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 White House Thursday A.M. Press Briefing by Dee Dee Myers
WASHINGTON, Feb. 18 /U.S. Newswire/ -- Following is a transcript
of this morning's White House Press Briefing by Dee Dee Myers:

The Briefing Room, 9:20 A.M. EST

MS MYERS:  Okay, I have a few details on Sunday, Monday.
We will leave here at roughly 9:00 a.m., 9:15 a.m. Sunday morning.  He
will fly to Los Angeles and do an event at Santa Monica College,
followed by a couple of private events; then fly up to the Silicon
Valley, where he'll do some evening events, a reception, something --
the details aren't quite clear.

In the morning, Monday morning, he'll tour a high-tech facility
somewhere in the Silicon Valley, and then fly up to Seattle for an early
afternoon event -- probably somewhere between 1:00 p.m. and 3:00 p.m.
Pacific Time.  And then he'll fly back, and we expect to be back in
Washington by early evening -- 7:30 p.m., 8:00 p.m.

Very reasonable schedule.

Q       He's overnighting in San Francisco?

MS MYERS:  Overnighting in the Silicon Valley area, Santa Clara.

Q       Are these key places that he's picked for the selling
job?  Do they have any --

MS MYERS:  Well, partly California's been, as you know, hard hit
by the recession; it's been slower to recover.  There's been tremendous
job loss there, particularly in the defense industry.  The President's
talked a lot about converting the defense research and development
dollars into civilian research dollars and having a defense conversion
plan.  Those are things, among other things, that are particularly of
interest to the West Coast.

But I think he wanted to take -- he hasn't been to the West
Coast yet as President.  I think he wanted to go out there and continue
to talk about his economic plan.

Q       You're talking about -- events each day?

MS MYERS:  One public event on Sunday, one Monday morning in
California, and one Monday afternoon in Washington.

Q       Do you have specific companies he's going to meet with,
aerospace companies?

MS MYERS:  He won't be meeting probably with aerospace
companies, it'll probably be other high-tech -- one high-tech company
that he'll probably tour on Monday morning.

Q       -- who that is?

MS MYERS:  Don't know yet.

Q       The Sunday night events then are not public events?

MS. MYERS:  Probably not -- probably a reception, perhaps with
Silicon Valley business leaders.

Q       What is the reaction to the -- I mean, this is not a
softball -- do you have any kind of figures or -- that will tell on the
speech?

MS. MYERS:  Well, I think the only sort of quantitative data is
what has been in public polls.  I think the CNN poll showed 79 percent
of people supported the President's plan; ABC News had a poll that
showed roughly three to one that thought the plan was fair.  The
overnight reaction has been terrific.  People are ready for straight
talk.  The President outlined a series of very specific cuts -- 150
cuts.  We'll have all the details of those today in the book; plus
revenue increases, plus an investment package that will get the economy
moving again and create jobs.  And I think the American people are ready
for a new direction in economic policy.

Q       Your meetings this morning, did you guys take away kind
of -- get any follow-up from last night that you realize we need to
focus more on this, let people know more about -- the middle class is
only going to be hit by the gas tax or -- what is your strategy to make
sure that this thing is sold right?

MS. MYERS:  Well, I think there's a lot of information out
there.  This is a complicated plan.  It's a detailed plan.  And I think
it's up to us to continue to explain to people how it will affect them;
to remind people that it's a very fair plan; that the majority of new
taxes will fall on the people who are best able to pay, people who make
over $100,000 a year; that the energy tax will be broad-based; that
there will be long-term effects, such as lower interest rates, which
will help people; more jobs; more competitive economy; lower deficit --
all those things that will have a general good impact on middle class
and upper middle class people.

Q       When does the legislation for all these different things
go to the Hill?

MS. MYERS:  Well, the stimulus package, the spending portions of
the stimulus package, we expect to pass quickly -- probably next month.

Q       When is he going to the Hill?  Are you going to send it
up in the form of legislation?

MS. MYERS:  Yes, we'll be working with Congress on that starting
today.  But as you know, both Director Panetta and Secretary Bentsen
will testifying, and I believe Secretary Reich, and starting to hammer
out the details of the package.  And it will start with a stimulus
package -- stimulus package.  The spending portions of the stimulus
package will go to Congress first.  As you know, the tax portions of the
stimulus package are retroactive to December of '91.  Those won't get
passed until reconciliation in the summer of '93.

The rough time schedule is that the President will announce the
budget sometime at the end of March.  We expect to have a budget package
by the 1st of May -- just a traditional date.  Then it goes to committee
and comes back to reconciliation sometime in the summer; so probably
August.

Q       You say the taxes are retroactive to --

MS. MYERS:  That will be the investment tax credits --
retroactive to December of '92.

Q       What would you say -- the Vice President artfully dodged
answering this question on all the morning shows this morning -- but one
big concern of people across party lines, including Ross Perot, without
having had a chance to examine the details on the spending cuts, is that
Congress will do as it always does:  enact the tax increases and then
forget about the spending cuts or water them down.  Is there any
guarantee from the President in his program that that will not happen,
that the tax increases will not take effect until the spending cuts are
enacted?

MS. MYERS:  Well, I don't know if there's any guarantees, but
the President is committed to passing the entire package, working with
Congress to get it through.  He is very serious about deficit reduction,
and that's why he has outlined 150 specific cuts.  He has gone directly
to the American people with those cuts, and he has said to the critics,
if you don't like these specific cuts, then give me some different
specific cuts.  But let's talk about specifics.

Q       I mean, we're not talking specifics, but we're talking
about the enforcement of it.  Now, he has the power to do that, because
he can simply hold off on signing a tax bill, put pressure on the
people.  I mean, what kind of effort is he going to make to ensure that
both halves of the package get passed?

MS. MYERS:  He's going to work very hard with Congress to get it
passed, to enact equal -- basically, this budget contains an equal
number of spending cuts, an equal amount of spending cuts, and new
revenues.  The President is committed to that.  He believes that you
have to do both in order to show the American people that you're serious
about long-term deficit reduction, that you can't just raise taxes, you
also have to reduce spending.  He has gone out of his way to do that
starting with government:  $9 billion in administrative cuts, freezing
cost of living increases for federal employees for a year, and then
increasing their salaries below inflation.  And then about $30 billion
total -- over $30 billion total in government cuts.  Those are
important, as are $100 billion in discretionary spending cuts.

Q       Would it be fair to say the President is committed to
not raising taxes without spending cuts?

MS. MYERS:  Absolutely, that's why he outlined 150 specific
cuts.  He could have just called on Congress to make the cuts.  He
didn't do that.  He took the much more difficult approach by outlining
exactly where he's proposing the cuts.  Previous presidents have said,
we're going to cut $250 billion in spending, and I'm going to leave it
to Congress to do it.  The President didn't do that.  He came back and
said here's where the cuts are going to come; some of these are very
painful, some of these are painful to programs I care about.  He pointed
to the Rural Electrification Administration as one, things that affect
his home region of the country, things that affect programs he cares
about.  But I think what he wanted people to know is that he's serious
about it; everyone's going to contribute, including him; and he's
willing to go forward with it.

Q       Is he going to include in the initial package he sends
up the enhanced recision authority that Panetta said yesterday that he
was interested in having as well as sequestration if the goals can't be
met?

MS. MYERS:  I don't know if that'll be in the package.  I'll
have to get back to you on that.

Q       Well, is it something he still supports and wants
Congress to pass as soon as possible?

MS. MYERS:  Absolutely.

Q       So why wouldn't it be included in his package?

MS. MYERS:  I just don't know the specifics.

Q       I just want to follow up on the previous question. Is
he going to do, though, what he's done in his past political history,
and that is, promise not to sign a tax increase until the spending cuts
get made?  Is there going to be a guarantee?  Is he going to verbally
guarantee, I will not raise your taxes unless some -- there are an equal
number of spending cuts?

MS. MYERS:  He's outlined specific spending cuts.  He hasn't
made any verbal pledge like that.  But he's outlined the spending cuts
and tax increases --

Q       So there is a possibility that there could be tax
increases and not the accompanying spending?

MS. MYERS:  The President is committed to doing both.  He
doesn't believe he can achieve his long-term objectives unless spending
is cut.  That's why he outlined, again, 150 specific cuts totaling over
$250 billion.  He's very committed to that.  He doesn't believe that
that program will work unless it includes both new revenues and cuts.
And he's going to challenge his critics again to be specific.   If they
don't like the cuts he's outlined, be specific, give us different ones.

Q       Why do you think no guarantee is necessary?  You imply
that there's no guarantee necessary other than --

MS. MYERS:  I think that the guarantee -- the commitment is in
the document.  He didn't -- again, he didn't leave it to Congress to cut
$250 billion; he went and did it.  I think his commitment is clear.  No
president has done that before.  He's going to work with Congress to try
to get the package passed.  He's going to work with the American people.
He's going to take this package and work as hard to get it through as he
did to put together a package that was fair.

Q       What's his reaction -- how does the President read the
reaction so far to his plan, the program that he announced last night?
And part two, what does he hope to accomplish on this two-day campaign
swing?

MS. MYERS:  Well, I think he feels very good about --both about
the speech.  He said what he wanted to say.  He outlined his package.
It was specific, it was detailed.  The overall reaction has been very
good, both from members of Congress and in anecdotal form from the
American people.  Clearly, the overnight polls, what there is of them,
is very encouraging.  What he hopes to do on this trip is to go out into
the Midwest and the Northeast and to talk to people directly about
what's in the plan.

His message is going to be:  Don't ask what's in it for me, ask
what's in it for us.  This is, don't look at one specific portion of the
plan, look at the plan in its entirety.  If we're going to be serious,
if we're going to turn this country around, which is what he believes
the American people elected him to do, then we need to make some
serious, dramatic changes.  He has put forward a bold plan that requires
everybody to contribute, but at the same time, people will all benefit.
And I think he wants to make the specific elements of that plan clear.

Q       Can you give us a count of your phone calls last night?

MS. MYERS:  I haven't seen them yet.

Q       Is he going to be totally consumed for the next six
months with this -- with the selling or does he have --

MS. MYERS:  It's certainly going to be high on his agenda.  He
spent a significant amount of time, as you know, putting this package
together.  He feels it's fair, it's comprehensive, it's bold, it will
achieve its desired effects.  He is now going to work --

Q       Why does he feel he has to barnstorm the country if he
thinks everybody's on board?

MS. MYERS:  I don't think he thinks everybody's on board.  I
don't think he has any illusions about how difficult this is going to be
to sell.  There are --

Q       What's difficult?

MS. MYERS:  It requires everybody to contribute something.  It's
complicated.  It requires serious spending cuts.  It asks people to give
up things that they've had.  It asks them to pay more.  It asks
everybody to put aside their own personal self-interest and look at the
national interest.  He knows that that's not an easy plan.  He's always
said that he's not taking the easy path, he's taking the right path.
And I think he wants the American people to know how committed he is to
turning this economy around.


Q       So you think this initial reaction is simply in the
euphoria of the moment, that when reality sets in, he may find some
opposition?

MS. MYERS:  Well, I think that the initial reaction is that the
President outlined a bold plan, he talked straight to the American
people, he didn't use rosy scenarios or magic asterisks.  He gave them
an honest accounting of the budget and of the problems that this country
faces.  I think the American people appreciate that.  And when they're
asked to pull together for the national interest -- which they haven't
been done, which hasn't happened in about three decades --they're
willing to do it.

But there are going to be a lot of people, a lot of lobbyists
and others, who are going to oppose specific portions of the plan, who
are going to say that it can't be done; who are going to say that the
President's goals can't be met; that we can't turn the economy around
this way; either the President's not cutting enough spending or he's
cutting too much spending; he's not raising enough new revenues; he's
raising too much new revenue.  And there's going to be a cacophony of
different objections.  And I think the President's going to take his
case directly to the American people so that he can continue to call on
them to work together to turn this economy around.

Q       On a lighter moment.  Can you tell us how many donations
he's had for the track so far?  How you're going about --

MS. MYERS:  None that I know of.

Q       How are you soliciting?  I mean, could we all contribute
a dollar and then give the --

MS. MYERS:  You are welcome to contribute a dollar.  We'll pass
the hat at the end of the briefing.  (Laughter.)

Q       I wonder what is the approach to getting $20,000 to
build a track?

MS. MYERS:  I don't know what the specific approach is.

Q       But there is no money in the kitty yet?

MS. MYERS:  Not that I know of -- other than the building
materials, which again are worth about $10,000.

Q       Why do you need a track?  And why can't he just run on
the grass?

Q       -- solicitation?  Do you know who it is yet?

MS. MYERS:  No, I don't.  I know that counsel is making sure
that it's structured in a way that's advisable.  And I will let you know
as soon as the other details are clear --

Q       -- two unrelated questions -- one on the jogging track.
Can you  assure us that the decision to solicit voluntary contributions
was made before the existence of the track was discovered by the press?

MS. MYERS:  The President always intended for the track to be
paid for with private donations when he approved the project.

Q       You didn't get a date, though, of when this whole thing
germinated?

MS. MYERS:  No.

Q       Okay, and the second question is on the economic plan.
There was a feeling left after his speech Monday night that I give you a
chance to clear up.  The President didn't mean to imply that if you
disagree with the economics of his plan -- not that something needs to
be done -- but with the specifics of his plan, you're unpatriotic?

MS. MYERS:  No, the President meant to imply that patriotism is
a sense that this country can pull together in the interest of its
collective goodwill, if you will; and that it's been a long time since a
President has called on the nation to put aside narrow self-interest and
to act in the broader national interest.  That's what he meant to imply
by that.

Q       Dee Dee, do you think that tone of that Monday night
speech was misinterpreted by people?

MS. MYERS:  I don't think so.  I think the American people knew
that the President was preparing them for a bold plan and asking them to
evaluate it in its totality, not to look at too many details.  I think
it's unfortunate there was more emphasis on the tax portion of the plan.
Some of those details came forward first.  And I think a lot of the
spending cuts were lost for a day.  But I think now that the American
people have had a chance to see the total plan, to hear about the
spending cuts, as well as the revenue increases and the investments,
that they basically support us.  Seventy-nine percent of people said
that after hearing the President's speech they support the plan.  I
think that's a very encouraging sign.

Q       But don't you think -- I mean, he seemed to switch from
sacrifice to contribution to -- it almost seemed like last night was a
little more of a reassuring tone, perhaps particularly after Wall Street
reacted so negatively.

MS. MYERS:  I don't think so.  I think the President's objective
on Monday night was to tell people there is a high price if we don't
change.  What I'm going to tell you  on Wednesday -- I'm going to give a
plan for bold change.  It's not going to be easy, and it's not going to
be without its downsides.  But if we don't change, then we have a
declining economy, a declining standard of living, higher interest
rates, and a loss of competitiveness to look forward to.  I think he
wanted people to know that this was going to be a bold plan, but that
the price of not doing it was higher than the price of doing it.  And he
reemphasized that last night.

Q       Dee Dee, what are you going to tell the federal workers
who think they're being singled out for extra sacrifice?

MS. MYERS:  Everybody has to contribute, and I think the
President, in order to reassure the American people that he is serious,
has to start with government.  He did that last week, as you know, a 25
percent cut in the White House staff, $9 billion in administrative cuts.
Now he's asking federal employees to give up their cost of living
adjustments for a year.  But I think it all goes to how serious he is
about cutting, starting with government, asking business and the wealthy
to pay their fair share before he goes to the middle class.

Q       But Dee Dee, presumably federal employees, being
Americans along with everyone else, are going to pay the same share of
higher energy taxes or higher income taxes that everyone else will pay.
But where the rest of the country is not going to be having their wages
frozen for a year, federal employees are.  Why them?

MS. MYERS: Well, I don't think that the rest of the country is
necessarily guaranteed wage increases every year.  When times are good
people's wages go up, when times are not as good people's wages don't
necessarily go up.  And I think that is true of the federal government
as well.  When you work for a company who is having a good year,
sometimes you get more benefits.  When you work for a company that has
to change the way it does business, sometimes you have to tighten your
belt.  That's the way it is in the private sector, that's the way it is
in the public sector.

Q       Dee Dee, on that, though -- I mean, one of the concerns
has been that the private sector had been stealing the good people from
the federal government, that it offers much more money.  Is there any
concern that there will be a loss of skilled people?

MS. MYERS:  No.  I think if you can restore the  integrity of
government, make people believe in government again, that you can
continue to attract good people.  I think the President's has been able
to attract good people at every level.  I think that will continue to be
true.

Q       Does the President regret that he didn't work a little
harder, maybe, on bipartisan support for this package in advance of its
unveiling?  Because it looks already like, you know, a lot of the
Republicans are just writing it off and -- I mean, by way of example, 12
years ago after Reagan's speech there was a lot of support on both sides
of the aisle for what he was proposing.

MS. MYERS:  Well, it's a lot easier to support tax cuts and
increased defense spending and to tell people that they're not going to
have an increased deficit to go along with it.  But that's just pie in
the sky.  It's a lot easier to support something that sounds good, that
doesn't ask anybody to contribute anything.  I think the President did
work hard to try to enlist some bipartisan support.  Obviously, again,
he worked harder with the Democrats to tell them specifically what was
in the plan and to enlist their support.  But I think that the reaction
from the Republicans, particularly this morning, after they've had a
chance to ascertain public reaction, has been tempered.  And I think
that this is not going to be easy, but there is an opportunity here for
collective work on this project.

Q       You guys had indicated that we're going to see travel
about once a week in the next however many weeks.  Does the West Coast
trip take care of next week, or is there something else --

MS. MYERS:  There is nothing else scheduled for next week.

Q       I want to thank you for taking the gravel off the
driveway for the helicopter that will sweep into us when we're waiting
to see him --

MS. MYERS:  We didn't want you guys to be pelted with gravel.

Q       Aren't these trips away pressuring Congress to vote for
the plan?  I mean, if the President goes out there, and assuming he gets
good reaction, just makes it that much harder for, especially Democrats,
to defect and vote against this plan.

MS. MYERS:  Well, clearly the President believes that if people
know what's in the plan, if they believe it's fair, if they believe that
it couples spending cuts with revenue increases and that it invests to
create a stronger economy, that they will support it.  And certainly,
members of Congress will listen to their constituents.  But he's going
to appeal directly to the American people and ask them to work with him
to get this package through Congress.

Q       What do you think of what Perot said last night?

MS. MYERS:  Well, I thought his initial reaction was quite
supportive.  He said he thought it was a good first step, that it took
good steps toward reducing the deficit, and that he wanted to see the
details, which we'll be happy to provide.

Q       Do you disagree that a balanced budget amendment is
necessary?

MS. MYERS:  Clearly, the President has said a number of times
that it's just another budget gimmick, that it won't solve the problem.
What he believes will solve the problem is specific spending cuts and
revenue increases and a plan, which he has put forth.

Q       Do you think Perot's reaction was more important than
the Republicans?

MS. MYERS:  The Republicans are going to have to work with the
Democrats to get the plan through Congress.  And certainly, Mr. Perot
has a constituency out there, people who care about reducing the deficit
and getting the economy back on track.  We think this plan will appeal
to them.  Obviously, we'll have to work with the Republicans to get this
package through Congress, and we'll do that as well.

Q       To what extent is the White House involved in the DNC's
efforts to put together both volunteer and paid phone banks to get out
the support for this package?

MS. MYERS:  Well, the DNC is obviously separate, and they make
their own decisions about how to structure their different programs.
Clearly, their mission is to create support for Democratic initiatives.
What the President did last night was outline a program that is a clear
change in direction, is a dramatic reversal of 12 years of trickle-down
economics; and I think it's an excellent organizing tool for Democrats,
and I would expect the DNC to try to organize around it.  But in terms
of the specifics of their plan, that's something that they decide on
their own.

Q       I want to ask you -- and I don't know if you can answer
this -- but one specific question about the spending cuts.  The
President said in his speech last night that he wants to build more
prisons to help alleviate the crime problem.  And in the documents we
were given yesterday, it shows a significant cut over the next four
years in the money being spent to build prisons.  And I was wondering
how you can reconcile those?

MS. MYERS:  Well, you can continue to build prisons.  It's a
question of how fast -- there's been a doubling in the number of prisons
in recent years in this country.  Though there are a number of projects
that are still in the pipeline that will be completed, the President
supports ongoing prison construction.  But there will be some reduction
in the overall spending on prison -- or the money that was allocated for
prison construction.  But the projects currently under construction will
be completed, and there will be ongoing prison construction.

Q       Dee Dee, is the administration considering airlifts to
get supplies into Bosnia right now?

MS. MYERS:  I can't comment on that right now.  I'll get back to
you.

Q       Dee Dee, when we talked to you last night about the
jogging track you were unable to identify the company that donated the
$10,000 worth of materials.  Do you have an identification yet?

MS. MYERS:  I don't.  I'll have to -- I didn't have a chance to
follow up on that.

THE PRESS:  Thank you.

MS. MYERS:  The plans will be -- if the plans aren't available
before we leave, for people that are going on the trip, we will bring
them on Air Force One and get them to you in St. Louis.

MR. SELDIN: They are also going to be available some time
between 10:00 a.m and 11:00 a.m.  We're going to move it on U.S.
Newswire.  So that's going to be the quickest way to get it.

END
9:45 A.M. EST