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Thank you very much. ... All of
you know from personal experience
how much American industry has
been changed by the cutbacks in
defense. Defense spending peaked
in 1985, and by 1997 it will have
been reduced approximately 40
percent, perhaps more, from its
1985 peak. These changes have led
not only to reductions in military
personnel abroad, in closings of
bases at home, but dramatic
changes in military contracting that
have affected companies like this
one and which have affected the
economies of the states of Califor-
nia, Connecticut, Texas and many
others.

It has been said that while
change is certain, progress is not.
And that certainly is true when it
comes to the challenge of meeting
the national economic goals that we
have in the face of cutbacks in
military spending. As I said, these
cutbacks have been since 1985;
more are to come. They are
essential in a world in which we
need funds to be reinvested in the
domestic economy and in which
the security threats we meet today,
while very serious, are different and
clearly less expensive than those we
faced when the Soviet Union and
the United States faced each other
across the Berlin Wall with the
barriers of the Cold War and the
imminent prospect of nuclear war.

So these changes had to come.
But if we do nothing in the face of
change, we have learned the hard
way that we are its victims. If we
take bold action, we can be the
beneficiaries of change.

All of you here at Westinghouse

Electronics Systems Group are economy. Anticipating this chalproof that you can make change lenge, far-sighted members of your friend. In 1986 just 16

Congress appropriated approxipercent of the work done here was mately $112 billion for defense nondefense; today it's 27 percent; conversion last year, including by 1995 half or more of your work ideas that literally came from the will be nondefense.

minds and the efforts of some of the What you have done here is members of Congress who are here what I wish to do nationally, take with us today. They demonstrated some of the most talented people in aggressiveness in adapting to the world who produce some of the change, but until today, in spite of most sophisticated military technol- that act, none of the money approogy and put that to work in the

priated by Congress was released, civilian economy.

and there was no comprehensive The military surveillance

plan for what to do with it. technology I have seen here can now be used to help commercial Invest in People airlines avoid wind shears. Military Today, I want to explain how security technology can now be we're going to put your money to used to help police officers on the work to put Americans to work and streets and in their patrol cars to be how we're planning for the future safer and to solve crimes and to by investing in our people, encourfind missing children more rapidly. aging our companies and assisting State-of-the-art batteries are helping our communities. here to develop an electric car

Our first priority has to be which may well provide an enor- investing in our people. Keep in mous opportunity for America to mind, as you all know here, when become more energy-independent the defense budget is reduced, that and to dramatically reduce the affects obviously contracts and pollution of our atmosphere at a therefore the jobs of people who time when we have been reminded work in the private sector; it also anew that there really is a hole in affects the size of the military force the ozone layer and there really are itself, the configuration of our problems with unlimited emissions defense forces abroad and here at of CO, (carbon dioxide).

home and the people who will be Clearly defense conversion can affected by the reductions. be done and can be done well,

Our defense reinvestment and making change our friend and not conversion initiative will rededicate our enemy. But in order to do it, $375 million right away to help we must act, act decisively, act working people affected by defense intelligently and not simply react reductions with employment years after the cuts occur.

services, job training and transition Last year, when a candidatarimo persistente al 30 million of that will

go to create new jobs in the civilian

president
, I outlined a plan IBRARI ponsored job training programs;

JUN 16 1993

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Our first priority has to be investing in our people. Keep in mind, ... when the defense budget is reduced, that affects obviously contracts and therefore the jobs of people who work in the private sector; it also affects the size of the military force itself, the configuration of our defense forces abroad and here at home and the people who will be affected by the reductions."

vanced Research (Projects) Agency, or DARPA. DARPA helped keep America on the cutting edge of defense research. To meet the new challenges of the new world, we're giving DARPA a new mission and restoring its old name, because before 1972 that agency was known simply as the Advanced Research ... (Projects) Agency. By going back to that name and refocusing the agency's efforts on dual-use technology, such as that which you have demonstrated to me here today, rather than strictly military applications, we'll be better able to integrate research, to strengthen defense and to promote our economic security here at home.

merce Department we'll invest another $80 million in a revolving loan and grant program to directly and immediately aid communities hit hardest by defense cuts.

Finally, the secretary of defense has assured me that he will do everything he can to speed the environmental clean-up on bases that are closed so that they can be turned over either to commercial purposes or to local government at the earliest possible time, so that there will be a minimum loss of economic activity in areas where bases are closed.

112 million will help members of the Guard and the reserves make the transition to civilian life and to provide severance pay and health benefits to civilians who are leaving government employment.

There is also an initiative to provide early retirement benefits for military personnel with 15 years of service or more, to start a new program to encourage them to put their skills to work in vital areas like teaching, law enforcement, environmental restoration and health care.

Under a provision authored by Sen. Sam Nunn of Georgia, any member of the military who's being mustered out with 15 years or more of service can go to work in law enforcement, for example, and earn a year of military retirement for every year they work in law enforcement, so that these people who have committed their lives to the service of our country and could not reasonably have known that this reduction would occur and would affect them can still earn their military retirement by serving their country here at home.

We must also recognize the ripple effect of defense adjustment and target assistance to our communities. In 1993 alone, we will triple the budget of the Defense Department's Office of Economic Adjustment. The $30 million we've committed to this task will be invested in helping our communities find the tools and the expertise to adjust to the changed nature of their local economy. It will be an investment that pays off in the long term.

In addition, through the Com

Promote Dual Use

But all the worker training in the world and all the community assistance in the world will do no good if there are no jobs for those workers and no businesses for those communities. The private sector is the engine of lasting economic growth in our system, and therefore our plan must help our companies to make these transitions, to compete and to win.

We seek to go beyond the debate of the past in which some thought government alone could do everything and others claimed government could do nothing. In this area, there are two things government can do to aid companies like this one - promote dualuse research and promote civilian use of technology that was formerly developed for military purposes. That is what you have done here. We want to speed and expand that process all across the United States.

One of the success stories of the Cold War was the Defense Ad

Support, Promote Efforts

Starting now, this agency, ARPA, will allocate more than $500 million to technology and industrial programs like the ones we've seen here today. We'll support industryled consortia in dual-use technologies and promote efforts to break through with commercial uses of formerly defense technologies. Programs will be selected on the basis of merit and will require matching funds from the corporations affected. We're even going to set up a toll-free number to attract good ideas from good companies. And you'll like this: The number is 1-800-DUAL-USE. ...

To help walk companies through their new opportunities, ARPA will provide them with this book, which puts together programs from the Defense Department, the Department of Commerce, the Department of Energy, NASA (National Aeronautics and Space Administration) and the National Science Foundation. It is a remarkable coalition of agencies finally putting all the information together for defense technology conversion, reinvestment and transition assistance.

To further coordinate assistance, ARPA will work with four other agencies, the ones I just mentioned, and we're going to have a series of regional outreach meetings all across this country, again to try to mobilize other companies to get involved in this initiative so that

I know today that the world's finest makers of swords can and will be the world's finest makers of plowshares. And they will lead America into a new century of strength, growth and opportunity."

they can save or create jobs instead of lose jobs in the face of defense reductions.

We want government-industry partnerships to help develop advanced materials. We want companies to form regional technology alliances so they can share information and develop new products and new markets. Our manufacturing extension programs will help bring state-of-the-art technology to companies in much the same way as the Agricultural Extension Service helped our farmers more than two generations ago begin to become the most productive in the world. And through the Small Business Innovation Research Program, we'll help small businesses in their efforts to develop dual-use technology.

Congress to embrace, defense conversion will require us to literally reimagine and reinvent the way government works. I've asked the National Economic Council to take the lead in our efforts to streamline and coordinate our conversion efforts so that

you

don't have to deal with a big bureaucracy where all the information is in many different places and sometimes seems to be operating at cross purposes.

Shifting to a civilian economy is of obvious concern to the Defense Department, but it's also the business of the Commerce Department, the Labor Department, the Energy Department, NASA and many other agencies, including the Department of Veterans Affairs, which will have even more veterans now, as people are coming out of the service and going into the civilian workforce.

Our National Economic Council will cut through red tape, break through turf battles and help to deliver services to our customers quickly and efficiently.

I don't pretend that this will be easy, and all of it will take some time. But the choice we face is

between bold action to build a stronger and safer and smarter America or continuing to cut defense with no appropriate response or with one that is too localized and too limited.

The soldier-statesman Dwight Eisenhower once observed that the resourceful American makers of plowshares could, with time, and as required, make swords, as well. Our challenge is now to reverse the process.

You have given us a stunning example of just how brilliantly that can be done here in this fine facility. I know today that the world's finest makers of swords can and will be the world's finest makers of plowshares. And they will lead America into a new century of strength, growth and opportunity. Thank you very much.

Technology Transfer

But dual-use technology is just the beginning. We have to explore also new opportunities in purely civilian technologies. This year alone, we'll invest $300 million in emerging nondefense technology. The Department of Energy will speed the transfer of technology to private industry from our national labs. And when Congress passes the stimulus package I have proposed, we'll have millions more to invest in research and development partnerships, in advanced technology programs and in computer networks for schools and libraries around the country.

As with every aspect of the program for change I have asked the American people and the

Published for internal information use by the American Forces Information Service, a field activity of the Office of the Assistant Secretary of Defense (Public Affairs), Washington, D.C. This material is in the public domain and may be reproduced without permission.

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Thank you very much. ... I am
honored to be here. As many of you
know, it is a great blessing and a
great honor to be elected president of
the United States. But there is no
greater honor in the office than being
the commander in chief of the finest
armed forces in the world today —
and the finest America has ever
known.

Our armed forces are more than
the backbone of our security. You
are the shining model of our Ameri-
can values: dedication, responsibil-
ity, a willingness to sacrifice for the
common good and for the interests
and the very existence of this
country. Our armed forces today
stand as one of modern history's
great success stories. Look at this
crew, reflecting every color, every
background, every region of our
society. I might say it's been a
special pleasure to me to meet at
least six people from my home state
of Arkansas here today. I'm sure
there are more of you here that I
haven't met.

The American military pioneered
our nation's progress toward integra-
tion and equal opportunity. It is
America's most effective education
and training system. It's constantly
asked to adapt to change, and
always, always, you have risen to the
challenge. All who wear America's
uniforms are what makes the United
States of America a true superpower
and a genuine force for peace and
democracy in the world.

Yes, this carrier can extend our
reach. These planes can deliver our
might. They are truly extraordinary
tools. But only because they are in
the hands of you. It is your skill, your
professionalism, your courage and

your dedication to our country and watch flight operations, as I have
to service that gives the muscle, the done here today, it was a key
sinew and the soul of our strength. milestone on the road to the end of

And today, I'm proud to be here the Cold War.
to salute you. I want to say a word Now, less than five years later, the
about the Navy and to tell you what world has changed faster than
it means to me to have a ready fleet. anyone on board then could have

possibly imagined. The Cold War is Where's the Carrier?

over, the Soviet Union itself no When word of crisis breaks out in longer exists. The Warsaw Pact is Washington, it's no accident that the gone. The specter of Soviet tanks first question that comes to

rolling westward across the north everyone's lips is, "Where is the German plain no longer haunts the nearest carrier?" This ship's name- United States. sake, President Theodore Roosevelt, Yet this world remains a very once said, "The Navy of the United dangerous place. Saddam Hussein States is the right arm of the United confirmed that. The tragic violence States and is emphatically the

in Bosnia today reminds us of that peacemaker." Theodore Roosevelt

every day. The proliferation of took special pride in our Navy, and I nuclear and other weapons of mass do, too. All of you ought to know destruction is a growing menace, that he was the first American ever to unfortunately, not a receding one to win the Nobel Prize. He won the peaceful nations. And human Nobel Peace Prize for his role in suffering such as that now being settling a war between Russia and endured by the people of Somalia Japan in the first decade of this

may not threaten our shores, but still century, in part due to the contribu- they require us to act. tions of the United States Navy.

Such challenges are new in many This impressive ship, not yet 10 ways, but we dare not overlook the years old, already has an impressive significance that they pose to our history, serving with distinction

new world. Blinders never provide
during the gulf war, where many of security. A changed security envi-
you served as well. And today we ronment demands not less security
should recall that three of this ship's but a change in our security arrange-
crew gave the last full measure of ments.
their devotion toward that victory.

But the Theodore Roosevelt was New Mission
part of history even earlier. In 1980, What is happening on this ship
it was here that an American chair-

proves that it can be done. On this man of the Joint Chiefs of Staff first deployment, you are, as the secretary welcomed his Soviet counterpart to of defense noted, doing something visit an American aircraft carrier OF MI CENYGYqu've changed your crew and

your equipment to reflect the new Crowe, and Marshall SetgeRQAR! Schallenges of the post-Cold War era. Akhromeyev stepped aboard this A squadron of sub-hunting planes is ship together to meet the cheWand7 199Zone, giving room to carry a contin

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