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Operator. Enjoy the rest of your day. [captions Copyright National cable satellite corp. 2015] [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. Visit ncicap. Org] coming up later today a discussion on the outlook for consumers and patients in the health care market. Well hear about the plans that are available. The event is hosted by the alliance for health reform. It begins noon eastern on cspan3. The annual summer meeting of the National Governors association with the opening session with remarks from john hickenlooper, and gary herbert, device chair. That starts at 12 45 eastern. On cspan3 a briefing with the latest update on the new Horizons Mission to pluto. We will hear a discussion on the latest results from the spacecrafts flight past pluto. That breathing starts live at 2;00 eastern. And now remarks from loretta lynch. She spoke at the National Black Prosecutors Association earlier this week and was honored with the top award during their annual meeting. The comments are about half an hour. Our attorney general has dedicated her life to public service. Two president ial appointments for the Eastern District of new york. She received her jd from harvard law in 1984. She served with distinction first on the front lines, and then while running a Branch Office to her two terms as United States attorney. She oversaw one of the nations premier litigation offices representing the United States and three of the five boroughs of new york city, including both suburban counties on long island. Her district at the time encompassed 8 Million People of diverse backgrounds. As the top Law Enforcement officer in new york, she oversaw all criminal investigations and prosecuted virtually every type of crime. She made Community Outreach a priority. She brings this background to benefit our nation. General lynch is the 83rd attorney general sworn in in 2015 and is the first africanamerican woman to hold this position. [applause] ms. Pearson the president s award of excellence is awarded to an individual organization that has demonstrated Outstanding Achievement in service and commitment to furthering the overall objectives of the National Black Prosecutors Association. , which is the advancement and education, Recruitment Retention of africanamerican prosecutors, upholding the honor and dignity of the bar cultivating relationships among the nations prosecutors perpetuating the history of the profession and providing service to the community. To me, it is simple. I along with the other members watch with pride as attorney general lynch took on drug dealers and terrorists in new york. We shared with the nomination cheered when the nomination was announced because we knew it was well deserved. We marveled as she handled question after question that was thrown at her with cool calm, and the collected manner we had expected from her. And we cheered on confirmation day. This is the pride of the ascent of a fellow member who supported us all the way. As the president of the National Black Prosecutors Association it is the greatest honor in my career to be able to present the attorney general with this award, because she has been a role model to me as an africanamerican female prosecutor, and to so many others. General lynch, the words he spoke three so true. We do not look to revenge and retribution. We look to the law. Thank you for being the academy of what we all strive the epi tome of what we strive to be as prosecutors. The award is presented to loretta lynch. [applause] ms. Lynch whew. Well, here we all are. It is such a pleasure to be here today. I want to wish all of you a good afternoon. I have seen the agenda and i have been here before. It is such a pleasure to see everyone. I want to thank you for that gracious and kind introduction. Thank you so much. And also for your leadership of this Outstanding Organization that i know means so much to so many. Former president , where is bruce . How are you doing . You served again with pride and distinction. Thank you for your service, as well. [applause] ms. Lynch both your current and former president have been on the front lines that every lack prosecutor faces each day. Sometimes the fight to win for your place. I think both of them for their efforts and inspiration to all of you and to me. I think this organization. National black Prosecutors Associationha been a stalwarts to this cause has been a stalwart to this cause. I am so happy to see you all. It is a pleasure to stand with you as you move forward in the work. There is nothing more humbling than to receive a reward an award from your peers. This means the world to me, this award of excellence. It has been i will treasure this because i treasure all of you, and i want you to know that. So thank you so much. For more than three decades, nbpa has provided the encouragement that i have received from this organization. You have always been looking outward to the countless individuals who want to contribute to Law Enforcement and Public Safety. That is not always an easy road. This organization has focused on training, on increasing the ability of our Law Enforcement personnel to perform their duties with professionalism and excellence. And more to the point ever since i have known this organization, you have focused on supporting our young people. Our Young Mothers and sisters who were searching for a way to join the ranks of prosecutors to find their way in this great profession of hours. By building that pipeline and by supporting our younger lawyers you are ensuring the viability for years to come, the viability of our ideals, our vision, and our sense of justice, for years to come. I thank you so much for those efforts over the years. They are truly needed and important and so singular. This is a particularly significant moment for Law Enforcement across the country. In recent years, this nation has begun to question a whole host of things, things that nbpa have long had on their radar. Were questioning some Law Enforcement functions, starting at the reentry. All of these things are part of the national debate. All to the good. We have begun to question our reliance on incarceration. Does it really work . When you begun to make our criminal Justice System more efficient and more fair. But this is nothing new for National Black prosecutors. Nbpa has been at the forefront of all of these issues. I have heard these themes through my meetings and interactions over the years. You have been the voice of lawful consideration, the voice of inclusion. You are the voice that speaks for all who are impacted by our criminal Justice System. At no time is your voice more needed and more necessary than now. We need you to stay involved in all of these issues and to continue to lead the way and to be the voice for change, reason, and fairness in our system. I am proud to say the department of justice is committed to these efforts. Two years ago my predecessor eric holder, launched the initiative, a groundbreaking endeavor designed to rethink the way we thought about these criminal justice issues from the beginning, from the inception of a case, to keep the focus on individualized justice that every defendant deserves few get, at the forefront of all of our decisions. The Justice Department modified its charging policies for certain lowlevel this is done to ensure the individuals convicted of a crime would face sentences that reflected their liability, but they would be commensurate with their conduct and it would enable us to direct our resources where they belong, toward the drug kingpins, the leaders, the organizers, the people who pull in the we have refocused attention on a range of evidencebased, diversion programs like drug rehabilitation trying to reduce recidivism, and to lessen the burden on officers. We have improved our focus on reentry and on presumption on prevention. I want to talk about reentry. So many people in this room have been a leader in this field. We have an obligation to help our formally incarcerated individuals return as productive citizens. Not just because it reduces crime, but because once they come back, they are under our care too. They are under our charge. We have an obligation to protect them. Many of these efforts include directing every u. S. Attorneys office to designate a reentry coordinator in his or her district, as well as working with our Law Enforcement partners to examine the ways in which states can assist us to mitigate the consequences of incarceration. It is as simple as let them vote. Let them vote. [applause] ms. Lynch when people have paid their debt to society, let them vote. We have pushed back against these owner rents zerotolerance School Discipline policies. We know that discipline is important in schools and educators have to have a way to manage their classrooms. Too often what starts out as a way to manage our children turns into a system that sends our young people, particularly our young boys of color into the criminal Justice System rather than the principals office. We all know when we interrupt education, particularly at those early stages, and we are talking very often about Elementary School children, they often never get back on track. We have to be involved in that debate as well. This is an area in which i call for nbpas voice to the loud and strong. Please are very important steps the department is taking. They are having significant effects. We have been relying upon our prosecutors across the country using their discretion thoughtfully, with a great appreciation for the role that prosecutors play. We are also looking throughout the system as well, in terms of our clemency, looking at offenders who have served much more time than they would have under our current sentencing regime and trying to find a way that while they have paid their debt to society they still have a chance to reenter it, as well. President obama spoke at the naacp last night and he noted we are pursuing mandatory sentences about 20 less often than before. Some people were concerned about this. Valid concerns about the safety of our community. We are solving as many cases as before. We are achieving as many pleas in these cases as before. Last year, with the evidence we have our countrys crime rate and incarceration rate declined for the first time in four decades. The first time in four decades. [applause] ms. Lynch we can do this. We are doing this. But we need everybodys voice to continue this effort. We are going to build on this progress. I will be examining the use of solitary confinement in our prison system, as a federal and the state levels. We are working closely with supporters of criminal justice in congress to achieve muchneeded legislation. Ill bet you never thought congress would get anything done. [laughter] ms. Lynch but this has a chance of working. We are committed to this effort. I plan to strengthen the way we carry a justice at a local level, in our towns neighborhoods and city streets by beginning with a priority, focusing on the relationship between officers and the communities that we all serve. You know better how important these relationships are. You recognize that for too many that for far too long, and have looked at Law Enforcement is something imposed upon them, not as someone coming to help us. You know what that does to a community and to a people. It leaves that without someone to call when they are cold and lonely and frightened. Without someone to look out for them when they feel threatened. It leads them l eaveeaves then without hope. This is unacceptable. This cannot be allowed to continue. We know all communities deserve better. They deserve the full protection of the law. They deserve to know that Law Enforcement is looking out for them, protecting them as opposed to trying to break them. They deserve this commitment. We know the benefits of a positive relationship between Law Enforcement and the community, because we have seen that. When officers and residents share this connection, the residents are more likely to help out with investigations. Victims feel safer coming forward. All of us can better protect everyone in those communities. We also know repairing the divide we have seen across this nation will take all of our best efforts, from those of us charged with prosecuting misconduct to the members who understand the neighborhoods the best and can give us muchneeded insight. One of the ways im working on this priority is i have begun a sixcity tour, a communitypolicing tour to highlight new practices that are focused on strengthening these connections. I have seen important signs of progress. We have selected cities because they have had challenging relationships between Law Enforcement and the community. A shooting, violence between residents and Law Enforcement and were looking for communities that have found a way out. Sometimes through close working relationships that they have set up. Were looking to highlight the ways in which they had been effective and use them as a model for communities across the nation who see these problems on the horizon or who are enmeshed in them themselves. Ive been to cincinnati, birmingham, east haven connecticut. I spoke with leaders from all backgrounds who talk about their collaboration as one that required constant engagement to transform the Police Department and it nation ship with the citizens and its relationships with its citizens. Cincinnati is now facing another challenge. Our hope is that the relationships that have been forged will Work Together to produce an informed citizenry responsive police force, and an open and transparent process towards justice in that case. That is our hope there. In birmingham, carter from members who praised Police Leadership and from young people whose new friendships with Police Officers have possibly change their perceptions of those who wear the badge. Just yesterday, a Community Still under a Consent Decree because of discriminatory fleecing toward the latino residents, we met with the victims in that case as well as the current Police Officers on the force. I heard those victims talk about not just the fear and suffering they used to endure, but the respect they now receive from the Police Department. I heard them give concrete examples of how things have improved. I heard Police Officers talked about a cultural shift that they want to institutionalize. They do not want to go back. This is what we are trying to achieve and to get, to have happen in every Community Across this country. It takes the work of Law Enforcement, faith leaders, all Community Leaders as well as young people. But it can be done. Ill be continuing this tour in pittsburgh seattle, richmond california and i looking forward to see how the collaborations in those jurisdictions have come up with are also working toward these goals. But this tour has highlighted one thing, which is the vital role that the Legal Profession has to play in advancing the cause. We can make profound and lasting changes in the wellbeing of our neighborhoods, as well as the standing of our profession. Organizations like National Black prosecutors has always been at the forefront of this. We have embraced new leadership that focuses on how do we make the system better . We have always worked to replace these assumptions with contemporary insights. I have police offer saying what they like best about their jobs is that years ago it used to be about running around and arresting people now it is about solving problems. This is something that nbpa has championed for years, as part of its training efforts and as part of its discussion that we have always had members of the Law Enforcement community. We can fulfill essential responsibility of prosecutors at all levels throughout this nation, not only to apply the law but to do justice. I think that mission is meaningful for all of us here in this room today. Ifas was said about the black experience, whenever feels his two souls two thoughts, two strivings, two warring ideals in one dark bodies and keeps it from being torn asunder. Those of us who have chosen Law Enforcement as a career feel that too, probably most of all. I have always believed that it is our presence within Law Enforcement that is vital precisely because we understand the tensions that are inherent within a Diverse Community and we understand the value of diversity, the value of having all voices at the table. We recognize the struggles to make harmony from discord, but we know it can be done. And through our will and history and shared goals and experience and determination, we are determined to reconcile the twoness of our own society the greater world in which we live in and to bring our own strength to the challenges of our time. My friends, we have a responsibility, but we also have a wonderful opportunity to ensure that Law Enforcement officers serve as in every community, no matter who the residents are. We have a duty to insist that the law is a to the values that make this nation exceptional not only in its word or intent, but in its execution. We know when we lose sight of that goal, we know that feels like, and we will never condemn another to feel that fate. We know that we have an obligation to extend our hand to those who have been let down and left behind in order to help build the more inclusive and more just society that all americans deserve. We also know this work is difficult. It is we know it is not easy, but it has never been. That has never stopped determined group of black prosecutorss from getting the job done. And in the country created by the people for the people, it is incumbent on all of us to consider how we can bring our common society closer to the goals of its founding. How we can forge a more Perfect Union that our founders promised and how we can create a more beloved communities that all of our generations have fought to build. Now, i know that not only my committed to this fight but all of you are as well. When i look around at this group of people, keepers of the peace, colleagues, all, guardians of all of those who protect and empower, i know that we will win. We will achieve this goal because i know this group i know your strength, determination, and i want to thank you once again or your leadership, for your history and your dedication of your promise. In particular, i want to thank this group for reaching out to a young narcotics prosecutor out of brooklyn so many years ago who first heard about this group through sterling johnson. [applause] i want to thank you for reaching out to that young prosecutor and always supporting her no matter what she did. For always stay connected to her, even when she left the department of justice. I want to thank you not only for this award but for always being there throughout all my endeavors, and i pledge to be there throughout all of yours. Thank you again so much. Not just for this award, but for your help, support, and love over the years. Thank you again. [applause] live coverage this afternoon as we bring you coverage of the annual summer meeting of the National Governors association starting at 12 45 eastern. The opening session with remarks of Association Chair colorado governor. And vice chair. At 3 15, a discussion on innovative state strategies for tourism and Economic Development. Tomorrow we will have more from the nj with meetings on the u. S. Opioid crisis, Career Pathways due to fading economies, and Health Care Transformation. Live coverage tomorrow starts at 9 45 eastern. Sunday, cspans First White House coverage continues. We will bring a profile of president ial candidate Lincoln Chafee who discusses the 20 16 race, his experience as a senator and governor of rhode island, and his decision to leave the Republican Party. That is coming up sunday, 6 35 eastern on cspan. Right now, more road to the white house coverage with scott walker. He spoke with volker with voters at the Carroll Center in western iowa and this is about one hour. [indiscernible] i love writing my harley, so it is good to be here. Riding my harley, so it is good to be here. We appreciate the leadership. It is going to be fun. Yet, it is going to be a good day. Well, that is awesome. This is my wife. We have met before. How are you . . My nieces are with me. My brother and my sisterinlaw were driving the car behind us and they played games with us on the winnebago. Thank you so much. [indiscernible] thats me thats my brother david you is now tolerant than i am. We bought an iowa state five with plates. Study of the lines from the photo in there. I got them in there. Yeah. Crashing into the pillar, right . [indiscernible] scott walker only thing better would being out on the road. [indiscernible] important to be out there. What is going on . Nice to meet you. Nice to meet you. Scott walker that is my wife, tonette. Very good. This is wonderful. Great to have you. Scott walker it was great. We had a blast. We were in cash we were with we were with joni. We compete with my staff and assistance. I didnt want much, i had i had 17,000 steps and there was the vibration. I tie it onto the rim and i would be all set. We are glad to have you here. Scott walker thank you. It is fun doing things around the country. Yeah. [indiscernible] the sound of the harley. He already claimed that one. Yeah. I will rev it up for you a little. Scott walker got to rev it up a little bit. The one thing i do not do is sit on the back, right . Thank you. Good to see you. Scott walker good to see you. I have inlaws in wisconsin. Scott walker where . Green bay. Scott walker sure. We keep seeing packers fans all over the place. Scott walker yeah. All over the place. I believe it. Scott walker we get every spot. Thank you so much. Just retired. Yeah. Scott walker we are doing the full grassroots, we are going to all 99 counties. All right. Thank you. Scott walker all right. Good. Good to see you. Hi. Scott walker where you from . Southtown. Scott walker nice. Could be a lot lower. Welcome. This is really close to my neighborhood. It is really good. Scott walker i tried to be. Im the last one out on council bluffs. After that, we are going to marshalltown. We are doing all 99. We are doing them all. You have a great crowd here. You can feel the energy. It is going to be good. Scott walker good to see you. Thanks for joining us. Good to meet you. Good to see you. Yeah. Tremendous. All right. [indiscernible] scott walker hi, guys. Good to see you. Yeah. Good to see you. Good to see you. Thanks for being with us. Thank you very much. Glad you could be here. Good to see you. Yeah. I was in las vegas. Somebody brought me a baby named, reagan. Picture me at harleydavidson dealership with reagan. Good to see you. How are you . Thank you for supplying life. Can you smile . Just looking around. It looks like poppa. I have followed walkers career. Im proud to say that i am one of the first representatives in the house to sign onto the campaign and endorse him. After seeing the things he went through as governor, he promised to bring fiscal reform and get wisconsin back on the right track. When he took over, the state was 3. 6 billion in debt. He turned it around and closed the gap. They had a Rainy Day Fund and he actually lowered taxes while doing this. He has a great resume and this is the kind of person that we need in the white house, personally. [applause] and, so, when the governor talked to me a couple of times i met him twice now and he asked me if i would support his campaign, i said i would. After having getting to know him a little bit and talking to him a couple of times, i made the right choice. He is a great guy. He is a leader. I am going to say that he would he a great president. The governor, in his spare time, which he has little of, i know that. He works hard in madison and is still working to keep wisconsin on the right track. He believes the principles in wisconsin would be a good model for the nation and i agree with him. I think he has the right thing going right now. Without further ado, i want to introduce the 45th governor wisconsin, scott walker. [applause] scott walker thank you. Thanks. [applause] scott walker thank you. Thank you very much. After the introduction like that, being one of the early leaders and the representative is the best of the best. We appreciate it. Great job of hosting. A lot of his colleagues are here and we appreciate you joining with us. I would just like to say two quick things on a serious note. I would like to pause for a moment of prayer to think about the other day a couple of days ago i talked to bill in tennessee. That day alone, we lost four marines in the horrible accident in tennessee and three individuals a marine, sailor, and an officer were shot. Since then, sadly, we have lost another one of those so it is now five whose lives were taken. I think it is important for us to say a prayer for those families and loved ones, as well as all the other men and women who continue to serve today in harms way here and around the world. Can we just pause and pray for them . Thank you. And, one other the thing i want to say it and we will Start Talking about the campaign, but earlier today, i make a practice of not commenting on the positions of other republicans. My view is that i would share what i am for. I am going to talk about that here today. I have been asked a bit about what i think about this candidate or that candidate and i say, they speak for themselves. On policy, they can talk for themselves. Today, one of the candidates made a comment about john mccain. Say what you want about his politics, one way or another. But let me be fundamentally clear that john mccain is American Hero and i will denounce anyone who speaks ill of someone who has been a prisoner of war. Not just john mccain. But anyone else like that, we need to stand up and defend them. I will make an exception for someone who goes personal on someone from our military. I will always defend the veterans, regardless of the politics. [applause] scott walker i am glad to be here today and it is nice to be at a harley dealership. I actually ride a 2000 three rd a 2000 three rd king. 2003 road king. I had a lot of fun. Joanie and i had a lot of fun. We need to ride as much as we can. They tell me if i win, i might not be riding for eight years. I want to get as much riding as i can. We are crisscrossing the country and having fun. I have my wife, tonette. My two sons, matt and alex. They are back there. Alex is over summer, alex is over there. We have a winnebago and we are crisscrossing the state. We were playing games with my nieces isabella and have a are and and eva are here. A great time. I love times like this in the winnebago. We are doing the full grassley. Just like senator grassley and senator ernst and my friend, we are doing all 99 counties. We are making a play to win in the caucuses, and going ahead and winning in november in 2016. A path to the republican presidency goes through the midwest. That involves iowa, michigan ohio, pennsylvania. For us, it is imperative to win. We are here to do well in the caucuses as well as to come back and do well in november 2016. You will see a lot of us. We will have a lot of fun here. We love going through the all 99 counties out here. I should say that monday we made our first the announcement as to our intentions monday night, but i can officially say in iowa that i am scott walker, i am running for president and im asking for your vote. [applause] scott walker i was talking about veterans and i mentioned a few veterans from world war i and world war ii who lived up the block for me and a vietnam veteran who had an influence. I am reminded of them and others around the country. They remind me that america is a cando kind of country that has a government in washington they that cant quite seem to get the job done. I have good news. It is not too late. Help is on the way. We can make the country great again and that is exactly what we are going to do with your help Going Forward. [applause] scott walker to do that, we need the big, bold leadership. The kind of leadership that is new, fresh, the kind of leadership that actually gets things done. That is what we have done across the mississippi. We got things done in wisconsin. A blue state. Since i have been governor, we took on the unions. We have won 100,000 protesters occupied the capital. They did a recall. We didnt back down, we werent intimidated. We got the job done. If we can take them on there, we can take them on anywhere. [applause] scott walker we look at that and said since i have been governor, i did not we did not just do that. We lowered taxes on individuals we lowered taxes on employers farmers, Property Owners and taxes are lower in my state than they were four years ago. In the last budget i just signed a week ago, they will be lower in 2016 in than 2010. How many governors can say that across america . Since i have been governor, we did other things as well. We did lawsuit reform and Regulatory Reform. We defunded planned parenthood and passed prolife legislation. [applause] we enacted Castle Doctrine and conceal carry. So that lawabiding citizens can protect themselves, their family, and their property. And now in my stay, that says we have a law that says that you have to have photo id to vote in my state. [applause] scott walker so i say, if it can work in a blue state like wisconsin, it can work anywhere in america. As i travel america, and i have got to tell you whether it is traveling across the state, i hear they are tired about of politicians who tell them what they are against and who they are against. Americans want to vote for something and someone. Let me spend a couple minutes telling you what i am for. I am for perform. Im for growth. For safety. I am for transferring power out of washington and putting it in in the hands of the Hardworking Taxpayers across this country. That is real reform. I am for a better economy that allows everyone to live their piece of the American Dream. That is progrowth. I am for protecting your children and grandchildren from radical terrorism. And all the other threats in the world. That is true safety. [applause] scott walker so, reform growth, safety. Let me spend a moment telling you a little bit of wine a little bit about why i am for real reform in washington. We had reforms that took power out of Big Government spenders and put it into the hands of the Hardworking Taxpayers. Because of that, our state and local governments are working better and people are doing better. Sadly in washington, they seem to think that they measure success by how many people are dependent on the government. We as americans, i think should , measure success by the opposite. By how many people are no longer dependent on the government . We understand that true freedom and prosperity you can clap for that. [applause] true freedom and prosperity to not come from the mighty hand of the government, it comes from empowering people to live their own lives, and control the own destinies. Prosperity comes from work. I grew up in a small town and my brother david and i actually, it is kind of funny before i tell you where i worked. When i was first born, my dad was a preacher. He was called to be a minister in Colorado Springs. That is where i was born in 1967. He was called to be a minister. My parents were called to a Church Called plainfield with a population of 450. One year later, my brother came, he was born in waverly, iowa. Moms are good at keeping pictures and you can tell how old this nature is. I had to pull it out of the photobombing, it still has the glue lines from where you pull the plastic off any full picture off. I have a picture of my brother and i 40 years ago. Our small town had an American Flag in the state hall, but they and the city hall that it did not happen i was stateside. We do not think that was right so we got the mayonnaise jar and got enough coins in the jar to buy the state flag and, my mom took a picture and he was much and she said youve got to show that picture of you and your brother david, and he was much cuter than now. He is the guy on the left. I was a couple years older. That is a great reminder and i moved to wisconsin and that is where david and i grew up. We went to middle school, and high school right down the way. I think about our roots and for me, that first job was washing dishes at the countryside restaurant. And then i moved up to the big time and started flipping hamburgers in high school at mcdonalds. In fact, when i was flipping burgers at mcdonalds, my friend paul ryan, you may have heard of him, he was flipping burgers in janesville about 15 miles down the road. He was flipping burgers in the back because his manager told him he did not have the interpersonal skills to work the cash register. I wonder whether managers thinking today . I think about that and i think about my parents and my dad being a smalltown preacher. My mom being a parttime secretary and bookkeeper at a little business in our town. My grandparents were farmers who did not have indoor plumbing. Until my mother went off to junior high school. My dads dad was a machinist and at a factory in rockford, illinois. If you work hard and you play by the rules, you can be anything you want. That is the American Dream, and that is worth fighting for. [applause] so, let me spend another minute to tell you why i am for a progrowth economic plan that helps families and individuals achieve their piece of the American Dream. You see, there is a real contrast. I believe instead of the topdown, government knows best approach from so many politicians in washington, we need a counter. We need to build the economy from the ground up. In a way that is new, and fresh and organic that says as long as you do not hurt the safety of your neighbor, start your own career and build your home business. Live your own life. That is freedom the kind of freedom that is the cornerstone of the American Dream our plan has five simple things. Create more jobs in the country and raise wages by repealing obamacare once and for all to put decisions back in the hands of patients and families. [applause] in addition to that we need to , reign in the regulatory climate in the federal government. I am all for enforcing common sense. Lets get rid of bureaucratic red tape. It hurts Small Business owners and farmers. You know it in the state and across the midwest. The federal government is a real burden. It is a blanket on the economy. We need to lift it up. Third, we need to put in place the all of the above energy policy. That levels the Playing Field for all energy sources. You know what . We are energyrich. We can fuel the recovery on the right path. Along with that then, i say, lets find a way to get people the education and the qualifications to succeed. If we do that, we can find careers that pay more. Let the other side talk about how low wages are. Let us talk about how we are going to lift everyone up with the skills and education that they need to be successful in life. [applause] i am proud of the reforms would we put in our state. In wisconsin we reformed public , education and we provide more quality choices for families because i trust parents to make the right decisions for their children. I want every child in america, no matter what the background or what their parents do for a living, no matter what zip code they come from, every child deserves access to great education in the traditional public or the virtual or homeschooled environment. Every child deserves access to a great education in america and i believe in a high standards. I believe those standards should be set at a local level. Not out in washington or anywhere else. That is why i do not believe in common core or a nationwide school board. We need to take power and send power out of washington and send it back to our states and schools. Where it is more effective, more efficient, and definitely more accountable to the american public. [applause] now, i have a dollar here. It is a simple thing to remember where would you spend the dollar . Would you rather send it to washington . Lloyd you rather keep it in your childs or grandchilds school . I think most of us would like to keep it here, right . We would rather keep here with our kids schools or reconnection to see whats happening at hold people accountable for it. Speaking of dollars, the last thing of progrowth that will help rage raise wages is leading to lower the burden on hardworking tax growers so you can keep more of that hard earned money. That is fundamentally important Going Forward. I know that we can do it because we did it in my state. 2 billion worth of tax relief. I know we can do it and sometimes people give me for give me grief on why i focus so much attention on tax relief. It is simple. Let me tell you a little story. Tonette and i love to shop in a place called kohls. I have told the story so many times, there was a funny segment on jimmy fallon. Did you see it . Im nothing but consistent. If i go to kohls i go to the rack that says it is 29. 99. And now it is 19. 99. And then we pull out the insert the get you the extra discount. Maybe if i remember to go home and get the mailer, 15 20 or, if i am lucky, 30. I know who shop the kohls, i see the nods. We give them the coupons and at the last minute, tonette pulls out the kohls cash and it is like we are getting paid for the shirt. It feels like it. How does a Midwestern Company like this make money . They make it off of volume. They can charge a higher price and fewer people can afford it or they could they can lower the base. Lower the price and broaden the base to increase the profit they make. That is how i think about the taxpayers money. The government could charge higher rates in a few people could afford it. Or, we could lower the rates and broaden the base and increase the volume of people who dissipate in the economy. Years ago, a plan like that work pretty well under a guy named Ronald Reagan. They called it the laffer curve. Today, i call it the kohls curve. I believe you can spend your hardearned money better than the federal government. [applause] the third thing is, to prosper we need to live in a safe and stable world. I am for to safety. You see the commander in chief , has a sacred duty to defend the american people. In my lifetime the best president when it came to , National Security was a governor from california who rebuilt the military, stood up for our allies, we stood up to our enemies without apology. We stood for strong american values, and that led to one of the most peaceful times in modern american history. We can do it again. Today, sadly, under obamaclinton, america leads from behind and that had that has us headed toward disaster. A president who called isis the jv squad, yemen, a success story, and iran, a place we can do business with. Iran david and i used to tie ribbons around our trees during the 144 days the iran held 52 americans hostage. Iran has not changed since then. Iran has not is not a country that we should be doing business with. As president , i will terminate the bad deal with iran reinstate sanctions. [applause] Governor Walker i top of all that, we had a president earlier this year you heard him say this a president who proclaimed that the greatest threat to future generations was radical excuse me Climate Change. Mr. President , i respect by disagree. The greatest threat to future generations is radical islamic terrorism, and we need to do something about it. [applause] Governor Walker we can start by lifting the political restrictions on her military personnel that are already in iraq, so they can assist our allies reclaim the territory that was taken by isis. On behalf of your children and mine, i would rather take the fight there, instead of waiting for the fight to come to us. [applause] Governor Walker we need to a knowledge that israel is an ally of the United States, and start treating israel like an ally. We need to stop the aggression of russia and the sovereign nations. Putin believes in the old principle of lennon, if you push, you push. Under obama and clinton, putin has found year after year of bush. It is time for the United States to have a Foreign Policy that puts steel in front of our enemies. [applause] Governor Walker we need to stop china cyberattacks. We need to slow their advantage in international waters. We need to once and for all speak out about their abysmal human rights records. We need to secure our border, enforce our laws, and stand up for a Legal Immigration system that puts the priority on american working families and wages and a way that will improve the american economy. We need to give our men and women in uniform the resources that they need that they need not just to keep us safe abroad, we need to give them the ability to protect themselves now here more than ever, and when they return we need to give them the timely and Quality Health care that they deserve. [applause] Governor Walker the best way to honor them is by fighting to win. You see, there will be times thats right, this is important. This is important because article should be peace. Our goal should be peace. There will be times when america must fight. If we must americans fight to win. The rest of the world must know that there is no greater friend and no worse enemy than the united dates of america. United states of america. [applause] Governor Walker there are some pretty big challenges for this next president. Domestically, financially, economically, and certainly where we stand in the world, but i am an optimist. I love america. I love the american spirit. I believe you love america, or you would not be here. I know time is not too late. I know we can turn things around. We just need the right leadership in washington to make that happen. When you look out at the field you will have a tremendous opportunity and responsibility. Here in iowa, not once but twice. You will have to look at the field, and i will not speak ill of the others, but theres a difference in this election. You see, there are really two groups out there. There are fighters and winners. There are fighters, many of whom are watching, and have been fighting the good fight they after day, month after month but they have not one those fights won those fights. Our winners, those who have been elected and reelected, but despite the elections, they have not fought the good fights over and over. I would submit to you that there is only one candidate in the republican field, one candidate at all republican or democrat alike who has consistently fought and won. Not just three elections in four years in a blue state that has not gone republican since 19 for, someone who has won the common sense fights that americans are craving across this country. If you want someone who will fight and win for you, fight and win for america, i am your candidate Going Forward. I ask you to caucus for me support us, and for your vote next november if i am nominee. People ask me all the time, why are you running . I say, i am to civil reasons. Matt and alex, right over there. Those are my two boys. They are the reason why i decided to run for governor. Im think will that is the reason the iran, and not for the title position. When we had the Death Threats the protesters, when we faced the recall, if it had just been about a title or position, it would not have been worth it. For matt, alex, and others in their generation, i knew that i wanted them to grow up in a state is even greater than the state that i grew up in. We stood firm, and did what we said we would do. Our state is better because of it. Their life and future generations will benefit from it. Today, in america, im worried on the pass passe are headed on. The reason im running a simple. It is because of matt, alex, my nieces your children your grandchildren, and all those yet to be born. I know, as you know, we want our children and grandchildren to inherit a better america than the one we and terry did from our parents and one we inherited from our parents and grandparents. With your help working together, we will not only win this election, we will take this country down the right path. Thank you so much for coming out here today. May god bless you. May god bless the military. May god continue to bless the United States of america. [applause] Governor Walker thank you. [indiscernible chatter] Governor Walker how old are you . Seven. Governor walker that is pretty cool. Thank you. [indiscernible] Governor Walker we want to try and turn this country in the right direction. Are you answering questions . Two you have any thoughts on what you are going to do on immigration for the people who already here . I understand securing the borders. Governor walker we continue to secure the border and start enforcing the law. We can start dealing with that afterwards. [indiscernible] do you have something online i can read about . Governor walker sure. Can i get a picture . Governor walker no problem. Thank you so much. [indiscernible chatter] just a quick reminder that this coming sunday, cspans road to the white house coverage will continue with a profile of Lincoln Chafee. He discusses the 2016 race. Gthat is sunday at 6 35 eastern. The hill is reporting another attempt to the republicans to get rid of the Nations Health care law. Mitch mcconnell set up a vote to repeal obama care, in a move to appease conservatives. Mcconnell announced today that he would move foreclosure on the filibuster. Mcconnell argued that taking both mms offers a balanced way forward the Export Import Bank is staunchly opposed by conservatives, including ted cruz, who shortly after mcconnell spoke the announced that decision. You can see the senate live on a companion network, as they are in session right now on cspan two now, more road to the white house coverage with Ohio Governor and republican president ial candidate, john kasich. He spoke in greenland, New Hampshire. This is just over one hour. [applause] governor kasich you know,. Was this big of the house, but you know who the real speaker of the house is . Stella. Come on. I had ruth and stella meet me outside, and that guy was standing next to them. I did not have time for doug. They are great, great people. I can tell you a lot of stories, but let me get to it so you can us some questions as well. Im fred to be traveling with johnson. We talk about every policy and world affairs. It is so much fun. He is so smart. Smarter than i am, by like to have smart people around me. So, how about one more round of applause for john. I do not think that you have heard this before, speaker, so let me tell you a story. Ruth, i do not think you have heard this either. I grew in a little town outside of pittsburgh. My father carried me on his back. His father was a coal miner. My mothes mother lived with us, she spoke very broken english. My mother was very opinionated not like me, i am shy. She was opinionated and a very terrific woman for her she was not educated though because that is not what they did. It is one little thing that i think about from time, what my mother could have been. It was a place where, first of all, there were no republicans they were all democrats. I will tell you who they were. They were reagan democrats. Godfearing, common sense. The people who did all the steel mills. There was one guy artistry that were a white shirt. I never saw white shirts. It was all blue collar, and conservative. Love america, all that stuff. I left that town after high school and went to ohio state, a small Little School in the midwest. I was there for about a month, and i got very concerned about some things, so i decided i needed to have a meeting with the president of the university. My local always said, you start at the top. I started calling, and they wouldnt let me in, and they finally did. I saw the president of the university, and he was a very impressive guy. A beautiful office, beautiful rugs, desk furniture. He says to me, what is on your mind . I tell him. I said, i have been here about 30 days, and im undecided as to what i want to be, but when i look at this office and your assistant, maybe this is the job for me. What exactly do you do . So, he told me about his fundraising, that is what presence do, academics, and then he said, tomorrow i will go to washington and have a meeting with president nixon. I said president , there are a number of things that i would like to talk to him about also. Can i go with you . He said, no. I said, well if i go back to my dorm room and write a letter, would you give it to the president . The man had never seen it before and he said, i guess i could do that. I went back to my dorm room and in my best writing, sketched out a letter to the president , inside it, sincerely, john kasich, if you would like to discuss this, let me know, i will come see you. A couple of weeks later, i went up to my mailbox, and there was a letter from the White House Office of the president. I take you upstairs and call home. My mother answers the phone and i said, mom, the president of the United States would like to have a meeting with me in the oval office. My mother is shouting, pick up the phone, there is something wrong with johnny. True story. [laughter] governor kasich i go home. This meeting is going to be in december. Im home for the First Quarter break. They can be a ticket, drive me to the airport, get out of the car. My mom once the window down and says, when you get there, they will not let you in, but dont worry about it. I get on the plane, go through the gate, and im sitting right outside the oval office. A guy walks up to me and says, you are going to get five minutes alone with the president of the United States, what do you think . I tell you what i am thinking, i have a new jacket, a new shirt a new type, i did not come here for five lousy minutes. [laughter] governor kasich they open up the door, and there is the oval office. Mr. President of the United States. I walked in, we shake hands, they take pictures i sit down at his desk, and i spent 20 minutes alone with the president of the United States an 18yearold firstquarter freshman. The bad news is that i spent about 18 years in congress, and if you add up the amount of time i spent in the oval office, i peeked at 18. It really has been the story of my life. Im grateful to the lord that i have had opportunities of blessings. I said yesterday i am a flawed man, ive tried to do the best i can. Ive been for the state senate in a very tough year against it, an incumbent. Bruce, i did not rely on the party organization, i relied on ladies like this. Normal folks. The weekend before the election they said i was a nice young man, but i was going to get slaughtered. I ended up winning the election. I went to the state senate and learn how to work with the other party because i was a republican, the house with democrat, and i know it is more important to pursue policies and politics. I was 26. I spent four years. On the election that, by the way, my mother father were there, and my mother looked at me and said, johnny, what are you doing now . Iran for congress four years later. Iran with reagan. I met reagan in 1976. I was involved in the convention in 1976. I was a very big reagan got. When i say that, i knew reagan and worked directly with him at that convention. How could you not be inspired by Ronald Reagan . I know him as Ronald Reagan, not what i read in the history books because i had a chance to be with him. Iran with a reagan agenda lower taxes. No one way to appear with him by the way, in 1982 because the economy was terrible. It was great because i got to spend more time with them, no one wanted to be with him. I was the only president to defeat a incumbent democrat in 1982. I was one of the people who found the hammerson screwed out of the cost tens of thousands of dollars. You remember that thing . I will tell you a funny story. I have to be sure here, or else john will yell at me. I took these hammers and screwdrivers from a little operation in columbus hearing my chairman was the guy who had his leg blown off in world war ii. He was a great patriot, a democrat. I go down and said, sir, i have this stuff. I have this range this hammer and screwed everything all this money. He looked at it and said, your mama does not have more of you at home does she . This was a change for him to see this. We reformed that process, improved it, still many miles to go now but i was on defense for 18 years. It was incredible. I served with some of the greatest minds. I got to sit across the table from barry goldwater, john stennis, john tower. These were like wow. Incredible people. I learned a lot in those 18 years. Six years in, i got on the Budget Committee and wrote my first budget in 1989. There was a kasich budget, a bush budget, and the liberal on my budget was 400 kno 30 yes. I went back, and my staff was depressed. They wrote this budget with me. They were really down. I said, are you kidding me . We have 29 other people who think we should run the country, this is fantastic. I just want to tell you one thing. In 1984, we elected a class of republicans who just did not give a wit about their reelection. It was remarkable. After 10 long years, in 1997, i was one of the chief architects of balancing the federal budget, the first time we had done it since the man walked on the moon, and we have not done it since. We pay down the largest amount of public debt, and the economy was going great. I left washington, and some of you might remember, i was a giant Television Star on fox news. You remember that, how great i was on fox news. I also worked at Lehman Brothers and i traveled around the country and learned an awful lot about business, which is so critical in understanding what motivates ceos, board of directors, and how you grow jobs. I left 10 years i was out and then i had a calling. If were not here to serve others, then i do not know why we are here. We can work a little golf and from time to time. Iran for governor, and i want. We faced a bad situation. 20 of our operating budget in the hole. We lost 350,000 jobs. It was pretty bad. 4. 5 years later, we went from 8. 5 billion in the hole to 2 billion in the black. We are up 350,000 jobs. Our credit is rock solid and if you have mental illness, if you are joerg addicted, if you are the working poor, if you are autistic, if you are developmentally disabled, if you are part of the minority community, you are in our family. No one gets left behind. After my first year in office, either 20 approval rating. You have to get up every day and work hard to be that bad. I want 86 out of 88 counties. I got 51 of Union Households 60 of women. And, the second highest margin of victory in modern ohio history. It happened for two reasons. One, create jobs, opportunity and secondly, people feel included. There are a couple of important things that we need to do, and then i will shut up. One, john gratian job creation is our highest moral goal. This economy has grown, but it has been terrible growth. We have to get the economy going, and we need to balance our budget. I have done it before with a team of people, we will do it again. Secondly, as people feel that things are getting better, every american has to be invited in. No one could feel as though they are out, they dont matter, they dont count. Im a believer that this country is great. Yesterday was an interesting day. It was bruces sons birthday, and because of that, that is why i decided to announce that im running for president of the United States. [laughter] governor kasich it took a little away from it, but his son was happy that i decided to do that. That is my story and i sticking to it. Lets get some questions. How was that . How about an applause . [applause] im not sure i like being called a big pumpkin. [laughter] it is a pleasure to have you here today. My question is and one of my concerns is obviously with what is happening in our recruiting stations. How do you feel about our military being able to protect themselves in recruiting stations and on u. S. Soil . Governor kasich first of all, people in these recruiting station should be honest. They should be there to be able to do their job. [applause] governor kasich in my state even today we were closing for them down, assessing them, but i want our recruiters to be effective and be able to protect themselves and other people there. It gets to an even bigger question. Our couple things i would tell you. The military has really run down over the last decade. It has not just been recently. It has been happening over time. There are too many bureaucrats that are running things inside the pentagon. Almost one million. When you have all of these people doing all the stuff things do not get done in the government. If you are bloated, whether you are a business or government, does not work. It is one of the reasons that privatized Economic Development in one of the reasons i privatized Economic Development in ohio. The same is true inside the pentagon. It needs an entire makeover. Then, we need to make sure that we are buying the weapon systems that we need. We need to rebuild our baby strengthen our army, and battle this problem of cyber security. In order to do this, some of what we have to do should involve the private sectors. Let me tell your a story. After 9 11, i got a phone call to go and meet with the former secretaries of defense at the pentagon with secretary ron rumsfeld. Ive no idea why they invited me, but i went to the meeting. As i sat there, i learned that we wear actually not doing well on the technology front. I suggested in this meeting that we bring some of the best minds from Silicon Valley because it was working out there. I knew these people. By the way, i brought these two guys ones name is larry page. When i met them for dinner and california after the meeting of the pentagon, they came to the meeting in a volkswagen with inline skates tied to the roof. Let me tell you who these guys are. You may have heard of the company, it is called google. We took some of the best and brightest people inside the pentagon, and rumsfeld would from time to time, come being these people to thank them for the work they are doing to solve technology problems. We need to do more of that. We need to be less paranoid and use more common sense when it comes to solving these big problems. Bureaucrats, god bless them, they can trip over one another and not get the job done. Secondly, when it comes to people like isis it is either you are going to pay me now or you are going to pay me a heck of a lot more later. I have been saying that we need to go there and destroy that Organization Called isis. I think we need to do it. [applause] governor kasich people say well, the polls are not good for putting boots on the ground. When do leaders have to do this when leaders do this, they do not have any followers. This is something that has to be done with. Lets just do it. We can rally the support of the public for this. We need good intelligence. We need human intelligence. We degraded our intelligence. Snowden ought to be locked up for a thousand years for his thing. This is a terrible thing. We do not want to lose our civil liberties. I ask to give credit to rand paul saying we should have a balance between security and liberty. We have to have the security the information, but we do not want the government having all this stuff in my opinion. I do not want them looking into everything i do. I think we can strike a good balance. I want to tell you, i know the stuff is unnerving to people, scary in a way, but look we have been through a civil war, racial violence depression, world wars, 9 11 cant we just feel good a little bit . Cant we enjoyed being americans again . I think we can. We cant stop everything, but we can stop a lot of it, and we do every single day. When it comes to the recruiting stations, they are just one piece of this whole thing. We will rebuild our defense so are our allies can respect of, mean what we say, no more red lines all we do is tell people we are weak. One other thing i want to say to you. There is no religion that i am familiar with none on the face of this earth, on in the history of mankind that says for you to go to paradise, you go slaughter and kill somebody you have never even met. I will tell you something, i think we need to lead the world in making it clear, that is just complete apostasy. It is unacceptable to the humankind. That is part of the message, in my opinion, that we need to have said loudly across this world. We have to fight for decency. I am an optimist. Ima Glass Half Full close guy on most things. America will be fine. We work for you, you do not work for us. That is my attitude. [applause] governor kasich we will call her the fight lady. Yes, flag lady. Yes. My name is brenda. I have been a caregiver for nearly 10 years, my husband has earlyonset alzheimers disease. I am one of 60,000 alzheimers caregivers in the state of New Hampshire. The protections are by 2050 projections are that by 2050 thank you. [applause] by 2050, 20 million baby boomers will have alzheimers. I know firsthand the pain and the financial burden that carries with it for families to care with people, as well as our country. My question to you is what will you do to make sure this devastating disease gets the attention it deserves, and also the potential bankruptcy for medicaid and medicare. Governor kasich let me suggest a few things. When i was in congress, and we were balancing budgets i do not think about the budget you just everything, you have to figure out how to make things better. Some things go. It is like a garage sale. Most of what you have needs to be shined up. Newt gingrich just wrote an oped piece, and im close to newt, and i was very happy with what he had to say. John and i were there when b doubled the funding for the National Institute of health. There are some organizations that i would not double. I would be doing it the other way. We need to do this research. This a sick research at the National Institute of health is absolutely critical. I think it is bipartisan. I think support for this is growing, and we need to do that number one. Number two, i think we need to have some realists incentives so that people by longterm care. Right now it is really expensive. My wife and i have it. We bought it years ago. But, there is very little incentive for us to buy longterm care. I think we need to think about how people can afford this because in your case, it would be a situation where you would have somebody there well, you are a caregiver yourself, and you know the difference it makes to have somebody in the house. Right now, you know what it costs. It costs too much. I think we need to think about way to incentivize the purchase of longterm care. In my state, we said if you need to go in a nursing home, that is fine but if you want to stay in your own home, you should be able to do that as well. We have also treated the caregivers very fairly. When i came in, they were almost a part of ohio. People wanted me to dump them out. I did not want them to be governor employees, by did not want them to lose their health care. Recently, so they can get on the exchange, they can be protected. You do not want to hurt the caregivers. It is a gift. Lord gave you a gift to be able to care for people. I think it is research longterm care, these breakthroughs that we need to have in medicine to make sure that our caregivers are respected in society, by do not know how to cure alzheimers but there is somebody some kid right now who may not be getting a good education it could be Ben Carson Ben carson again. Somebody who can rise. Thomas aquinas said that science and faith are connected. We have to explore. Beer given the brain to fix these things, and that is what we have to do. I gave you a little hot because hug because that is really hard. The quicker we can get to it the better. I will do what i can do. [applause] governor kasich let me say one more thing. I want you to hear this. I get criticized because i took money ohio money, from washington to ohio to treat the mentally ill, the drug addicted, and the working poor. Somebody says, stop moralizing. Im not going to waste myself, i am a falling guy, i do the best i can. The reason i brought that money back is called expanding medicaid. Let me explain it to you. Because of this now, we can treat the drug addicted to art in our prisons who are in our prisons. We treat them, and turn them over to the community, and the recidivism rate is 10 . The National Rate is 50 . Why would i not want to treat them . Bipolar and schizophrenics sit in our prisons. 20 of my prison population are bipolar or schizophrenic. We are supposed to lock them up . You can be bipolar and function almost normally, will the way we function, if that is normal. Function as as well as you possibly can. I do believe and these programs do not have to be exploded to deliver goods services, and it has made a difference in our state. And people are going to criticize me for it, god bless them. You know what, im very glad i have done this. There peoples lives who have been my name is amy. Im a volunteer with the league of conservation voters, what are your plans for addressing Climate Change in the state of New Hampshire . Governor john kasich how about the world . [laughter] i believe we are supposed to be good stewards of the environment. And i appreciate the fact that you are involved. We dont want to worship the environment. We live here. We have to manage it. You just ask stella, they have a beautiful farm. Kerry and they care about that land as much as anybody does. And sometimes people come up with radical ideas about the environment, and it lends itself to worship the environment. I dont worship it, but i will protect it. In my state, we spent a lot of money on lake erie. We dont want that to be destroyed. I have also fought with some people in my own party over the issue of renewables. I assume you like wind or solar. As long as that wind farm is not where you are. [laughter] the kennedys like wind, but they did not like that thing in the ocean. What do we call that . Nimby. I think it is a mix. And when it comes to colal, i think we ought to clean it and burn it. I think we have to be respectful of it, young lady. Because if we do not go the extra mile, then we may be doing something that cant be improved. But i dont want to be crazy here. I dont want you not to get a job because we have done things that are extreme. It is like many other things in life, it requires balance. Respect its protect it, dont worship it. One of the most exciting things that will happen in your lifetime, will be battery technology. What is that car called . The tesla. Ive a friend who has a tesla. Have you ever been in one . You are a young woman, make sure you get your friends and go for a ride in tesla. It is all battery operated. No emissions. Technology is moving where we wanted to move. So my view is i am not going to deny it. I am not sure who is right. But im going to be careful about it. Ok . [applause] how about that male over there. [laughter] a male democrat. Believe it or not. [laughter] welcome to New Hampshire. Honored to have a chance to speak with you. The question i have is affecting a lot of parents and the baby boomer generation student loan forgiveness for our offspring. We have a son that is paying off his loans and on his first job. Back in the day when we were younger we had a national , defense loan that a lot of us took advantage of. Do you have any proposal or plans to help . Im not looking for a free lunch, but maybe can Community Service to help offset it. Governor john kasich let me get to the root of it. Lets talk about what is to come. My kids are 15. Here is what we have done in the state. And what i think we should be thinking about nationally. Number one, we do not give any aid to a college or university unless the student completes a course or graduates. No more giving money out to people so kids walk around and never graduate, never complete the course. That creates an incentive for our universities to guide our students through a shorter time. Secondly, we do have a Great Community College System now which allows you to be in a , position you cut your costs for the first couple of years before you go to the university. Thirdly, we have a program that ought to be aggressively expanded nationally and you should start it in New Hampshire right now and that is called College Credit plus. Some students can take College Courses in high school and a get credit for High School Graduation and Higher Education, some kids are coming close to cutting off an entire year. From going to college. Theyre going to shorten their ability to get a degree. What i have done, i have gotten a handful of Business People i did not select them for their affability. I selected them for their capability. And they are part of a small group that is looking into the cost drivers inside our universities and Community Colleges. Ohio State University had a parking, a bunch of lots and garages. Ohio state leadssed those to a private company and got half 1 billion. This happened a few years ago. Why is ohio state running parking garages . We have to look at the nonacademic assets. The problem is many of the leaders at these institutions, my guys and women are saying go do it. We will implement what you come up with. But it is tough to be a president. And to get everybody together, this is vital. I will tell you why. Nobody is going to pay this kind of money. I met a girl the other day with her dad. She is ringing up nearly 200,000 worth of debt. She got two years of scholarship. It was 100,000 the school cost 60,000. So that was 240,000 in after taxes. Part is controlling those costs, and on top of it, if you dont get your act together Online Education is going to take you down. People are not going to i dont need to say that when i talk to people from harvard. Or m. I. T. I think that is part of it. In our budget, we had some loan forgiveness in there. It ultimately got stripped out. What we do with this debt i cannot make you a promise that all of a sudden we will write it off. But i think what we have to do Going Forward is reduce these costs. But maybe you just said something that made some sense. Maybe he did. You do some Community Service, maybe that is a way to work it out. It is an interesting idea. I have to think about it. I dont want to make a promise we will take care all. Dont worry. And will balance the budget, and there will be a chicken in every pot. [laughter] i think it is a good suggestion. What do you think, john . He said dont be asking me when you are talking. Ok, i dont know if that works for you. But we are doing as much as we can Going Forward. We do have to be concerned about what we have now. The young lady right in the front. My name is marie lemieux. Are you related to mario . My brother. Im kidding. [laughter] Governor John Kasich you should of stayed with it. I would have believed it. One of my biggest concerns is the direction of this country and wasteful spending and the handouts. I think people on food stamps has almost doubled since 2008. I just heard a statistic yesterday that the number of children on welfare has gone to 22 . I am 100 for helping people who need the help. The issue i have is with the people who can work and do not want to and stand there with hands out. I want to know what you plan to do about that. Governor john kasich my mother used to say it is a sin not to help people who need help, but equally a sin for helping those dont help themselves. We have 11 and a half million in ohio. The last time i checked, we had a total of about 130,000 people on general relief. I think that was the number. That is a lot of people. But 132,000 out of 11. 5 million creates perspective. Here is what we are doing with welfare. This is an amazing thing. You know how confusing it is when you go to get medical care . You go to a doctor and they tell you this and youve got to go to the next one. You dont know what the heck is going on. The best procedure for health care the future, maybe i should talk about it. Maybe we can have a separate to lead us through so we can get quality care at lower prices. If you go to the welfare department, on food stamps or general relief, you can have as many as five caseworkers. What i have told the welfare departments across ohio and will be implemented within this next year, you will have one caseworker. They will do the comprehensive work for someone who comes in on welfare. And if you as a county department will not do what i say, i will take your money away. And i might privatize it or give it to someone else. Then what we are going to do, we are working to get businesses in the welfare office. In this Little County outside of columbus, we have businesses around now located in the welfare office. So what they do is they train the people on relief for a job that actually exists. And they have like a 90 retention, they have hired a lot of people from the welfare lines to be worked lines. There are a lot of things you have to do. Plus you have to have the skills , and education. Plus, you have to have k12 that works. Do you hear what im saying . We live at lake wobegon. Every school is great and everybody is doing great. But theyre not good in many cases, too many cases. So we have to give them the skills of front. Thats upfront. Here is what i want to tell you could. The president can be a cheerleader. The president can hold people accountable. But the fixing of this education and this welfare system must be done where we live. It has to reflect our values not somebody down there in washington where they dont even know what the time zone is here. One of the things i would do is i would like to move more of this authority and empower people like you here in New Hampshire to design your own program rather than it be , designed there. Now, i also think doug every county is different, too. So it seems to mean we should design our own Welfare Program to hold people accountable, give them the skills they need, but you cannot train them for underwater basket weaving. There is no job in that. Another thing we have done in ohio, we know what the in demand jobs are. We actually can determine what are the current job and future job needs for people. Then you start moving them into it. We have so many programs. Let me give you one more. You are a poor mom, your husband ran out on you. You have a couple of kids, you are working at walmart. Fine, that is ok. But you want to do better. Were asking some of the businesses to come together and put online curriculum that you can take at your own speed and when you complete that curriculum, you are guaranteed an interview and the state of ohio will give a credential to give you value because you have a skill. If you become a medical coder , i am told you can make 41,000 a year. We want hope and opportunity for these folks. But i will tell you, the amazing thing do you know most of the people who are on general release in ohio . It is limited, you can only be on it for three years i think. Most of them do not stay on it that long. I dont know where they go. They go into the underground economy somewhere. It is complicated, isnt it . I have given you a number of of thanks to think about, but it is not a simple answer. In our state we want you to be trained and we want you to be trained for a job that exists and we want to hold you accountable. That is where we are going now. Ok . [applause] governor, i am a newlywed millennial. I care deeply about our nations fiscal issues. Im glad to hear the budget is a one of your top priorities. I know you are a huge advocate of the balanced budget amendment. I was curious how you are going to get us there, say your president , what does your first budget look like . What kind of changes do you make to get us on a sustainable fiscal pattern . Governor john kasich do you know how to eat an elephant . One bite at a time. [laughter] we need a balanced budget because congress will never live up to their responsibility if we dont force them. I was in congress. And i have been a governor. If we didnt have a balanced budget requirement in ohio, in New Hampshire, you would not balance to a budget. People would figure out a way to avoid responsibility. Then in congress, you just come home and blame somebody else. I was there for 18 years, i know how you do it. The way that you do this, you you plot it over time. And you figure out that is all we need to do to get the economy moving. We dont need to have it done tomorrow. But everything undergoes the scrutiny, with no favoritism. And you cannot start to play games that while i like this guy, this person help me therefore, they are going to be exempt. You have to go through it systematically. Then what you do is you figure out do you need the program . Number two, it should be in washington or sent back to the states empowering the states . Number 3 if we need a program, can we fix it so that we can make it work . And number four, for the big entitlement programs, how you do it in such a way that you bring the country together rather everybody ripping each other apart and being demagogues . You put that together and you have to include some people in the other party. If you dont, it will not work. You have heard of obamacare. Because they shove that through on a straight partyline vote people are bitter about it. We are going to have to build a team. I think i have written 16 budgets in my lifetime. I thought i am done with writing all these budgets. But i think i will be writing budgets until they put me in the ground. That is the kind of road you go on. There is another litmus test. I will tell you what it is. If it is in the yellow pages why is government doing it . You dont have to do these things. That is the way you do it, gradual, creative, send things back. And try to innovate in all ways. You are a millennial, you understand the 21st century . You remember the kindle . They cost a lot of money. Now they pay you to take one. [laughter] one last thing i want to tell you, sir. If we can reduce the overhang that sits on their on out there on businesses, this economy will grow. I saw it happen. The minute republicans won the majority in 1995, things started to get better. There was a sense that this mess was going to get figured out. And it did. Until they went back to their spending ways. I hate to tell you this, but it was the republicans in charge who blew the 5 trillion surplus. If im president , it is not going to happen. [applause] thanks so much for coming to speak to us today. I am also a millennial concerned about the budget. I really concerned about the carbon budget. We have been burning fossil fuels for over 30 years. And if we continue on the road we are going on, we will reach two degrees celsius by 2050. That will be catastrophic for people around the globe and for americans. My question is this we hear a lot in the Republican Party that jobs and climate are opposed. That there is no way to cut fossil fuel emissions drastically and keep our jobs. Already in the renewable economy, we are employing more than the fossil fuel industry and actually creating ever nubile transition will create many more jobs and put us on a safe half bestpath to the future without going over budget. You said your grandfather was a coal miner. I respect that. People need to work. At the same time, we need to cut carbon and keep 80 in the ground. Will you commit to doing this for my future . Governor john kasich first of all, that is a really smart young woman, isnt it . Give her around of clause a round of applause. Very articulate. [applause] i think i told you it was a balance. In ohio, we have cut emissions by 30 . Thats pretty good, isnt it . I have told you about renewables, and i think they are very important. But to power america, and to frankly power the world, all of these resources need to be used. And i talked to you about the battery technology, what is going to do is give us distributive power. You are going to see utilities completely different than they are today. But if you take the development of wind and solar and geothermal and you clean coal and continue with natural gas, you have methane issues, but we have dealt with the methane issues. The environmentalists like what we have done if you making sure that our water is clean. That is an important part. In fact, one of the first things i did dont tell the speaker this. Every republican voted for this bill in lake erie and i vetoed it because i said it was going to damage the streams and tributaries. I think we are back to what i said which is the issue of balance in this. But folks, i want to tell you that we have a handful of these young people she left. But these young people want to change things. I welcome it. It may not be everything i want them to do. I have got to 15yearolds and a wife. You think im in charge . I am for gender equity, i dont know when it will come, but i respect what you are saying. Let me say one thing to you. You know how you are a believer in this and you are idealistic . So am i. Dont ever become cynical or lost. Fight for the things you believe in be respectful, and stay , involved. You are the next leader, ok . Will you then commit to cut carbon . Governor john kasich i gave you the best answer. You got this guy recording me. The only thing i can tell you is this. Im going to do the best i can to balance Economic Growth and a good environment. [laughter] [applause] this young man right here. Governor john kasich whats that . One more deck o . Bill burke from canton. In 2018, the obamacare plan imposes an excise tax on some health plans. How will you deal with that . Governor john kasich i think obamacare should go. [applause] people will say because you are for Medicaid Expansion, you are for obamacare. First of all, reagan expanded medicaid. That problem is here nor there. But the problem is that obamacare does not control costs, it drives up the cost. And it does not get to the no of the problem. In my view is what we ought to be doing is incentivizing for example our primary care doctors, we should have Insurance Companies and providers come together to provide quality medicine not quantity medicine. You go in today to the hospital. They might give you 10 tests and you only need two. So why are they giving you time . Ten . Because somebody elses pain. We are driving change. And everything im talking about in ohio can be done on a national skill. What we are saying is we want the hospitals and our managed Care Companies and the primary care doctors working together so that as prices come down, they both win. And the patient is healthier. Let me explain specifically what i mean by this. Our Childrens Hospital in columbus has made an agreement with the Insurance Company. Around the issue of asthma. A lot of kids have it. The issue with asthma is how can you be healthy without having to be hospitalized . And they have significantly cut the number of hospital admissions. Which means the hospitals make less money, which means the Insurance Company makes more money because theyre not making claims. They are sharing the benefit of having fewer kids in the hospital. That is the way it ought to work. You treat us for quality. Drive lower prices and let everybodys share in it and we end up healthier. That is fundamentally the way i think we should do it. Obamacare doesnt touch any of that. [applause] we have one last one. You have been persistent. I am known for that. [laughter] a quick question, long answer. What is your position on Citizens United and the outrageous amount of money being spent on political campaigns . Governor john kasich it is not a great system when billionaires and handful of billionaires can choose our president. Every time we change our system, we have a were system. We have to figure out what we want to do on this. And if i lose, i will blame the system. And if i win, i think it will be good. We really need to be careful about what we do. Im not going to get into campaignfinance reform now. My buddy john mccain was in it. There will be a time to address that issue. I have some thoughts on it, but i want to make sure they are accurate. One of my friends said last night, sometimes, john kasich knows so much about so many things, but why do some time he says he doesnt know . Because i dont want to give you an answer that is not legitimate. People run for president , they never keep their word . The things they promise they cannot do. When we stop doing that . I will tell you what im certain of and i will tell you of things i am not sure of. I will tell you what we would do. I would just have you down to the white house like i went when i was 18, and we can discuss this. Thank you all very much. [applause] Governor John Kasich we have that. You know its amazing uber is like google. Amazing to and good luck. Thank you for thanks. Governor john kasich who is that . My wife. Governor john kasich who are you three . Have i seen you before . Hold on. Thank you. Is your refusal to commit to cutting carbon due to the influence of Governor John Kasich no, no. Everything is great. How are you . Thank you. Governor john kasich thank you. Im doing a special piece on the primary. Can i get a picture . Governor john kasich what are you teaching . History and government. We are excited about it. Thank you so much. Governor john kasich thanks for being here. Im trying to figure out how i can campaign here. Like literally right here. I have followed your career. Governor john kasich thank you. My husband is from cincinnati. And he also grew up in the pittsburgh area. Is that near you . Governor john kasich very close, very similar to. I dont think so. Thank you very much. Governor john kasich see you guys. Part of the problem with the school loans is because you can get the loan without any problem Governor John Kasich that is another thing i should have mentioned. People get the loan and they use it for things beyond somebody told me, i forget the number, it was extraordinarily high. They use it to buy cars. A lot of them do, from what im told. The University Keeps raising their rates. Governor john kasich i know they do. I said to one of our schools why dont you lower the price . If we lower the price, people wont come here. They think that we are very good. That mentality has to change. Im a cpa. The irs is unhappy about the abuses taking place. What i am really angry about is the earned income tax credit. Its left. Theft. It is unbelievable. And the tax preparers have made the gatekeepers for welfare. If i do not check to make sure you are entitled to this, i get fined. Governor john kasich there are two things. The other is the earned income tax credit, we are not managing it. We have to manage it. I am no fan, i am a gentleman who likes to use the entire thing. Governor john kasich sometimes if you give people if you have to explain the purpose to them, they would do it a lot better. Hi. Great talk. Governor john kasich thank you. Thank you very much. Of course, where is your camera . Thank you. There are three of us. [captions Copyright National cable satellite corp. 2014] [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. Visit ncicap. Org] Governor John Kasich you guys are going to have to be the Front Council reto make sure we get it done. Cavalry to make sure we get it done. [laughter] Governor John Kasich ive been to that town many times f. I sound like pittsburgh, dont i . Thank you. My grandparents live in resulted marysville. Governor john kasich did you get it . Thank you very much. How do you break through this trialump noise . Governor john kasich i just do my thing. Its like how did i get to be governor i just do my thing over and over again. They either like it or they dont. Thats why i got in the race because i felt like i could win. There is a lot of excitement. Its good. We will see if it keeps up. If it does, great. If it does not, i will still be governor of ohio. Camp pertaining other campaigns like the earlier runs for you . Governor john kasich its plot by block. You go to peoples homes, town Hall Meetings, take the questions and all these kinds of things. And you connect. You have to ask the people. I think that there is good connection, but we will see. I speak to i dont have some narrow group that i focus on. People ask questions, i answer them. I have to tell you and love the expanse i have and thats what sets you apart. When you have National Security experience, when you are one of the chief architects of balancing the federal budget, and you turn a giant state around that was basically on its back and you bring it back, the record and of itself is so big and so unique. On top of that, they get a dose of me, too. How do you feel about the fact that you may not be on that debate stage . Governor john kasich its too early to draw conclusions on who is on and whos not. Coming to New Hampshire and do town Hall Meetings, youre talking about your record. It is something that Chris Christie is trying to do. Five other people why does it matter to . Is unique to me because its me. Governor john kasich we will see what people have to say. Im not going to say how its one to work for others. Im not a fortune teller. Im going to do the best i can do and be pleased and happy about it. In life, sometimes its about trying. Am i confident that i can win . Yeah. If i was not confident, i would not be running fi. I am also governor of ohio and iva record unique among everybody. Is talked about the past, but ive not heard much about you Going Forward if you are elected. Governor john kasich have you been to any of these town halls . Ive been talking about immigration today and health care and nah and department of defense and bouncing a budget. What else is there . I dont know what else that would be to talk about. We will take a lot of what we do in ohio to washington. If you really want to kind of know, its the history that tells you what you can do. But i do not find that people are saying, wait a minute, you do not tell me what you want to do. Im not hearing that out of anybody. But if you are, i need to Pay Attention. I need to solicit. If im not connecting, then maybe im not. The better question is what are the priorities for you . Governor john kasich bouncing the budget and rebuilding defenses and sending a clear signal that everybody is part of the American Dream. Those three things are what really mattered to me. The reason why the record is important is that anybody can promise anything. It is about who delivers. Who has a record . Who can we believe . People now do not believe politicians. A do not like politicians very much. If you talk about what you have done, and some of which you intend to do, it creates credibility with people. We have had two or three town Hall Meetings and they have been terrific. We have people signing up and im really pleased with where we are at this point. Ive just got to spend a lot more time here. One more. [inaudible] Governor John Kasich i dont know. I like john mccain. Hes a great war hero. He was president of our freshman congressional class. I think hes a great guy. Maybe someday he will think of me. Thank you ver. We will have more road to the white house coverage sunday. We conducted a profile interview democratic president ial candidate Lincoln Chafee. He talked about the 2016 race his time and senator of rhode island, and why he left the repugnant party. That is sunday at 6 35 p. M. Eastern. The opening session of the National Governors association starts in about 10 minutes. Live picture here. At 1245 p. M. Eastern, we will hear from john hickenlooper. And the Association Vice chair utah governor gary herbert. That will be followed by a discussion on new staterun new state trends for increasing Economic Development and tourism. That all starts in 10 minutes on cspan. While we wait for that to begin, a discussion now with governor and current chair, gary herbert. He joined us this morning on washington journal. Host governor herbert, what is the point of all the governors getting together . What are you going to learn . Guest like any other association, its the opportunity for others in the association to get together and network with each other and share best practices. This is one of the laboratories of democracy and sharing successes and some of the challenges that we face and learning from each other and seeing if we cannot collectively come up with better ideas and solve some problems for the people and make the lives better. Host what are the one of the issues being debated in washington is the highway bill. How does that affect utah . What would you like to see done . Guest well, the transportation reauthorization is in fact an issue that is high on the list for the National Governors Association Since the eisenhower days. We have had a federal component part for our interstates and highways across this great country, and that seems to be kind of hung up right now. I think most states would like flexibility with the money that comes back so they have the ability to do with fewer strings and less process, red tape, to get their transportation issues taken care of. Clearly the infrastructure of , america is in need of maintenance. If not expansion for capacity, as we have growth in our country. I know in utah we are about the third fastestgrowing state in america, and having a Transportation System that works and functions without having a lot of gridlock is significantly important to our economy as well as our quality of life. We hope that washington can get that worked out and we can give back to capacity and maintaining the existing that we have with maximum flexibility to the states. Host when you see the house passing a fivemonth extension and the Senate Working on a sixyear bill, do you have a preference . Guest it would be nice to have some longterm stability and predictability. We put in, in utah, a five year Transportation Plan in place. If money is going to run out in six months, it is hard to have longterm planning. We do a lot of transportation expansion and maintenance with existing state dollars. The federal component is a smaller part. We all put in our gasoline tax money, and then there is a portion back out to the states that will certainly help us in longterm planning. We have to think five years out in advance to make sure that we have the Transportation Capacity we need to have, in particularly a fastgrowing state like utah. Host by the way numbers are on , the screen, and we have divided them by our usual political affiliation, but we set aside a fourth line this morning for utah residents 2027488003. If you live in utah and want to talk to governor. Another issue that has played out for a couple of years now the Affordable Care act. What has utah done, and how has that affected you at the state level . Guest the Affordable Care act unfortunately, has divided the country in a significant way. Certainly those who are champions of the Affordable Care act and those who are significant detractors. For governors and for myself, we have to play the cards we have been dealt. However, we got to this place, as imperfect as it may have been, we have laws on the books. What we are trying to do is to deal with those laws and find a responsible way for our taxpayers of utah to deal with the Affordable Care act, particularly the Medicaid Expansion portion of it. That as you know because of the Supreme Court ruling is an optional part, and yet, the taxes we have to pay to fund it are not optional. They are mandatory. For utah, that means we send 800 million a year back to washington, d. C. The question is, how do we take that money back and expand opportunities for access to do good Quality Health care . We have an alternative proposal we are working on between myself and the executive branch and our house and senate to see if we can in fact have something even better than the alternative excuse me the Medicaid Expansion with an alternative. One that is responsible for ongoing costs. There is a sustainability concerned with medicaid that is a growing part of our budgets. For many states, medicaid has been a budget buster Going Forward, and we do not want that to happen where it just accelerates the problem. We are looking for an alternative to Medicaid Expansion. We have a couple of different proposals. Over the next couple of weeks, we will have a proposal to present to the department of health. It requires some waivers, but i think an opportunity for us to create a new model as an alternative to Medicaid Expansion. Host governor herbert, for years when we talk to governors from the nga, we have heard about unfunded mandates. Is that a topic that still rings true for governors today . Guest yes, there is always the concern about unfunded or funded mandates. The problem is a mandate. The states are pretty smart, and understanding the challenges of the unique states and the unique regions that they represent. Unfortunately, the mentality of washington, d. C. , tends to be a onesizefitsall solution to whatever the issues happen to be of the day. And yet, we had very significant differences. You just talk about the Affordable Care act, for example. I come from the youngest state in america. Our median age is 29. 2 years of age. My nextdoor neighbor is arizona, which has a lot of retirees and senior citizens. The Different Health care needs for their population in arizona are significantly different than the Health Care Needs of utah. So we need to have programs which are tailormade for our political cultures, for our unique situations because of our age differentials, and whether it is Energy Development or transportation or health care, health and Human Services. There is uniqueness that comes with the state. The states ought to begin a b given flexibility. When you extract taxpayer money from us as a state, to give it back to us in a block grant form with maximum flexibility, so we can address those weaknesses. Unique innesses. We are the innovators, the creators of solutions, uniquely so in all the 50 states and our five territories. Host mike is calling in from springfield, virginia, on our independent line. Youre on with utah governor gary herbert. Caller thank you for giving us the time to ask the governor a question. The peace talks with iran i i would like the governor to let us know know if he supports it. Is it good for this country to suspend all the peace talks . I think that will bring great peace to the middle east. Israel opposed all the peace talks. I would love for them to have their own state and capital, the palestinians. Host we got the point. Governor gary herbert, is that anything you would like to address . Guest the International Aspects of our relationships are are just best by the president of United States and by the congress. I expect that they will. I have been to israel in the middle east. I appreciate the challenges that they face over there. When i was in israel, i understand the phrase that they said, Prime Minister benjamin netanyahu, that we live in a very dangerous neighborhood. I think israel is a stabilizing influence there. There are significant challenges to deal with iran. It has got some concerns. Certainly the people involved from a utah perspective are very concerned about the iranian deal. But it is not something the National Governors really address. That is a federal issue. We are involved in International Trade. We have Significant Growth taking place in International Trade as an Economic Opportunity for businesses located in our states, and for opportunities to find mutually beneficial International Trade in exchange with countries around the world. Frankly, i think that is a good thing. It is tough to deal with your enemy when it comes to economic exchange. But as we deal with people and open up markets out there, we become sensitive to cultures. We understand some of the differences between our cultures in america and others around the world, and we have become friendly. That will help diffuse some of the tensions around the world as we trade economically with other countries. That is the area were governors are stepping forward, is International Trade. Host randy, columbia, missouri, democrat, good morning. Caller good morning. I have a question. You all are talking about the highways and stuff like that and immigration, illegals coming into this country. The news media is giving donald trump a lot of problems about his remarks on the illegals coming in. I was an over the road trucker who drove 30 years over the road. The Truck Drivers go into these states california, utah, all across the west coast to texas and stuff like that. When we go in and have to get our trucks unloaded, a lot of them are illegal aliens doing the work. And we are having to pay them to do it because these companies are hiring these illegals to work. And everything. Host lets get a response from governor herbert. Guest immigration has been an issue for a number of years, and it is unfortunate we cannot seem to come to a resolution with it. Certainly the National Governors association would call upon the congress to set aside some of the differences, and sometimes we are too ideological on this issue, and consequently we have gridlock and get nothing done. It is not just a matter of securing the borders. That is part of what we ought to be able to do, secure the borders for a lot of reasons. Security of our citizens is the top of mind. But it is not just having a tall fence, it is having a wide gate. Or a date that works and functions. We have a lot of undocumented aliens who come to our country who would like to come into our country to work, then would like to go home to their country, but are afraid to because they are afraid they will not get back into the country. I agree that we ought to have rules that everybody has to abide by, and certainly the rule of law has to be at the top of our list of things to do. Having people cut in line is not fair to those waiting in line. It really is a matter though of us doing something and moving forward. I do not think it is healthy politically for the republicans to not have some kind of a solution, and i think as they go into the president ial election in spite of donald trump and some of his comments, there is the need for republicans to come together with democrats and resolve this issue and make a positive step forward. Now is the time. Host house votes to punish sanctuary cities. This was the vote yesterday in the house of representatives. How do you feel about that governor . Guest i am not a fan of sanctuary cities. I think when people come here illegally there is a consequence to pay, and the fact that they can go to a safe haven and say i do not care what the law says and flaunt the laws being directed to them as not healthy for us as a society. Everybody in america ought to be playing by the rule of law, and whatever that will of law is ought to be applicable. There is blame to go around with the mess that we have found ourselves in over a generation the lack of addressing this issue. That is why i say we have got to set aside some of the ideology and see if we cannot come together in enforcing the border, making a gate, a common sense ilLegal Immigration program, that brings pathway to the legal status is not a pathway to citizenship. And to be able to have somebody said, well, i have a safe haven in the city and flaunt the lack of enforcement of law is not a healthy policy. Host stacy is in parkersburg, West Virginia, on our independent line. You are on with utah governor gary herbert. Caller good morning. My question has to do with Social Security. I am a woman who gets disability. I get sfi and snd. I had two back surgeries, and in the process found out i have a mass. Ms. I have not noticed anyone, politician wise for president , mentioning anything about Social Security at all. But my question is, is there going to be any changes revolving around the income part of it . Now that wages have gone up for regular lets say regular mcdonalds workers . Host i think we got the point of what youre trying to ask. Governor herbert . Guest it is good to see that the economy is turning around in a positive way. It has been a long time coming. It is longest recession we have had since the great depression. It is good to see things getting better. Certainly some states send out. The standout. Certainly some states stand out. My state is really having Great Success with programs and policies we put in place to help expand the Economic Opportunity. The economy is going along very healthily in utah. We balance our budget and live within our means. We do not have unnecessary debt. That is not the model we see in washington, d. C. , and it creates significant angst in the marketplace with the lack of predictability and the lack of certainty that is causing a lot of capital and entrepreneurs to sit on the sidelines, which means the economy is more sluggish than it needs to be. We have an 18 trillion debt that is growing. The interest on the debt is going to be a larger and larger part of the budget. Right now we have a very low , interest rate. If the Interest Rates start to go up, we have another significant problem when it comes to balancing the budget. The entitlement programs whether it be Social Security, medicaid, or medicare, are the biggest parts and troublesome parts of the economy as we look at the federal government. Again we have got to have fiscal , responsibility and it is interesting to note, from a state perspective and i hearken to the words of James Madison he said do not worry about the centralized federal government because the powers given to them by the constitution are few and defined. The powers given to the states are numerous and indefinite. Do not worry about the central government. The total budget of all 50 states today is 1. 7 trillion. The budget just proposed by the president to the congress is 3. 99 trillion. More than double, plus another 500 billion. Somewhere along the way we have this thing upside down. We are spending so much more money, many times ineffectively and inefficiently in washington, when the money ought to be kept home for the states to decide what programs their people need to have. This imbalance is part of the problem of your concern with the Social Security. Everybody knows there needs to be some overhaul and reform when it comes to Social Security. As a republican, i agree with the safety net issues. We need to help the most vulnerable amongst us and the government needs to have a role. Failed to be a role where it is more control by the states rather than the federal government where we have so much waste and inefficiency. Host trudy, summerville, South Carolina, a democrat. Caller good morning, governor herbert. I am a democrat, but you sound like a very sensible person to me. I believe that what we need to do is to make these hardworking mexican immigrants a part of our society so that they can pay for my Social Security because i am not getting any younger. Thank you. Guest thank you. Again, the undocumented alien challenge, our immigration issue, is not just mexicans. Certainly a lot of south of the border, central and south American Population is par it. But we have people coming through the north, too, the canadian border, and other parts of the world. There is a right way to come into the country and a wrong way. We ought to encourage Good Behavior and not reward bad behavior. We all know that from raising our children and seeing what took place in our own lives. You do get a spanking if you do not do it right, and you get a reward if you do it correctly. The same thing is true when it comes to the immigration issue. We have got to have leadership in washington, d. C. , on this issue. And do something that solve the problem. Based on the rule of law, and that everybody plays based on the same set of rules. If we do that, we will have an immigration policy that will work. Social security needs reform. Maybe it needs testing, an increase in the age of retirement. It has not changed since fdr. There are some opportunities to have reform in Social Security. Immigration is a challenge, but we hope i states and as governors that congress will come together themselves and work with the president and find a solution to the immigration issue. Distinguished guests, i call together the 107th meeting of the National Governors association. As you all know, we have a full agenda over the next 2. 5 days. Following the session, we will have the Economic Development and Commerce Committee any National Resources committee discuss strategies for tourism as well as Economic Development. Saturdays business agenda begins with a joint session of the health and Human Services committee and the Homeland Security and Public Safety committee to talk about, among other issues, the nations opioid crisis. Saturday afternoon our Workforce Committee will examine clear pathways where we will be joined by secretary paris and we will close with a session on Health Care Transformation and we will be joined by secretary burwell. I think all of us look forward to all these discussions. We are also honored today to be joined by several distinguished guests from the international community. Im hoping that as i read you we can recognize you. We have the governor and the delegation from japan. [applause] we also have the delegation from canada. Im not sure where they are. [applause] as well as a delegation from mexico. There they are. [applause] thank you all for being here. As a reminder, we will have an opportunity to meet with our canadian and mexican colleagues this fall at the north american summit in Colorado Springs on october 30341. I would also like to welcome our guests from the white house. Where are you guys . Thank you for being here. [applause] now, may i have a motion for the adoption of the rules and procedures of this meeting . A second . All in favor . All opposed . The motion is approved. Governors, as you know, under our policy process, we adopted policies for two years of winter meetings. If anyone has questions regarding the policies, please make sure you find david, and the nga staff. Now i would like to announce the appointants of the executive committee. Governor snyder, Governor Walker, governor markell, and governor fallin will serve as chair. Please give them your appreciation for their service. [applause] now, i would like to ask our great host, governor tomlin and his wife joanne. I would like to thank them. Governor tomlin and his wife joanne, for hosting the nation s governor chair in virginia. Would you like to come up . Gov. Tomlin thank you very much, mr. Chairman. It is my pleasure to welcome all of you to West Virginia. I know several of you have heard this before, but we are so honored to have you here in West Virginia. It has been a total of 65 years that West Virginia has hosted the nga. I think it is about time, and we hope that youre finding your accommodations. Up to standards. We are doing our best to make you as comfortable as possible. We have a lot of great things planned today and tomorrow. We would love to have you stay around for another week or two if you would like to. We have plenty to do here in greenbrier. Once again, thank you for coming to West Virginia. Enjoy yourself. We are very pleased that you are here. Thank you very much. [applause] gov. Hickenlooper thank you very much, governor,. Now we come to be short and better bittersweet portion of our program, saying goodbye to our colleagues who will depart after the fall election. We are bidding farewell to two of our colleagues, one of which is with us. Unfortunately, louisiana governor bobby jindal could not be with us for his final nga summer meeting. Certainly, we wish him well in his final months in office and all that lies ahead for him. Certainly, on a more personal note, i think all of us are with him in our thoughts and prayers over the shooting that took place in lafayette. For someone who has had a theater shooting come i do not know if it was a copycat or not, but there is no harder thing that he could be going through right now. We all hold him in our hearts and prayers. Now, lets take a moment to honor Kentucky Governor steve fisher. He has served the commonwealth of kentucky since the 2007. He has focused on initiatives to help kentucky families particularly in areas of health and health care, Economic Development. He signed landmark legislation to curb Prescription Drug use. His education initiatives expanded from kindergarten to college readiness. He brought kentucky through one of the worst recessions. More than 52,000 jobs have been created or retained in the commonwealth. In 2013 kentucky shattered its export record. Governor beshear has been a longtime supporter and leader within the nga, serving on the as chair for the health and Human Services committee and the best practices board here during his tenure, Governor Beshear has served as chair of the Workforce Committee, vice chair of the Economic Development and Commerce Committee and member of the Natural Resources committee. Please join me in thanking Governor Beshear for his leadership. Nga offers the best of wishes to you and your family. [applause] gov. Hickenlooper at the winter meeting, i set sat nex to president obama and al the other side was Governor Beshear. When you watch someone talking about their stay and what they have done, the challenges they face and what they have done to overcome them, i do not remember being as oppressed as i was and watching you you had a very vigorous discussion and talks about the great things that have happened in kentucky over the last eight years. Now, one of the privileges of being the chair of the nga is the ability to choose Insurance Initiative a chairrs initiative. This has been on getting responses. Today, State Government touches the late aspects of peoples lives. The scale and go is wider and certainly more complex than it has ever been in the past. More than ever, it is important to ensure that State Government effectively spends the tax dollars that it collects and judicially uses its power to regulate to deliver on its promises. As the ceos of our states, we preside over enterprises that present an immense array of services to our residents. Playing that role requires oversight of our agencies, to be effective, we have to focus on continuous improvement, and always getting the best solutions possible for each challenge or service. Delivering results is focused on improving the efficiency and effectiveness of some of the Core Functions of State Government. Throughout the initiative, we have focused on how governors can recruit and hire the best and brightest leaders to work in State Government. I think that is clear over the past year, bringing people in from the private sector from foundations and universities, but creating a team of the best and brightest. We also focus on how to implement rules and create rules and regulations that protect the public good without creating red tape or unnecessary burdens. Thirdly, we focused on how to adopt innovative improvement act as if that use data and evidence to drive outcomes, to make sure that we really do deliver results. These are the three Main Elements of the delivering results initiative. I can share a few examples of how colorado is starting to make government more efficient and effective. As a business, government can only be as strong as the people who work for. It is critical that we attract the best and brightest, as i said. In colorado, we look for talent across public and private sectors, as i said, to build a team of leaders who Work Together to deliver on the principles of Good Government. Good government sometimes becomes a cliche. We wanted to demonstrate that it could have reality in action. Good government also requires encouraging the public to not settle for less. A letter officials the government leaders are increasingly engaging concessions to determine what effective government looks like. Constituents are helping government find and improve the rules and the galatians that are in place, but not working. Or, in many cases, making it difficult for the public to work with the state, or other businesses to expand and hire new workers. In colorado, we implemented an initiative, which focuses on make it easier to work with the state. Immediately after taking office in 2011, my staff and i traveled around the state, as communities of Business Leaders literally and almost every county what could we do to help expand business to help our business develop and grow, be created more rapidly. Part of that was again and again, it we heard, get rid of unnecessary rules. In response, i instructed agencies to determine the effectiveness of those roles. We have reviewed over 16,000 state regulations and rules, and either improved or eliminated more than half. Again, this was not rocket science. I know many of you do this as a matter of process, it is just common sense. Finally, Good Governance requires whole yourself accountable, applying what we learned, so we can improve what government does, and how government does business. Increasingly, State Governments are focused on innovation led improvement. Innovation, when you step back and look at it means doing things and a new way. I think that is the simplest definition. In colorado, we focused on trying to save ha dollars, and things important to our constituents, such as reducing time spent on state processes when people are filling out forms, either for their business or for their families, and making sure that these improvements have metrics measurable outcomes of our improvements. States around the country are all working to improve government to best identify how our fellow governors are increasing efficiency and effectiveness. We engage in a variety of activities over the past year to bring in those best practices and good ideas from all of your states. We held three roundtables last always state and National Experts in how State Government functions, the private sector, and academia to learn about best practices around the country. We brought in danny meyer, most of you will remember, the ceo of Union Square Half saudi hospitality. He talked about how businesses delivering results and how in his vision, Customer Service really works, which i think a lot of people at least for five people came up afterwards to say how they appreciated his examples. Senior officials from 28 states were joined by governor herbert and governor fallin, myself. I cannot pronounce hickenlooper [laughter] governors are rethinking recruitment and processes for agency leaders, creating processes to review and streamline regulations, using performance data and evidence from research to inform budgets implementing lean processes statewide, and using geographic data to understand problems and privatize prioritize investments. We learned that many governors are taking copperheads of approaches to get results and their states. Governors have certainly many different options for how they can deliver better results to the residence, but regardless of whether a governor focuses on one strategy or implements a comprehensive approach, we identified three Core Principles that found form the foundation. These are principles that many governors already focus on, but we think every governor should be aware of, inc. Of hype party regardless of the strategy they are choosing. First, set a vision and focus on outcomes. I cannot overemphasize the. Sometimes we take it for granted that our vision for our campaign will be the states vision. That is not always the case. Governors lead by establishing vision, establishing goals establishing outcomes for the state, and bringing together all the relevant stakeholders who play a role in achieving those goals. If you do not have by and towards the vision, it will never be successful. Second, foster culture of continuous improvement. Culture shift is one of the can be an immense challenge be a governors can create cultures that value improvement by setting a tone for problemsolving rather than what is meant for failure ideally learning to reward staff for behavior can improve culture. Third, communicate results. The highlight to highlight a couple shows governments can celebrate successes with staff and make sure the public. When governors talk about successes they achieve, they should consider the results personal and human, make sure you are telling stories, and sharing narratives, using visuals. Im pleased to share the delivering results toolkit with each of you today. The toolkit should be in front of each of you. I will hold this up. It includes a number of documents and resources including maybe i will see a governor herbert will be my van a whita white. [laughter] a pocket card. An issue brief outlines corp. Principles the three additional issue briefs that each address one of the Main Elements. Those briefs provide best practices of how each state improves governance. Lastly flashcards that can aid you in your results to deliver better results to the residents of your state. I could not have asked for anything more. Gov. Herbert and he will not get anything more. Gov. Hickenlooper more than grateful. Before i conclude, i would be remiss if i did not t think the foundations that supporte this effort, specifically, i want to thank the laura and john Auto Foundation in texas as well as to others. Please give them a hand. [applause] my priority is to provide all governors with best practices and resources to help State Government work in the most efficient way possible. We hope the initiative, and especially the delivering results toolkit will provide you with the tools information that will help you achieve that goal. We certainly appreciate the support and advice, and involvement of many of you here today. It is interesting when i first worked on this and we look back at what governor fallin had done , and i think her initiative was a Great Success and very useful look at what chairs initiative does, it is great to have it done, but also important that it is in a way that is usable Going Forward. Governor markell, where did he go . His initiative was just im kidding. His initiative and governor fallin certainly all, but those two were the t take away that we are still using. With governor markell, we looked at how you work with companies to give more jobs to people with disabilities. And certainly with the work the governor fallin did, you come back to that, and it hopefully is useful to you in the years ahead. Now, ive the privilege of introducing the keynote speaker peter hutchinson. Peter hutchinson leads Management Consultant strategy for a ve accenture. Over the course of his career, peter served as commissioner for the Minnesota Council for finance. Deputy mayor of minneapolis, Corporate Vice president of the Dayton Hudson corporation you may have heard of it Company Called target, that is day in hudson and most recently the bush foundation. He has been instrumental in the final package. He was one of the first people i talk to gov. Hickenlooper ed two and he was thoroughly engaged in the initiative. He attended all three roundtables last fall, as well as the summit in denver this past april. He is as passionate about Good Government as anybody i know. He cares deeply about leadership. He cares about Regulatory Reform and process improvement, and he certainly makes a priority of helping states use data and evidence to inform their decisions. His ideas and insights are in the dna throughout the delivering results toolkit in front of you. I do not think i can express any more strongly how much we know him. Throughout the past year, he has shared so many thoughtful examples of how the Public Sector can improve how we do business, the way we provide service to our residents and business. I think he has a real gift for synthesizing some of the most complex issues and ideas in clear and six think ideas. And it is also a pretty darn good storyteller. He is here today to tell us some of the stories and lessons he has learned as in the private and Public Sectors. Peter . [applause] mr. Hutchinson good afternoon. I used to be a school superintendent. Good afternoon. Good afternoon. Mr. Hutchinson im so excited about being here. Of all the things that mga could have said the last year doing, i think governor h hickenlooper chose the right one. Not because it is that estrogen or as someone said, it is not sexy. It is just the opposite. I have been very lucky in my career. I have actually had interesting jobs, but more, i have traveled your stay, talk to people in your organizations, and i always ask them the same question what is it about what you did in your career that makes you the most proud . Everybody has an answer to this question. Over and over, this one example has come up many times. It happened in our state, and i am sure in every other state, i know it has happened and at least two other states. You may recall the tragically many years ago, a bridge that span the Mississippi River collapsed suddenly. Hundreds of feet into running water. Thankfully not more people were injured as a consequence, but if you went and asked our Highway Department about their achievement, it was that that bridge was open 13 months later. Not 13 years. 13 months is an extraordinary achievement. I think delivery results is about that. It is about that result. It is about making the ordinary making the extraordinary the ordinary. It is about making those sorts of things the way we do our work in the Public Sector. If we take our card out and Pay Attention to our principles, all this can get to where those Extraordinary Events become common, the way people think of our government. You all know that that is one of our central challenges. Confidence of our people in the work that we do is biking. Lagging. By making the extraordinary ordinary, we win the competition for public support. It is not easy. I recall a story. An acquaintance of mine was running for mayor. He was charging around, visiting neighborhoods, shaking hands. He came into one neighborhood and all they want is for their part to get a six. He gets elected, goes to city council, gets 10 million. He goes out, and im telling you, he fixes this park. He did it all, he did everything human being could think of. He shows up for the grand opening. You know, you have done this amazing thing for the people of your city, it is like, you want to get a pat on the back. He walks in, and they are just all over him again why did you do this and that . He says, what are you talking about, you told me to fix the park. They said, all we wanted was toilet paper in the bathrooms. You know, people judge our results as the difference between what they expect and what we deliver. That is what this lesson is about. He missed the point. He may have hit the target, but he missed the point. The point was we just want this. One of the challenges for us the government is to make sure we know what results we are headed towards. What results people really want and what are the expectations that we are trying to achieve. If you do not know what to expect, you cannot possibly exceed expectations. If we do not exceed peoples expectations, we do not win that competition for public support. Another example. I was a governor super school superintendent. I was probably launching, but nevertheless i have the job. I showed up to work the first day and said to my chief of staff, i do not know anything about this job, but if you bring me the Mission Statement, that would help me, i can just do what the Mission Statement says. He went off to find and came back two weeks later. Interesting point, right . The Mission Statement of our school was 750 words long. And there were buses, books athletics, food. Everything under the fun, but nothing under the sun but nowhere in those words was student achievement. If youre doing everything, but not the main thing, you cannot get it done. We step back and said we are here for only one reason, and that is to make sure that all students learn. My job was to make sure that every human being that worked and every parent, and every kid know that that is why we were there. The lunch ladies were all focused on making sure every student learn, custodians. Guess what . Kids learned. Our scores went up. Students improve. People started reenrolling in our schools. We won the competition for public support. I will never forget that one of our leaders said, peter you have to remember, the main thing is to keep the main thing the main thing. That is critical if we are going to deliver results. The truth is as governors, you can do anything. The problem is, you cannot do everything. You have to pick. You have to decide. You have to know where that focus will be. When you do focus on what you care about, you can get extraordinary results. You can get beyond what people imagine as possible and actually achieve the extraordinary. You cannot deliver results of you do not focus on them. One other click story from my time in the minneapolis schools. This has to do with culture. When i went out to talk to teachers, i made it my business to talk to every teacher in my School District. Of the 6000 teachers that i spoke to, 5997 told you how much hated i decided i should find out what is going on here. I go to the warehouse which is where the Central Stores are and i asked them, how do you like working here . I hate it or go. With a sense of the people the School Street them badly. I said, why is that . The site, take the six weeks to get them what they want. That seems like a long time. Is that, we are doing the best we can with what weve got. I said, i had one teacher who said to me that she sent out a split requesting a map of the world. Six weeks later, she got a map but it is sold the names of the countries are wrong, what is that about . They said, it is them, they are whiners, she could have put the right names on that map. Of course, this is not the right answer. Im sitting there in my office, trying to sort this out thinking, you are the chief executive, your job is to solve problems, but the problem here is that you know nothing about distribution, nothing about inventory control systems, you are the least informed person that should be working on this problem. Im telling you, im struggling at this thing, and my friend comes to me and says, what are you doing . You are the least Competent Person to work on this. You need to get the people who have the problem to own the problem so they can improve the solution. I said, how do you do that . They said, you have to change the rules of the game. In the game that they are playing now, it is a game of blame. It is never going to turn out. You have to change the rules the structure, the incentive. I held my breath and i went to the back of the warehouse. I said, here is what we are going to do. One year from now, i will take all of the money that we appropriate for the warehouse and give it to the schools. I will tell the schools they can buy this was a price anywhere they want they can go to target, home depot, staples, i dont care. In that year, you have to figure out how to win their business, but you have to win it because there will not be any general Fund Appropriation after that. I go back to my office and hold my breath. The next cool your comes along and we get six months into it and i go out to these goals and say, how is the warehouse operation going . They say, it is really fabulous, were getting our stuff overnight, 24 hour overnight delivery. We are getting what we want the first time, and by the way, they smile when they deliver. I thought, something wild mustve happened at the warehouse. I go and visit, and it is chaos i say, what happened . They said, heres the thing, when we figured out it was up to us, we took control. We looked around the warehouse and figured out that we have 3 million of inventory that we did not need, we sold it. We took the money and invested it, reorganize the warehouse put the stuff that people want in the front, we changed our order system, the delivery system. And i said, how do you like working here . Oh my gosh, we have never worked harder and our lives, and we love it. This, to me, is the essence of results. Knowing that if we give them a chance, they will find ways to overcome obstacles. They will find ways to Work Together. By the way, for those of you wondering, these are union employees. Two different unions, as a matter of fact. They f figured it out, they did not need my help or permission. When performance really matters, performance gets better. I think it is at the heart of everything we need to do. The governor talked about communication. Quite a few years ago we install a 311 system in the city in which i live. I had no idea what that was, to tell you the truth. I knew was on the phone and i could call it, but why would i . It just never appealed to me that much, except for one day, i pulled up to a parking meter did not work. I did not have time to sit around, and i could not find another parking place i decide, i could call 311. I called them up in this nice person answered the phone and said, give me the number on the meter. There is a little code. She says, great, thank you for reporting that, you can stay there, and dont worry about it, you cant get a ticket. Issa, this is great, i do my meeting, and everything is fine. The next morning, myself and rings this is mike, you reported that meter broken, i want you to know that i fixed it. That is a result delivered. That is a result delivered. It is not enough to do it, you have to deliver it. People have to experience. A result that no one experiences didnt happen. We have opportunities in our State Governments to change fundamentally how we connect with the people we serve. Think about this example. This just happened to me. I filed my taxes this year, as i know you all did. I filed them electronically. I never thought anything of it. Three weeks later i was due refunds, by the way, that felt good. Three weeks later my refund is deposited into my account from the state. Three weeks. Is that good about . It seemed all right. Six weeks later, i get my federal refund. Now, the three weeks looks good. Like what i said people judge your results based on their expectations. Mike citation had become three weeks because that is what i just experienced. Action think three weeks with the feds is probably pretty good. But, here the opportunities that we missed. When my electronic return the file, what if they had sent me a note saying, you are a great citizen, thank you for doing that, it you got it in ahead of time, that is terrific. When a process by return, they could have sent me another note saying your return is process, you will get a refund, look for that in three days. Three days when that is a positive, they could have sent me another note saying, thanks again. That is three more opportunities to touch me as a citizen, to connect the work of my state with my own experience. Think of the millions of opportunities that we have in our state that touch the people that we serve. Technology is making this so much easier. We can literally transform our relationship with our citizens using all kinds of computer and mobile technologies. Our citizens literally carry the government around in their pocket. They can file their tax returns do complaints, look up what is on an agenda, get a license renewed, all these things. Every step along the way, you can thank them. You could actually think i head and say, if you have a german slices, did you remember to renew your trailer license, what about your tires . There are all kinds of ways that we can connect with citizens and make their experience with government extraordinary. The parking meter is just an example of that. There is another problem when it comes to communicating about results. Frankly, that is about us. It is certainly about me. I am a geek in government. That means that i love data. The governor told you this. Im a nut for evidence, and i think this stuff is fabulous. Heres is the problem, it is so boring to everyone else. When he started about percentages, we all have math anxiety. 87 of the population turns out. Tunes out. I know this because i have been going around for years talking about problem that you are familiar with so may people high schoolny people with High School Diplomas when they go to college, they have to do remedial courses. That is 38 . I say this all the time. If it never happened to you, it is 0 . If it happened to you, it is 100 . What is 38 . It means nothing. I have never gotten anyone interested in this problem because they could not care about the statistics. It was a stat, not a story. Then i met this woman my wife is here, i want to tell you this carefully i met this woman in a bar. It was totally legitimate. It was 2006 and i was running for governor in the state of minnesota. I leave that out of my resume pretty regularly. I do not know why i was in a bar. I thought people in bars would vote for me. It turned out, they wouldnt, but neither would anyone else in minnesota. Im walking along, introducing myself to all these people who did not want to meet me, and i get down to the head of the bar and there is as yet woman sitting there. She could see me coming because i was the only weird guide doing this. She spins around on her barstool and looks me in the eye and says, you light toed timmy. I said, give me a chance to lie to you. She says, no, you little, you lied to me. She said, you said i should go to school every day, i never missed a day of school. I took all the college prep courses. You told me, i should do my homework, and i did every night. You told me i should graduate with a diploma, i graduated with a diploma from a fivestar high school. Ive got that diploma at home it has the five stars on it, you told me i should go to college and i went to college. When i enrolled, they told me i had to take math any measure over again. You told me i was a high school graduate, you lied to me. Isnt that a better story than 38 . Doesnt that convey the essence of the issue in a way that statistics never could do. I think the challenge for us is to get focused on the story, not on the stats. I think all of us, and i noticed terribly true for me, we get sucked into all this data because we get handed all the state all the time. We need to challenge our organizations, our staff everybody, to tell the story of results, not just statistics. The governor rightly says there are three elements to the delivering results and initiatives. One of them has to do with regulation. I want to ask the whole room to engage in an experiment. I want to test your willingness to comply with various kinds of regulation. Let me start with this question. How many of you regularly, and with thought, fill out your tax returns, and comply with the tax laws . Hands way up. Really, there are couple of prosecutors here, take no. 96 of the people regularly and willingly comply with our tax laws. Why is that . If you go as people, and i have been asking people for years this question, about half the room will say it is my duty as a citizen. That sounds great to me, and the other half tells the truth, i am scared of being caught. If you get audited, something really bad happens to you. That is legit. We have a system, when it comes to our tax system, where we are focused on coercion and compliance. Gwe want you to know that if you mess up, you messed up. How many of you regularly, when youre driving on the freeways, obey the posted speed limit. Hands of high. [laughter] you didnt hear the question . I would say this is fabulous. Nobody . Nobody . Maybe one. Think about that for us a second. Dont you know the odds of being caught for speeding are four types of high as the odds of being caught for not paying your taxes . By the way we all get to watch you get a ticket. Nobody of these this be limit. It is poster right there. Its not like i dont know what it is. How fast are you driving to go how fast are you actually driving . Well, you jive about as fast as everybody else. It is as though we all got together and agreed on a speed limit. It just isnt the one that is on the fine. Its the truth. Think about it. If somebody is going to slow too slow meaning their action going the speed limit, we get enraged. You can see the rocket man going by. Some people try to slow them down a bit. There is this be limit, it is a socially imposed speed limit. It is what pure pressure can do when it takes over here ppeer pressure can do when it takes over. We are getting compliance with almost no coercion. Ok, experiment number three. How many of you on a regular basis recycle your trash . Hands up. Way up. It is phenomenal how many people participate in one of the most discussing Disgusting Things on earth, separating art trash into piles as though we are honoring it, and on a regular basis, take it out to the and of the driveway. I remember when we used to just put stuff in the trash. Now, we take the sort of garbage, then the paper, then the bottles, then the we have these bins. What is astonishing with our level of compliance with this is that it is not against the law to do nothing. Yet, massive compliance. Massive compliance for something you are not even requi in most places. Not where i live. E do that check of think about the way and which was likely was brought to our attention. In the place that i live it started with tv ads telling me about solid waste disposal. When i woke up those ads were still on. It had no effect whatsoever. One day, im at home i have two daughters. The oldest daughter was in second grade at the time. I was throwing the trash in the trash and she looks at me, this is daughter to father, and she says, daddy, you are killing mother earth. I dont want to be that dan. I said, how do you know that . She said, i learned that in school. That is an interesting compliance strategy. We are starting to teach the young people to get the old people to do the right thing. Then they came around to give us those bins. I love those bins. They told us it is about our convenience. What is it about sorting garbage that is convenient . It was well meeting. Different colors, make it easy for us. The truth about the bins is that is is just like the highways. I live in minnesota and on january to a six, the coldest yet day of the year is recycling day and my house. I have to go back and get the recycling and bring it down. When i slammed that sucker into the eyes, what do i do . I look around. I am taking attendance. I want to know who else is full is enough to do this. By the way, i know that the kids on the bus will do the same thing because they learned in school. You see, what we have done with respect link is with recycling is create social pressure to do something that we would never order to do. We have created a compliance design that is wri radicall different. It is called winning results. It is an alternative to not display what we are doing bachelor toolkit of rules and make elections. Think how much cheaper it would be to get people to do the right thing without forcing them to do it. On the enforcement side, you dont have to rest them or audit them, they just do it. In fact, the data is that if people want to do the right thing. We just have to make it easier for them to do the right thing and harder to do the wrong thing. We can do that. That is within our power. What about data and evidence . Back when i was a school guy one of the big issues in our district with two was the best school. By definition, who was the worst school. We had all kinds of data. You will have lots of data on school performance. I remember walking into the meetings of one of our principals and i couldnt resist, i said what is the best school in the School District . Everybody knew the answer. I said, how do you know that . Best test scores. I said, has any other School Benefit top of the list . No. Why do you think that is . Because the kid to go to that school are the uppermiddleclass kids and they get the highest test scores. We had a list of 100 schools. The schools of the top of the list had always been at the top of the list. The schools at the bottom of the list had always been at the bottom of the list. That was our evidence. Those are the best schools. Those were the worst schools. That was our evidence. We were actually allowing parents to make decisions based on that evidence. I said to the principal, wow, it must really suck you in the principal on the at one of the schools on the bottom of the list knowing you cannot change her position. They said, yeah, that is the worst job there is. You tell me to go make things better, but the way you are collecting data and evidence, we can never get better. Maybe we are asking the wrong questions. Maybe instead of asking who has the highest test scores, we should house, what school moves thereir kids the furthest . It took a phd, big Analytic Data guy to do this, before data was big. He comes back with this list. And i say, what is the best school in minneapolis . He gave me the same answer. And i said, what is the worst school . Same answer. It turns out that that school that had always been on the top was actually in the middle of the list, did not move the kids the furthest. It had the highest test scores, but it was not moving them anywhere. The kids came in with the highest scores and left with the highest scores. Guess what . For school that was at the bottom was right next to them. All of a sudden, with that said to the principles and the families in our School District was that if you got into a school that could move kids, you could make a difference. If you were the principal of a school, you could alter the place on the list by changing the effectiveness of how far you moved pupils. That is about using data and evidence to deliver results. I use this image because it builds on this fundamental belief that i have which is when we are in the dark, things look a lot better than they really are. I do not know what is out there, but im pretty sure it is not benign. If we do not know what is the high the data and evidence that we are using, it is like fumbling around in the dark. The worst thing we can do is call that darkness light. Claim that that ranking of evidence was appropriate. It was a mistake, and it lasted 50 years, and is still lasting by the way. One of our jobs is to not only use data and evidence, but pursue data and evidence that answers the fundamental question, are we making a difference in the lives of the people that we serve . Finally, leadership. I will end with this. I have a lot of passion about the role that we, as leaders, play and the difference that we make and the people that we serve. That passion comes from a little girl, who i will introduce you to. She was a second grader. I wandered into her classroom and the teacher said boys and girls, stop what you are learning, we have a very important is there, the superintendent of the school does anyone know what the superintendent does . I i mentioned earlier, probably was not trained to be superintendent. I got a question, what does the superintendent do . Second graders will answer any question. Every head in the room went out. I was thinking, i have the gold mine here. Write down in front was this little guy named michael. Michael was trying as hard as he could to follow the rules. He was trying to wait to get called on, but he could not do it. He jumped up and said, i know. The teacher said ok, what does the superintendent do . The superintendent is the guy in charge of super nintendo. I have to admit, it sounded like a better job. This brilliant teacher, she turned to him and said, michael that was a very interpretive answer, but actually the superintendent is the leader of our schools, does anyone know what a leader does . Let me introduce you to a little girl, sitting waiting in the back, as far back as you possibly could. She had her hand raised so high, i thought she was dislocated. Thankfully the teacher called on her. She said, what does a leader do . She looked me square in the eye and said a leader is someone who goes out and changes things to make them better. I flunked out of Leadership School three times. I have read probably every leadership book there is, and that is the single best definition of leadership i have ever heard. Iran back to the School District and got the principles together and said i have bad news and good news. What is the good news . I have the job discretion. Change things, make things better. The bad news is the second graders already know. Out where we live, with the people we serve, they already know. They did not elect any of you to maintain the status quo. They elected you to change things and make things better. Delivering results is how we do that. The better they are looking for is when we make the extraordinary the ordinary. They do not expect us to do it all tomorrow, or all at once. They just expect us to show up every day and make one thing better in the direction of making the extraordinary the ordinary. When we do that, we win the fundamental competition of public support. When we do that, we strengthen the institutions that are the essence of our society and culture. That is worth getting excited about. Thank you very much. [applause] gov. Hickenlooper thank you peter for illuminating and illuminating presentation. We have time for questions. Do i see any lights going on . Well, i will ask you one question. When you look back over your work at all these different levels, when you relative to stay government where is opportunity . In other words, if you will make a priority, where do you get the biggest bang for your buck . Where should people start . Mr. Hutchinson on the one hand what do we do in State Government . We educate medicate, incarcerate, and obligate. If you think about your budget that is probably 90 of your budget. In your k12 systems, health and Human Services systems, Public Safety systems, pensions, and other obligations. We need to target those parts of the territory. That is where the action is. That part is easy. I think the two things that are hard on the following. Actually, governor bill sacca of iowa told me this story. You have to touch people where they touch government. We do not have the luxury of doing that everywhere because so much of what we do is done through others. Much of our money passes through to someone else. A second part of the answer is where we do touch people, we should touch them brilliantly. Taxes, licenses, permits. All of those things where we actually do touch human beings. Tuition payments, grants aids. We should make those expenses as easy and simple i really believe the goal for the Public Sector is no touch service. To get to the point where i can literally pull out my phone dubai need to do, and i never need to touch anything again. We are very close to being able to doing that today. There is actually a more fundamental challenge, i think, for us in government. That is that the government we have today, by and large, was invented 100 years ago. Our government is a reaction to the corruption and trusts, and all the terrible things that went on at the turn of two centuries ago. We elected people like Teddy Roosevelt to pick up the dust and fix things. We went from a government of chaos and corruption to a government of control. If you think about to use your metaphor the dna of the governments that you are running, the dna is fundamentally about control. We have also the controls, control procedures. We are focused on controlling things. We needed that. We cant bureaucracy we call it bureaucracy. It worked, fabulous. We do not have corruption state. We did not have arbitrary stuff going on at the scale that we had. The world changed. It is not the same world. We are trying to run 21st century governments with early 20th century systems. While we are winning the right to do this by changing the way we touch citizens and the way we touch on us, behind all that, we have to take out the dna of bureaucracy and replace it with the dna of results. We are doing it. All of you are doing pieces of this. All of you know this has to happen. But, we are not a systemic about it. It will happen. Bureaucracy took 4045 years to come into being. Results oriented government may take another 40 years. It will come into being because citizens will demand and we will have the capability of doing it. Gov. Herbert thank you, peter. We appreciate you coming here and sharing your expertise with us. It was illuminating and enlightenement. When you were talking about leadership and the definition of leadership change things to make things better i expect most of us have been involved in efforts saying, alexa may me because i will change things and make things my question is how much of being a leader is based on personality . You hear about a charismatic leader out there. How much of it is part of your personality, and how much of it is learned, and can leadership be learned . In politics we talk about a lack of leadership in certain areas of politics, mainly washington d. C. What is learned, what is in nate . Mr. Hutchinson i think the answer is yes and yes. The qualities each of us have they are innate. They are what we were born with or what we grew up with, and we learn to tunnel a long way. I think i changed a lot. When i was younger, i thought i knew answer. Now i am pretty sure i do not. I believe my ignorance is my greatest weapon, then i learned from that warehouse example. I did not need to know the answer. I needed to make it possible for those who knew the answer to go to work, and that is the secret to success, is that it is not about being smarter, because i am not smarter than anybody, and collectively we are not smarter than a whole bunch of people. But if we organize the way things happen so that those who are smarter can do what they know how to do and feel they have the authority and power to do that, my experience is you can count on people to pull stuff off. That seems counterintuitive to our definition of leadership which is the person riding in on a white horse is a bus. I think it is a person riding in on it youll that is tearing down things in the way. A friend of mine uses a real job of leaders is to start fires and then take the fire extinguishers away to make it possible or necessary for people to do the right day. The best example in the country are examples of that. Perhaps not. I think you learn how to do that, how to not do what everything in you tells you you want to do. The warehouse deal i cannot tell you how much i wanted to the organized thing. It would not have happened if it was up to me. I had to get out of the way and get other things out of the way to make it possible. Governor hickenlooper i would suggest do not use the fire analogy in the summer meeting. Western governors here. And alternative definition of leadership i got a couple months ago was a leader was someone who persuade people or one person to think and do something that they did not otherwise believe. It takes it back down to the granular level and does everyone have the opportunity to lead with everybody or somebody . If everyone is a leader, you open up a much wider field. Governor nixon every governor has gone through a transition in the last few years in which we have had to downsize. 5000 few staer state employees in my state that when i was sworn in. It is difficult in the government sector where people who are experts, what advice do you have when it is clear that at the end of the process the same or even more work will be done with fewer people getting paychecks . Mr. Hutchinson two things about that. The first thing is 10 years from now governments will be smaller than they are today. It is inevitable for two reasons. We will not have resources to afford the scale of government we have today, but technology is going to drive work away from human to use it into the hands of technology, especially transactions. We had huge transactional enterprises and governments and we will not have people doing those things over time. We will get smaller. I have been through this many times personally, they key is to keep people connected to the people they are serving. What allows people to move for his their passion, their commitment to the purpose, their belief in what it is they are trying to achieve, part of our job is to help people disconnect that sense of purpose from the process fee are using today because those processes will not be the processes we use five or 10 years from now, because technology will replace things, we will use evidence to make we can target resources and so on. What i hear when working with organizations that are downsizing, people are worried about their jobs and way they have worked, but mostly worried that members will be dirty, the air will be foul if we do not keep doing what we have been doing exactly the way things have been done the last 20 or 30 years. We have to get people realize that we are not giving up on big ideas. We had new capabilities that will deliver Better Outcomes than today with different approaches. Back to my warehouse if you are tight and fixed on the outcomes, but lose on the means, people will go figure it out. And this is natural human nature. They want to say you figure it out, you tell us the answer. We got to resist the temptation to figure it out. We have an absolute of of asian to figure out. Absolute obligation to figure it out. They are sort of the are creative. They want to know if you have laid off 5000 people and doing that, will i get laid off after solving this problem for you. I think the answer needs to be no. Another guy gave me great advice, measure twice, cut once, but cut one of do not cut again and cut again and can get because people will not believe you and you will lose the ability of people to get reconnected. Tell us that when the guy said he thinks the meter you said you were hired. I would have hired a guy and that is why he was hired because he did Something Like that. And to make sure this is clear how systemic this is. We have called 311 three times. The meter guy calls the back. They are there at 6 00 on the morning placing a lightbulb. We are dead animal we had a dead animal on her property while i was gay. I was away. My wife called 311. There is no way this guy was reading from a script. Whoever hurts person or someone that was naturally synthetic and at that moment, sympathetic, and at that point that is what he did. It is about those people, not about us, and their experience not about ours. It is phenomenal. Governor mcauliffe i would love to have him in virginia. If you can call at 10 00 at night and 6 00 someone is doing the job, you might be overstaffed. I would also say my First Response to bed do not call us until 7 00. They might be more laid back in colorado. Other questions . Peter, you were a financial officer, at im going to ask you, what do you think the longterm outlook for state budgets . Do think there is going to be lower taxes . Just two on ending deficits and a federal government type problem longterm . Mr. Hutchinson there is no question that on average they are going to be in a permanent physical bind. The underlying cost of the things they are responsible for is rising inexorably faster and revenues. That is a condition. I do not see any reason why that would change. There are so many other things going on that will suppress its growth rate and there are so many things going on in society that are pushing the cost, that is a condition we face. We cannot print money so we got to deal with it. I think the central challenge this is what will happen to state budgeting over time in most states, when we begin the budget process, we say, how much did we spend last year . And then lose it, will it cost next year to do exactly what we did last year exactly the way we did it last year . The answer is more, and it is always more than we have. And then you as the chief executive, your job is figure out of that mortgage people say they need to doing exactly what they were doing last year, how much of that more can people not have . When you start announcing those things, those are called cuts. It is a bizarre system in which you could be spending more money and be accused of cutting your budget, but it is the system we are operating in. For our selfpreservation, you could end that system, stop asking people how much it cost here to do what we did last year. Instead you should say to people heres how much money we have. Heres how much money you have. What i need from you is the same quality of service that we delivered last year, if not better with the money we have. People should be coming to you not with proposals to spend more, but with ideas about how to redesign their services so they can deliver more with the money they have. The shorthand is right now budgets that are paying for cost and we convert to budgets that purchase results. Were just not doing it. And states that have tried this and counties and cities, you get amazing results, but it is like the sheep of the warehouse. You got to change the rules of the game. The rules are stacked against governors. They put you into the position of having only to say no to people. When i got to be financed or minnesota, we had a responding time which is one of the craziest experiences. We had about 500 million available. We had 4 bill in requests. Ion. Basically 3 4 of the requests will get turned down. We have people thinking they are going to get something they will never get, and our job is to say you will not get it and they will say this is not, we have got to change the rules. If you do question. Who pays the debt service on these bonds . We do, so the people who are asking for this money have no application to pay at that obligation to pay it back . I want that deal. We have changed one rule. The next day to billion dollars was the request that disappeared. Disappeared. It was not free, and i had to think about if i wanted to spend the money. It is about changing the incentives inherent budgeting systems. I believe we are ultimately going to alter you do budgeting and move away and the reason for this system is that bureaucratic thing about controlling costs. We need to focus on buying results, making sure we are getting our moneys worth. We have to make it the essence of what we study. We have to say theres no other way unless it results we expect the call quality that we expect a quality product. Right now they are not set up to do that. He had a chart of accounts . You have no chart about accounts. You have a chart about results. Our system is not designed to focus on results. Until they are we will probably not get them. I want to coach in terms of budgeting, one thing we have is a retirement rate of elite rumors over the next 10 years that will allow us to use technology to do things, not all things, and that is more of an optimistic side. Governor hutchinson . Governor hutchinson great presentation, very thoughtprovoking. When you talk about governor getting smaller reduce money, technology assisting, i thought of two challenges. When you are looking at Transactional Services like collecting taxes, license fees delivering licenses and so on, is all transactional technology. The answer i can see that. When you are talking about childhood services, human touch is required to go in a hope and see if a child is well taken care of, processes in court, human delivery, i see greater challenges. The other challenges Higher Education because many of us do not have a level of control over the. What is it going to take to get this message of efficiency of technology, of changing, three resultsoriented environment in Higher Education is there any hope in that environment . Mr. Hutchinson yes, but i want to talk about child protect services. One of the challenges even in those parts of what we do is the amount of administrative stuff that our caseworkers are going to do. We had caseworkers who are spending 50 of their time doing administrative work instead of taking care of kids. That is where we can also a fair amount of time and repurpose those resources back to kids. Higher ed and education, this is my passion. It makes me nuts. On the one hand, our cake12 system are not producing k12 system is not producing the results we need. They are being lied about what is happening in the k12 system. We have a different problem what happens after that. What governor fall asked us to focus on lester, a majoron disconnect between requirements of the work system and what is coming out of our higher and system. We are graduating people with all kinds of degrees with jobs who do not t exist. This is that is much more evident today than in the history of the country. It is not anybodys fault. It is in the design of this is. We have tools that can assess what the Labor Force Needs to look that, the ability to help employers what are the skills and competencies i am looking for. We now have the capabilities to tell young people what skills, competencies do you have, not what degree do you hold, not what your major was, but what can you do. This is a long essay i think we have to change the conversation from degrees and Graduation Rates to the acquisition of competencies required in the workforce. If we can arm side of that transaction to talk turkey about what it is i need to be able to do and what i need you to be able to do and change the way those two things are connected with one another, what will happen is students will put the higher ed sisson to change. They will drive the outcome. They have been doing that in a sense because they there was a time when everybody thought being a lawyer was a guaranteed road to success, and now they found that true, and legal enrollments are company, because there are no law jobs. And the ones that are there are terrible. The word got out. That is the power of not the market, the young people to drive the way our systems change. I think our job is to get the transparency out there so people can see what their labor force going to need to be able to do, and what are our systems to produce income and who does it best . If you need a numeric troll operator who is the best person in the state to get that done . If you need higher order to data skills from what is the best place in my state at thto get that done . Young people will drive this them, because they did about the system, i insensitive to this legal thing because it costs so much to become a lawyer, and i cannot get paid. The system is reggie itself in front of without anybody passing a law to make that happen. Because the transparency caught up with reality there are new tools available to look at higher ed curriculum and connect it to competencies, to look at skills and capabilities at people in the workforce the capabilities coming to the job systems, we can make this connection we can make this powerful. I think the Initiative Last year was a great start doing this. Because we do not have other controls, we need to change the things we can control and surround the system to allow it to change them he will never make it do it. Allow it to feel the consequences of not changing. Governor hickenlooper governor fallinon . Governor fallon how do we deliver results in Higher Education, how do we deliver results when you look at the increasing costs of medicare. There is an article in the paper this wee when they arek going to go out, and i hope i miss the alive that i hope i will still be alive. Back to delivering results, one of the things he moved after realign our educational force to keep our economy strong, we moved on to challenge and you will have time strong economies and other times have dips right now my state. Has a dip in the economy because the Energy Sector is beyond my control. You have a budget shortfall and you have to back on spending or we prioritize your spending, we have to do that periodically. Getting back to the initiative, how do we make sure were not spending money on things we hoped might work in reducing children in state custody or improving our education how do we produce things that we know do work . We have moved into a system to devise a system called performance informed today. We outlined five areas of improvement that we thought were important. There are five things to improve upon interstate that we think are important. We asked allstate agencies to develop metrics and data and goals with specific data points, and i will give you examples. Have awe want to have a higher High School Graduation rate. We want to reduce recidivism in people coming out facilities and going back in. Or we want to reduce childhood event were telling the de aths. We gave these agencies the authority to talk about if you have a clean slate, what would you do it education, transportation, whatever the issue might be, and develop goals, but set the year you want to hit that marker. Then we base our budgeting on how do we find programs that can have measurable metric data to prove it does work, and then we published on the internet so that taxpayers and say you failed in this visarea or did well in this area, so you need to put your funny up on this area. That is how we have been doing what governor hickenlooper has been stressing, producing results and being accountable for that as a state. I could not be more enthusiastic. We did a couple projects like this. I have been involved in probably 10 budgeting project like this. One of the things that was most interesting to me was when a state said their goals were educating kids successfully, preserving the health of the population transportation, they took everything in the budget. There were 1400 programs and said every program needed to be attached to one of these goals. Everyone. They needed to figure out what is this programs purpose . We think of education has k12 and higher ed. One of the largest organizations was in prisons. We never thought of then in the education system. When you start thinking of them in the education system, that is a Different Group of people who have terrific challenges and compose massive costs on societies. If that system worked that are to help us think about what our targets are . Is there some way we could do that better than what we are doing separately . We think of budgets in terms of agencies, but we need to think of them in terms of results. The other thing i saw was at the question of balancing budgets especially in bad times, i saw a governor do this, and i had never seen it done before. He asked for volunteers, and if you volunteer, he made a view deal, and it was the following you give me 10 of your budget, that israel cut, that is your cut, i give you greater possibility. I think a lot of the administrative way. I eliminate rules and regulations. I let you run your organization. He had a whole bunch of agencies that took the than the budget got worse, and the question was would he go back and cut the agencies that works, and he did not. That was important because it sent messages. He got his 10 , and 10 was a lot to the con text of the budget they faced so double degree unfair, but it encouraged other agency to take that deal when he offered the next. Its changed their culture. It change the character of the way people thought about their relationship with the executive branch. I thought it was an interesting experiment in that worked. It got agencies to the differently about what it would take to deliver. They were signing up for the same results they had signed up for the year before, with 10 fewer resources. All they wanted in return was flexibility, being able to change the organization, and they did it. Anything else . I have happy to answer a question if we have to. Peter, good to see. I know that the states have taken the path toward budgeting for results, and my regulation is a governor make great strides. Curious whether state were local governments have been able to get on this path and sustain that capppath . Mr. Hutchinson what the governor is talking about is altering the way we think about spending money, purchasing result instead of paying for costs, so that South Carolina did this at one time, michigan, Washington State did it, illinois has a version of it still in place today. This gets after systemic challenges that we face. It is easy it is not easy, but possible to do this one. You disrupt what is going on jury rigged the system, and budget for results. The problem is it is not baked in the system. You are fighting against the system because that machinery is churning out all this cost information in standard forms and all the stuff that we have. To my knowledge has gone in and altered the system. I cannot tell you, but we are on the verge of this conversation in one state. It is another one of these revelations i had when i do not understand how things work, you do not change things like having a chart of outcomes in the budget system, the budget will not be about outcomes. Youll just have costs. You have to get into the nittygritty of how the machinery works if you want people to change because they are willing to change. They find this interesting, up with solutions, but the machinery gets in the way. Ive feel feel the real challenges is to figure out how to change the machinery. The second thing which is difficult is not the legislative process is set up to do this. It is all agency budgeting and costbased budgets and we successfully did this with the legislature in michigan and learned that the legislators can do this. It is warping the system they have to make it possible. They did it, and he did it very well but they were term limited, everybody left. When you comeback, the old system is still in place. Those systems are 50, 60 years old. Yes, you can do it, but to sustain it, weve got to change the system, actually manipulate what the reports look like and what the hearings look like, and we know how to do it, we know what it would take, but it would take a state with a courageous executive and matched up with a courageous leadership in the legislature to get done. We have seen this in cities and counties that have sustained this over time. Governor hickenlooper courageous is the right word. It reminds me back when i was trying to start a restaurant that was brewing its own beer it is hard to get people to themselves to invest in something. This is an investment of time and credibility and future. When people have not seen something we were trying to get people to invest in a concept my mother would not invest. She said, who wants to eat dinner in a brewery . Unless people have seen something, it is hard to persuade them to try something not new. That is the challenge, the use words and diagrams in a way where you can persuade people to take the sleep they just take this take this league in faith. That is what changes, when people take that leap of faith. Anybody want to ask questions before we adjourn . I forgot to gavel oxygen. This is not the end of this session, but now we are officially gaveled in. I am not sure about parliamentary procedure, but i want to make sure we are engaged in some level of misconduct. You done with this session. Thank you all for being here. Peter, thank you very much. We appreciate your taking your time. [applause] [captions Copyright National cable satellite corp. 2015] [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. Visit ncicap. Org] announcer a great in the nga summer meeting. Nga chai johnr hickenlooper held a news conference. They were joined by the West Virginia governor. Here is a look. Governor hickenlooper good morning, everyone, the first to officially welcome you to West Virginia. We are honored to be this years posts state for the meeting which has brought governors from all across the country. We will have the opportunity to sit down with one another and discussed a number of crucial policies on a wide range of issues important to all our states, and i am confident our meeting will open pathways for new ideas. While is a West Virginia, i hope you experience all that is wild and wonderful about the mountains the. Our team has worked hard to put together a number of Exciting Events all attendees to ensure, that not only showcase our history, but share true and authentic West Virginia culture and hospitality. We hope you enjoy your stay here. Welcome to West Virginia. I look to another successful nga summer meeting. It is my pleasure it issues it is my pleasure to introduce governor john hickenlooper. Governor . Governor hickenlooper thank you. He has been practicing online name. On my name. It is a delight to kick off the summer meeting of the National Governors association. I want to recognize and thank governor tomlin for having sited this conference, and we do forward to experience everything that West Virginia has to offer. So thank you. Please give him a hand. I am delighted to recognize my friend from utah, gary hubert,erbert. Gary and i have worked on initiatives for nga and other governor organizations, and it continues to be a pleasure to work by him. We had with us today governor fallon, Governor Walker from alaska, and a whole host of governors lurking around. Be on your toes. We have a full agenda planned for this weekend. This afternoon we will begin with an opening session about my initiative delivering results. Is focused on improving efficiency and effectiveness around some of the Core Functions of government, how do we take test practices from the private sector, business, and translate them and implement them and Liver Services to citizens. The focus on how governors can hire the best and brightest and make sure they know how to manage. We have focused on how to create and implement appropriate rules and regulations that protect the public good without becoming unnecessarily or some are creating red tape. We focused on how to adopt Performance Improvement measures that use data and evidence to enhance results, how to make sure how all agencies are focusing on continuous improvement. Governors have different opinions on how they can deliver results to the people of their states, regardless of whether a governor focuses on one strategy or implements a comprehensive statewide approach, we have identified three principles that form the foundation of creating a resultoriented government. First, make sure we set a vision and focus on outcomes and maintain that focus. Second, we try to foster a culture as i said, continuous improvement, to make sure all of our cabinet and all their staff recognize continuous approach improvement is a necessity. Third, make sure we communicate results internally and to the citizens of our state. The session today, i will share the delivering results toolkit with governors, including document and resources that he will be able to help governors in egypt our states. Governors in each of our states. We will be joined by peter hutchinson, our guest speaker. Peter was the first people i consulted with when we decided to take on this notion of delivering results and im delighted he was able to join us here in West Virginia to help stimulate the ideas and discussions around delivering better results to the people of our states. This afternoon we will have our First Joint Committee session commerce and Natural Resources. This session will offer governors to discuss how states integrate recreational facilities and parks into their Economic Development and Natural Resource strategy to grow tourism, economy and create jobs, and we could not be a better place to see that demonstration live band in greenbrier in West Virginia. Tomorrow morning he will resume we will resume with another joint committee session, health and Human Services and Public Safety to discuss a critical issue affecting all our states, the nations opioid crisis. Opioid abuse is a Major Public Health and safety crisis confronting communities across the country. We will discuss ways we can take action to address this crisis, including what role the federal government should play. Nga has had an academy on this, which was successful, and we are seeing reductions in the state that had begun implementation of the approaching 20 . Also looking at building a worldclass work force in each state and developing an educational system that will support that workforce. This is on the top of every priority list and we will give it serious attention. Saturday, the educational Workforce Committee will examine how do we create pathways that accelerate economies while hoping people build schools for the jobs of the future. We will be joined at the session by thomas perez. This will be a wide open discussion looking at all the ways we can improve our workforce training starting from k12 through the arc of peoples working lives. It is essential every member of the force at every age be given the opportunity to realize their full godgiven potential over the course of their careers in order to keep pace with the constantly changing and everincreasing demands in terms of job skills. The 2015 meeting will conclude saturday with our closing session on Health Care Transformation with a West Virginia native Sylvia Burwell who will be here. I know she will get time off to see her family. The weekend is going to be very focused on these issues, and may be short, we are taking on issues with lots to discuss and lots of ground to cover. Even though this is my last meeting as chair, i am not going anywhere. Youre looking into the fall, i want to make sure everyone is aware of two exciting opportunities we have planned for the nga in the fall. First is that Health Care Forum in colorado october 2 through 4. It will assess the steps states are taking to providing Better Health care to people at affordable cost. At the end of the month, october 30 and 31, we will meet with our canadian and mexican colleagues at the north american summit in Colorado Springs. This will be the first time we had taken governors from mexico and premieres from canada and governors from the United States and brought them together that. We will discuss issues that are crucial to all our states and territories include the Economic Development, innovation, and education. It will be a unique, historic opportunity, and we hope to get as many people there as possible. I want to recognize that i think governors at this moment in history are in a special place where we are, despite all the gridlock and excessive partisanship in washington, governors continue to roll up their sleeves and make the difficult decisions and try to get things done. As you could have seen us yesterday, at our executive Committee Meeting when you are governor, republican or democrat, whose titles matter less than any other forms of government in our country, and we are able to find compromises and find ways deliver results well outside the boundaries of party affiliation. With that, i will turn it over to a great republican governor, gary herbert the governor from the great state of utah. [applause] governor herbert we thank you for your leadership, john, and tactics of the issues, and states really are hitting those issues head on and making decisions and industry leadership. I learned early on as a new governor that the place to be was here at the National Governors association conferences, where we can rupture wars with each other commiserate with challenges, and learn of best practices, find out what is working and ones that are not working as well see if we cannot take that information back and become better governors in our respective states. I appreciate governor hickenloopers musician. I appreciate you convening us on july 24. Most of us know that july 24 is pioneer day in utah. [laughter] governor herbert that is when the pioneers settled and colonize what became utah. It is our big state holiday, so normally i am in a parade waving. So i am waiting here for West Virginia and, governor tomlin, thank you for posting us in such a beautiful place and making it such a convenient place to share best practices. And me talk about things i think are important to the country important governors. We have had some success and maybe still have work to do. One of the topics is health care. A lot of the iterations of health care and how we implement the Affordable Care act in respective states, what it does to economy, the impact of it as, we are sensitive to help those who are most vulnerable to a synopsis tidies to make sure they in our societies. Yes it to the president he would like things to consider as you move forward with us and in hand. We have a need for more flexibility in our states. We would ask for them to streamline the waiver process to make it so we can not only find unique solutions to our respective states when it comes to states, but there is permanency so we do not think the union to continue and request a waiver once we get those waivers in place. We would like to see some permanency. I like to say that as was mentioned the secretary of health will be here, and she has been good to work with as we have tried to find ways to address this issue. I am looking forward to having her here, having that continued conversation with her as he continued to negotiate. The impact some success with it the chip program. Those areas where we have children and pregnant women whose families are not making enough money and the chip has brought much needed certainty that issue, which is something the nga has been asking for. The second issue is the force innovation opportunity act. We appreciate the fact that the senate has reaffirmed restoring the set aside from 10 back to that 15 we have had. As we look at workforce programs and helping people in our state, that extra 5 makes a big. We think we spend the money in a very effective and efficient way. We are close to the people, know what issues are, so we appreciate the Senate Setting that back. We would hopefully call upon house that they would also restore that extra 5 . We hope that will happen. Cap issues tax issues and letting the thing. You heard about tax reform and the need for tax reform, and we applaud them in that effort, we want to make sure they understand that the topless for governors is the need to have parity in the system when it comes to sales. Those in our brick and mortar mainstreet Retail Stores as opposed to catalog need to make sure there is in fact involvement in that. The parity act which is being talked to the vehicle this year to finally resolve this issue and have fairness. There is bipartisan support on this, and we hope that will be taken up and passed this year. As we have tax or phone at these for governors, this is at the top of the list. We want to work with congress as they go to their tax reform issues. Most of the things they do impact us in the states, so we do not want to be partners, we want to be collaborative partners and making sure we help transition from a 20th century economy into the 21st century economy that is taking place before our eyes. Next, transportation. Most recognized that transportation, particularly in the fastestgrowing states and throughout this country, is a significantly important issue. It is not just the quality of life issue. Nobody likes to be stuck in gridlock. The ability for us to build capacity ability to maintain what we already have dealt is significantly important to us. Not only for quality of life but for Economic Development. Meeting our businesses leaders out there have a hard time creating wealth and creating jobs if the Transportation System is defective. For us as governors, we would want to make sure that the Congress Congress understands. We have talked about the transportation reauthorization. We need to have a wellfunctioning transportation throughout this country. We have done that in a significant way since the eisenhower days with the interstate system, that needs to be extended and maintained, and we need to have certainty on this for our states because we have longterm plans. In utah, we have a fiveyear ongoing play. It is hard to maintain roads if you do not know where the resources are coming from or whether they will be here beyond the next months. Estimates six the next six months. Last but not least, one of the significant challenges we have as well as a great opportunity is to be the leader of our National Guards. As governors, the commander he she of our National Heart and take that job very seriously. It is an ongoing server us as we have emergencies that occur from time to time with our respective states to make sure you have a National Guard that is able to perform. As well as for National Defense. We are becoming a significant part of the active military when it comes to our National Defense. Our National Guard readiness is important to us. We appreciate the fact that there has been significant work with the National Defense authorization act to in fact make sure funds continue to flow to our National Heart, to guard, to protecting from having apache helicopters taken away from states and given to the army not a good policy. We appreciate that is not happening at the until the end of fiscal year 2017, which will give us time to review and congress reviewed the means we have that means we have to have an active ready military in the National Guard. We appreciate the opportunities we have as governors to lead this country. I can tell you with the leadership of those you see here and others amongst us in our conference governors are getting things done. They are leaving in a very leading in a bipartisan way. Lives are made better because of the efforts of the governors. Lets be thank governor let me thank governor hickenlooper and other governors for bringing us together and helping us become better governors. Thank you for your service. [applause] governor hickenlooper thank you for your service and your leadership and your friendship. We can open it up for questions. Yeah. s we have six governors, who each of you give a couple projects in your state that you feel best about in terms of job creation over the last months . Governor hickenlooper with companies or initiatives . In colorado, we stoar with something called bottomupted in the state, to reduce red tape, market the state better, provide access to technology and improve the workforce. In that initiative, we have seen an overall level of job growth. In terms of specific components to that, he worked know the foundation and linked in to create a database where we take every company that has Training Programs in all our Community Colleges to create a seamless arc of how you make sure that certificate and that is an ways of delineating when someone has got to the next level. It could be anything. Some of the large corporations like walmart and starbucks are willing to share some of their historically has been protected intellectual property, so the world can see when someone achieves that badge or level of proficiency, they are able to take note skills and be able to market them somewhere else. We also have a Grant Program so we are finding Small Companies somewhat unstable to take small amounts of methane off of storage tanks and find a way to economically gather that end separate and separate it and are able to turn that into energy and market it into the system. That Company Started with four employees. They now

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