meantime, some Whitewater reporters were actually covering up evidence of our innocence. To be fair, a few journalists took note. Washington Post writer Howard Kurtz wrote an article pointing out the way the RTC report had been buried, and LarsErik Nelson, a columnist for the New York Daily News, who had been a correspondent in the Soviet Union, wrote, “The secret verdict is in: There was nothing for the Clintons to hide… in a bizarre reversal of those Stalin-era trials in which innocent people were convicted in secret, the President and the First Lady have been publicly charged and secretly found innocent.”

I was genuinely confused by the mainstream press coverage of Whitewater; it seemed inconsistent with the more careful and balanced approach the press had taken on other issues, at least since the Republicans won the Congress in 1994. One day, after one of our budget meetings in October, I asked Senator Alan Simpson of Wyoming to stay a moment to talk. Simpson was a conservative Republican, but we had a pretty good relationship because of the friendship we had in common with his governor, Mike Sullivan. I asked Alan if he thought Hillary and I had done anything wrong in Whitewater. “Of course not,” he said. “That’s not what this is about. This is about making the public think you did something wrong. Anybody who looked at the evidence would see that you didn’t.” Simpson laughed at how willing the “elitist” press was to swallow anything negative about small, rural places like Wyoming or Arkansas and made an interesting observation: “You know, before you were elected, we Republicans believed the press was liberal. Now we have a more sophisticated view. They are liberal in a way. Most of them voted for you, but they think more like your right-wing critics do, and that’s much more important.” When I asked him to explain, he said, “Democrats like you and Sullivan get into government to help people. The right-wing extremists don’t think government can do much to improve on human nature, but they do like power. So does the press. And since you’re President, they both get power the same way, by hurting you.” I appreciated Simpson’s candor and I thought about what he said for months. For a long time, whenever I was angry about the Whitewater press coverage I would tell people about Simpson’s analysis. When I finally just accepted his insight as accurate, it was liberating, and it cleared my head for the fight.

Despite my anger over Whitewater and my puzzlement about what was behind the press coverage of it, I headed into 1996 feeling fairly optimistic. In 1995, we had helped save Mexico, gotten through Oklahoma City and increased the focus on terrorism, preserved and reformed affirmative action, ended the war in Bosnia, continued the Middle East peace process, and helped make progress in Northern Ireland. The economy had continued to improve, and so far I was winning the budget fight with the Republicans, a battle that in the beginning seemed likely to doom my presidency. It could still lead to that, but as we headed into 1996 I was ready to see it through to the end. As I had told Dick Armey, I didn’t want to be President if the price of doing so was meaner streets, weaker health care, fewer educational opportunities, dirtier air, and more poverty. I was betting that the American people didn’t want those things either.

FORTY-SIX

By January 2, we were back to the budget negotiations. Bob Dole wanted to make a deal to reopen the government, and after a couple of days so did Newt Gingrich. In one of our budget meetings, the Speaker admitted that in the beginning he had thought he could keep me from vetoing the GOP budget by threatening to shut the government down. In front of Dole, Armey, Daschle, Gephardt, Panetta, and Al Gore, he said frankly, “We made a mistake. We thought you would cave.” Finally, on the sixth, with a severe blizzard covering Washington, the impasse was broken, as Congress sent me two more continuing resolutions that put all the federal employees back to work, though they still didn’t restore all government services. I signed the CRs and sent the Congress my plan for a balanced budget in seven years.

The next week, I vetoed the Republican welfare reform bill, because it did too little to move people from welfare to work and too much to hurt poor people and their children. The first time I vetoed the Republican welfare reform proposal, it had been a part of their budget. Now a number of their budget cuts were simply put in a bill with the label “welfare reform” on it. Meanwhile, Donna Shalala and I had already gone far in reforming the welfare system on our own. We had given fifty separate waivers to thirty-seven states to pursue initiatives that were pro- work and pro-family. Seventy-three percent of America’s welfare recipients were covered by these reforms, and the welfare rolls were dropping. As we headed into the State of the Union speech on the twenty-third, we seemed to be making some progress on a budget agreement, so I used the address to reach out to the Republicans, rally the Democrats, and explain to the American people my position on both the budget debate, and on the larger question that the budget battle presented: What was the proper role of government in the global information age? The basic theme of the speech was “the era of big government is over. But we cannot go back to the time when our citizens were left to fend for themselves.” This formulation reflected my philosophy of getting rid of yesterday’s bureaucratic government while advocating a creative, futureoriented, “empowering government”; it also fairly described our economic and social policies and Al Gore’s “Rego” initiative. By then my case was bolstered by the success of our economic policy: nearly eight million new jobs had been created since the inauguration and a record number of new businesses had been started for three years in a row. U.S. automakers were even outselling their Japanese competitors in America for the first time since the 1970s.

After offering again to work with the Congress to balance the budget in seven years and pass welfare reform, I outlined a legislative agenda concerning families and children, education and health care, and crime and drugs. It emphasized programs that reflected basic American values and the idea of citizen empowerment: the V-chip, charter schools, public school choice, and school uniforms. I also named General Barry McCaffrey to be America’s new drug czar. At the time, McCaffrey was commander in chief of the Southern Command, where he had worked to stop cocaine from being sent to America from Colombia and elsewhere.

The most memorable moment of the evening came near the end of the speech, when, as usual, I introduced the people sitting in the First Lady’s box with Hillary. The first person I mentioned was Richard Dean, a forty-nine- year-old Vietnam veteran who had worked for the Social Security Administration for twenty-two years. When I told Congress that he had been in the Murrah Building in Oklahoma City when it was bombed, risked his life to reenter the ruins four times, and saved the lives of three women, Dean got a huge standing ovation from the entire Congress, with the Republicans leading the cheers. Then came the zinger. As the applause died down, I said, “But Richard Dean’s story doesn’t end there. This last November, he was forced out of his office when the government shut down. And the second time the government shut down, he continued helping Social Security recipients, but he was working without pay. On behalf of Richard Dean… I challenge all of you in this chamber: let’s never, ever shut the federal government down again.”

This time the gleeful Democrats led the applause. The Republicans, knowing that they had been trapped, looked glum. I didn’t think I had to worry about a third government shutdown; its consequences now had a human, heroic face.

Defining moments like that don’t happen by accident. Every year we used the State of the Union as an organizing tool for the cabinet and staff to come up with new policy ideas, and then we worked hard on how best to present them. On the day of the speech, we held several rehearsals in the movie theater located between the residence and the East Wing. The White House Communications Agency, which also recorded all my public statements, set up a TelePrompTer and a podium, and various staff members moved in and out through the day in an informal process managed by my communications director, Don Baer. We all worked together, listening to each sentence, imagining how it would be received in the Congress and in the country, and improving the language.

We had defeated the philosophy behind the “Contract with America” by winning the government shutdown debate. Now the speech offered an alternative philosophy of government and, through Richard Dean, showed that federal employees were good people performing valuable services. It wasn’t much different from what I had been saying all along, but in the aftermath of the shutdown, millions of Americans heard and understood it for the first time.

We began the year in foreign policy with Warren Christopher hosting talks between the Israelis and Syrians at Wye River Plantation in Maryland. Then, on January 12, I flew overnight to the U.S. Air Force base in Aviano, Italy, that had been the center of our NATO air operations over Bosnia, where I boarded one of our new C-17 transport planes for the flight to Taszar Air Base in Hungary, from which our troops were deploying into Bosnia. I had fought in 1993 to keep the C-17 from being eliminated in the defense downsizing. It was an amazing plane with remarkable cargo capacity and the ability to operate in difficult conditions. The Bosnian mission was using twelve C-17s, and I

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