bill, they could conceivably come back. For the
sake of certainty, for the sake of fairness, the Congress needs to
make all the tax relief not only happen now, but to make sure the
tax relief is permanent. (Applause.)
I also believe we ought to end the double taxation on dividends
in America, as well. (Applause.) Dividends are important for our
seniors. Many seniors rely upon dividends to help them in their
later years. Ending the double taxation on dividends will encourage
capital to flow into our markets. Capital equals jobs. Ending the
double taxation on dividends makes the tax code more fair.
Let me talk to you about one aspect of what I mean when I talk
about helping seniors. More than 40 percent of the people who
receive dividends make under $50,000 a year. Many of them are
seniors. Three-fourths of the people in America who receive
dividends make less than $100,000 a year. Dividends help our fellow
citizens deal with their retirement years.
Dividends are a part of the savings of America. Double taxation
of dividends deprives people of needed money. It has bad effects.
The average savings for somebody 65 years and older, if we get rid
of the double taxation on dividends, will be $936 per year per tax
return in America. Getting rid of the double taxation of dividends
helps Americans from all walks of life. (Applause.)
When this tax plan is passed -- and I expect Congress to hear
from the American people and pass it -- (applause) -- we will be
putting $70 billion in the economy over the next 16 months. That's
how to make sure this economy is growing jobs so people can work.
That's important. It's called stimulative effect.
The Council on Economic Advisors said these proposals over the
next three years will create 2.1 million jobs, and that's important.
This is a common-sense plan that trusts the people with their own
money, that recognizes that-- that there are ways and things we've
got to do to make sure this economy is growing.
Part of making sure our economy is strong is more money in your
pockets. Part of making sure the deficits don't balloon is for
Congress to hold the line on spending, and I expect them to be wise
with your money. (Applause.)
I mentioned early on that I recognize there are hurdles, and
we're going to achieve those hurdles. There's no doubt in my mind we
will, because of the nature of this country. The entrepreneurial
spirit in America is strong. Look right around you, right here in
J.S. It's one of the things that makes us a great nation. There are
thousands of Americans from all walks of life who are realizing
their dream of owning their own business, and that's incredibly
positive. And the government can help create an environment where
that makes-- is more possible.
There are thousands of our fellow citizens who are loving their
neighbor just like they'd like to be loved themselves. That doesn't
require a government program. It requires answering a higher
calling. (Applause.) The compassion of this country runs deep in our
soul, and there are thousands of Americans who are willing to serve
overseas in the name of peace and liberty.
If you've got a relative in the United States military, the
Commander-in-Chief is proud of their skills, proud of their service,
and proud of their commitment -- (applause) -- and proud of their
commitment to peace and freedom.
May God bless you all, and may God bless America. (Applause.)