Kennedy Discusses Challenges and Opportunities in Massachusettts Economy, Iraq
KENNEDY DISCUSSES CHALLENGES AND OPPORTUNITIES IN MASSACHUSETTS ECONOMY, IRAQ
KEYNOTES SOUTH SHORE CHAMBER OF COMMERCE ANNUAL LUNCHEON
Senator Edward M. Kennedy today discussed the critical choices that we face in a global economy and in Iraq, as well as the skyrocketing costs of college tuition at the annual Luncheon of the South Shore Chamber of Commerce. Senator Kennedy praised the important leadership the Chamber provides to the South Shore and its commitment to innovations in the business community.
"In Massachusetts, we see many positive economic signs, but signs of concern as well. At a time when our nation is surging past the 300 million mark, our state - home to the finest educational institutions, hospitals, and a dynamic entrepreneurial class - is losing population. Young families find themselves priced out of our communities and young companies look beyond our state's borders. This trend cannot continue without serious implications for the state we all love so much. We need to invest in our communities and we need to champion policies that help our employees and our students reach their full potential," said Senator Kennedy.
Kennedy also discussed the challenges that we face abroad. "We must find a way to end this war and bring our fighting men and women home with the hero's welcome they deserve, so that we can focus our military efforts on the real threats we face," said Senator Kennedy. "Our troops have given all that any of us can ask, and it's essential that we work together for a foreign policy worthy of their great sacrifice."
The Chamber's luncheon is held annually to honor volunteers for their efforts to further economic growth within Massachusetts. The South Shore Chamber of Commerce has members from 2,500 businesses, making it the second largest chamber of commerce in the New England. The Chamber is committed to working along side legislators in protecting the interests of the business community, as well as providing funding and counseling to new and expanding companies.
Remarks of Senator Edward M. Kennedy
South Shore Chamber of Commerce
October 25, 2006
(As Prepared for delivery)
It's always a privilege to be with the Chamber, and I commend you for all you do so well to keep the South Shore economy strong and to support our communities. Your vision and dedication to providing good jobs for our citizens and better communities for our families have made a difference, and we're grateful for the many things you do every day to make that vision a reality.
As we all know, we live in a time of extraordinary challenge for our country and our Commonwealth. We're tied down in a tragic and misguided war in Iraq. The war in Afghanistan is gong badly as well. We face the specter of growing threats of terrorist attacks, and an Iran and North Korea with nuclear weapons.
Here at home, the idea of the American dream - that if you work hard and play by the rules you can leave a stronger future for your children - is under increasing strain.
In Massachusetts, we see many positive economic signs, but signs of concern as well. At a time when our nation is surging past the 300 million mark, our state - home to the finest educational institutions, hospitals, and a dynamic entrepreneurial class - is losing population. Young families find themselves priced out of our communities and young companies look beyond our state's borders. This trend cannot continue without serious implications for the state we all love so much.
Without question, these are daunting challenges for the next Governor - and the next Congress too. We may not have all the answers, but we've shown time and again throughout our history that we have the capacity to overcome great obstacles if we have the will to try.
President Roosevelt didn't have all the answers to pull us out of the Great Depression, and later presidents didn't have a blueprint to prevent Western Europe from descending into chaos and communism after World War II.
But what they did have was Americans of all political parties willing to pull together for the good of the country. And after the past six traumatic years, that's what we must also do as well.
I think of my brother Jack's generation - the greatest generation - the men and women who came back from World War II determined to make a difference for their country, and they did.
They tackled Jim Crow with the Civil Rights Acts and the Voting Rights Act, and sought to end discrimination on the basis of gender, ethnic background, or physical handicap.
They gave tens of millions of our senior citizens better health through Medicare, and they created Medicaid to make sure that the poorest among us would not be without decent care.
They kept us safe in the world and signed the first nuclear arms treaties to prevent global war.
And they even found the time to send a man to the moon!
Inspired by those examples, we know we have the capacity to address the challenges that confront us today.
Abroad, we must find a way to end this war and bring our fighting men and women home with the hero's welcome they deserve, so that we can focus our military efforts on the real threats we face. Our troops have given all that any of us can ask - and it's essential that we work together for a foreign policy worthy of their great sacrifice.
We must engage directly with North Korea to prevent the unthinkable. The idea that we could sit back and farm out our national security interest to other nations has been a tragic mistake, and we can't afford it any longer.
Above all, we must recognize that our ability to protect our interests and our country is very much dependent on our ability to work with our allies. We've strained too many relationships abroad, and it's long past time to start repairing them and regain our respect in the world.
Here at home, we must recognize the growing squeeze on the middle class that threatens the idea of social mobility that has made the nation a beacon of hope and opportunity for so long.
The economic fundamentals in our state are good. We have the best-educated workforce in the nation - 40% of our workers have a bachelor's degree or higher. In the past year alone, the Boston-Cambridge-Quincy area has gained more than 22,000 jobs - including 9,000 in professional services and 8,000 in higher education and health care.
Another leading indicator is very positive - the ability of companies in our state to compete for - and win - competitive small business innovative research grants. In the past five years, Massachusetts companies have received 3,900 such grants, worth a total of over 1 billion dollars - more than any other state except California, which has six times as many people as we do. Those grants in turn brought nearly 8 billion dollars in business investment to the Commonwealth. Since we created SBIR in 1982, Massachusetts has always been at the top - and we intend to keep it there.
We see signs of encouragement in our local communities too. Unemployment in Quincy is down from 5.9% in 2003 to 4.5% today - and hopefully on its way further down to the 3.5% level we had in 2001. In Canton, it's 4.1% today - down from 4.9% in 2003, and on its way back to the 3.0% we had in 2001. Weymouth's on the right track too - unemployment is down from 5.8% three years ago to 4.8% today and we hope to get back to the 3.3% number we had in 2001.
These positive signs, however, don't show the difficulties facing our middle class and the traditional good jobs we've relied on as the bedrock of our economy in recent decades. Weymouth has lost 38% of its manufacturing jobs in the past five years, Canton 28%, and Quincy 25%.
Our working families also confront a cost squeeze that's undermining their aspirations. Housing costs are up 62%, gas 49%, health care 27% since 2001.
Staggering health bills are the single biggest contributing factor to the personal bankruptcies soaring among Massachusetts families. Last year there were 27,000 filings in the Commonwealth - an increase of 51% since 2001.
The rollback of overtime has stripped 198,000 Massachusetts workers of their overtime pay.
Nationally, these factors are contributing to a growing gap between those at the top of the economic ladder and everyone else - a gap that's more pronounced here in Massachusetts than in all but two other states. It's pricing families out of their communities - a particularly important problem here on the South Shore.
Adding to this squeeze is the growing crisis in providing genuine educational opportunity for all our families.
No other state in the country has a more impressive history on public education. It was written into our constitution from the beginning.
No other state's economic well-being is more closely tied to educational attainment. And no state has more to gain or lose in this new century of the life sciences - where the very best jobs will be landed by those who do well in the classroom.
Globalization presents a huge challenge as well. As New York Times writer Tom Friedman has said, the world has become flat again. India and China are clearly challenging our economic leadership, and they're focusing on math and science achievement.
President Ken Quigley at Curry College understands the issue. He's doing an extraordinary job giving young people the skills they need to compete. But as a state and a nation we're not doing all we can to make certain that our children have the skills they need to succeed in this new world.
Much of the problem is federal - the No Child Left Behind Act has never been fully funded. As a result, Massachusetts schools are short $180 million owed them by the federal government, and that shortfall has left more than 54,000 children behind across our state.
We're going to change that after November, because we have to.
In the last six years alone, the cost of attending Massachusetts' public four-year institutions has soared 49% -- from $9,000 to $13,000 - and the cost of attending a private four year college has risen 24% -- from $29,000 to $35,000.
Today the average Massachusetts student graduating from college is saddled with $18,000 in debt, and that huge burden undermines their ability to go on to graduate school, or to start their own businesses.
The Pell Grant - which 78,000 Massachusetts students rely on each year - has not been increased in five years. It remains stuck at $4,050, despite repeated attempts to increase it to $4,500 and beyond.
How do we turn around these trends that are threatening the economic future and quality of life in our Commonwealth?
I think we start by focusing on the fundamentals. We need to invest in our communities and we need to champion policies that help our employees and our students reach their full potential.
Locally, one project of enormous importance is the redevelopment of the South Weymouth Naval Air Station, which Mayor Madden has worked extraordinarily hard on with the South Shore Tri-Town Development Corporation.
It's an enormous opportunity for the region - one that we won't likely see again - to build the housing we need in a way that promotes smart-growth principles and attracts outside investment. It's been a long time coming and it's required the hard work of many people, but it's going to pay off in a big way. It's been a privilege to work with Mayor Madden and the Development Corporation on the improvements in public transportation we need to make this vital project a success.
We also need to deal with the congestion clogging the region, reducing housing options for commuters, and sending home prices through the roof. It's good news that the Greenbush Line is moving forward - after so much effective work by the Chamber - and I'm delighted we were able to obtain record funds for Massachusetts roads and commuter rail lines in the federal transportation bill last year. It's a solid foundation to build on for the years ahead.
Massachusetts needs to start thinking of our roads and transit systems as assets - not just budget costs. We need to invest in them if we hope to have real economic progress in the state. Route 3 needs to be widened - and putting it off isn't going to make it any less expensive.
On education, the issue is straightforward - we can give our students the support they need to compete, or we can watch our competitiveness decline.
Increasing the Pell Grant from $4,000 to $5,000 would bring in $63 million a year in additional assistance to Massachusetts families right away, and help slow the exploding costs of higher education.
We also need to reform the student loan programs, which now serve lenders far more than they serve students. By creating a level playing field in Washington for direct student loans, we could save 13 billion federal dollars a year that could be used to increase student aid. We'd have to take on Sallie Mae and Company - but it's a fight we need to make.
The challenges ahead are great - to make our country safer and build a stronger future for our state economy and for all our people. But there's no reason we can't summon the will to do it and get it done - and hopefully, November 7 will give us the new momentum we need.
Again, it's a privilege to join all of you today. The South Shore Chamber is one of the most effective and committed Chambers in the country - and I'm grateful to work with you on these challenges. I thank all of you for this opportunity and I look forward to standing with you in all the major battles ahead.
http://kennedy.senate.gov/newsroom/press_release.cfm?id=dc4ae262-d385-4c9c-953d-8bf7b73b9a6c