Weekly Compilation of Presidential Documents

It's getting on close to the end of the month, and I bet many of you'll be spending part of this Saturday or the next hunkered down at your desk, calculator in hand, balancing your checkbook, and making sure your family's finances are in order. There are probably a hundred things you'd rather be doing on a fall weekend, but you know that it's important to your family's security and happiness.

Well, this basic responsibility, which millions of Americans successfully perform every month, appears to be just too much for the United States Congress. September 30th is the final deadline for Congress to pass our nation's budget, the appropriations that will allow the Government to continue to function. Once again, the budget deadline finds Congress unable to produce a responsible budget. They let it come right down to the wire. I say once again because this is nothing new. It's been many years since Congress has passed its appropriations on time. Instead, they throw together what they call a continuing resolution, at the last moment-a kind of Christmas tree hung with pet projects and wasteful spending programs that never could have made it into a real budget.

For 6 months Congress has dragged its feet, refusing to send me the appropriations bills that I need to keep the Government running. In all that time, the one appropriations bill that has made the most progress is not surprisingly-the spending bill that would fund the legislative branch. I suppose that's what's called taking care of number one. All the other spending bills that directly help the people and run the Government are stalled. So, without a real budget, we are once again facing a continuing resolution which, this year, lumps every single

spending allocation for the entire Government into one huge omnibus bill.

But that isn't the worst of it. The House of Representatives is trying to use this bill to force through policies that they know could not pass otherwise-policies that do not belong in an appropriations bill and are simply unacceptable. Provisions passed in the Democratically controlled House would pull the rug out from under our negotiators

at the arms control talks with the Soviets in Geneva, endangering the real progress we are making toward meaningful arms reductions. Others would hurt programs vital to our defense needs. And while all sorts of wasteful boondoggles are included, they want to cut essential pay raises for our military personnel. And I'm sorry, but that's just plain wrong.

After delaying so long, some in Congress say I should just sign this spending spree bill because otherwise the Government will be forced to shut down. Well, I hope they know where the keys to the building are, because if they don't act responsibly, I won't have any choice but to shut it down. If they want to put a real budget together by candlelight, it's okay by me.

Now it's up to the Senate to remove the most objectionable parts of the House bill so we can keep operating. My friends, this is no way to run a government. The breakdown of the congressional budget process is one of the primary reasons why spending is out of control and deficits are so large.

Some Democrats believe that you, the taxpayers, caused the deficit because you pay too little in taxes. Well, that's hogwash. We don't have deficits because you're undertaxed, we have deficits because Congress overspends. It's time Congress cut the Federal budget and left your family budgets alone. For all their talk about the deficit, the liberal Democrats in Congress have not been able to control their big spending

ways.

Last February I proposed eliminating 44 wasteful programs, but Congress cut only 2.

Now, instead of reducing spending, some in Congress want to break faith with the American people and turn tax reform into a tax hike. Well, that really touches my temperature control.

It seems to me that if we can't convince the liberals in Congress to cut spending, maybe we should cut the number of liberals in the Congress. This yearly budget fiasco illustrates clearly that the process simply doesn't work, but there is a solution. If Congress can't control spending, they should give me what 43 State Governors have: the line-item veto. Then, each spending item could be judged on its own merits, and Congress couldn't sneak through spending programs they know would never survive the light of day. And isn't it time we had a balanced budget amendment?

Earlier this year that amendment lost by only one vote. The American people want a balanced budget amendment. In this election year, isn't it time that we make sure our elected representatives do, too? Let's vote for a Congress that will pass the lineitem veto and the balanced budget amendment and, once and for all, get Federal spending under control. I can tell you one thing, it would really make my day.

Until next week, thanks for listening, and God bless you.

Note: The President spoke at 12:06 p.m. from Camp David, MD.

Tax Reform

Statement by the President on Action by the Senate. September 27, 1986

Today's historic vote on tax reform marks the last legislative hurdle for the American people, who finally have a tax code they can be proud of-one that is fairer, simpler for most people; one that encourages growth and that is profamily.

Today's action culminates years of hard work and determination by many in the Congress, the executive branch, and most importantly, by numerous dedicated individuals throughout the Nation who believed we Americans deserved better.

I look forward to signing the bill when it arrives on my desk.

Economic Sanctions Against South Africa

Letter to the Senate Majority Leader and the Speaker of the House. September 29, 1986

Dear Mr. Majority Leader: (Dear Mr. Speaker:)

I understand and share the very strong feelings and sense of frustration in the Congress and in our Nation about apartheid, an unconscionable system that we all reject. The ongoing tragedy in South Africa tests our resolve as well as our patience. None of us wants to aggravate that tragedy.

In the last several months, the South African Government, instead of moving further down the once promising path of reform and dialogue, has turned to internal repression. We all know that South Africa's real problem traces to the perpetuation of apartheid. And we know that the solution to this problem can only be found in lifting the present State of Emergency, repealing all racially discriminatory laws, releasing political prisoners, and unbanning political parties necessary steps opening the way for negotiations aimed at creating a new, democratic order for all South Africans. The South African Government holds the key to the opening of such negotiations. Emerging from discussion among South Africans, we want to see a democratic system in which the rights of majorities, minorities, and individuals are protected by a bill of rights and firm constitutional guarantees. We will be actively pursuing diplomatic opportunities and approaches in an effort to start a movement toward negotiations in South Africa.

I outlined in my message to the House of Representatives on Friday my reasons for vetoing the Comprehensive Anti-Apartheid Act of 1986, principally my opposition to punitive sanctions that harm the victims of apartheid and my desire to work in concert with our Allies. I also indicated in that message that I am prepared to sign an expand

ed Executive order that strongly signals our rejection of apartheid and our desire to actively promote rapid positive change in South Africa. I am prepared to expand the range of restrictions and other measures that will characterize our relations with South Africa. There would be strong sanctions in my new order, sanctions that I earnestly wish were unnecessary. These sanctions, directed at the enforcers not the victims of apartheid, encompass measures recently adopted by many of our Allies, as well as many elements of the original Senate Committee version of the bill. They are incontestably necessary in today's circumstances. My intention is to make it plain to South Africa's leaders that we cannot conduct business-as-usual with a government that mistakes the silence of racial repression for the consent of the governed.

My new Executive order will, therefore, reaffirm and incorporate the measures I imposed last year (i.e., bans on loans to the South African Government and its agencies, all exports of computers to apartheid-enforcing entities and the military and police, all nuclear exports except those related to health, safety, and IAEA programs, imports of South African weapons, the import of Krugerrands, and a requirement for all U.S. firms to apply fair labor standards based on the Sullivan principles).

The Executive order will also add:

-a ban on new investments other than those in black-owned firms or companies applying the fair labor standards of the Sullivan principles;

-a ban on the import from South Africa of iron and steel;

-a ban on bank accounts for the South African Government and its agencies;

-a requirement to identify countries taking unfair advantage of U.S. measures against South Africa with a view to restricting their exports to the United States by the amount necessary to compensate for the loss to U.S. companies;

-a requirement to report and make recommendations on means of reducing U.S. dependence on strategic minerals from southern Africa;

—a requirement to provide at least $25 million in assistance for scholarships, education, community development, and legal aid to disadvantaged South Africans with a pro

hibition on such assistance to any group or individual who has been engaged in gross violation of internationally recognized human rights;

-the imposition of severe criminal and civil penalties under several statutes for violation of the provisions of my Executive order;

-a requirement to consult with Allies in order to coordinate policies and programs toward South Africa;

-a requirement to report on whether any of these prohibitions has had the effect of increasing U.S. or allied dependence on the Soviet bloc for strategic or other critical materials, with a view to appropriate modifications of U.S. measures under my Executive order should such dependency have been increased;

-and a clear statement that the Executive order constitutes a complete and comprehensive statement of U.S. policy toward South Africa, with the intent of preempting inconsistent State and local laws which under our Constitution may be preempted.

Sanctions, in and of themselves, do not add up to a policy for South Africa and the southern Africa region. Positive steps as well as negative signals are necessary. This unusually complex and interrelated part of the world is one that cries out for better understanding and sympathy on our part. We must consider what we can do to contribute to development of healthy economies and democratic institutions throughout the region and to help those who are the victims of apartheid.

Following the Congress' lead and building on existing programs, I plan to expand our assistance to those suffering the cost of apartheid and to help blacks as they prepare to play their full role in a free South Africa. We spent $20 million in FY 86 and have requested $25 million in FY 87. We will do more, much of it along the lines incorporated in the South Africa bill.

I am also committed to present to the next Congress a comprehensive multi-year program designed to promote economic reform and development in the black-ruled states of southern Africa. We intend to seek the close collaboration of Japan and our European allies in this constructive effort. Our goal is to create a sound basis for a post

apartheid region-a southern Africa where democracy and respect for fundamental human rights can flourish.

I believe the United States can assist responsibly in resolving southern Africa's tragic dilemma. Many observers in and outside South Africa regard present trends with despair, seeing in them a bloody inevitability as positions harden over the central question of political power. This is a grim scenario that allows no free choice and offers a racial civil war as the only solution. It need not be so if wisdom and imagination prevail.

South Africans continue to search for solutions. Their true friends should help in this search. As I have said before, our humanitarian concerns and our other national interests converge in South Africa as in few other countries. With the actions I propose today, I believe it is clear that my Administration's intentions and those of the Congress are identical. May we unite so that U.S. foreign policy can be effective in bringing people of good will and imagination in South Africa together to rebuild a better, just, and democratic tomorrow.

Sincerely,

Ronald Reagan

Note: This is the text of identical letters addressed to Robert Dole, Senate Majority Leader, and Thomas P. O'Neill, Jr., Speaker of the House of Representatives.

Kansas City, Missouri

Remarks at a Rally for Kit Bond, Candidate for the U.S. Senate. September 29, 1986

The President. Thank you all very much. You know, one of the things that goes with my job is that I am Commander in Chief. And in the military, a general can dictate the uniform of the day. And in view of the temperature, I'm declaring that the uniform of the day-[applause]

Now, before I get into my remarks, I have-if you'll just wait just a second-I have something of a news announcement I would like to make, that-in case you

haven't heard it already-that at 12 p.m. central time, a Lufthansa airliner left Moscow bound for Frankfurt, West Germany, and on board are Mr. and Mrs. Nicholas Daniloff.

Now, let me just say it's wonderful to be here in Missouri. And it's great to be back on the campaign trail. It almost feels like 1980 all over again. You know, as I said to my staff when we were taking off in Air Force One, it's great to be out of Washington and back where the real people are. You make a fellow feel mighty welcome. I wish I could stay longer, but as you know, Congress is in session. And so a number of individuals that right now I would be mentioning by name-your Senator, Jack Danforth, some of your Congressmen-had to change their plans and remain in Washington, because the Congress is in session. And somebody's got to keep an eye on them.

You know, some of the people in charge in the Congress, in Washington, and the other side-they're sort of like the three fellows that came out of a building. They found they'd locked themselves out of their automobile. And one of them said, "Get me a wire coathanger. I can straighten it out and I can get in, open the door." And the second one says, "You can't do that. Somebody'd think you're stealing the car." And the third one said, "Well, we better do something pretty quick because it's starting to rain and the top's down." [Laughter]

It is really great to be here and wonderful to see a lot of old friends and supporters. And as I said, I'm sorry that Jack Danforth, one of the ablest Senators we've got, and your tremendous group of Representatives: Tom Coleman, Bill Emerson, and Gene Taylor-I call them Missouri's A-Team— they're back there hard at it.

And having been Governor myself for some time, I think I recognize good material when I see it, and John Ashcroft is the best. You know, I couldn't be paying him a higher compliment when I say he is a worthy successor to Kit Bond, who was a great Governor.

There's a good candidate for Governor in your neighboring State, Kansas, who was going to be here, but he's out busy campaigning-Mike Hayden. He was raised on

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