August 24, 2000

I think we have the responsibility to do all that we can to encourage, to help, and to assist those who come to this country and want to become part of our economy and part of our culture, to learn English as a second language.

Reporters in order of appearance:

KEN VERDOIA, KUED
DAN HARRIE, SALT LAKE TRIBUNE
ROD DECKER, KUTV
CHRIS VANOCUR, KTVX
TOM JORDAN, METRO NETWORKS

Transcript:

KEN VERDOIA, KUED: Good morning, I’m Ken Verdoia. Welcome to the Governor’s Monthly News Conference on KUED, which is offered each month by Public Television as that unedited exchange between Utah reporters and the state’s chief executive. From time to time the chief executives have requested time to make announcements on this forum that affect the lives of the people of Utah or their personal future personal plans. Tonight Governor Michael Leavitt has requested time to make a series of announcements, so the first half of this news conference will be dedicated towards consideration of those announcements. Governor Leavitt, thanks for joining us.

GOVERNOR LEAVITT: Thank you, Ken. Tonight I would like to make announcements in three significant areas. The first is, I’d like to discuss my own decisions with respect to how I’m going to vote on the Initiatives A and B. I'll also speak some about my own thoughts and plans about my plans after I’m finished serving as governor. And third, I will talk some about a significant change in direction for the state in economic development policy.

Let’s start first of all with Initiative A, which is an initiative that would call for English to be declared by statute as the official language of Utah. I’d like to suggest that I do, I believe that English is the official language of the state of Utah. I have -- It’s my belief and my strong view that every person who comes to Utah or the United States needs to learn English in order to effectively operate in our society.

I was in Kearns the other day at a school, sitting next to, on the floor with a group of children in a program, and there was a little Hispanic boy next to me. And I said to him in kind of a whispered tone, "What do you want to be when you grow up?" And he said, sort of looked at the ground, and he said, "Nothing." And then I said to him again, just trying to loosen him up a little bit, "What do you want to be when you grow up?" And he again didn’t say anything. And another little boy, again Hispanic, whispered in my other ear, "He doesn’t speak English."

It was a poignant moment. I watched him interact with his teacher, and I saw the struggle with his teacher in not only teaching him, a fourth grader, to read and to write, but to speak English. It reinforced in my mind the need for every person who moves here to do their best to learn it. But I do not see, I do not see it necessary for us to have a law. And I’m not say seeing that as productive, and so I will personally vote against it.

I’d like to make clear that my comments on these initiatives are not reflected as a political endorsement of either side, on either initiative. It’s not my intention to be involved in the campaigns of either initiative, but I am simply expressing the way I will vote and the reasoning that I will use in casting my vote. I’d be happy to respond to any questions on that particular initiative.

KEN VERDOIA, KUED: Well, just the most obvious thing might be that when the governor of the state of Utah weighs in on an initiative, it is, in fact, by definition, a political statement, and it will sway the debate. How would you respond to those on the other side, who advocate English only, that this is a responsible course for any state to initiate, and that it assures what should be taken for granted or assumed, English is the language of any government entity?

GOVERNOR LEAVITT: I think we have the responsibility to do all that we can to encourage, to help, and to assist those who come to this country and want to become part of our economy and part of our culture, to learn English as a second language.

That little boy in Kearns needs to have the help he needs to learn English. And he will. We need to, as we have, invest additional money in our schools. We need to reach out beyond our children in the schools to their parents. In many cases the reason the children are having trouble is because their parents are having trouble. So I see it as an area of significant investment that we need to make.

Our state is not going to be without challenges in this area. It’s a grand opportunity in many respects. At the time I became governor, eight percent of the children in our state came from ethnic minority families, or in our schools. Today, just eight years later, it’s 13 percent. It’s forecast that in the next, in the ten years between 2003 and 2010, that our school-age population will grow by 100,000 children. And that 65,000 of them will come from ethnic minority families.

Now, that’s a staggering challenge for us, given the fact that many of them are in a situation where they not only need to read and to write, but also to speak our language. It isn’t that I don’t have sympathy with the idea that they need to learn English. I firmly and critically and passionately believe they must. I just don’t see that having a law that, in many ways, can divide us as a society, really does the job. And it might by passing a law cause us to step back on what is a very important responsibility.

And Ken, I’m not naïve to the fact that my expression will have value to some. I’m flattered by that. But what I want to make clear is I’m not engaging in the campaign, I have my own campaign coming this fall, and I intend to spend the bulk of my time working on governing the state and making certain to my own political campaign.

DAN HARRIE, SALT LAKE TRIBUNE: Governor, can you expound on that notion you think that by passing that law it might become divisive? How do you see that happening?

GOVERNOR LEAVITT: Well, given the fact that within 15, 10 to 15 years we’ll have 17 to 20 percent of the people in our state who will be of origins other than native, other than American by birth. There are many who value their culture and value their heritage. And simply by passing a law declaring something that is already true, and it’s clearly evident, I’m not sure that it is necessary or productive. And again, I want to emphasize, I desire to see us move forward with helping everyone we can, and encouraging and assuring that we’re not doing things that would give them counterincentives to do it.

I also don’t think that there’s, that it’s reasonable, in some cases, for them not to assist them in ways that they need help. I mean that child in the fourth grade, if we said, "Well, we’ll take a hard line, this is the official language, we’re not going to speak to you in Spanish," that would unfair, because you can’t teach somebody English without understanding Spanish and speaking to them in their own language. And so I’m just looking at a very practical side of this, I just don’t think passing a law is always the way that you deal with some kind of difficult problem like this. I...

KEN VERDOIA, KUED: We can continue this during the open questioning in the second half of the program, but I would direct your attention to the second initiative on the statewide ballot involving property and confiscation.

GOVERNOR LEAVITT: With respect to that matter, may I just say that it’s clear to me that there are problems in the way moneys and resources that come from this ultimately are divided, and we need to deal with that issue in a statute. I have chosen not to support. I would vote "no" on that initiative on forfeiture, because, really, for four reasons.

The first is that I think that it puts the bar too high. It essentially would create a situation where forfeiture would be taken as a tool away from law enforcement, particularly in the area of drugs. And I think there is a--we have crime rates right now that are at 20-year lows. But the one area that I can see that continues to grow and continues to post significant problems to us is the area of drugs. Last year, I’m told that in some areas of the state up to 50 percent of the children who were in the custody of the Division of Child and Family Services, were in foster care, came as a result of substance abuse, specifically meth. Now, if we have taken from law enforcement an important tool, such as this forfeiture tool, I think we have, we have moved the wrong direction in terms of being able to solve the drug problem.

Secondly, there is a financial issue. The fiscal analysts indicate that this would put us outside the area of compliance in a number of important federal statutes, and that we would lose up to $12 million as a result if this initiative passed.

The third area deals with the fact that this is responding to a problem that at least, according to our own fiscal analyst, is not a significant problem in terms of the number of times that it would be seen as abused. And I guess the last one is that I think that the proponents’ argument that this is somehow going to add to the funding solution to education, really is an exaggeration. This would essentially eliminate forfeiture, and any moneys that they suggest would come from, to education, that really would not materialize.

ROD DECKER, KUTV: Explain what the proposition would do exactly.

GOVERNOR LEAVITT: Basically it would put a series of limitations, quite significant limitations, on the capacity of law enforcement to use forfeiture as a tool. That is, when they seize property, being able to utilize the property for the purpose of law enforcement, and it would put limits on that. And it would have funds that would otherwise come and they would put them into education.

ROD DECKER, KUTV: Now that they seize a dealer’s car and they keep it and use it in undercover operations. They would continue to seize the car, or the proceeds from the car would go to education?

GOVERNOR LEAVITT: We’d change the cases and the circumstances under which they could do it, and it would raise the bar so high that it would make it a practical impossibility.

ROD DECKER, KUTV: So the drug dealer would keep his car?

In many cases, in many cases it would put the bar so high that forfeiture would not be used as a tool.

DAN HARRIE, SALT LAKE TRIBUNE: Do you have any sense that in both these initiatives you’re somewhat swimming against the popular tide?

GOVERNOR LEAVITT: I don’t know. I simply acted on what I think my own judgment is. I revealed how I’m going to vote and the reasons I’m going to vote. As I indicated, I did not intend these to be direct endorsements. I just, it’s always asked, and I wanted to make clear what I’m going to do. I’m not going to be engaging in the campaign. This is likely the only time I’ll speak about it. But it is, I thought it necessary for me to at least say how I felt about it. I think almost everyone believes that English should be the second—or should be the official language. It is. And I, to the extent that my opinion is influential, so be it.

KEN VERDOIA, KUED: Governor, I want to move on to another consideration, because just prior to air time you presented me with a copy of an interesting letter you’re directing to the Republican Presidential candidate, George W. Bush. Rather than offering services, you, in fact, are withdrawing services.

GOVERNOR LEAVITT: I’m running for re-election to continue my service as governor. I’m doing so because I don’t think there’s ever been a time when I was better prepared to do service to this state. I have so many things that I would like to continue moving forward, with education, creating better jobs for our children, protecting their livability, and the safety and the compassion that I think this state shows, and maintaining the initiatives that we’re putting into management of the state, we’ve got highways, we have the Olympics, we have so many things that are coming that I want to participate in.

I’m flattered by the fact that from time to time there’s been speculation that because of my, quote, personal relationship with Republican nominee George Bush, and because of that good working relationship over the course of years that I would be considered by him to be a participant in his administration in he were to be elected. I want to make it clear that we’ve had no conversations. I’m simply responding to the fact that from time to time there has been speculation and I, in order to resolve that, I’ve written to Governor Bush a letter, which I’ll provide you a copy with, that basically acknowledges the fact that there has been speculation to that effect, and indicating to them that, at some point in time, if there are conversations with respect to how he would organize his administration, that I would not be considered because I would hope to be and intend to be serving as governor for the next four years.

ROD DECKER, KUTV: Supposing you lose. Are you still withdrawing?

GOVERNOR LEAVITT: I’m not -- I don’t think that’s going to happen, but if it did I would like to be at least employable.

ROD DECKER, KUTV: Employable by the Bush administration? I mean if you lost, that if you -- If Mr. Bush is elected would you then be available for a position in the Bush administration?

GOVERNOR LEAVITT: I intend to serve as governor for the next four years.

RED DECKER, KUTV: Okay, but are you saying you’re out of government if you lose? Or are you saying- -

GOVERNOR LEAVITT: No, I’m not saying that. I intend to serve as governor, and that’s the reason I’m writing the letter.

CHRIS VANOCUR, KTVX: Governor, are you in a position to say that if you are successful in November and re-elected to a third term, that’ll be it, no fourth term?

GOVERNOR LEAVITT: Now, we have a twelve-year term limit in our state. It was passed, in part, by my initiation. I have never gotten to the point of even thinking about that. And I’m right now running for a third team, and I expect that I will serve a third term, and I expect to have it be the most aggressive term that I have served. I expect to accomplish more, because I’m better prepared, and right now that’s exactly what I’m focused on.

CHRIS VANOCUR, KTVX: Just so I understand, you are actually prohibited, as of now, for running for a fourth term?

GOVERNOR LEAVITT: Well, I uniquely would not be, because it was passed during my first term. I’m running right now for a third term, and I, in turn, intend to make it the most productive term of my service, because I feel so good about the first two. And as I said earlier, I don’t think I’ve ever been better prepared to undertake a very aggressive agenda than now.

CHRIS VANOCUR, KTVX: Through my keen reporting instincts, that sounds like you wouldn’t necessarily rule out a fourth?

GOVERNOR LEAVITT: Through your keen reporting instincts, what you heard me say is, I’m going to make these next four years the most productive service any Utah official has ever made.

KEN VERDOIA, KUED: Governor, you previously indicated that the third topic you wanted to address this morning is economic development, a key issue that will affect the lives of Utahns. What organization are you prepared to announce?

GOVERNOR LEAVITT: I’d like to talk for a moment about why I think this is important. I mentioned earlier in the discussion we had about our schools, that we have coming in front of us a huge challenge, but also an opportunity.

In the thirteen years between 1990 and the year 2003, Utah saw an increase of 30,000 students in its public schools. Over the course of the seven years, half that time, between 2003 and 2010, we’ll see 100,000 new school children. Additional. That means we’ll see twice the number of new students in half the time as we have in the previous period. I’ve already indicated that 65,000 of those will likely be from ethnic minority families, who will pose additional challenges.

My point is that we’re going to have substantial, substantial investment to make in education, particularly because we’re at a moment in human history where economic prosperity and education are inextricably linked.

The question will become, how do we provide for that education funding? It’s very clear to me that under any scenario, a powerfully vibrant economy and better-paying jobs are a critical part of it. About 70 percent of the best paying, best jobs in the future, and clearly the best jobs in the future, are going to be high-tech jobs.

Right now in Utah the average bachelors degree pays about $38,000, I believe. And in high-tech industries -- I’m sorry, let me restate that. In high-tech industries the average salary is $44,500. In old economy jobs the average salary is $28,000 jobs. About 70 percent difference.

We have, in the past, pursued high-tech jobs, but the policy I’m changing and the announcement I’m making is that we are going to target and focus fairly narrowly on the creation of high-tech jobs in the area of biotech and every other area of technology, and we’re going to do so by forming an alliance with the silicon valley.

Silicon valley is a powerful engine of economic expansion right now. Last year they founded 1,300 new companies. The average salary, again, 70, 80 percent higher than the average Utah salary. They have a problem in the silicon valley right now. They’re running out of room for their expansion. They’re running out of room for this to occur.

I have been meeting over the course of the last several months with a group of venture capitalists and officials from the technology industries in the silicon valley who see Utah as a remarkable opportunity. We are launching an initiative that will work to assure that Utah is the place where much of that will flow both after it's been initiated and before. On the 12th of September, I’ll be leading a trade delegation of legislators and key technology executives to the silicon valley, where we’ll form what will be known as Friends of Utah. We will begin what will become regular initiatives, regular visits to the silicon valley.

The silicon valley likes us because -- they have a problem. To get a new person to move to the silicon valley, to buy a new house, $750,000 is what it would cost to get a 1500 square foot home. If you want to expand a business in silicon valley, you want a new square foot of space, it’ll cost you $14 to $15 a foot, per month. In Utah it’s about $18 to $20 a year. We’re an hour and fifteen minutes from silicon valley, and you can be in Salt Lake City or in Provo, in Ogden, or any other area in Utah, in some cases faster than you can drive across the silicon valley.

There’s great enthusiasm on their part for what we have here. We have universities, three class-one research institutions. Here’s the key. We have a work force that’s growing at twice the national average. We are in a position, not to compete with them, but to partner with them.

The initiative is that we’re going to be focusing our attention, economically, in partnership with EDCU and the state, we’re going to be focusing on this initiative. For three reasons.

The first is that there are immediate and very high-paying jobs that are available to us in the state if we make it work.

The second is because it will create in Utah a powerful engine of entrepreneurial leadership, where as the next round of innovation comes, we’ll begin to see that grow.

And the third is because they’re higher paying jobs and it would help us fund our education system. If we want to have great education, we’ve got to have a good economy. If you want to have a good economy, you’ve got to have a good education system.

KEN VERDOIA, KUED: Governor, these announcements have driven the entire dialogue here, and I wanted to inform my colleagues here in the press corps that we are now in an open period, where any questions for the governor are appropriate.

TOM JORDAN, METRO NETWORKS: Just one followup to what you just said. On Monday among the various places you visited, you were at Phonex Broadband. And after you left I was talking with them, they said that their worry now is that they can't get people now who are qualified enough, and if we start getting the people coming in with California-sized salaries, that’s going to hurt local industry. What's the solution?

GOVERNOR LEAVITT: Well, a rising tide raises all boats. We have a wonderful asset in this state. We have a work force that’s growing at twice the national average. Every year we have turning out of our colleges and universities, we have about 25 or 30,000 new workers. In order to keep them in the state, now that we’ve invested in them, we have to have new jobs. That’s what they like about it. We have a steady stream of capable, able, well-trained, smart, good work ethic workers that they can deploy.

Now we need to have in certain cases people who are trained in different things. In the last ten years the percentage of engineers and computer science graduates that come from our colleges has diminished. Ten years ago it was 10.4 percent. It’s now 7.2 percent as a percentage. I have proposed, and will initiate additional information on a challenge to radically increase the number of computer science and engineering graduates that we have from our colleges and universities for that very purpose.

TOM JORDAN, METRO NETWORKS: Increase their budget?

GOVERNOR LEAVITT: We’re going to increase their budget, and we’re going to reallocate internally, and I’ll have more to say about that in the future.

ROD DECKER, KUTV: Does this mean that the Department of Economic Development here will not be looking for other companies that are not high tech, and will not be looking in places other than silicon valley?

GOVERNOR LEAVITT: No, but it means that our resources are going to be highly focused there in the bay area and on high tech. We’re going to be looking at -- I want to make Utah well known in that area, because I’m not certain what the percentage is, but it’s well over 50 percent of all the venture capital that goes into new enterprises comes from that area. And they’re like a boiling pot right now. They have so much capital and so many ideas.

In many cases we’re looking to make Utah a growout capital. Where we can take, not employee one through 50, but employee 51 through 500, and have them deployed here with the idea that in the future employee number 76 from this company and employee number 200 from this company are going to stand at the sidelines of a soccer game out in Sandy, and talk about what they’re doing at work. And they'll say what if you put this with this, and we'll have a new venture. They'll begin, they'll have the venture capital, they'll have all the contacts the need, the banking, the accounting, all the services that they need, and we’ll start to see new ventures grow up in a way that will radically improve the salary level and create employment for our children in the future.

ROD DECKER, KUTV: In the past we’ve talked about high-paying jobs but what economic development consisted of -- in fact -- is tax breaks for new businesses. Are you considering that these people are going to pay taxes the way old businesses do, or do you have to a whole line of tax breaks in mind?

GOVERNOR LEAVITT: One of the things that fascinates me about this new economy is that they are less focused, not to mention concern about those tax issues. But when they come to me, they talk about needing a work force, about needing infrastructure, about needing the capacity to move quickly, and they’re least focused on simply tax issues.

They’re still concerned about it, they’ve got to be competitive, and we’ve done good things to do that. We’ve given a research and development tax credit, we have the manufacturing sales tax exemption, we’re doing lots of things like that to make ourselves attractive. But for the most part what they want is a work force and people who can work at internet speed to have them ready.

A good example of this was E-bay. E-bay came to the state on a Tuesday, said, "We’ve got to be in business soon." On Thursday they made the decision. Five weeks later we had them in a facility and they now employ 500 people at better than average jobs with stock options. That’s the kind of thing we need to be able to do. Our value needs to be our capacity, our work force, our speed, and the environment that we create for them to operate in.

KEN VERDOIA, KUED: Governor, we’re out of our broadcast time for this exchange. Thanks for joining us this month on the Governor’s Monthly News Conference. A reminder that a copy -- a transcript of this and every Governor’s News Conference is available on line courtesy of the Utah Education Network. Visit us at www.uen.org for that transcript. Until next time, I’m Ken Verdoia, good evening.

Recorded: August 24, 2000, 10:00 a.m. Eccles Broadcast Center
Broadcast: August 24, 2000, 7:00 p.m. KUED-Channel 7
August 26, 2000, 12:30 a.m. KULC-Channel 9

 

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