PAGE 6

I DON'T WANT TO LEAVE YOU WITH A TOTALLY GLOOMY PICTURE OF OUR
NATION'S CITIES. WE HAVE A LOT GOING FOR US. WE ALREADY HAVE MANY
INNOVATIVE PROGRAMS IN PLACE AND MANY MORE JUST WAITING TO BE
FUNDED. WE HAVE DEDICATED CITY COUNCILS AND A COMMITTED,
INVOLVED CITIZENRY. WE HAVE ACTIVE, CREATIVE COMMUNITY GROUPS,
PEOPLE ANXIOUS TO HELP THEIR NEIGHBORS THROUGH THE TOUGH TIMES.
WE HAVE STRONG PARTNERSHIPS BETWEEN OUR CITY GOVERNMENTS, OUR
SCHOOLS, AND OUR BUSINESSES. WE HAVE REGIONAL COOPERATION TO
POOL OUR RESOURCES AND ACHIEVE ECONOMIES OF SCALE.

WITH A LITTLE EXTRA PUSH, SPECIAL ATTENTION AND NURTURING, WE CAN
SOLVE OUR URBAN PROBLEMS. WE CAN RISE OUT OF THIS ECONOMIC
RECESSION, GET PEOPLE INTO JOBS, AND IMPROVE THE QUALITY OF LIFE
FOR ALL OUR FAMILIES. WORKING TOGETHER, WE CAN FORGE STRONG
PARTNERSHIPS WITH THE POWER TO ACHIEVE OUR GOALS. WE LOOK
FORWARD TO WORKING WITH YOU TO IMPROVE THE HEALTH OF OUR
NATION'S URBAN AREAS.

I THANK YOU, AGAIN, FOR YOUR ATTENTION TO OUR CITIES.

The United States Conference of Mayors'
1992 Emergency Jobs and
Anti-Recessionary Initiatives

had

Statement by

JOHN E. JACOB

President and Chief Executive Officer

NATIONAL URBAN LEAGUE, INC.

On President Bush's State of the Union Address

President
hoped

January 29, 1992

I address the

Bush's State of the Union address was disappointing. for a clarion call to revive the economy and long-term Depression that is devastating minorities and the cities. Instead, I heard an uncertain trumpet that stopped far short of what is

necessary to restore America's economy and bring the poor into the

mainstream.

The President's initiatives provide short-term stimulus to a plan

for improving the economy.

of actions the nation needs.

-

fall into two categories steps to recessionary economy, and a long-tera Neither offer a blueprint for the kind

would provide

counter-cyclical

For the short-term, the President stimulus by encouraging поге consumer spending through tax breaks, including an increase in personal exemptions. But the tax breaks would largely be skewed to benefit higher-income families who most benefited from the tax giveaways of the 1980s and will be of marginal help to lower income working families. He also renewed his call for capital gains tax cuts, which many economists doubt will stimulate much new investment. Taken together, the President's plans buy mild economic stimulus at price of riddling the tax code with new loopholes and giveaways to affluent, increasing the widening gap between society's haves and

the

the

have-nots.

What the President calls his long-term "Plan for America" similarly falls short.

While the rhetoric may be be appealing, I was disturbed by the the failure to back commendable goals with the resources to accomplish them.

22222

JEJ Statement on President Bush's State of the Union Message

I was also disturbed by the failure of many of the proposals to address real-world needs.

On health care, for example, the tax-credit route for health insurance premiums would still leave millions of Americans without adequate protection. The proposals for education are limited to fashionable notions like choice and a model schools program, but add no dollars to financially-strapped inner city schools. I support the President's plans for additional funds for Head Start and for encouraging low-income housing, among others, although we must await the specifics. Perhaps the fatal flaw in the address is the underlying assumption as the President said, "government is too big and spends too much

that, money."

but must

In fact, the problem is not the size or the budget of government, how it works and what it spends its resources on. Government can and be part of the solution to America's long-term economic problems by wisely investing its resources in programs that work, by purchasing goods and services from the private and the voluntary sectors, and by directing and monitoring the delivery of those items. And government has the key role of providing leadership and vision to a diverse society.

the the

That is why the President would have been better advised to adopt National Urban League's Marshall Plan for America, which would lay foundations for long-term economic growth by investing in our human and physical capital.

Had he done so, his State

of the Union address would have offered bold initiatives such as ensuring that disadvantaged students get the services they need to succeed in school, new apprenticeship and skills training programs, and plans to modernize the deteriorating targeted training and hiring in depressed

infrastructure that include

areas.

It is good to see the President finally focusing on neglected domestic and economic issues. It would be better if he brought to that focus a fresh, visionary approach that recognizes the creative potential of government-led partnerships with the private and voluntary sectors.

92-106

1/29/92

:::

NEWS

=

from National Urban League

CONTACT: Max Stamper

Communications Associate

(212) 310-9026

NATIONAL URBAN LEAGUE ADVOCATES MARSHALL PLAN FOR AMERICA
TO END THE RECESSION AND CREATE PROSPERITY;

$50 BILLION TO BE SPENT ANNUALLY PROPOSED TO THE U.S. SENATE

Washington, D.C. Jan. 30 -- John E. Jacob, President and Chief Executive Officer, National Urban League, called for a Marshall Plan for America to end the recession and promote a more competitive and productive society by investing at least $50 billion annually in a program of massive, targeted investments in the nation's human and physical capital, in testimony before a U.S. Senate committee here today.

Speaking before the Senate Banking, Housing and Urban Affairs Committee, Mr. Jacob stressed that the Marshall Plan for America would "spark a new spirit of national renewal, bring diverse people together for the common good, and help make ours a more competitive, productive society."

-more

The Equal Opportunity Building 500 East 62nd Street, New York, N.Y. 10021 Telephone: (212) 310-9000