March 6, 2002

Charlie Cook is widely regarded as one of the most astute, impartial analysts of the Washington political scene and one of the nation's leading authorities on U.S. elections. Mr. Cook is the founder, Editor, and Publisher of The Cook Political Report. He is also a political analyst for the National Journal Group, writing weekly columns for National Journal magazine and CongressDailyAM, and is an analyst for CNN, appearing regularly on "Inside Politics." As one of the most sought-after political experts, Mr. Cook has appeared on all the major network news shows, including NBC's "Meet the Press," ABC's "This Week" and "Nightline," CBS's "Evening News with Dan Rather," and PBS's "NewsHour with Jim Lehrer." Before joining the National Journal Group in June 1998, Cook wrote a twice-weekly column in Roll Call, the newspaper of Capitol Hill, for twelve years. He also served as an election night analyst for CBS in 1990 and 1992, for NBC in 1994, 1996 and 1998. The 2002 election, and its impact on the leadership of the House and Senate for the 1081" Congress, is particularly important to Community Action as we face reauthorization of CSBG in 2003. Mr. Cook will share his insights into the competitive races of the 2002 election, and how the Administration's and Congress' agendas for this year seeks to shape the election night outcome.

Pre-9-11, Republicans and Bush were behind in all polls in all aspects. Since the Civil War, 32 of 34 times the party in the White House has lost seats in the US House of Representatives—and has also done so about 75% of the time in the US Senate.

But things have now changed. Only once before (in our lifetime) has the US political status changed in a single day. (JFK’s assassination ?) Republicans poll numbers are now up! Republican issues have come or are coming to the fore. More and more people now identify themselves with the Republican Party. Mostly, the new Republican support is coming from under-30 women and lower income groups. Until few days ago, most expected the "spotlight" to swing back. Now it’s the economy and jobs over terrorism. But President Bush still stands at 75% approval. Now the Democrat/Republican "playing field" is level. Expect a close 2002 election. Democrats perhaps vulnerable are: Wellstone (MN), Johnson (SD), Carnahan (MO), Cleland (GA), and Landrieu (LA). Three Republicans are also perhaps vulnerable: Hutchison (AR), Smith (NH), and ___ (CO). 30,000-50,00 votes nationwide could determine the 2002-2004 Senate balance.

In the House, the "playing field" is getting smaller. Newly re-drawn state Congressional District lines protect their incumbents, so there are fewer competitive seats in the House over the next few years. Redistricting alone favors the Republicans for a +1 increase in the Fall election. Democrats are behind six (6) seats in the current House makeup. Democrats must win 75% of closest 2002 races to gain control of the US House of Representatives.

The outline of the Democratic attack is beginning to emerge: 1. Enron is a business scandal, but not political scandal. The Enron tack for Democrats: There were some corporations/corporate executives with no conscience whatever. They were (and are) "rogue elephants." So, who do you trust to go after ’em? 2. The Bush tax cuts now provide an Alternative Minimum Tax ( AMT) for corporations, but the US Treasury last year cut multi-billion refund checks for many huge corporations. BUT.. the Bush administration says it has no money for extended UI benefits? Wow, that’s screwy. 3. Social Security: The Bush arguments (for privatizing) are less convincing now after the stock market collapse. No privatizing. 4. Environment: The Administration is vulnerable…IF the economy turns around.

Good news for Democrats is with possible gains in governorships—they may pick up four (4). "Any moron could be a great governor in (the boom-time) ’90s." Now they must both raise taxes and cut spending. The contrast in the "stature" of their replacements is much smaller. Republicans are going to get hammered in government races.

Voter trends, ’68 to ’88: Republicans won 4 of 5 Presidential races—in all but the ’76 election when Jimmy Carter won. The Republicans recipe: Win big in rural/small town America. Win the suburbs (with 40% of total nationwide vote)—which the Republicans tended to win by a 10%-20% margin over the Democrats. But…in 1992, Clinton carried the suburban vote by 2%; in 1996, Clinton carried the suburban vote by 5%. In 2000, Bush carried the suburban vote by only 2%. Bush carried the southern vote by +20%, but he lost the non-South vote by –15%. Republicans have lost the popular vote for presidency now for three (3) straight elections! Also, for three (3) consecutive elections neither majority (winning) party has won a majority of the popular vote. Rural America is getting more "Republican." Urban America is getting more "Democrat."

What’s happening?

The gun issue has cut Republicans outside the South; the same issue cuts Democrats in the South—and with many other constituents. It’s a double-edge sword.

The 2004 election? I don’t have any idea whether Bush will be re-elected. Six months in American Politics is a lifetime; 1 year is an eternity. "We are an ADD nation." Bush will rise or fall on his policies and priorities—not the past (post-9-11) six months. I’d bet Gore wouldn’t run again. Those who are running include: Senator Lieberman (CT), Representative Gephart (MO), Senator Biden (DE), Senator Edwards (NC), Governor Gray Davis (CA), et.al. It’s a WIDE-OPEN Democratic Primary.

Haynes Johnson is a Pulitzer Prize-winning journalist, a best selling author, and a television commentator. He has reported on virtually every major national and international news event in the past four decades, including the activities of every President from Dwight D. Eisenhower to Bill Clinton. From 1969 until 1985, Johnson was associated with the Washington Post -- which he joined in 1969 - where he served as a national reporter, assistant managing editor, and as a national affairs columnist. He appears regularly on the PBS-TV program Washington Week in Review and The NewsHour with Jim Lehrer. Johnson also has been appointed to fill the distinguished Knight Chair at the Philip Merrill College of Journalism at the University of Maryland.

In 1966 Johnson won the Pulitzer Price for distinguished national reporting of the civil rights struggle in Selma, Alabama. The award marked the first time in Pulitzer Prize history that a father and son both received awards for reporting; his father, Malcolm Johnson, won in 1949 for his New York Sun series "Crime on the Waterfront," which formed the basis for the Academy Award-winning film, On the Waterfront.

Haynes Johnson has authored more than a dozen books, including several national bestsellers. His most recent bestseller, The Best of Times: America in the Clinton Years, chronicles the growth and the excesses, as well as the divisiveness and the missed opportunities, of the 1990s.

In his remarks, Johnson will describe the current political and cultural landscape that will play a large role in determining Community Action's future.

Haynes Johnson: 1965-68 saw an "absolute tearing of history"—when the two lines of war and civil rights and social right crossed. We as a nation then experienced the "Long Trough of Despair." We endured Vietnam, urban riots, Watergate. "You are the heirs and sword bearers of that time."

During the 1990s, we had the best opportunity in all of history to make some progress. All the threats were gone. It was a boom time. We had a government surplus! $6 trillion! The US could do anything it wanted.

The tragedy was, we didn’t do that! And it’s not all Clinton’s fault. The press had a scandal-driven emphasis. It was the "scandal de jour." It was all so cheap and easy...until September 11^th.

The "poison" and the "politics of self-destruction" did not serve us well. "It was a disgrace for the country to be diverted from questions that were not." Charles Cook’s "issues" did not include war or terrorism. Nobody should be foolish enough to predict what will happen 2002 and 2004. Pre-9-11, all the issues going toward Democratic issues. That changed! Some thoughts about us as a nation:

Here are some POINTS of my own I’d like to make:

• I think Enron is a larger, more pervasive issue (than Charles Cook stated). Our 1980s/1990s "culture of scandal and personality" evaded the serious issues and cultures that needed to be dealt with.

• Watergate. I gave Bob Woodward his first byline at The Washington Post. This country had a sense of pride for the way it dealt with Watergate. That’s no longer the case. We now affix the term "gate" to all of the subsequent scandals. The American public has come to think: 1) society’s corrupt, so 2) I need to get all I can…and luxuriate in it.

• The public "gets" Enron: "Power, greed, screwing the little guy." We don’t even know who the labyrinthine 3,000 Cayman Island partners of Enron are! Since Enron burst on the public stage, we’ve seen the country consumed by the "systems of inequity"—one system for the rich, one for all the others. Our technical society wouldn’t help (accurately) tabulate the vote—especially for the lowest income.

• I believe in compulsory public service. Six (6) months devoted to something (beyond ourselves). It would help us understand our society, and bring us closer together.

• Get rid of the "celebrity scandal culture." We haven’t learned the lessons of 9-11. There are serious questions. We ought to be informed as citizens about what really matters.

• Last thought. We still are the most-favored culture. Despite what’s happened, don’t let secrecy take hold. Don’t let us win abroad and lose all here (that makes us the free peoples we are). We must put our resources together and make economic and social change in our own best interests! The so-called Patriots Act is bad law…and dangerous.

Sir Thomas Huxley, the greatest English scientist at the end of the last century, was interviewed on a ship in New York harbor following his visit to the US and his return to England. The press asked him a lot of stupid questions regarding what impressed him about America. He said, No, he was not impressed with America’s size, its territory, its possessions. His thought and question to Americans was simply this, "What do you want to do with all the great things that you have?"

Supporters are log rolling some of the provisions...

One thing Enron did was make sure that any "deregulation" issues lacked capital.

New efficiency standards for US vehicles are now likely.

There’s a proposal to cut LIHEAP (which is now $1 billion below where it was funded last year). Utilities won’t tell us how many went through winter without heat! And the President won’t release $600 million in current LIHEAP reserves.

Pressure will be on us to produce and "ramp-up" quickly with the proposed higher Weatherization funding. $180 million in Weatherization funding is being held up, though. State Weatherization offices are encouraged by NASCSP to "spend money to show off!"

Congressman Benjamin L. Cardin has represented Maryland's Third Congressional District in the House of Representatives since 1987. A member of the House Ways and Means Committee, Rep. Cardin serves as Ranking Member of the Human Resources Subcommittee, and is also a member of the Social Security Subcommittee. Rep. Cardin also occupies several positions within the Democratic Leadership, including Assistant Democratic Whip, and member of the Democratic Caucus' Steering Committee and the Organization, Study, and Review Committee.

As Ranking Member of the Ways and Means Human Resources Committee, Congressman Cardin will play a leading role in crafting the next phase of welfare reform. Earlier this year, Rep. Cardin introduced a comprehensive welfare reform reauthorization proposal, the "Next Step In Welfare Reform Act," which makes improvements in TANF and CCDBG and dedicates resources to poverty reduction. During his tenure on the Human Resources Subcommittee, Rep. Cardin also has fought to expand child support, hold fathers more accountable, improve the welfare-to-work program, increase the child care tax credit, and increase education and support services for youth aging out of foster care. This year's welfare reform reauthorization will be one of the key debates affecting poverty policy for years to come. Congressman Cardin will outline his welfare reform legislation for the NCAF Conference and outline the prospects for the reauthorization process.

Representative Cardin: "Whenever things get difficult with American Police, you’re the one we pick on first." Now, they’re trying to take away the federal partnership in the UI program. We are united as Americans—but a lot more had happened in the last year. We’ve gone from a $3 trillion projected surplus to now $1.5 trillion projected deficit. The reason: Bush’s Tax Cut! The next largest change was in so-called "technical changes" in the government’s estimates, which were required to even pass the tax cut. Now we’re saddled with large deficits again. I don’t ask for much only that we maintain the share of the pie for poverty issues.

Still, President presented a better budget than we thought he would. He also imposed steel tariffs; steelworkers’ voices were heard! Let’s hear yours on TANF reauthorization. Five years ago we passed a sweeping "welfare reform" law that give states both flexibility and resources! "EITC (Earned Income Tax Credits) improvements" also helped the low income.

But the challenges will now be greater on our states. Our goal is to get people out of poverty, not just off welfare. DHHS Secretary Thompson is strong on this.

Education and training are important! But apparently President Bush thinks this is a priority for all except welfare recipients. Let’s give more state "flexibility," not less; let states decide what meets the needs of their people. Bush proposes to remove vocational education as a permitted work related activity Day care money is also required—along with skills. The President proposes increases in the work-hour requirements and narrows credits. We must provide affordable, safe day care. The Senate is working on more money for day care—tied to increased work requirements. We must ensure affordable as well as quality day care.

We need to increase cash assistance at least by a "COLA." Otherwise, states will have suffered a 22% erosion over the five years since the original passage of the TANF legislation.

We also erred in legislation against (discrimination against) legal immigrants. We must remove these restrictions in the SSI system.

Let’s get a bipartisan budget that’s a fair budget: Defense / security and social needs.

Congressman Phil English was first elected in 1994 to serve Pennsylvania's 21st District. In his first term, English was appointed to the Ways and Means Committee, the first freshman Republican in 30 years to be named to the committee. He is a member of the committee's Health, Trade and Human Resources Subcommittees. In 2001, English was appointed to the Joint Economic Committee, which is a combined House and Senate committee that serves as the economic policy arm of Congress. Among the priorities of Rep. English are job growth, fair trade, tax reform, fiscal responsibility, protecting seniors, and helping families save for college. Bills he has introduced in the 107th Congress include H.R. 1773, to create a tax credit for first-time home purchases, and H.R. 2254, to eliminate the taxation of unemployment benefits. As a Member of the Human Resources Subcommittee, Rep. English will play a leading role in welfare reform reauthorization. The Congressman will share the anticipated agenda for this process and issues that will be debated, including efforts to promote self-sufficiency.

Representative English:   We’re going to fight to maintain programs with proven track records—like LIHEAP...programs that help create wealth throughout the strata of our society...and a prescription drug program of seniors.

Why am I on the ways and means committee? To shape welfare reform…our Contract on America.

Welfare Reform. Results have been spectacular (since 1996). Caseloads are down from 5.1 million to 2.1 million families...and they’re continuing to remain relatively low. Three (3) million children have been lifted from poverty. We can now build on the "lessons" we’ve learned and put "welfare reform" on permanent basis. We need to positively build on our success.

TANF expires in September 2002. TANF reauthorization and "expanding and creating in a better way" should be near the top of our agenda. We must reduce dependency and poverty.

Congress must also stimulate the economy. Welfare Reform has succeeded because of good economy. The House has passed three economy stimulus packages. Laid off workers and bankrupt businesses continue to grow because of no stimulus. UI benefits must be extended an extra 13 weeks! We cannot allow economy to continue to languish. We need to move now.

Medicare "Modernizing." This must be done with the addition of a prescription drug program. We have skyrocketing costs with prescription drugs. It’s bad health care and public policy to force seniors to "skip" dosages.

Months ahead busy for the Ways and Means Committee. Our plate is full.

I hope to focus on your outcomes: To put in your hands the tools you need to do your work.

© 1998. Simon & Schuster, New York

Republished by Harcourt Brace & Company,

New York.

A native of Bolton, Mississippi, Congressman Thompson began his political career over 32 years ago when he won his first elected office as Alderman in his hometown of Bolton. After four years as Alderman, he served six years as Ma y-ir of Bolton and then was elected Supervisor of Hinds County District Two. He served as County Supervisor fc: 13 years. He was elected to the U.S. House of Representatives in a special election in April, 1993, and represents Mississippi's Second Congressional District. He currently serves on the House Committee on the Budget and the House Committee on Agriculture.

A lifelong activist in the civil rights struggle, Congressman Thompson has been a participant in the complete spectrum of the fight for equality and in making the political system work for every citizen. As a grassroots volunteer, labor organizer, student activist, community leader and politician, Congressman Thompson remained focused in combating and working to address issues of race, gender, and class in both the private and public sectors.

Throughout his career, Rep. Thompson has steadfastly adhered to the principles of parity, entitlement, and the assurance of the protection of the rights of minorities. As a product of Mississippi colleges, with first-hand knowledge of the disparities between resources for historically black colleges versus those for white colleges, Thompson was one of the original plaintiffs in the Ayers Case. Rep. Thompson has secured basic public health, safety, and transportation for small rural communities, fought for fair elections, and defended workers' rights. Rep. Thompson was also a Founding Member and President of both the Mississippi Association of Black Mayors and the Mississippi Association of Black Supervisors.

Congressman Thompson brings a lifetime's worth of experience fighting for rural, impoverished, and minority communities to his work as a member of the House Budget Committee. In his remarks to the NCAF Conference, Rep. Thompson will share his thoughts on the current budget priorities being set by the Administration and the House Leadership, how poverty programs may fare, and the priorities and principles he believes are important for this nation.

Representative Thompson:   I got my training by fire—in CAP Board service. After that, you can just about master anything.

The FY2003 budget. Let me tell you, there is such a thing as "double speak." The message they’re putting out says, "No pain here." BUT...believe me, there’s a lot of pain in the numbers, like a $300 million cut in LIHEAP, also a cut in CSBG! These are people who say one thing and then do another.

They said we needed a tax cut—see what that’s done. Now, these same people say that an expanded Earned Income Tax Credit (EITC) is "too costly!" We’ve already squandered the surplus—it’s now all gone!

All of us are as big a patriot as the next, but we can’t forsake the poorest of the poor for more for the richest. We shouldn’t disguise other projects under guise of fighting this war (on terrorism).

Don’t waste your time talking with your friends. Talk with the "rascals" who really need talking to.

Politicians put a lot of "salve" on you. Put ’em on the spot! Washington is a partisan town. You’re in change or your not.

You are an agent for those many who can’t come here. Don’t be like the chicken voting for Col. Sanders Bush’s is just a proposed budget. $1.76 billion in LIHEAP money went into your utilities’ coffers. Let them lobby! They get the money!

The Congressional Black Caucus will offer a balanced, humane budget. Don’t come by and see us. Get our "rascal" list and go to see them. There are a lot of opportunities for us.

Also, in Mississippi we’re working to unionize Head Start (in order to provide staff there 12months pay).

If you don’t put "good" people in office, you’re going to have trouble for a long time. Just pick out one (bad, unsupportive) politician in your community and "whoop" him. The rest of ’em will then take note and they’ll change for the better.

I wanted an opportunity to carry this mission forward at the federal level. I saw the resources of OCS as being able to help build the "welfare reform" infrastructure. I saw the Virginia CAA network as integral to moving "welfare reform" forward—to realize the full promise of "welfare reform." There needs to be a "joined-at-the-hip relationship between CAAs and state social services." I hope to use OCS to help build that relationship. Community Action is a strong "community partner."

President Bush’s FY2003 Budget. "I am uncomfortable about the thought process that ended up in that budget proposal and "static agency" language, so allow me to continue to build the bridge with the Administration. There is a connection in our goal: to help us achieve maximum potential." While that long disheartens me, it only serves to strengthen my resolve.

It’s now been forty years since President Johnson. And trillions of dollars! Some of the best and brightest of minds have tried to solve the problems, but we’ve not yet accomplished our objective. We’ve not had a "comprehensive conversation" in the nation as to how to meet our goals. "We cannot continue to fight a 21^st century problem with 19^th century tools and thinking." OCS is a full partner in helping move that discussion forward.

OCS’ "Redesign." It’s time to update the organization from the "silos" of its programs. Those programs don’t interface. All need the same internal interface. In doing so, we help the nation organize the needed discussion.

We don’t deliver services. YOU do! I’ve "been in the bunker" several months now? I see OCS as being a partner with NCAF, NASCSP, and NACAA (now The Community Action Partnership)—these three, the "iron triangle" of Community Action.

Dennis Darling, Director, NASCSP.

Our current challenge includes correcting the "gross misrepresentation of our network" (in the Bush FY2003 Budget proposal). NASCSP is committed to continue our partnership—with other national CAP organizations, the states—and through them, local CAAs.

• We’re advocating $3 billion for TANF—and a strong CAA role!
• We’re advocating $277 million for Weatherization
• We’re advocating building capacity of our CAA’s and state-CAA relations.

We’re raising money for NCAF—and we hope to continue to help?

We’ve risen to many challenges in the past—and we’re ever-confident we’ll do it again.

Senator Byron L. Dorgan was first elected to the U.S. Senate in 1992 after serving six terms in the U.S. House of Representatives. From 1996-1998, Dorgan served in the Democratic leadership as Assistant Floor Leader. After his election to a second term in 1998, Senate Democratic Leader Tom Daschle named Sen. Dorgan the Chairman of the Democratic Policy Committee—the first North Dakotan ever to hold this position or to serve in the Democratic leadership. Sen. Dorgan sits on the Senate Appropriations Committee, serving as Chair of the Treasury and General Government Subcommittee and a member of the Agriculture, Defense, Energy and Interior Subcommittees. On the Commerce, Science and Transportation Committee, Dorgan is Chair of the Consumer Affairs, Foreign Commerce and Tourism Subcommittee and is a member of four other subcommittees. Of particular interest to Community Action and the Weatherization Program is Sen. Dorgan’s role as Chair of the Water and Power Subcommittee of the Energy and Natural Resources Committee. Senator Dorgan was our champion on deleting the Weatherization cost share requirement in the FY 2001 Interior Appropriations bill. Dorgan also serves on that Committee’s National Parks and Public Land and Forests Subcommittees, as well as the Indian Affairs Committee.

Throughout his career in both the House and Senate, Sen. Dorgan has fought for the interests of rural America. He has worked to create jobs and economic opportunity in North Dakota, to establish strong farm policies for family farmers, to demand fairer trade policies, and to provide swift relief during disasters such as the 1997 flood in the Upper Midwest. He has promoted cutting edge technology for the nation's schools, particularly fighting for access for rural areas. Sen. Dorgan has also been a leader in the fight for sensible spending reductions and responsible government by cutting government waste and fighting for a balanced budget amendment while protecting our most important priorities: Social Security, Medicare, education and the environment. As Chair of Commerce Subcommittee on Consumer Affairs, Sen. Dorgan is playing a leading role in the Congressional investigation into Enron. Sen. Dorgan will describe the current status of the inquiry and explain the impact on the legislative and political agenda for 2002.

Senator Dorgan:   John and Abigail Adams were sitting in their parlor one day and John said to Abigail, "Where are the leaders?" After a while when she did not answer, John remarked, "There is only us!" (Only "us"—the likes of Franklin, Washington, himself, etc.)

We’ve built the greatest nation. But not all of us do so well? How can we ALL be the best we can be? Wagon Train-You don’t leave wagon/people behind!

Enron hearings. We have a system built on capitalism—and its built on trust! Enron is the biggest bankruptcy in the history of America—and Enron’s Board hid $10 billion in debt by creating 3,000 hidden "partnerships." Those so-called "partnerships" parlayed a $25, 000 investment in 60 days into $4 million. And Enron’s top executives sold $1.1 billion in stock in one year, while urging their employees not to sell theirs. Employees and investors lost their shirts in this debacle. It reminds me of a ditty from a Texas song I learned as a child:

Our Broader Agenda. We’re fighting a broad-based war versus terrorism. We’re just coming out of a recession. The central issues to people are: Do I have a good job? Does it pay well? Do I have any job security? What about issues relating to my family’s health? I put the real concerns and issues into three categories:

Thanks for all your work in many of these areas.

For me, I like looking at the country in a broader context. If you love the Senate, it’s a good place to be. This is quite a remarkable place. It requires a lot of nurture. We criticize ourselves and one another —and we are criticized by others around the world. But that First Amendment helps make us stronger.

David Bradley, Executive Director, NCAF.

Last April we would’ve looked at Bush’s 5-6 priorities and a totally Republican-controlled Congress. We would have not conceived about deficits or concerns about low-income programs, generally. Lots and lots of changes have occurred. Then, at the end of the day there’d be a meeting of minds and more domestic money.

Now, we’re figuring how we could be part of the domestic agenda. It was a good year last year. CSBG was funded at $650 million—every CAP "in good standing" got an increase.

Despite 9-11, Congress has taken the position to spend whatever it takes to meet national and international needs. Our fight now is "just to be heard"

"Warning clouds" are gathering on several fronts:

Next week there will be a Budget Resolution. The FY2003 Bush Budget is within $80 billion of being balanced. The House is loathe to go below an $80 billion deficit...even to the point of spending the Social Security Trust funds. Next week the House will attempt a Budget Resolution. House Democrats are not engaged—and will offer only a "Sense of the Congress" statement on priorities. It’s a pretty contentious situation. The House budget will not, overall, be favorable to us. Three to four alternate budgets will go to the House floor, but the House Budget Committee version will pass.

In the Senate, there’s 11-10 Democratic majorities on the committees. But Senator Conrad does not have the votes to get a proposal out of the Budget Committee. There’ll be 200-300 amends from the floor.

It’ll then be the House-passed (Bush) budget vs. Senate ‘silence." The "end game" may occur sooner than October or November 2002. The common theme is, NO ONE EXPECTS MORE DOMESTIC MONEY. It’s "tight, competitive, tough."

Members asks about CSBG. Perhaps we should propose a freeze. But the Child Care Development Block Grant is being promoted by its constituency for a $20 billion increase over five years. However, our sensitivity to the current realities this year may help us in future years:

Our strategy will be:

LIHEAP is in good shape at $1.76 billion, plus the contingency. Weatherization’s Bush Budget funding request is at $277 million. (It’s now at $230 million.) The Administration (DOE) has been there for us. Expect them to make hard push for $277 million in FY2003. Out threat is from other energy conservation programs. They’re "ganging up on us." They’ve been cut. However, our long-term success has been from this: You’re never greedy.

Charitable choice. I hate this issue. It’s a tough, tough issue. There is never a compromise, never an end, simply achieving a " resting place for the Christian right to come forward with more demands." This is nothing less than a fight for the control of the poverty agenda—and poverty dollars."

TANF. We in Community Action are not doing well on this! I’m so eager to have ideas—we have a great, supportive Senate committee—and they’re anxious for our ideas. But nothing "unique and special" that we can do has yet emerged. Some like to talk about "Self-sufficiency One-Stops," but that’s about all that’s emerged. The train starting to leave the station on us; we’ve got only 2-3 weeks left to come up with something "unique and special."

Our (ultimate) goal is for a $1billion CSBG. Then we would seek to build a second funding stream on the entitlement side, and then we’re in the thick of things. We’ve been unable to identify that "golden app." It means fighting a lot of other groups.

On your visits today...you will note that there’s more security, more stress! But remember:

Don’t say what’s wrong in Community Action. There are no more than twenty bad examples out of the 1,000 CAAs.

Your Boards play incredible strengths!

Where do we go next year?

Whatever we do this year is only a prelude to whatever we do next year.

Our 2002-2003 goals:

In summary, to "expand our base and broaden our agenda"

Senator Harry Reid, D-NV, Assistant Senate Majority Leader.

From humble beginnings in the tiny town of Searchlight, Nevada to the second-highest ranking Democrat in the United States Senate, Harry Reid has distinguished himself as a fighter for Nevadans and all American families in the corridors of power in Washington, DC. Since Nevadans elected him to the Senate in 1986, Harry Reid has developed a reputation as a consensus builder and an accomplished legislator. Even his Republican colleagues praise his reasoned, balanced approach. After Nevadans sent Harry Reid to the Senate for a third term in 1998, he was elected by his colleagues to serve as the Assistant Democratic Leader, also known as the Democratic Whip." Reid provides valuable leadership to the U.S. Senate by guiding legislation through the Senate and securing the votes to pass key measures. Senator Reid serves on the Appropriations Committee and Chairs the Energy and Water Development Subcommittee. Sen. Reid also serves on Interior and Labor-HHS-Education Subcommittees, as well as the Defense, Military Construction, and Transportation panels. In addition, Reid is a member of the Environment and Public Works Committee, serving as Chairman of the Transportation, Infrastructure and Nuclear Safety Subcommittee as well as two other subcommittees. Sen. Reid also Chairs the Select Committee on Ethics, and serves on the Indian Affairs Committee and the Special Committee on Aging.

Sen. Reid has assembled an impressive legislative and leadership record for the people of Nevada. Senator Reid has consistently fought for the rights and interests of children, families, and workers by pressing for investment in education and health care. Working hard to protect Nevada's environment, Senator Reid has established programs to preserve clean air and water, and has fought vigorously and successfully to keep nuclear waste out of Nevada. Senator Reid will share with the NCAF Conference the Senate Democratic agenda, outlining legislative goals and political objectives for 2002 and beyond.

Senator Reid:   The Senate is working on an "energy package and an economic stimulus bill. We’re playing "ping-pong" with the House leadership. In the first Bush (George H.W. Bush) administration, UI benefits were extended four times. We need to increase domestic production of oil—but the US has only 3% of the world’s petroleum reserves. We import 60% of our petroleum—that’s up from 35% in the 70s.

We must make autos more fuel-efficient! We must also seek more alternative fuels. There’s NO tax credit yet to solar and geothermal interests; we need to change that!

The Senate needs sixty (60) votes to pass difficult legislation.

The Senate will tackle corporation campaign finance law. In the 1990 election, the two Senate campaigns in Nevada spent a combined total of $23 million! That’s in a state with just around two million population!

Prescription drugs is still a big issue. Medicare needs some changes: "We need to make it a better program" (with a national prescription benefit add-on). The average senior citizen requires eighteen (18) prescriptions per year! I prefer to provide a prescription benefit via tax cuts (credits)."

Last year, we had a $4.6+ surplus. Today it’s $-0-. Only 25% of that lost surplus was related to the war. The Medicare surpluses are also gone. We’re spending the Social Security surplus now.

This is a country of opportunity! But it’s easier for some than others. There’s two separate Americas:

Gary Kowalczyk is the Director of Planning and Program Integration at the Corporation for National and Community Service. The Corporation administers all the national service programs: AmeriCorps, SeniorCorps (Retired and Senior Volunteer Program, Foster Grandparent Program, Senior Companions), and Learn and Serve America. Mr. Kowalczyk oversees initiatives and functions that cut across these three program streams, as well as the Corporation's state office structure. Mr. Kowalczyk has been with the Corporation since its beginning. He joined ACTION, one of the predecessors to the Corporation, in 1989. He was Acting Director of the agency and also served as Associate Director for Management and Budget, Comptroller, and Acting Associate Director for Domestic Operations.

A career member of the Senior Executive Service, Mr. Kowalczyk's other federal experience includes serving as the General Services Administration's Associate Administrator for Policy Analysis; Director of the Office of Planning, Budget and Program Analysis at the Department of the Treasury; Director of Policy Analysis at the Department of the Treasury; and Chief of Planning and Budgeting in the former Department of Health, Education and Welfare's Office of Education. He also spent a year as Staff Director for the District of Columbia Committee on Public Education, a non-profit organization that performed an independent review of the city's public school system. Mr. Kowalczyk was a Peace Corps Volunteer in Ethiopia from 1970 to 1972, and was a recruiter for the Peace Corps and VISTA programs.

Words are easy. Deeds are the harder part! "Active citizenship is much more then a state of mind...!"

These days—when we have small military forces—there’s limited means to show your patriotism!

President Bush challenges all Americans give 4,000 hours (two [2] years) to public service. This can include service in the military, the Peace Corps, the various other Corporation programs, or other volunteer service. We’re not trying to tell you where to serve or how to serve, but only that we should.

Independent Sector reports that less than half of our people now volunteer, and those who do only give about four (4) hours per week.

The federal government can do more, so we’re creating the USA Freedom Corps. The Corporation has set up a Freedom Corps Web site at www.usafreedomcorps.gov. We’re also doubling the Peace Corps—and expanding the countries served. We’re expecting a 50% increase in AmeriCorps, adding + 100,000 seniors in service to America.

The Corporation (CNCS) will also form the Citizen Corps—a volunteer thrust relating to homeland security, public health, etc. Neighborhood Watch, Community Emergency Response Teams, and other such efforts will be a part of the Citizen Corps.

Other CNCS support will go to strengthen related volunteer programs:

• Habit for Humanity
• Teach America
• CitiCorps

Legislation intended to build on CNCS’ history of volunteer service and support—especially with smaller communities and faith based organizations—is expected to be submitted soon. There are presently some restrictions on what CNCS-supported volunteers can do, e.g., in the areas of resource mobility and fund raising. We need to eliminate these limitations.

There will be newfunding opportunities through the Corporation. For more information, see our Web sites at: www.nationalservice.org and www.cncs.org . These will include new opportunities relative to Homeland Security.

The CNCS is also looking at more flexibility in its National Senior Corps programs with respect to stipends, income eligibility, and hours per week requirements.

David Garman, Deputy Assistant Secretary for Energy Efficiency and Renewable Energy, US DOE.

David Garman was nominated by President George W. Bush to serve as Assistant Secretary for Energy Efficiency and Renewable Energy on April 30, 2001 and was confirmed unanimously by the United States Senate on May 25, 2001. He assumed the position after being sworn in by Secretary Abraham on May 31, 2001.

Assistant Secretary Garman previously served in a variety of positions on the staff of two U.S. Senators and two Senate Committees during a career spanning nearly 21 years. Most recently, Mr. Garman served as Chief of Staff to Alaska Senator Frank H. Murkowski. Mr. Garman also served on the professional staff of the Senate Energy and Natural Resources Committee and the Senate Select Committee on Intelligence. Throughout his career, Mr. Garman's work has focused mainly on energy and the environment. For example, while serving on the Senate Select Committee on Intelligence, Mr. Garman worked in the newly emerging area of "environmental intelligence and security," working on issues such as global climate change, transboundary pollution, and regional environmental threats from the Former Soviet Union. While on the staff of the Energy and Natural Resources Committee, Mr. Garman's portfolio included energy research and development, science and technology, and global climate change.

Mr. Garman also served as a U.S. Senate observer at virtually all of the major negotiations under the United Nations Framework Convention on Climate Change from 1995-2000. Assistant Secretary Garman will detail the Administration's Fiscal Year 2003 budget request for the Weatherization Assistance Program, and what it means for the Community Action network.

David Garman:   "The happiest human beings have a longing to be a part of something bigger than themselves. People lay their lives on the line for that! We promote positive change…and (they) revalidate their humanity in that way." Change lives! NCAF is an agent of positive change in all that they do!"

Weatherization is important for many reasons:

• Personal home energy conservation/national conservation efforts
• Money for other local needs—and family needs
• Homeownership becomes more affordable
• Lower risk of fire results
• Enhanced home value
• Creates jobs/enhances worker skills
• Energy efficiency – cleaner air/environment
• There are $3 in "benefits" for every program dollar spent

President Bush’s proposal is to increase Weatherization appropriations from $150 million annually to $273 million in FY2003. $230 million is appropriated for FY2002—down from the 2002-proposed

Bush budget amount of $277 million. Weatherization is a "high Presidential priority." That also means that there are "higher expectations and visibility" for each of you who operate Weatherization programs.

YOU must "make it happen" with these added program funding resources.

The advantages of Weatherization go beyond personal and family services. Benefits/advantages:

• Contributes to energy efficiency (Cumulatively, it improves the US economy and helps lessen dependency on foreign energy; it benefits our society as a whole.
• Weatherization, though, transcend the benefits of "energy savings."
• It benefits most vulnerable in our society; it "improves the character of society."
• Program jobs and training contribute to local economies and industrial skill. Constant turnover is an "unsung benefit of the program. It helps increase the pool of skilled energy conservation workers in society."
• Technical advancement and energy-related enhancements derive from the program.

President Bush named James Towey as Deputy Assistant to the President and Director of the Office of Faith Based and Community Initiatives on February 1, 2002.

Jim Towey founded Aging With Dignity in 1996 after his experiences at Mother Teresa's homes for the dying inspired him to promote better care for people facing the end of life. Towey, who is an attorney, was legal counsel for 12 years to Mother Teresa of Calcutta, and he lived for one year as a full-time volunteer in her home for people with AIDS in Washington, D.C. Before meeting Mother Teresa, Towey worked in public service, leading the state of Florida's health and social services agency, the largest in the United States, and serving in the cabinet of Governor Lawton Chiles. Earlier, he worked in Washington as legislative director and legal counsel for Senator Mark 0. Hatfield.

The Community Action network has taken great pains to highlights its history of partnership with the faith community. It is anticipated that Mr. Towey's remarks on current activities of the White House Faith-Based Office will highlight opportunities to strengthen and expand such partnerships, as well as detail anticipated legislative activity on Capitol Hill. Congressional action could be taken on some form of free-standing faith-based legislation this year, as well as changes in the Charitable Choice language in the welfare reform reauthorization in 2002, and potentially the Community Services Block Grant reauthorization in 2003.

James Towey:   "I’ve come and extend a hand of fellowship and partnership from the White House." "Faith-Based Initiatives exists because each one of us has the responsibility to lift up. What’s the best way to help the poor? You’ll always be in the middles I that debate.

"Charitable Choice." What does that mean? Sometimes there is "violent debate church-state debate" about the law? We can provide "good guidance." The law is, NO federal money for religion. That’s in the US Constitution and US law. The President supports the legitimate separation of Church and state. But...for people in need often their first contact is with a church, particularly in the inner cities.

There’s a healthy, on-going debate: How do we best do this (meet human/community needs)? I know that there already exists a healthy array of local partnerships. But we can’t be content. We must strengthen them. "We can’t be competitors. We must be collaborators."

I’m not interested in partisan debate. We must keep the debate "centered." Our Web site is located at

www.whitehouse.gov. There you can get our "Unleveled Playing Field" report.

NCAF has provided great leadership in outcome accountability. We applaud that. The President’s initiative is not about preference treatment to faith-based organizations (FBOs), but to "eliminate rampant discrimination" against FBOs.

Let’s "bring the best of our communities together." There are tough budget fights ahead. You’ve got $650 million (in CSBG funding). You "stretch it" for all it’s worth. The work you do in emergencies day to day, that’s good! There are so many who are homeless. So many who are addicts. The question is: How can we do it better? We’re not winning the "War on Poverty"! So, how can we use the resources we have available most effectively?

I hope to visit many of you. But I’m a bit afraid of flying. I used to work with Mother Teresa. I was flying with Mother Teresa and was feeling a bit fearful. But then I thought, if this plane goes down and I end up at the Pearly Gates, I’d simply say have to say, "I’m with her!"

Mother Teresa said that the worst disease she’s ever seen is loneliness! "Combat the loneliness that’s out there. We do that through relationships."

I am aware that your agencies’ bylaws include FBO representatives on your boards.

We as a nation have funded by FBOs with billions of dollars for a long time.