Mr. Speaker, Mr. Vice President, Members of the 95th Congress, and distinguished guests: In accordance with the Constitution, I come before you once again to report on the state of the Union. This report will be my last--maybe--[ ]--but for the Union it is only the first of such reports in our third century of independence, the close of which none of us will ever see. We can be confident, however, that 100 years from now a freely elected President will come before a freely elected Congress chosen to renew our great Republic's pledge to the Government of the people, by the people, and for the people. For my part I pray the third century we are beginning will bring to all Americans, our children and their children's children, a greater measure of individual equality, opportunity, and justice, a greater abundance of spiritual and material blessings, and a higher quality of life, liberty, and the pursuit of happiness. The state of the Union is a measurement of the many elements of which it is composed--a political union of diverse States, an economic union of varying interests, an intellectual union of common convictions, and a moral union of immutable ideals. Taken in sum, I can report that the state of the Union is good. There is room for improvement, as always, but today we have a more perfect Union than when my stewardship began. As a people we discovered that our Bicentennial was much more than a celebration of the past; it became a joyous reaffirmation of all that it means to be Americans, a confirmation before all the world of the vitality and durability of our free institutions. I am proud to have been privileged to preside over the affairs of our Federal Government during these eventful years when we proved, as I said in my first words upon assuming office, that "our Constitution works; our great Republic is a Government of laws and not of men. Here the people rule." The people have spoken; they have chosen a new President and a new Congress to work their will. I congratulate you--particularly the new Members--as sincerely as I did President-elect Carter. In a few days it will be his duty to outline for you his priorities and legislative recommendations. Tonight I will not infringe on that responsibility, but rather wish him the very best in all that is good for our country. During the period of my own service in this Capitol and in the White House, I can recall many orderly transitions of governmental responsibility--of problems as well as of position, of burdens as well as of power. The genius of the American system is that we do this so naturally and so normally. There are no soldiers marching in the street except in the Inaugural Parade; no public demonstrations except for some of the dancers at the Inaugural Ball; the opposition party doesn't go underground, but goes on functioning vigorously in the Congress and in the country; and our vigilant press goes right on probing and publishing our faults and our follies, confirming the wisdom of the framers of the first amendment. Because of the transfer of authority in our form of government affects the state of the Union and of the world, I am happy to report to you that the current transition is proceeding very well. I was determined that it should; I wanted the new President to get off on an easier start than I had. When I became President on August 9, 1974, our Nation was deeply divided and tormented. In rapid succession the Vice President and the President had resigned in disgrace. We were still struggling with the after-effects of a long, unpopular, and bloody war in Southeast Asia. The economy was unstable and racing toward the worst recession in 40 years. People were losing jobs. The cost of living was soaring. The Congress and the Chief Executive were at loggerheads. The integrity of our constitutional process and other institutions was being questioned. For more than 15 years domestic spending had soared as Federal programs multiplied, and the expense escalated annually. During the same period our national security needs were steadily shortchanged. In the grave situation which prevailed in August 1974, our will to maintain our international leadership was in doubt. I asked for your prayers and went to work. In January 1975 I reported to the Congress that the state of the Union was not good. I proposed urgent action to improve the economy and to achieve energy independence in 10 years. I reassured America's allies and sought to reduce the danger of confrontation with potential adversaries. I pledged a new direction for America. 1975 was a year of difficult decisions, but Americans responded with realism, common sense, and self-discipline. By January 1976 we were headed in a new direction, which I hold to be the right direction for a free society. It was guided by the belief that successful problem-solving requires more than Federal action alone, that it involves a full partnership among all branches and all levels of government and public policies which nurture and promote the creative energies of private enterprises, institutions, and individual citizens. A year ago I reported that the state of the Union was better--in many ways a lot better--but still not good enough. Common sense told me to stick to the steady course we were on, to continue to restrain the inflationary growth of government, to reduce taxes as well as spending, to return local decisions to local officials, to provide for long-range sufficiency in energy and national security needs. I resisted the immense pressures of an election year to open the floodgates of Federal money and the temptation to promise more than I could deliver. I told it as it was to the American people and demonstrated to the world that in our spirited political competition, as in this chamber, Americans can disagree without being disagreeable. Now, after 30 months as your President, I can say that while we still have a way to go, I am proud of the long way we have come together. I am proud of the part I have had in rebuilding confidence in the Presidency, confidence in our free system, and confidence in our future. Once again, Americans believe in themselves, in their leaders, and in the promise that tomorrow holds for their children. I am proud that today America is at peace. None of our sons are fighting and dying in battle anywhere in the world. And the chance for peace among all nations is improved by our determination to honor our vital commitments in defense of peace and freedom. I am proud that the United States has strong defenses, strong alliances, and a sound and courageous foreign policy. Our alliances with major partners, the great industrial democracies of Western Europe, Japan, and Canada, have never been more solid. Consultations on mutual security, defense, and East-West relations have grown closer. Collaboration has branched out into new' fields such as energy, economic policy, and relations with the Third World. We have used many avenues for cooperation, including summit meetings held among major allied countries. The friendship of the democracies is deeper, warmer, and more effective than at any time in 30 years. We are maintaining stability in the strategic nuclear balance and pushing back the specter of nuclear war. A decisive step forward was taken in the Vladivostok Accord which I negotiated with General Secretary Brezhnev-joint recognition that an equal ceiling should be placed on the number of strategic weapons on each side. With resolve and wisdom on the part of both nations, a good agreement is well within reach this year. The framework for peace in the Middle East has been built. Hopes for future progress in the Middle East were stirred by the historic agreements we reached and the trust and confidence that we formed. Thanks to American leadership, the prospects for peace in the Middle East are brighter than they have been in three decades. The Arab states and Israel continue to look to us to lead them from confrontation and war to a new era of accommodation and peace. We have no alternative but to persevere, and I am sure we will. The opportunities for a final settlement are great, and the price of failure is a return to the bloodshed and hatred that for too long have brought tragedy to all of the peoples of this area and repeatedly edged the world to the brink of war. Our relationship with the People's Republic of China is proving its importance and its durability. We are finding more and more common ground between our two countries on basic questions of international affairs. In my two trips to Asia as President, we have reaffirmed America's continuing vital interest in the peace and security of Asia and the Pacific Basin, established a new partnership with Japan, confirmed our dedication to the security of Korea, and reinforced our ties with the free nations of Southeast Asia. An historic dialog has begun between industrial nations and developing nations. Most proposals on the table are the initiatives of the United States, including those on food, energy, technology, trade, investment, and commodities. We are well launched on this process of shaping positive and reliable economic relations between rich nations and poor nations over the long term. We have made progress in trade negotiations and avoided protectionism during recession. We strengthened the international monetary system. During the past 2 years the free world's most important economic powers have already brought about important changes that serve both developed and developing economies. The momentum already achieved must be nurtured and strengthened, for the prosperity of the rich and poor depends upon it. In Latin America, our relations have taken on a new maturity and a sense of common enterprise. In Africa the quest for peace, racial justice, and economic progress is at a crucial point. The United States, in close cooperation with the United Kingdom, is actively engaged in this historic process. Will change come about by warfare and chaos and foreign intervention? Or will it come about by negotiated and fair solutions, ensuring majority rule, minority rights, and economic advance? America is committed to the side of peace and justice and to the principle that Africa should shape its own future, free of outside intervention. American leadership has helped to stimulate new international efforts to stem the proliferation of nuclear weapons and to shape a comprehensive treaty governing the use of oceans. I am gratified by these accomplishments. They constitute a record of broad success for America and for the peace and prosperity of all mankind. This administration leaves to its successor a world in better condition than we found. We leave, as well, a solid foundation for progress on a range of issues that are vital to the well-being of America. What has been achieved in the field of foreign affairs and what can be accomplished by the new administration demonstrate the genius of Americans working together for the common good. It is this, our remarkable ability to work together, that has made us a unique nation. It is Congress, the President, and the people striving for a better world. I know all patriotic Americans want this Nation's foreign policy to succeed. I urge members of my party in this Congress to give the new President loyal support in this area. I express the hope that this new Congress will reexamine its constitutional role in international affairs. The exclusive right to declare war, the duty to advise and consent on the part of the Senate, the power of the purse on the part of the House are ample authority for the legislative branch and should be jealously guarded. But because we may have been too careless of these powers in the past does not justify congressional intrusion into, or obstruction of, the proper exercise of Presidential responsibilities now or in the future. There can be only one Commander in Chief. In these times crises cannot be managed and wars cannot be waged by committee, nor can peace be pursued solely by parliamentary debate. To the ears of the world, the President speaks for the Nation. While he is, of course, ultimately accountable to the Congress, the courts, and the people, he and his emissaries must not be handicapped in advance in their relations with foreign governments as has sometimes happened in the past. At home I am encouraged by the Nation's recovery from the recession and our steady return to sound economic growth. It is now continuing after the recent period of uncertainty, which is part of the price we pay for free elections. Our most pressing need today and the future is more jobs--productive, permanent jobs created by a thriving economy. We must revise our tax system both to ease the burden of heavy taxation and to encourage the investment necessary for the creation of productive jobs for all Americans who want to work. Earlier this month I proposed a permanent income tax reduction of $10 billion below current levels, including raising the personal exemption from $750 to $1,000. I also recommended a series of measures to stimulate investment, such as accelerated depreciation for new plants and equipment in areas of high unemployment, a reduction in the corporate tax rate from 48 to 46 percent, and eliminating the present double taxation of dividends. I strongly urge the Congress to pass these measures to help create the productive, permanent jobs in the private economy that are so essential for our future. All the basic trends are good; we are not on the brink of another recession or economic disaster. If we follow prudent policies that encourage productive investment and discourage destructive inflation, we will come out on top, and I am sure we will. We have successfully cut inflation by more than half. When I took office, the Consumer Price Index was rising at 12.2 percent a year. During 1976 the rate of inflation was 5 percent. We have created more jobs--over 4 million more jobs today than in the spring of 1975. Throughout this Nation today we have over 88 million people in useful, productive jobs--more than at any other time in our Nation's history. But there are still too many Americans unemployed. This is the greatest regret that I have as I leave office. We brought about with the Congress, after much delay, the renewal of the general revenue sharing. We expanded community development and Federal manpower programs. We began a significant urban mass transit program. Federal programs today provide more funds for our States and local governments than ever before--$70 billion for the current fiscal year. Through these programs and others that provide aid directly to individuals, we have kept faith with our tradition of compassionate help for those who need it. As we begin our third century we can be proud of the progress that we have made in meeting human needs for all of our citizens. We have cut the growth of crime by nearly 90 percent. Two years ago crime was increasing at the rate of 18 percent annually. In the first three quarters of 1976, that growth rate had been cut to 2 percent. But crime, and the fear of crime, remains one of the most serious problems facing our citizens. We have had some successes, and there have been some disappointments. Bluntly, I must remind you that we have not made satisfactory progress toward achieving energy independence. Energy is absolutely vital to the defense of our country, to the strength of our economy, and to the quality of our lives. Two years ago I proposed to the Congress the first comprehensive national energy program--a specific and coordinated set of measures that would end our vulnerability to embargo, blockade, or arbitrary price increases and would mobilize U.S. technology and resources to supply a significant share of the free world's energy after 1985. Of the major energy proposals I submitted 2 years ago, only half, belatedly, became law. In 1973 we were dependent upon foreign oil imports for 36 percent of our needs. Today, we are 40-percent dependent, and we'll pay out $34 billion for foreign oil this year. Such vulnerability at present or in the future is intolerable and must be ended. The answer to where we stand on our national energy effort today reminds me of the old argument about whether the tank is half full or half empty. The pessimist will say we have half failed to achieve our 10-year energy goals; the optimist will say that we have half succeeded. I am always an optimist, but we must make up for lost time. We have laid a solid foundation for completing the enormous task which confronts us. I have signed into law five major energy bills which contain significant measures for conservation, resource development, stockpiling, and standby authorities. We have moved forward to develop the naval petroleum reserves; to build a 500-million barrel strategic petroleum stockpile; to phase out unnecessary Government allocation and price controls; to develop a lasting relationship with other oil consuming nations; to improve the efficiency of energy use through conservation in automobiles, buildings, and industry; and to expand research on new technology and renewable resources such as wind power, geothermal and solar energy. All these actions, significant as they are for the long term, are only the beginning. I recently submitted to the Congress my proposals to reorganize the Federal energy structure and the hard choices which remain if we are serious about reducing our dependence upon foreign energy. These include programs to reverse our declining production of natural gas and increase incentives for domestic crude oil production. I proposed to minimize environmental uncertainties affecting coal development, expand nuclear power generation, and create an energy independence authority to provide government financial assistance for vital energy programs where private capital is not available. We must explore every reasonable prospect for meeting our energy needs when our current domestic reserves of oil and natural gas begin to dwindle in the next decade. I urgently ask Congress and the new administration to move quickly on these issues. This Nation has the resources and the capability to achieve our energy goals if its Government has the will to proceed, and I think We do. I have been disappointed by inability to complete many of the meaningful organizational reforms which I contemplated for the Federal Government, although a start has been made. For example, the Federal judicial system has long served as a modal for other courts. But today it is threatened by a shortage of qualified Federal judges and an explosion of litigation claiming Federal jurisdiction. I commend to the new administration and the Congress the recent report and recommendations of the Department of Justice, undertaken at my request, on "the needs of the Federal Courts." I especially endorse its proposals for a new commission on the judicial appointment process. While the judicial branch of our Government may require reinforcement, the budgets and payrolls of the other branches remain staggering. I cannot help but observe that while the White House staff and the Executive Office of the President have been reduced and the total number of civilians in the executive branch contained during the 1970's, the legislative branch has increased substantially although the membership of the Congress remains at 535. Congress now costs the taxpayers more than a million dollars per Member; the whole legislative budget has passed the billion dollar mark. [ set out to reduce the growth in the size and spending of the Federal Government, but no President can accomplish this alone. The Congress sidetracked most of my requests for authority to consolidate overlapping programs and agencies, to return more decisionmaking and responsibility to State and local governments through block grants instead of rigid categorical programs, and to eliminate unnecessary red tape and outrageously complex regulations. We have made some progress in cutting back the expansion of government and its intrusion into individual lives, but believe me, there is much more to be done--and you and I know it. It can only be done by tough and temporarily painful surgery by a Congress as prepared as the President to face up to this very real political problem. Again, I wish my successor, working with a substantial majority of his own party, the best of success in reforming the costly and cumbersome machinery of the Federal Government. The task of self-government is never finished. The problems are great; the opportunities are greater. America's first goal is and always will be peace with honor. America must remain first in keeping peace in the world. We can remain first in peace only if we are never second in defense. In presenting the state of the Union to the Congress and to the American people, I have a special obligation as Commander in Chief to report on our national defense. Our survival as a free and independent people requires, above all, strong military forces that are well equipped and highly trained to perform their assigned mission. I am particularly gratified to report that over the past 2½ years, we have been able to reverse the dangerous decline of the previous decade in real resources this country was devoting to national defense. This was an immediate problem I faced in 1974. The evidence was unmistakable that the Soviet Union had been steadily increasing the resources it applied to building its military strength. During this same period the United States real defense spending declined. In my three budgets we not only arrested that dangerous decline, but we have established the positive trend which is essential to our ability to contribute to peace and stability in the world. The Vietnam war, both materially and psychologically, affected our overall defense posture. The dangerous anti-military sentiment discouraged defense spending and unfairly disparaged the men and women who serve in our Armed Forces. The challenge that now confronts this country is whether we have the national will and determination to continue this essential defense effort over the long term, as it must be continued. We can no longer afford to oscillate from year to year in so vital a matter; indeed, we have a duty to look beyond the immediate question of budgets and to examine the nature of the problem we will face over the next generation. I am the first recent President able to address long-term, basic issues without the burden of Vietnam. The war in Indochina consumed enormous resources at the very time that the overwhelming strategic superiority we once enjoyed was disappearing. In past years, as a result of decisions by the United States, our strategic forces leveled off, yet the Soviet Union continued a steady, constant buildup of its own forces, committing a high percentage of its national economic effort to defense. The United States can never tolerate a shift in strategic balance against us or even a situation where the American people or our allies believe the balance is shifting against us. The United States would risk the most serious political consequences if the world came to believe that our adversaries have a decisive margin of superiority. To maintain a strategic balance we must look ahead to the 1980's and beyond. The sophistication of modern weapons requires that we make decisions now if we are to ensure our security 10 years from now. Therefore, I have consistently advocated and strongly urged that we pursue three critical strategic programs: the Trident missile launching submarine; the B-1 bomber, with its superior capability to penetrate modern air defenses; and a more advanced intercontinental ballistic missile that will be better able to survive nuclear attack and deliver a devastating retaliatory strike. In an era where the strategic nuclear forces are in rough equilibrium, the risks of conflict below the nuclear threshold may grow more perilous. A major, long-term objective, therefore, is to maintain capabilities to deal with, and thereby deter, conventional challenges and crises, particularly in Europe. We cannot rely solely on strategic forces to guarantee our security or to deter all types of aggression. We must have superior naval and marine forces to maintain freedom of the seas, strong multipurpose tactical air forces, and mobile, modern ground forces. Accordingly, I have directed a long-term effort to improve our worldwide capabilities to deal with regional crises. I have submitted a 5-year naval building program indispensable to the Nation's maritime strategy. Because the security of Europe and the integrity of NATO remain the cornerstone of American defense policy, I have initiated a special, long-term program to ensure the capacity of the Alliance to deter or defeat aggression in Europe. As I leave office I can report that our national defense is effectively deterring conflict today. Our Armed Forces are capable of carrying out the variety of missions assigned to them. Programs are underway which will assure we can deter war in the years ahead. But I also must warn that it will require a sustained effort over a period of years to maintain these capabilities. We must have the wisdom, the stamina, and the courage to prepare today for the perils of tomorrow, and I believe we will. As I look to the future--and I assure you I intend to go on doing that for a good many years--I can say with confidence that the state of the Union is good, but we must go on making it better and better. This gathering symbolizes the constitutional foundation which makes continued progress possible, synchronizing the skills of three independent branches of Government, reserving fundamental sovereignty to the people of this great land. It is only as the temporary representatives and servants of the people that we meet here, we bring no hereditary status or gift of infallibility, and none follows us from this place. Like President Washington, like the more fortunate of his successors, I look forward to the status of private citizen with gladness and gratitude. To me, being a citizen of the United States of America is the greatest honor and privilege in this world. From the opportunities which fate and my fellow citizens have given me, as a Member of the House, as Vice President and President of the Senate, and as President of all the people, I have come to understand and place the highest value on the checks and balances which our founders imposed on government through the separation of powers among co-equal legislative, executive, and judicial branches. This often results in difficulty and delay, as I well know, but it also places supreme authority under God, beyond any one person, any one branch, any majority great or small, or any one party. The Constitution is the bedrock of all our freedoms. Guard and cherish it, keep honor and order in your own house, and the Republic will endure. It is not easy to end these remarks. In this Chamber, along with some of you, I have experienced many, many of the highlights of my life. It was here that I stood 28 years ago with my freshman colleagues, as Speaker Sam Rayburn administered the oath. I see some of you now--Charlie Bennett, Dick Bolling, Carl Perkins, Pete Rodino, Harley Staggers, Tom Steed, Sid Yates, Clem Zablocki-and I remember those who have gone to their rest. It was here we waged many, many a lively battle--won some, lost some, but always remaining friends. It was here, surrounded by such friends, that the distinguished Chief Justice swore me in as Vice President on December 6, 1973. It was here I returned 8 months later as your President to ask not for a honeymoon, but for a good marriage. I will always treasure those memories and your many, many kindnesses. I thank you for them all. My fellow Americans, I once asked you for your prayers, and now I give you mine: May God guide this wonderful country, its people, and those they have chosen to lead them. May our third century be illuminated by liberty and blessed with brotherhood, so that we and all who come after us may be the humble servants of thy peace. Amen. Good night. God bless you.
Mr. Speaker, Mr. Vice President, Members of the 95th Congress, and distinguished guests: In accordance with the Constitution, I come before you once again to report on the state of the Union. This report will be my last--maybe--[ ]--but for the Union it is only the first of such reports in our third century of independence, the close of which none of us will ever see. We can be confident, however, that 100 years from now a freely elected President will come before a freely elected Congress chosen to renew our great Republic's pledge to the Government of the people, by the people, and for the people. For my part I pray the third century we are beginning will bring to all Americans, our children and their children's children, a greater measure of individual equality, opportunity, and justice, a greater abundance of spiritual and material blessings, and a higher quality of life, liberty, and the pursuit of happiness. The state of the Union is a measurement of the many elements of which it is composed--a political union of diverse States, an economic union of varying interests, an intellectual union of common convictions, and a moral union of immutable ideals. Taken in sum, I can report that the state of the Union is good. There is room for improvement, as always, but today we have a more perfect Union than when my stewardship began. As a people we discovered that our Bicentennial was much more than a celebration of the past; it became a joyous reaffirmation of all that it means to be Americans, a confirmation before all the world of the vitality and durability of our free institutions. I am proud to have been privileged to preside over the affairs of our Federal Government during these eventful years when we proved, as I said in my first words upon assuming office, that "our Constitution works; our great Republic is a Government of laws and not of men. Here the people rule." The people have spoken; they have chosen a new President and a new Congress to work their will. I congratulate you--particularly the new Members--as sincerely as I did President-elect Carter. In a few days it will be his duty to outline for you his priorities and legislative recommendations. Tonight I will not infringe on that responsibility, but rather wish him the very best in all that is good for our country. During the period of my own service in this Capitol and in the White House, I can recall many orderly transitions of governmental responsibility--of problems as well as of position, of burdens as well as of power. The genius of the American system is that we do this so naturally and so normally. There are no soldiers marching in the street except in the Inaugural Parade; no public demonstrations except for some of the dancers at the Inaugural Ball; the opposition party does not go underground, but goes on functioning vigorously in the Congress and in the country; and our vigilant press goes right on probing and publishing our faults and our follies, confirming the wisdom of the framers of the first amendment. Because of the transfer of authority in our form of government affects the state of the Union and of the world, I am happy to report to you that the current transition is proceeding very well. I was determined that it should; I wanted the new President to get off on an easier start than I had. When I became President on August 9, 1974, our Nation was deeply divided and tormented. In rapid succession the Vice President and the President had resigned in disgrace. We were still struggling with the after-effects of a long, unpopular, and bloody war in Southeast Asia. The economy was unstable and racing toward the worst recession in 40 years. People were losing jobs. The cost of living was soaring. The Congress and the Chief Executive were at loggerheads. The integrity of our constitutional process and other institutions was being questioned. For more than 15 years domestic spending had soared as Federal programs multiplied, and the expense escalated annually. During the same period our national security needs were steadily shortchanged. In the grave situation which prevailed in August 1974, our will to maintain our international leadership was in doubt. I asked for your prayers and went to work. In January 1975 I reported to the Congress that the state of the Union was not good. I proposed urgent action to improve the economy and to achieve energy independence in 10 years. I reassured America's allies and sought to reduce the danger of confrontation with potential adversaries. I pledged a new direction for America. 1975 was a year of difficult decisions, but Americans responded with realism, common sense, and self-discipline. By January 1976 we were headed in a new direction, which I hold to be the right direction for a free society. It was guided by the belief that successful problem-solving requires more than Federal action alone, that it involves a full partnership among all branches and all levels of government and public policies which nurture and promote the creative energies of private enterprises, institutions, and individual citizens. A year ago I reported that the state of the Union was better--in many ways a lot better--but still not good enough. Common sense told me to stick to the steady course we were on, to continue to restrain the inflationary growth of government, to reduce taxes as well as spending, to return local decisions to local officials, to provide for long-range sufficiency in energy and national security needs. I resisted the immense pressures of an election year to open the floodgates of Federal money and the temptation to promise more than I could deliver. I told it as it was to the American people and demonstrated to the world that in our spirited political competition, as in this chamber, Americans can disagree without being disagreeable. Now, after 30 months as your President, I can say that while we still have a way to go, I am proud of the long way we have come together. I am proud of the part I have had in rebuilding confidence in the Presidency, confidence in our free system, and confidence in our future. Once again, Americans believe in themselves, in their leaders, and in the promise that tomorrow holds for their children. I am proud that today America is at peace. None of our sons are fighting and dying in battle anywhere in the world. And the chance for peace among all nations is improved by our determination to honor our vital commitments in defense of peace and freedom. I am proud that the United States has strong defenses, strong alliances, and a sound and courageous foreign policy. Our alliances with major partners, the great industrial democracies of Western Europe, Japan, and Canada, have never been more solid. Consultations on mutual security, defense, and East-West relations have grown closer. Collaboration has branched out into new' fields such as energy, economic policy, and relations with the Third World. We have used many avenues for cooperation, including summit meetings held among major allied countries. The friendship of the democracies is deeper, warmer, and more effective than at any time in 30 years. We are maintaining stability in the strategic nuclear balance and pushing back the specter of nuclear war. A decisive step forward was taken in the Vladivostok Accord which I negotiated with General Secretary Brezhnev-joint recognition that an equal ceiling should be placed on the number of strategic weapons on each side. With resolve and wisdom on the part of both nations, a good agreement is well within reach this year. The framework for peace in the Middle East has been built. Hopes for future progress in the Middle East were stirred by the historic agreements we reached and the trust and confidence that we formed. Thanks to American leadership, the prospects for peace in the Middle East are brighter than they have been in three decades. The Arab states and Israel continue to look to us to lead them from confrontation and war to a new era of accommodation and peace. We have no alternative but to persevere, and I am sure we will. The opportunities for a final settlement are great, and the price of failure is a return to the bloodshed and hatred that for too long have brought tragedy to all of the peoples of this area and repeatedly edged the world to the brink of war. Our relationship with the People's Republic of China is proving its importance and its durability. We are finding more and more common ground between our two countries on basic questions of international affairs. In my two trips to Asia as President, we have reaffirmed America's continuing vital interest in the peace and security of Asia and the Pacific Basin, established a new partnership with Japan, confirmed our dedication to the security of Korea, and reinforced our ties with the free nations of Southeast Asia. An historic dialog has begun between industrial nations and developing nations. Most proposals on the table are the initiatives of the United States, including those on food, energy, technology, trade, investment, and commodities. We are well launched on this process of shaping positive and reliable economic relations between rich nations and poor nations over the long term. We have made progress in trade negotiations and avoided protectionism during recession. We strengthened the international monetary system. During the past 2 years the free world's most important economic powers have already brought about important changes that serve both developed and developing economies. The momentum already achieved must be nurtured and strengthened, for the prosperity of the rich and poor depends upon it. In Latin America, our relations have taken on a new maturity and a sense of common enterprise. In Africa the quest for peace, racial justice, and economic progress is at a crucial point. The United States, in close cooperation with the United Kingdom, is actively engaged in this historic process. Will change come about by warfare and chaos and foreign intervention? Or will it come about by negotiated and fair solutions, ensuring majority rule, minority rights, and economic advance? America is committed to the side of peace and justice and to the principle that Africa should shape its own future, free of outside intervention. American leadership has helped to stimulate new international efforts to stem the proliferation of nuclear weapons and to shape a comprehensive treaty governing the use of oceans. I am gratified by these accomplishments. They constitute a record of broad success for America and for the peace and prosperity of all mankind. This administration leaves to its successor a world in better condition than we found. We leave, as well, a solid foundation for progress on a range of issues that are vital to the well-being of America. What has been achieved in the field of foreign affairs and what can be accomplished by the new administration demonstrate the genius of Americans working together for the common good. It is this, our remarkable ability to work together, that has made us a unique nation. It is Congress, the President, and the people striving for a better world. I know all patriotic Americans want this Nation's foreign policy to succeed. I urge members of my party in this Congress to give the new President loyal support in this area. I express the hope that this new Congress will reexamine its constitutional role in international affairs. The exclusive right to declare war, the duty to advise and consent on the part of the Senate, the power of the purse on the part of the House are ample authority for the legislative branch and should be jealously guarded. But because we may have been too careless of these powers in the past does not justify congressional intrusion into, or obstruction of, the proper exercise of Presidential responsibilities now or in the future. There can be only one Commander in Chief. In these times crises cannot be managed and wars cannot be waged by committee, nor can peace be pursued solely by parliamentary debate. To the ears of the world, the President speaks for the Nation. While he is, of course, ultimately accountable to the Congress, the courts, and the people, he and his emissaries must not be handicapped in advance in their relations with foreign governments as has sometimes happened in the past. At home I am encouraged by the Nation's recovery from the recession and our steady return to sound economic growth. It is now continuing after the recent period of uncertainty, which is part of the price we pay for free elections. Our most pressing need today and the future is more jobs--productive, permanent jobs created by a thriving economy. We must revise our tax system both to ease the burden of heavy taxation and to encourage the investment necessary for the creation of productive jobs for all Americans who want to work. Earlier this month I proposed a permanent income tax reduction of $10 billion below current levels, including raising the personal exemption from $750 to $1,000. I also recommended a series of measures to stimulate investment, such as accelerated depreciation for new plants and equipment in areas of high unemployment, a reduction in the corporate tax rate from 48 to 46 percent, and eliminating the present double taxation of dividends. I strongly urge the Congress to pass these measures to help create the productive, permanent jobs in the private economy that are so essential for our future. All the basic trends are good; we are not on the brink of another recession or economic disaster. If we follow prudent policies that encourage productive investment and discourage destructive inflation, we will come out on top, and I am sure we will. We have successfully cut inflation by more than half. When I took office, the Consumer Price Index was rising at 12.2 percent a year. During 1976 the rate of inflation was 5 percent. We have created more jobs--over 4 million more jobs today than in the spring of 1975. Throughout this Nation today we have over 88 million people in useful, productive jobs--more than at any other time in our Nation's history. But there are still too many Americans unemployed. This is the greatest regret that I have as I leave office. We brought about with the Congress, after much delay, the renewal of the general revenue sharing. We expanded community development and Federal manpower programs. We began a significant urban mass transit program. Federal programs today provide more funds for our States and local governments than ever before--$70 billion for the current fiscal year. Through these programs and others that provide aid directly to individuals, we have kept faith with our tradition of compassionate help for those who need it. As we begin our third century we can be proud of the progress that we have made in meeting human needs for all of our citizens. We have cut the growth of crime by nearly 90 percent. Two years ago crime was increasing at the rate of 18 percent annually. In the first three quarters of 1976, that growth rate had been cut to 2 percent. But crime, and the fear of crime, remains one of the most serious problems facing our citizens. We have had some successes, and there have been some disappointments. Bluntly, I must remind you that we have not made satisfactory progress toward achieving energy independence. Energy is absolutely vital to the defense of our country, to the strength of our economy, and to the quality of our lives. Two years ago I proposed to the Congress the first comprehensive national energy program--a specific and coordinated set of measures that would end our vulnerability to embargo, blockade, or arbitrary price increases and would mobilize YOU.S. technology and resources to supply a significant share of the free world's energy after 1985. Of the major energy proposals I submitted 2 years ago, only half, belatedly, became law. In 1973 we were dependent upon foreign oil imports for 36 percent of our needs. Today, we are 40-percent dependent, and we will pay out $34 billion for foreign oil this year. Such vulnerability at present or in the future is intolerable and must be ended. The answer to where we stand on our national energy effort today reminds me of the old argument about whether the tank is half full or half empty. The pessimist will say we have half failed to achieve our 10-year energy goals; the optimist will say that we have half succeeded. I am always an optimist, but we must make up for lost time. We have laid a solid foundation for completing the enormous task which confronts us. I have signed into law five major energy bills which contain significant measures for conservation, resource development, stockpiling, and standby authorities. We have moved forward to develop the naval petroleum reserves; to build a 500-million barrel strategic petroleum stockpile; to phase out unnecessary Government allocation and price controls; to develop a lasting relationship with other oil consuming nations; to improve the efficiency of energy use through conservation in automobiles, buildings, and industry; and to expand research on new technology and renewable resources such as wind power, geothermal and solar energy. All these actions, significant as they are for the long term, are only the beginning. I recently submitted to the Congress my proposals to reorganize the Federal energy structure and the hard choices which remain if we are serious about reducing our dependence upon foreign energy. These include programs to reverse our declining production of natural gas and increase incentives for domestic crude oil production. I proposed to minimize environmental uncertainties affecting coal development, expand nuclear power generation, and create an energy independence authority to provide government financial assistance for vital energy programs where private capital is not available. We must explore every reasonable prospect for meeting our energy needs when our current domestic reserves of oil and natural gas begin to dwindle in the next decade. I urgently ask Congress and the new administration to move quickly on these issues. This Nation has the resources and the capability to achieve our energy goals if its Government has the will to proceed, and I think We do. I have been disappointed by inability to complete many of the meaningful organizational reforms which I contemplated for the Federal Government, although a start has been made. For example, the Federal judicial system has long served as a modal for other courts. But today it is threatened by a shortage of qualified Federal judges and an explosion of litigation claiming Federal jurisdiction. I commend to the new administration and the Congress the recent report and recommendations of the Department of Justice, undertaken at my request, on "the needs of the Federal Courts." I especially endorse its proposals for a new commission on the judicial appointment process. While the judicial branch of our Government may require reinforcement, the budgets and payrolls of the other branches remain staggering. I cannot help but observe that while the White House staff and the Executive Office of the President have been reduced and the total number of civilians in the executive branch contained during the 1970's, the legislative branch has increased substantially although the membership of the Congress remains at 535. Congress now costs the taxpayers more than a million dollars per Member; the whole legislative budget has passed the billion dollar mark. [ set out to reduce the growth in the size and spending of the Federal Government, but no President can accomplish this alone. The Congress sidetracked most of my requests for authority to consolidate overlapping programs and agencies, to return more decisionmaking and responsibility to State and local governments through block grants instead of rigid categorical programs, and to eliminate unnecessary red tape and outrageously complex regulations. We have made some progress in cutting back the expansion of government and its intrusion into individual lives, but believe me, there is much more to be done--and you and I know it. It can only be done by tough and temporarily painful surgery by a Congress as prepared as the President to face up to this very real political problem. Again, I wish my successor, working with a substantial majority of his own party, the best of success in reforming the costly and cumbersome machinery of the Federal Government. The task of self-government is never finished. The problems are great; the opportunities are greater. America's first goal is and always will be peace with honor. America must remain first in keeping peace in the world. We can remain first in peace only if we are never second in defense. In presenting the state of the Union to the Congress and to the American people, I have a special obligation as Commander in Chief to report on our national defense. Our survival as a free and independent people requires, above all, strong military forces that are well equipped and highly trained to perform their assigned mission. I am particularly gratified to report that over the past 2½ years, we have been able to reverse the dangerous decline of the previous decade in real resources this country was devoting to national defense. This was an immediate problem I faced in 1974. The evidence was unmistakable that the Soviet Union had been steadily increasing the resources it applied to building its military strength. During this same period the United States real defense spending declined. In my three budgets we not only arrested that dangerous decline, but we have established the positive trend which is essential to our ability to contribute to peace and stability in the world. The Vietnam war, both materially and psychologically, affected our overall defense posture. The dangerous anti-military sentiment discouraged defense spending and unfairly disparaged the men and women who serve in our Armed Forces. The challenge that now confronts this country is whether we have the national will and determination to continue this essential defense effort over the long term, as it must be continued. We can no longer afford to oscillate from year to year in so vital a matter; indeed, we have a duty to look beyond the immediate question of budgets and to examine the nature of the problem we will face over the next generation. I am the first recent President able to address long-term, basic issues without the burden of Vietnam. The war in Indochina consumed enormous resources at the very time that the overwhelming strategic superiority we once enjoyed was disappearing. In past years, as a result of decisions by the United States, our strategic forces leveled off, yet the Soviet Union continued a steady, constant buildup of its own forces, committing a high percentage of its national economic effort to defense. The United States can never tolerate a shift in strategic balance against us or even a situation where the American people or our allies believe the balance is shifting against us. The United States would risk the most serious political consequences if the world came to believe that our adversaries have a decisive margin of superiority. To maintain a strategic balance we must look ahead to the 1980's and beyond. The sophistication of modern weapons requires that we make decisions now if we are to ensure our security 10 years from now. Therefore, I have consistently advocated and strongly urged that we pursue three critical strategic programs: the Trident missile launching submarine; the B-1 bomber, with its superior capability to penetrate modern air defenses; and a more advanced intercontinental ballistic missile that will be better able to survive nuclear attack and deliver a devastating retaliatory strike. In an era where the strategic nuclear forces are in rough equilibrium, the risks of conflict below the nuclear threshold may grow more perilous. A major, long-term objective, therefore, is to maintain capabilities to deal with, and thereby deter, conventional challenges and crises, particularly in Europe. We cannot rely solely on strategic forces to guarantee our security or to deter all types of aggression. We must have superior naval and marine forces to maintain freedom of the seas, strong multipurpose tactical air forces, and mobile, modern ground forces. Accordingly, I have directed a long-term effort to improve our worldwide capabilities to deal with regional crises. I have submitted a 5-year naval building program indispensable to the Nation's maritime strategy. Because the security of Europe and the integrity of NATO remain the cornerstone of American defense policy, I have initiated a special, long-term program to ensure the capacity of the Alliance to deter or defeat aggression in Europe. As I leave office I can report that our national defense is effectively deterring conflict today. Our Armed Forces are capable of carrying out the variety of missions assigned to them. Programs are underway which will assure we can deter war in the years ahead. But I also must warn that it will require a sustained effort over a period of years to maintain these capabilities. We must have the wisdom, the stamina, and the courage to prepare today for the perils of tomorrow, and I believe we will. As I look to the future--and I assure you I intend to go on doing that for a good many years--I can say with confidence that the state of the Union is good, but we must go on making it better and better. This gathering symbolizes the constitutional foundation which makes continued progress possible, synchronizing the skills of three independent branches of Government, reserving fundamental sovereignty to the people of this great land. It is only as the temporary representatives and servants of the people that we meet here, we bring no hereditary status or gift of infallibility, and none follows us from this place. Like President Washington, like the more fortunate of his successors, I look forward to the status of private citizen with gladness and gratitude. To me, being a citizen of the United States of America is the greatest honor and privilege in this world. From the opportunities which fate and my fellow citizens have given me, as a Member of the House, as Vice President and President of the Senate, and as President of all the people, I have come to understand and place the highest value on the checks and balances which our founders imposed on government through the separation of powers among co-equal legislative, executive, and judicial branches. This often results in difficulty and delay, as I well know, but it also places supreme authority under God, beyond any one person, any one branch, any majority great or small, or any one party. The Constitution is the bedrock of all our freedoms. Guard and cherish it, keep honor and order in your own house, and the Republic will endure. It is not easy to end these remarks. In this Chamber, along with some of you, I have experienced many, many of the highlights of my life. It was here that I stood 28 years ago with my freshman colleagues, as Speaker Sam Rayburn administered the oath. I see some of you now--Charlie Bennett, Dick Bolling, Carl Perkins, Pete Rodino, Harley Staggers, Tom Steed, Sid Yates, Clem Zablocki-and I remember those who have gone to their rest. It was here we waged many, many a lively battle--won some, lost some, but always remaining friends. It was here, surrounded by such friends, that the distinguished Chief Justice swore me in as Vice President on December 6, 1973. It was here I returned 8 months later as your President to ask not for a honeymoon, but for a good marriage. I will always treasure those memories and your many, many kindnesses. I thank you for them all. My fellow Americans, I once asked you for your prayers, and now I give you mine: May God guide this wonderful country, its people, and those they have chosen to lead them. May our third century be illuminated by liberty and blessed with brotherhood, so that we and all who come after us may be the humble servants of thy peace. Amen. Good night. God bless you.
speaker vice president members of the 95th congress and distinguished guests in accordance with the constitution i come before you once again to report on the state of the union this report will be my last maybe but for the union it is only the first of such reports in our third century of independence the close of which none of us will ever see we can be confident however that 100 years from now a freely elected president will come before a freely elected congress chosen to renew our great republic pledge to the government of the people by the people and for the people for my part i pray the third century we are beginning will bring to all americans our children and their children children a greater measure of individual equality opportunity and justice a greater abundance of spiritual and material blessings and a higher quality of life liberty and the pursuit of happiness the state of the union is a measurement of the many elements of which it is composed a political union of diverse states an economic union of varying interests an intellectual union of common convictions and a moral union of immutable ideals taken in sum i can report that the state of the union is good there is room for improvement as always but today we have a more perfect union than when my stewardship began as a people we discovered that our bicentennial was much more than a celebration of the past it became a joyous reaffirmation of all that it means to be americans a confirmation before all the world of the vitality and durability of our free institutions i am proud to have been privileged to preside over the affairs of our federal government during these eventful years when we proved as i said in my first words upon assuming office that our constitution works our great republic is a government of laws and not of men here the people rule the people have spoken they have chosen a new president and a new congress to work their will i congratulate you particularly the new members as sincerely as i did carter in a few days it will be his duty to outline for you his priorities and legislative recommendations tonight i will not infringe on that responsibility but rather wish him the very best in all that is good for our country during the period of my own service in this capitol and in the white house i can recall many orderly transitions of governmental responsibility of problems as well as of position of burdens as well as of power the genius of the american system is that we do this so naturally and so normally there are no soldiers marching in the street except in the inaugural parade no public demonstrations except for some of the dancers at the inaugural ball the opposition party does not go underground but goes on functioning vigorously in the congress and in the country and our vigilant press goes right on probing and publishing our faults and our follies confirming the wisdom of the framers of the first amendment because of the transfer of authority in our form of government affects the state of the union and of the world i am happy to report to you that the current transition is proceeding very well i was determined that it should i wanted the new president to get off on an easier start than i had when i became president on august 9 1974 our nation was deeply divided and tormented in rapid succession the vice president and the president had resigned in disgrace we were still struggling with the of a long unpopular and bloody war in southeast asia the economy was unstable and racing toward the worst recession in 40 years people were losing jobs the cost of living was soaring the congress and the chief executive were at loggerheads the integrity of our constitutional process and other institutions was being questioned for more than 15 years domestic spending had soared as federal programs multiplied and the expense escalated annually during the same period our national security needs were steadily shortchanged in the grave situation which prevailed in august 1974 our will to maintain our international leadership was in doubt i asked for your prayers and went to work in january 1975 i reported to the congress that the state of the union was not good i proposed urgent action to improve the economy and to achieve energy independence in 10 years i reassured america allies and sought to reduce the danger of confrontation with potential adversaries i pledged a new direction for america 1975 was a year of difficult decisions but americans responded with realism common sense and by january 1976 we were headed in a new direction which i hold to be the right direction for a free society it was guided by the belief that successful requires more than federal action alone that it involves a full partnership among all branches and all levels of government and public policies which nurture and promote the creative energies of private enterprises institutions and individual citizens a year ago i reported that the state of the union was better in many ways a lot better but still not good enough common sense told me to stick to the steady course we were on to continue to restrain the inflationary growth of government to reduce taxes as well as spending to return local decisions to local officials to provide for sufficiency in energy and national security needs i resisted the immense pressures of an election year to open the floodgates of federal money and the temptation to promise more than i could deliver i told it as it was to the american people and demonstrated to the world that in our spirited political competition as in this chamber americans can disagree without being disagreeable now after 30 months as your president i can say that while we still have a way to go i am proud of the long way we have come together i am proud of the part i have had in rebuilding confidence in the presidency confidence in our free system and confidence in our future once again americans believe in themselves in their leaders and in the promise that tomorrow holds for their children i am proud that today america is at peace none of our sons are fighting and dying in battle anywhere in the world and the chance for peace among all nations is improved by our determination to honor our vital commitments in defense of peace and freedom i am proud that the united states has strong defenses strong alliances and a sound and courageous foreign policy our alliances with major partners the great industrial democracies of western europe japan and canada have never been more solid consultations on mutual security defense and relations have grown closer collaboration has branched out into new fields such as energy economic policy and relations with the third world we have used many avenues for cooperation including summit meetings held among major allied countries the friendship of the democracies is deeper warmer and more effective than at any time in 30 years we are maintaining stability in the strategic nuclear balance and pushing back the specter of nuclear war a decisive step forward was taken in the vladivostok accord which i negotiated with general secretary recognition that an equal ceiling should be placed on the number of strategic weapons on each side with resolve and wisdom on the part of both nations a good agreement is well within reach this year the framework for peace in the middle east has been built hopes for future progress in the middle east were stirred by the historic agreements we reached and the trust and confidence that we formed thanks to american leadership the prospects for peace in the middle east are brighter than they have been in three decades the arab states and israel continue to look to us to lead them from confrontation and war to a new era of accommodation and peace we have no alternative but to persevere and i am sure we will the opportunities for a final settlement are great and the price of failure is a return to the bloodshed and hatred that for too long have brought tragedy to all of the peoples of this area and repeatedly edged the world to the brink of war our relationship with the people republic of china is proving its importance and its durability we are finding more and more common ground between our two countries on basic questions of international affairs in my two trips to asia as president we have reaffirmed america continuing vital interest in the peace and security of asia and the pacific basin established a new partnership with japan confirmed our dedication to the security of korea and reinforced our ties with the free nations of southeast asia an historic dialog has begun between industrial nations and developing nations most proposals on the table are the initiatives of the united states including those on food energy technology trade investment and commodities we are well launched on this process of shaping positive and reliable economic relations between rich nations and poor nations over the long term we have made progress in trade negotiations and avoided protectionism during recession we strengthened the international monetary system during the past 2 years the free world most important economic powers have already brought about important changes that serve both developed and developing economies the momentum already achieved must be nurtured and strengthened for the prosperity of the rich and poor depends upon it in latin america our relations have taken on a new maturity and a sense of common enterprise in africa the quest for peace racial justice and economic progress is at a crucial point the united states in close cooperation with the united kingdom is actively engaged in this historic process will change come about by warfare and chaos and foreign intervention or will it come about by negotiated and fair solutions ensuring majority rule minority rights and economic advance america is committed to the side of peace and justice and to the principle that africa should shape its own future free of outside intervention american leadership has helped to stimulate new international efforts to stem the proliferation of nuclear weapons and to shape a comprehensive treaty governing the use of oceans i am gratified by these accomplishments they constitute a record of broad success for america and for the peace and prosperity of all mankind this administration leaves to its successor a world in better condition than we found we leave as well a solid foundation for progress on a range of issues that are vital to the of america what has been achieved in the field of foreign affairs and what can be accomplished by the new administration demonstrate the genius of americans working together for the common good it is this our remarkable ability to work together that has made us a unique nation it is congress the president and the people striving for a better world i know all patriotic americans want this nation foreign policy to succeed i urge members of my party in this congress to give the new president loyal support in this area i express the hope that this new congress will reexamine its constitutional role in international affairs the exclusive right to declare war the duty to advise and consent on the part of the senate the power of the purse on the part of the house are ample authority for the legislative branch and should be jealously guarded but because we may have been too careless of these powers in the past does not justify congressional intrusion into or obstruction of the proper exercise of presidential responsibilities now or in the future there can be only one commander in chief in these times crises can not be managed and wars can not be waged by committee nor can peace be pursued solely by parliamentary debate to the ears of the world the president speaks for the nation while he is of course ultimately accountable to the congress the courts and the people he and his emissaries must not be handicapped in advance in their relations with foreign governments as has sometimes happened in the past at home i am encouraged by the nation recovery from the recession and our steady return to sound economic growth it is now continuing after the recent period of uncertainty which is part of the price we pay for free elections our most pressing need today and the future is more jobs productive permanent jobs created by a thriving economy we must revise our tax system both to ease the burden of heavy taxation and to encourage the investment necessary for the creation of productive jobs for all americans who want to work earlier this month i proposed a permanent income tax reduction of 10 billion below current levels including raising the personal exemption from 750 to i also recommended a series of measures to stimulate investment such as accelerated depreciation for new plants and equipment in areas of high unemployment a reduction in the corporate tax rate from 48 to 46 percent and eliminating the present double taxation of dividends i strongly urge the congress to pass these measures to help create the productive permanent jobs in the private economy that are so essential for our future all the basic trends are good we are not on the brink of another recession or economic disaster if we follow prudent policies that encourage productive investment and discourage destructive inflation we will come out on top and i am sure we will we have successfully cut inflation by more than half when i took office the consumer price index was rising at percent a year during 1976 the rate of inflation was 5 percent we have created more jobs over 4 million more jobs today than in the spring of 1975 throughout this nation today we have over 88 million people in useful productive jobs more than at any other time in our nation history but there are still too many americans unemployed this is the greatest regret that i have as i leave office we brought about with the congress after much delay the renewal of the general revenue sharing we expanded community development and federal manpower programs we began a significant urban mass transit program federal programs today provide more funds for our states and local governments than ever before 70 billion for the current fiscal year through these programs and others that provide aid directly to individuals we have kept faith with our tradition of compassionate help for those who need it as we begin our third century we can be proud of the progress that we have made in meeting human needs for all of our citizens we have cut the growth of crime by nearly 90 percent two years ago crime was increasing at the rate of 18 percent annually in the first three quarters of 1976 that growth rate had been cut to 2 percent but crime and the fear of crime remains one of the most serious problems facing our citizens we have had some successes and there have been some disappointments bluntly i must remind you that we have not made satisfactory progress toward achieving energy independence energy is absolutely vital to the defense of our country to the strength of our economy and to the quality of our lives two years ago i proposed to the congress the first comprehensive national energy program a specific and coordinated set of measures that would end our vulnerability to embargo blockade or arbitrary price increases and would mobilize technology and resources to supply a significant share of the free world energy after 1985 of the major energy proposals i submitted 2 years ago only half belatedly became law in 1973 we were dependent upon foreign oil imports for 36 percent of our needs today we are dependent and we will pay out 34 billion for foreign oil this year such vulnerability at present or in the future is intolerable and must be ended the answer to where we stand on our national energy effort today reminds me of the old argument about whether the tank is half full or half empty the pessimist will say we have half failed to achieve our energy goals the optimist will say that we have half succeeded i am always an optimist but we must make up for lost time we have laid a solid foundation for completing the enormous task which confronts us i have signed into law five major energy bills which contain significant measures for conservation resource development stockpiling and standby authorities we have moved forward to develop the naval petroleum reserves to build a barrel strategic petroleum stockpile to phase out unnecessary government allocation and price controls to develop a lasting relationship with other oil consuming nations to improve the efficiency of energy use through conservation in automobiles buildings and industry and to expand research on new technology and renewable resources such as wind power geothermal and solar energy all these actions significant as they are for the long term are only the beginning i recently submitted to the congress my proposals to reorganize the federal energy structure and the hard choices which remain if we are serious about reducing our dependence upon foreign energy these include programs to reverse our declining production of natural gas and increase incentives for domestic crude oil production i proposed to minimize environmental uncertainties affecting coal development expand nuclear power generation and create an energy independence authority to provide government financial assistance for vital energy programs where private capital is not available we must explore every reasonable prospect for meeting our energy needs when our current domestic reserves of oil and natural gas begin to dwindle in the next decade i urgently ask congress and the new administration to move quickly on these issues this nation has the resources and the capability to achieve our energy goals if its government has the will to proceed and i think we do i have been disappointed by inability to complete many of the meaningful organizational reforms which i contemplated for the federal government although a start has been made for example the federal judicial system has long served as a modal for other courts but today it is threatened by a shortage of qualified federal judges and an explosion of litigation claiming federal jurisdiction i commend to the new administration and the congress the recent report and recommendations of the department of justice undertaken at my request on the needs of the federal courts i especially endorse its proposals for a new commission on the judicial appointment process while the judicial branch of our government may require reinforcement the budgets and payrolls of the other branches remain staggering i can not help but observe that while the white house staff and the executive office of the president have been reduced and the total number of civilians in the executive branch contained during the 1970 the legislative branch has increased substantially although the membership of the congress remains at 535 congress now costs the taxpayers more than a million dollars per member the whole legislative budget has passed the billion dollar mark set out to reduce the growth in the size and spending of the federal government but no president can accomplish this alone the congress sidetracked most of my requests for authority to consolidate overlapping programs and agencies to return more decisionmaking and responsibility to state and local governments through block grants instead of rigid categorical programs and to eliminate unnecessary red tape and outrageously complex regulations we have made some progress in cutting back the expansion of government and its intrusion into individual lives but believe me there is much more to be done and you and i know it it can only be done by tough and temporarily painful surgery by a congress as prepared as the president to face up to this very real political problem again i wish my successor working with a substantial majority of his own party the best of success in reforming the costly and cumbersome machinery of the federal government the task of is never finished the problems are great the opportunities are greater america first goal is and always will be peace with honor america must remain first in keeping peace in the world we can remain first in peace only if we are never second in defense in presenting the state of the union to the congress and to the american people i have a special obligation as commander in chief to report on our national defense our survival as a free and independent people requires above all strong military forces that are well equipped and highly trained to perform their assigned mission i am particularly gratified to report that over the past 2½ years we have been able to reverse the dangerous decline of the previous decade in real resources this country was devoting to national defense this was an immediate problem i faced in 1974 the evidence was unmistakable that the soviet union had been steadily increasing the resources it applied to building its military strength during this same period the united states real defense spending declined in my three budgets we not only arrested that dangerous decline but we have established the positive trend which is essential to our ability to contribute to peace and stability in the world the vietnam war both materially and psychologically affected our overall defense posture the dangerous sentiment discouraged defense spending and unfairly disparaged the men and women who serve in our armed forces the challenge that now confronts this country is whether we have the national will and determination to continue this essential defense effort over the long term as it must be continued we can no longer afford to oscillate from year to year in so vital a matter indeed we have a duty to look beyond the immediate question of budgets and to examine the nature of the problem we will face over the next generation i am the first recent president able to address basic issues without the burden of vietnam the war in indochina consumed enormous resources at the very time that the overwhelming strategic superiority we once enjoyed was disappearing in past years as a result of decisions by the united states our strategic forces leveled off yet the soviet union continued a steady constant buildup of its own forces committing a high percentage of its national economic effort to defense the united states can never tolerate a shift in strategic balance against us or even a situation where the american people or our allies believe the balance is shifting against us the united states would risk the most serious political consequences if the world came to believe that our adversaries have a decisive margin of superiority to maintain a strategic balance we must look ahead to the 1980 and beyond the sophistication of modern weapons requires that we make decisions now if we are to ensure our security 10 years from now therefore i have consistently advocated and strongly urged that we pursue three critical strategic programs the trident missile launching submarine the bomber with its superior capability to penetrate modern air defenses and a more advanced intercontinental ballistic missile that will be better able to survive nuclear attack and deliver a devastating retaliatory strike in an era where the strategic nuclear forces are in rough equilibrium the risks of conflict below the nuclear threshold may grow more perilous a major objective therefore is to maintain capabilities to deal with and thereby deter conventional challenges and crises particularly in europe we can not rely solely on strategic forces to guarantee our security or to deter all types of aggression we must have superior naval and marine forces to maintain freedom of the seas strong multipurpose tactical air forces and mobile modern ground forces accordingly i have directed a effort to improve our worldwide capabilities to deal with regional crises i have submitted a naval building program indispensable to the nation maritime strategy because the security of europe and the integrity of nato remain the cornerstone of american defense policy i have initiated a special program to ensure the capacity of the alliance to deter or defeat aggression in europe as i leave office i can report that our national defense is effectively deterring conflict today our armed forces are capable of carrying out the variety of missions assigned to them programs are underway which will assure we can deter war in the years ahead but i also must warn that it will require a sustained effort over a period of years to maintain these capabilities we must have the wisdom the stamina and the courage to prepare today for the perils of tomorrow and i believe we will as i look to the future and i assure you i intend to go on doing that for a good many years i can say with confidence that the state of the union is good but we must go on making it better and better this gathering symbolizes the constitutional foundation which makes continued progress possible synchronizing the skills of three independent branches of government reserving fundamental sovereignty to the people of this great land it is only as the temporary representatives and servants of the people that we meet here we bring no hereditary status or gift of infallibility and none follows us from this place like president washington like the more fortunate of his successors i look forward to the status of private citizen with gladness and gratitude to me being a citizen of the united states of america is the greatest honor and privilege in this world from the opportunities which fate and my fellow citizens have given me as a member of the house as vice president and president of the senate and as president of all the people i have come to understand and place the highest value on the checks and balances which our founders imposed on government through the separation of powers among legislative executive and judicial branches this often results in difficulty and delay as i well know but it also places supreme authority under god beyond any one person any one branch any majority great or small or any one party the constitution is the bedrock of all our freedoms guard and cherish it keep honor and order in your own house and the republic will endure it is not easy to end these remarks in this chamber along with some of you i have experienced many many of the highlights of my life it was here that i stood 28 years ago with my freshman colleagues as speaker sam rayburn administered the oath i see some of you now charlie bennett dick bolling carl perkins pete rodino harley staggers tom steed sid yates clem i remember those who have gone to their rest it was here we waged many many a lively battle won some lost some but always remaining friends it was here surrounded by such friends that the distinguished chief justice swore me in as vice president on december 6 1973 it was here i returned 8 months later as your president to ask not for a honeymoon but for a good marriage i will always treasure those memories and your many many kindnesses i thank you for them all my fellow americans i once asked you for your prayers and now i give you mine may god guide this wonderful country its people and those they have chosen to lead them may our third century be illuminated by liberty and blessed with brotherhood so that we and all who come after us may be the humble servants of thy peace amen good night god bless you
speaker vice president members 95th congress distinguished guests accordance constitution come report state union report last maybe union first reports third century independence close none us ever see confident however 100 years freely elected president come freely elected congress chosen renew great republic pledge government people people people part pray third century beginning bring americans children children children greater measure individual equality opportunity justice greater abundance spiritual material blessings higher quality life liberty pursuit happiness state union measurement many elements composed political union diverse states economic union varying interests intellectual union common convictions moral union immutable ideals taken sum report state union good room improvement always today perfect union stewardship began people discovered bicentennial much celebration past became joyous reaffirmation means americans confirmation world vitality durability free institutions proud privileged preside affairs federal government eventful years proved said first words upon assuming office constitution works great republic government laws men people rule people spoken chosen new president new congress work congratulate particularly new members sincerely carter days duty outline priorities legislative recommendations tonight infringe responsibility rather wish best good country period service capitol white house recall many orderly transitions governmental responsibility problems well position burdens well power genius american system naturally normally soldiers marching street except inaugural parade public demonstrations except dancers inaugural ball opposition party go underground goes functioning vigorously congress country vigilant press goes right probing publishing faults follies confirming wisdom framers first amendment transfer authority form government affects state union world happy report current transition proceeding well determined wanted new president get easier start became president august 9 1974 nation deeply divided tormented rapid succession vice president president resigned disgrace still struggling long unpopular bloody war southeast asia economy unstable racing toward worst recession 40 years people losing jobs cost living soaring congress chief executive loggerheads integrity constitutional process institutions questioned 15 years domestic spending soared federal programs multiplied expense escalated annually period national security needs steadily shortchanged grave situation prevailed august 1974 maintain international leadership doubt asked prayers went work january 1975 reported congress state union good proposed urgent action improve economy achieve energy independence 10 years reassured america allies sought reduce danger confrontation potential adversaries pledged new direction america 1975 year difficult decisions americans responded realism common sense january 1976 headed new direction hold right direction free society guided belief successful requires federal action alone involves full partnership among branches levels government public policies nurture promote creative energies private enterprises institutions individual citizens year ago reported state union better many ways lot better still good enough common sense told stick steady course continue restrain inflationary growth government reduce taxes well spending return local decisions local officials provide sufficiency energy national security needs resisted immense pressures election year open floodgates federal money temptation promise could deliver told american people demonstrated world spirited political competition chamber americans disagree without disagreeable 30 months president say still way go proud long way come together proud part rebuilding confidence presidency confidence free system confidence future americans believe leaders promise tomorrow holds children proud today america peace none sons fighting dying battle anywhere world chance peace among nations improved determination honor vital commitments defense peace freedom proud united states strong defenses strong alliances sound courageous foreign policy alliances major partners great industrial democracies western europe japan canada never solid consultations mutual security defense relations grown closer collaboration branched new fields energy economic policy relations third world used many avenues cooperation including summit meetings held among major allied countries friendship democracies deeper warmer effective time 30 years maintaining stability strategic nuclear balance pushing back specter nuclear war decisive step forward taken vladivostok accord negotiated general secretary recognition equal ceiling placed number strategic weapons side resolve wisdom part nations good agreement well within reach year framework peace middle east built hopes future progress middle east stirred historic agreements reached trust confidence formed thanks american leadership prospects peace middle east brighter three decades arab states israel continue look us lead confrontation war new era accommodation peace alternative persevere sure opportunities final settlement great price failure return bloodshed hatred long brought tragedy peoples area repeatedly edged world brink war relationship people republic china proving importance durability finding common ground two countries basic questions international affairs two trips asia president reaffirmed america continuing vital interest peace security asia pacific basin established new partnership japan confirmed dedication security korea reinforced ties free nations southeast asia historic dialog begun industrial nations developing nations proposals table initiatives united states including food energy technology trade investment commodities well launched process shaping positive reliable economic relations rich nations poor nations long term made progress trade negotiations avoided protectionism recession strengthened international monetary system past 2 years free world important economic powers already brought important changes serve developed developing economies momentum already achieved must nurtured strengthened prosperity rich poor depends upon latin america relations taken new maturity sense common enterprise africa quest peace racial justice economic progress crucial point united states close cooperation united kingdom actively engaged historic process change come warfare chaos foreign intervention come negotiated fair solutions ensuring majority rule minority rights economic advance america committed side peace justice principle africa shape future free outside intervention american leadership helped stimulate new international efforts stem proliferation nuclear weapons shape comprehensive treaty governing use oceans gratified accomplishments constitute record broad success america peace prosperity mankind administration leaves successor world better condition found leave well solid foundation progress range issues vital america achieved field foreign affairs accomplished new administration demonstrate genius americans working together common good remarkable ability work together made us unique nation congress president people striving better world know patriotic americans want nation foreign policy succeed urge members party congress give new president loyal support area express hope new congress reexamine constitutional role international affairs exclusive right declare war duty advise consent part senate power purse part house ample authority legislative branch jealously guarded may careless powers past justify congressional intrusion obstruction proper exercise presidential responsibilities future one commander chief times crises managed wars waged committee peace pursued solely parliamentary debate ears world president speaks nation course ultimately accountable congress courts people emissaries must handicapped advance relations foreign governments sometimes happened past home encouraged nation recovery recession steady return sound economic growth continuing recent period uncertainty part price pay free elections pressing need today future jobs productive permanent jobs created thriving economy must revise tax system ease burden heavy taxation encourage investment necessary creation productive jobs americans want work earlier month proposed permanent income tax reduction 10 billion current levels including raising personal exemption 750 also recommended series measures stimulate investment accelerated depreciation new plants equipment areas high unemployment reduction corporate tax rate 48 46 percent eliminating present double taxation dividends strongly urge congress pass measures help create productive permanent jobs private economy essential future basic trends good brink another recession economic disaster follow prudent policies encourage productive investment discourage destructive inflation come top sure successfully cut inflation half took office consumer price index rising percent year 1976 rate inflation 5 percent created jobs 4 million jobs today spring 1975 throughout nation today 88 million people useful productive jobs time nation history still many americans unemployed greatest regret leave office brought congress much delay renewal general revenue sharing expanded community development federal manpower programs began significant urban mass transit program federal programs today provide funds states local governments ever 70 billion current fiscal year programs others provide aid directly individuals kept faith tradition compassionate help need begin third century proud progress made meeting human needs citizens cut growth crime nearly 90 percent two years ago crime increasing rate 18 percent annually first three quarters 1976 growth rate cut 2 percent crime fear crime remains one serious problems facing citizens successes disappointments bluntly must remind made satisfactory progress toward achieving energy independence energy absolutely vital defense country strength economy quality lives two years ago proposed congress first comprehensive national energy program specific coordinated set measures would end vulnerability embargo blockade arbitrary price increases would mobilize technology resources supply significant share free world energy 1985 major energy proposals submitted 2 years ago half belatedly became law 1973 dependent upon foreign oil imports 36 percent needs today dependent pay 34 billion foreign oil year vulnerability present future intolerable must ended answer stand national energy effort today reminds old argument whether tank half full half empty pessimist say half failed achieve energy goals optimist say half succeeded always optimist must make lost time laid solid foundation completing enormous task confronts us signed law five major energy bills contain significant measures conservation resource development stockpiling standby authorities moved forward develop naval petroleum reserves build barrel strategic petroleum stockpile phase unnecessary government allocation price controls develop lasting relationship oil consuming nations improve efficiency energy use conservation automobiles buildings industry expand research new technology renewable resources wind power geothermal solar energy actions significant long term beginning recently submitted congress proposals reorganize federal energy structure hard choices remain serious reducing dependence upon foreign energy include programs reverse declining production natural gas increase incentives domestic crude oil production proposed minimize environmental uncertainties affecting coal development expand nuclear power generation create energy independence authority provide government financial assistance vital energy programs private capital available must explore every reasonable prospect meeting energy needs current domestic reserves oil natural gas begin dwindle next decade urgently ask congress new administration move quickly issues nation resources capability achieve energy goals government proceed think disappointed inability complete many meaningful organizational reforms contemplated federal government although start made example federal judicial system long served modal courts today threatened shortage qualified federal judges explosion litigation claiming federal jurisdiction commend new administration congress recent report recommendations department justice undertaken request needs federal courts especially endorse proposals new commission judicial appointment process judicial branch government may require reinforcement budgets payrolls branches remain staggering help observe white house staff executive office president reduced total number civilians executive branch contained 1970 legislative branch increased substantially although membership congress remains 535 congress costs taxpayers million dollars per member whole legislative budget passed billion dollar mark set reduce growth size spending federal government president accomplish alone congress sidetracked requests authority consolidate overlapping programs agencies return decisionmaking responsibility state local governments block grants instead rigid categorical programs eliminate unnecessary red tape outrageously complex regulations made progress cutting back expansion government intrusion individual lives believe much done know done tough temporarily painful surgery congress prepared president face real political problem wish successor working substantial majority party best success reforming costly cumbersome machinery federal government task never finished problems great opportunities greater america first goal always peace honor america must remain first keeping peace world remain first peace never second defense presenting state union congress american people special obligation commander chief report national defense survival free independent people requires strong military forces well equipped highly trained perform assigned mission particularly gratified report past 2½ years able reverse dangerous decline previous decade real resources country devoting national defense immediate problem faced 1974 evidence unmistakable soviet union steadily increasing resources applied building military strength period united states real defense spending declined three budgets arrested dangerous decline established positive trend essential ability contribute peace stability world vietnam war materially psychologically affected overall defense posture dangerous sentiment discouraged defense spending unfairly disparaged men women serve armed forces challenge confronts country whether national determination continue essential defense effort long term must continued longer afford oscillate year year vital matter indeed duty look beyond immediate question budgets examine nature problem face next generation first recent president able address basic issues without burden vietnam war indochina consumed enormous resources time overwhelming strategic superiority enjoyed disappearing past years result decisions united states strategic forces leveled yet soviet union continued steady constant buildup forces committing high percentage national economic effort defense united states never tolerate shift strategic balance us even situation american people allies believe balance shifting us united states would risk serious political consequences world came believe adversaries decisive margin superiority maintain strategic balance must look ahead 1980 beyond sophistication modern weapons requires make decisions ensure security 10 years therefore consistently advocated strongly urged pursue three critical strategic programs trident missile launching submarine bomber superior capability penetrate modern air defenses advanced intercontinental ballistic missile better able survive nuclear attack deliver devastating retaliatory strike era strategic nuclear forces rough equilibrium risks conflict nuclear threshold may grow perilous major objective therefore maintain capabilities deal thereby deter conventional challenges crises particularly europe rely solely strategic forces guarantee security deter types aggression must superior naval marine forces maintain freedom seas strong multipurpose tactical air forces mobile modern ground forces accordingly directed effort improve worldwide capabilities deal regional crises submitted naval building program indispensable nation maritime strategy security europe integrity nato remain cornerstone american defense policy initiated special program ensure capacity alliance deter defeat aggression europe leave office report national defense effectively deterring conflict today armed forces capable carrying variety missions assigned programs underway assure deter war years ahead also must warn require sustained effort period years maintain capabilities must wisdom stamina courage prepare today perils tomorrow believe look future assure intend go good many years say confidence state union good must go making better better gathering symbolizes constitutional foundation makes continued progress possible synchronizing skills three independent branches government reserving fundamental sovereignty people great land temporary representatives servants people meet bring hereditary status gift infallibility none follows us place like president washington like fortunate successors look forward status private citizen gladness gratitude citizen united states america greatest honor privilege world opportunities fate fellow citizens given member house vice president president senate president people come understand place highest value checks balances founders imposed government separation powers among legislative executive judicial branches often results difficulty delay well know also places supreme authority god beyond one person one branch majority great small one party constitution bedrock freedoms guard cherish keep honor order house republic endure easy end remarks chamber along experienced many many highlights life stood 28 years ago freshman colleagues speaker sam rayburn administered oath see charlie bennett dick bolling carl perkins pete rodino harley staggers tom steed sid yates clem remember gone rest waged many many lively battle lost always remaining friends surrounded friends distinguished chief justice swore vice president december 6 1973 returned 8 months later president ask honeymoon good marriage always treasure memories many many kindnesses thank fellow americans asked prayers give mine may god guide wonderful country people chosen lead may third century illuminated liberty blessed brotherhood come us may humble servants thy peace amen good night god bless
speaker vice president member 95th congress distinguish guest accordance constitution come report state union report last maybe union first report third century independence close none u ever see confident however 100 year freely elect president come freely elected congress choose renew great republic pledge government people people people part pray third century begin bring american child child child great measure individual equality opportunity justice great abundance spiritual material blessing high quality life liberty pursuit happiness state union measurement many element compose political union diverse state economic union vary interest intellectual union common conviction moral union immutable ideal take sum report state union good room improvement always today perfect union stewardship begin people discover bicentennial much celebration past become joyous reaffirmation mean american confirmation world vitality durability free institution proud privileged preside affair federal government eventful year prove say first word upon assume office constitution work great republic government law men people rule people speak choose new president new congress work congratulate particularly new member sincerely carter day duty outline priority legislative recommendation tonight infringe responsibility rather wish best good country period service capitol white house recall many orderly transition governmental responsibility problem well position burden well power genius american system naturally normally soldier march street except inaugural parade public demonstration except dancer inaugural ball opposition party go underground go function vigorously congress country vigilant press go right probe publish faults folly confirm wisdom framer first amendment transfer authority form government affect state union world happy report current transition proceed well determine want new president get easy start become president august 9 1974 nation deeply divide tormented rapid succession vice president president resign disgrace still struggle long unpopular bloody war southeast asia economy unstable race toward bad recession 40 year people lose job cost living soar congress chief executive loggerhead integrity constitutional process institution question 15 year domestic spending soar federal program multiply expense escalate annually period national security need steadily shortchanged grave situation prevail august 1974 maintain international leadership doubt ask prayer go work january 1975 report congress state union good propose urgent action improve economy achieve energy independence 10 year reassure america ally seek reduce danger confrontation potential adversary pledge new direction america 1975 year difficult decision american respond realism common sense january 1976 head new direction hold right direction free society guide belief successful require federal action alone involve full partnership among branch level government public policy nurture promote creative energy private enterprise institution individual citizen year ago report state union well many way lot good still good enough common sense tell stick steady course continue restrain inflationary growth government reduce tax well spend return local decision local official provide sufficiency energy national security need resist immense pressure election year open floodgates federal money temptation promise could deliver told american people demonstrate world spirit political competition chamber american disagree without disagreeable 30 month president say still way go proud long way come together proud part rebuild confidence presidency confidence free system confidence future american believe leader promise tomorrow hold child proud today america peace none son fight die battle anywhere world chance peace among nation improve determination honor vital commitment defense peace freedom proud united state strong defense strong alliance sound courageous foreign policy alliance major partner great industrial democracy western europe japan canada never solid consultation mutual security defense relation grow close collaboration branch new field energy economic policy relation third world use many avenue cooperation include summit meeting hold among major allied country friendship democracies deep warmer effective time 30 year maintain stability strategic nuclear balance push back specter nuclear war decisive step forward take vladivostok accord negotiate general secretary recognition equal ceiling place number strategic weapon side resolve wisdom part nation good agreement well within reach year framework peace middle east build hope future progress middle east stir historic agreement reach trust confidence form thanks american leadership prospect peace middle east brighter three decade arab state israel continue look u lead confrontation war new era accommodation peace alternative persevere sure opportunity final settlement great price failure return bloodshed hatred long brought tragedy people area repeatedly edge world brink war relationship people republic china prove importance durability find common ground two country basic question international affair two trip asia president reaffirm america continue vital interest peace security asia pacific basin establish new partnership japan confirm dedication security korea reinforce tie free nation southeast asia historic dialog begin industrial nation develop nation proposal table initiative unite state include food energy technology trade investment commodity well launch process shape positive reliable economic relation rich nation poor nation long term make progress trade negotiation avoid protectionism recession strengthen international monetary system past 2 year free world important economic power already bring important change serve developed develop economy momentum already achieve must nurture strengthened prosperity rich poor depend upon latin america relation take new maturity sense common enterprise africa quest peace racial justice economic progress crucial point united state close cooperation unite kingdom actively engage historic process change come warfare chaos foreign intervention come negotiate fair solution ensure majority rule minority right economic advance america commit side peace justice principle africa shape future free outside intervention american leadership help stimulate new international effort stem proliferation nuclear weapon shape comprehensive treaty govern use ocean gratify accomplishment constitute record broad success america peace prosperity mankind administration leave successor world well condition find leave well solid foundation progress range issue vital america achieve field foreign affair accomplish new administration demonstrate genius americans work together common good remarkable ability work together make u unique nation congress president people strive well world know patriotic american want nation foreign policy succeed urge member party congress give new president loyal support area express hope new congress reexamine constitutional role international affair exclusive right declare war duty advise consent part senate power purse part house ample authority legislative branch jealously guard may careless power past justify congressional intrusion obstruction proper exercise presidential responsibility future one commander chief time crisis manage war wag committee peace pursue solely parliamentary debate ear world president speak nation course ultimately accountable congress court people emissary must handicap advance relation foreign government sometimes happen past home encourage nation recovery recession steady return sound economic growth continue recent period uncertainty part price pay free election press need today future job productive permanent job create thrive economy must revise tax system ease burden heavy taxation encourage investment necessary creation productive job american want work earlier month propose permanent income tax reduction 10 billion current level include raise personal exemption 750 also recommended series measure stimulate investment accelerate depreciation new plant equipment area high unemployment reduction corporate tax rate 48 46 percent eliminate present double taxation dividend strongly urge congress pas measure help create productive permanent job private economy essential future basic trend good brink another recession economic disaster follow prudent policy encourage productive investment discourage destructive inflation come top sure successfully cut inflation half take office consumer price index rise percent year 1976 rate inflation 5 percent create job 4 million job today spring 1975 throughout nation today 88 million people useful productive job time nation history still many american unemployed great regret leave office bring congress much delay renewal general revenue share expand community development federal manpower program begin significant urban mass transit program federal program today provide fund state local government ever 70 billion current fiscal year program others provide aid directly individual keep faith tradition compassionate help need begin third century proud progress make meet human need citizen cut growth crime nearly 90 percent two year ago crime increase rate 18 percent annually first three quarter 1976 growth rate cut 2 percent crime fear crime remain one serious problem face citizen successes disappointment bluntly must remind make satisfactory progress toward achieve energy independence energy absolutely vital defense country strength economy quality live two year ago propose congress first comprehensive national energy program specific coordinate set measure would end vulnerability embargo blockade arbitrary price increase would mobilize technology resource supply significant share free world energy 1985 major energy proposal submit 2 year ago half belatedly become law 1973 dependent upon foreign oil import 36 percent need today dependent pay 34 billion foreign oil year vulnerability present future intolerable must end answer stand national energy effort today remind old argument whether tank half full half empty pessimist say half fail achieve energy goal optimist say half succeed always optimist must make lost time lay solid foundation complete enormous task confronts u sign law five major energy bill contain significant measure conservation resource development stockpile standby authority move forward develop naval petroleum reserve build barrel strategic petroleum stockpile phase unnecessary government allocation price control develop last relationship oil consume nation improve efficiency energy use conservation automobile building industry expand research new technology renewable resource wind power geothermal solar energy action significant long term begin recently submit congress proposal reorganize federal energy structure hard choice remain serious reduce dependence upon foreign energy include program reverse decline production natural gas increase incentives domestic crude oil production propose minimize environmental uncertainty affect coal development expand nuclear power generation create energy independence authority provide government financial assistance vital energy program private capital available must explore every reasonable prospect meeting energy need current domestic reserve oil natural gas begin dwindle next decade urgently ask congress new administration move quickly issue nation resource capability achieve energy goal government proceed think disappointed inability complete many meaningful organizational reform contemplate federal government although start make example federal judicial system long serve modal court today threaten shortage qualified federal judge explosion litigation claim federal jurisdiction commend new administration congress recent report recommendation department justice undertaken request need federal court especially endorse proposal new commission judicial appointment process judicial branch government may require reinforcement budget payrolls branch remain staggering help observe white house staff executive office president reduce total number civilian executive branch contained 1970 legislative branch increase substantially although membership congress remain 535 congress cost taxpayer million dollar per member whole legislative budget pass billion dollar mark set reduce growth size spending federal government president accomplish alone congress sidetrack request authority consolidate overlap program agency return decisionmaking responsibility state local government block grant instead rigid categorical program eliminate unnecessary red tape outrageously complex regulation make progress cut back expansion government intrusion individual live believe much do know do tough temporarily painful surgery congress prepare president face real political problem wish successor work substantial majority party best success reform costly cumbersome machinery federal government task never finish problem great opportunity great america first goal always peace honor america must remain first keep peace world remain first peace never second defense present state union congress american people special obligation commander chief report national defense survival free independent people require strong military force well equip highly trained perform assign mission particularly gratify report past 2½ year able reverse dangerous decline previous decade real resource country devote national defense immediate problem face 1974 evidence unmistakable soviet union steadily increase resource apply build military strength period unite state real defense spending decline three budget arrest dangerous decline establish positive trend essential ability contribute peace stability world vietnam war materially psychologically affect overall defense posture dangerous sentiment discourage defense spending unfairly disparage men woman serve armed force challenge confronts country whether national determination continue essential defense effort long term must continue long afford oscillate year year vital matter indeed duty look beyond immediate question budget examine nature problem face next generation first recent president able address basic issue without burden vietnam war indochina consume enormous resource time overwhelm strategic superiority enjoy disappear past year result decision united state strategic force level yet soviet union continue steady constant buildup force commit high percentage national economic effort defense united state never tolerate shift strategic balance u even situation american people ally believe balance shift u united state would risk serious political consequence world come believe adversary decisive margin superiority maintain strategic balance must look ahead 1980 beyond sophistication modern weapon require make decision ensure security 10 year therefore consistently advocate strongly urge pursue three critical strategic program trident missile launch submarine bomber superior capability penetrate modern air defense advance intercontinental ballistic missile well able survive nuclear attack deliver devastate retaliatory strike era strategic nuclear force rough equilibrium risk conflict nuclear threshold may grow perilous major objective therefore maintain capability deal thereby deter conventional challenge crises particularly europe rely solely strategic force guarantee security deter type aggression must superior naval marine force maintain freedom sea strong multipurpose tactical air force mobile modern ground force accordingly direct effort improve worldwide capability deal regional crisis submit naval building program indispensable nation maritime strategy security europe integrity nato remain cornerstone american defense policy initiate special program ensure capacity alliance deter defeat aggression europe leave office report national defense effectively deter conflict today arm force capable carry variety mission assign program underway assure deter war year ahead also must warn require sustained effort period year maintain capability must wisdom stamina courage prepare today peril tomorrow believe look future assure intend go good many year say confidence state union good must go make well well gather symbolizes constitutional foundation make continue progress possible synchronizing skill three independent branch government reserve fundamental sovereignty people great land temporary representative servant people meet bring hereditary status gift infallibility none follow u place like president washington like fortunate successor look forward status private citizen gladness gratitude citizen united state america great honor privilege world opportunity fate fellow citizen give member house vice president president senate president people come understand place high value check balance founder imposed government separation power among legislative executive judicial branch often result difficulty delay well know also place supreme authority god beyond one person one branch majority great small one party constitution bedrock freedom guard cherish keep honor order house republic endure easy end remark chamber along experience many many highlight life stand 28 year ago freshman colleague speaker sam rayburn administer oath see charlie bennett dick bolling carl perkins pete rodino harley stagger tom steed sid yates clem remember go rest wag many many lively battle lose always remain friend surrounded friend distinguish chief justice swore vice president december 6 1973 return 8 month later president ask honeymoon good marriage always treasure memory many many kindness thank fellow american ask prayer give mine may god guide wonderful country people choose lead may third century illuminate liberty bless brotherhood come u may humble servant thy peace amen good night god bless