president obama administration as well as secretary hillary clinton had madeleine albright. obviously nonpartisan but also speaking only for himself and not for any of the previous administration for off accept the truman administration is the only when you will feel confident speak for especially since you have a new book that's going to start with the truman administration and we are looking forward to that very much. dennis, let me start by asking about the view from israel. with everything happening including the palace reconciliation and syrian and obviously iran being the great existential threat, why is it that israel can't do what seems to be a relatively obvious easy thing to position itself for the coming crisis which is cut a deal with the palestinians?

>> well it's always easy to say to cut a deal with the palestinians than it actually is to cut such a deal with the palestinians because ultimately it does take two to be able to any deal. but you are asking a question in itself is begs for context and i know the context is my middle name. [laughter] >> my mother didn't know that when she named me but it actually is my middle name and so let me try to set some context because i think the question is a very important one in terms of trying to understand how they may be looking at the region that suddenly looks like the falling. if you are sitting in jerusalem, you get egypt. and you see what is basically the rise of the muslim brotherhood. an organization that is not by any shape or form likely to be friendly towards israel. israel has had a cold peace with

israel but that peace with egypt not only ensure that it could shake a certain kind of posture in terms of its military doctrine and budget, it could count on what was a stable and secure borders and so now suddenly it looks like it is a no-man's land where the muslim brotherhood may have from their standpoint from the israeli standpoint very little stake in controlling what goes on with regard to what could come out into israel. and so the first point of reference is look at how things are changing in terms of egypt and it's a threat. it looks to the north and sees 45 to 50,000 rockets that hezbollah has in lebanon. it looks north and east and sees syria where in the best of cases it seems enormous unknowns.

it can't know even if it assumes as many now do that the regime is doomed and it is not going to survive. it doesn't know what the process of its demise is going to be treated doesn't know the timing. it doesn't know what's going to have been in syria. the longer things doggone in syria, the likely you could have a whole range of difficult kinds of outcomes from the israeli standpoint also be quite threatening. jordan with relationship to is an important and good one and the jordanians are actually playing a very serious and important role right now trying to preserve what i will describe as a position process to the israelis and the palestinians of there have been tightened preparatory talks. they are working hard to try to preserve that process, but that is a working progress and it isn't exactly clear what is going to happen as a result of it and particularly now with

what is at least a new development on the reconciliation between hamas and the fata we think we always have to approach the reconciliation process between hamas and fatah with a high degree of shella say humility approach the region right now with him nobody since nobody predicted actually what was going to happen, but we have seen that announcements don't actually translate into immediate behavior is. >> do you think that the announcement this morning is just an announcement or does it look like that one is more real comedy reconciliation announcement? >> i will give an honest answer. anybody that sits here and says they know, you should be skeptical of. i would guess the two sides themselves are not 100% certain of what this is going to translate into. what it does reflect is

something that i think is likely to emerge over the coming year and that is i think that it is a step towards elections. i do believe you have elections coming palestinian elections because in this awakening they have become kind of the symbol of credibility and i think the pressures on the two sides are going to grow. this brief overview if you're sitting in jerusalem and looking out, leaves some in israel to say given all of the unknown this is a time to hunt or down and do nothing. and, you know, for some of i would say that is an understandable posture to have. from my own standpoint i would say when you are thinking strategically, the one thing that you always want to do is never let your tweezers. the problem with thundering down and doing nothing is that your choices shrink. they don't expand. from the strategic standpoint you want to think about how can we expend the available options

and not how can i shrink these that are going to be available to me? because even if the range of options are not great, the smaller the number of the less likely they are to do good and a worse likely they are to be sold. number one, from the israeli standpoint i think you don't shrink your options. and number two, don't assume the story is now written. by that i mean, you know, take a look at what is going on. there is no surprise that everywhere you look they seem to have the upper hand. they were allowed to organize in the mosque and the heavy plastic and speak their mind. they came to embody social justice because they created a certain approach to providing at least limited social welfare. they were authentic because with a reflected in terms of islam they connected to all classism putting the lower class is.

they have a kind of credibility, they have a kind of effectiveness, they have an organization, they had an identity, they have an agenda and none of the secular more liberal forces had that petraeus of the of built-in advantages right now. but certainly is a new middle east in the sense that if the muslim brotherhood decides they are going to come in and rule the way that mubarak did they are going to find they can't do that. bigger dealing with -- >> but you are saying that they could affect this process for the better if it had moved down the peace process with the palestinians. >> i'm not saying they could affect it for the better but they could affect their situation for the better and i don't think the muslim brotherhood could say it is going to be paying an enormous amount of attention to this

issue unless they are trying to divert attention away from of being able to deliver and i think that basically follows the model of people look mubarak and said rather than delivering a domestic change what they would focus on when there was anger is to divert attention away. i think the muslim brotherhood is going to have to find ways to deliver because they are dealing with the public perceive themselves as citizens now and not subject and as citizens the of the right to meet demand and the right to expectations and hold government accountable. in other words i think the muslim brotherhood and others are going to have to govern that rule. and i think what this leads to in my mind is the israelis will get the palestinians and if i'm right there is going to be elections this year. elections are going to be an awful lot about shaping the future identity of the palestinians. israel has an enormous stake in ensuring that the palestinians to believe and nonviolence, who believe in coexistence or the

ones who are validated. >> you came very close and the parameters and aspen facility and even in camp david of coming really close to what the palestinian-israeli deal would be. is that still the outline of the deal with the boats could get their? >> i would love to beagle to say yes. i'm not sure because right now i don't think the context winds itself very well to producing a permanent set of steel. when i say from the israeli standpoint it's important to validate those who believe in the nonviolence it is not because i believe necessarily in the context existed today to do the deal. >> why not? >> i think for one thing in the context of just described it is going to be a great concern. is this a time to be running the risk given all of the unknowns we face and who could take the advantage of the situation but look at the other side.

is he really ready today to try to do a final deal? look of the context that he is operating in. he looks around the region. who are his friends among the leaders? what are their preoccupations? with the muslim brotherhood rising are they particularly interested in a deal between the israelis and palestinians and how would they react? mabey their preoccupation is internal, but the fact is if he tries to do a big deal right now inevitably he has to make compromises. there's no such deal that doesn't involve compromise. does he feel confident given the current context that if he makes the kind of compromise the would be required, even if he is achieving the law he's also having to conceive something as well. and is that context the context where he's going to feel confident that he's not going to face enormous opposition -- the reason i don't want to give a 1 trillion is because i think you ought to test the proposition.

i say this is a time for humility. those who say either that they know that each side can't take these big steps i say i can understand the difficulties that they've taken these steps and we ought to continue to try to produce a political process which is with the jordanians to right now with the support and the administration support it is trying to support for the preparatory talks. >> you think that they should continue to have the lead for the moment? >> i think they are proving this and they can be effective and i would note something. a lot of people will say is in this unusual? well, for those fervor or worse actually -- such as it is, yes. >> the fact is when we were negotiating the deal, we've reached a point where we hit the block we couldn't overcome and

people forget it was king hussein when they were doing the river. he helped us overcome them what was also a block that we couldn't overcome. so in fact the jordanians to have the history of playing a helpful role at certain moments and given the context and as i said, if you look around the region today, king abdullah of jordan is one of the few leaders of the region who is focused on this, cares about this, has a relationship and also has a relationship with the israeli prime minister. it makes sense to try to continue for the political process. what i want to suggest is even as you try for the political process i think from the israeli standpoint it is important for them to be thinking about what are the steps they can take that will help the late the

palestinians engaged in the state building process who believe in nonviolence and believe in coexistence because if you are going to have elections they are going to compete against those who reject coexistence and believe in violence. and from a strategic standpoint i would say israel has a long term interest in having those who believe in them on violence become validated and become more credible. i was always like to see whatever steps they take i would like to see the parallels and reciprocity. but i can say if you are going to have elections this year it's very important that those palestinians who are competing against hamas are able to say we are achieving something in the the way that you achieve something is to ensure that they are receiving the, the occupation is receiving so you can show where the piece is. a couple of weeks ago so when it comes to the area, the incursions' maybe they are being

phased out. you come up with a set of criteria that allows you to do that. you increase the palestinian police presence and the responsibility there. the area that you've done a lot work in economics one of the things you know is that this is 60% of the west bank. palestinians have very limited access economically in this area. for them to be more effective economically having a greater access and presence economically with this scenario would be important, but it's not just for the economic benefit, it's also because they will see that something is changing. the nature of the country was changing. >> it helps the growing economy which is the deliver and europeans are helping them now. >> yes, and i believe by the way i think there is a potential that they will see that all you in this because at the end of the day, you know, for those that believe in the tuesday

outcome, if the palestinians to believe once it is validated that i think the two state outcome itself becomes put at risk. >> i will give a shout out to jam at the middle east investment initiative which is working hard on area see but also given the small business loans and medium-sized loans. when the prime minister netanyahu comes in about a month, what you think that he will say to put that into obama and others are about, especially president obama, on the iran? >> that is an and put a preoccupation. when i was outlining the region that the israelis are looking at, i left -- i didn't mean to do that but we knew we'd get to iran. don't worry. it has a major shadow over everything that the israelis are thinking about doing. there is no doubt that this will be a prime topic of conversation and interesting in the presence of the interview that he gave last night he talked about, you know, the nature of the

conversations that we are having and he talked about the importance of remaining with the last couple of israelis on this issue. i think that from the israeli standpoint you hear less from the prime minister and more from david brought the preoccupation that refers to as the in manatee and what he means by the ozone of immunity is that the iranians reach a point in terms of the multiplicity of their facilities, the accumulation of the wheel enriched uranium, a hardening of the sites, the overall infrastructure what i would describe as both the hard and soft part of the infrastructure, where even if the israelis were to strike, militarily that it wouldn't have much of an affected so there isn't immunity it means there comes a point when the military option disappears and for the israelis to in a sense of give up the military option with the uncertainty about whether or not iran is going to end of having

nuclear weapons or not is a big decision. now, with the israelis have also said which i think is an important point to keep in mind, and this has been a constant theme of there's come if they are crippling sanctions they believe ought to work think about what that means. when the israelis say that, it means they judge that the iranians to have a cost-benefit calculus. and they are not bad. the judge -- you can affect the behavior, and if you have crippling sanctions you actually can affect behavior, it suggests that there is no use of force and if you take a look at what i think the administration has produced its create a context. of the president was saying last night the essence of the conduct has been created as the eye iranians are more isolated than ever. the best indication of that is you have a vote in the general assembly. in the general assembly 106-nine and calling on iran to protect the personnel. you have in the region likelier

shift in the balance of power. and the kind of concern that you once saw particularly among many arab states about being very tough with us in the private about iran, but a ferry run as and in public is changing. saudi arabia immediately after the european union announced that they are going to boycott the purchase of iranian oil saudi arabia says we will, they say that is unfairly act. we will -- >> that's right. as of this suggests that the balance of power for a lot of reasons, not the least of which is happening in syria which changes i think fundamentally the perception and attitude towards iran and the region, a contributing to challenge the power, so we have iran isolated internationally and a change in the balance of power in the region, and you have what is the emergence now of the sanctions and we know the effect it's having on the iranians in terms of their economy. the currency has lost half of

its value in the last six weeks. when you start talking about boycotting the oil well, the export 18% of their ordeal to europe, so you are talking about almost a fifth of their oil. this could be the loss of revenue. look at china's the eager. china cut in half the purchase of oil for january and february which may not have been done because they are trying to sort of link up with the europeans on the boycott against the are not saying that but it's also smart business when they see that in fact there is when the boycott on only when they cut their own purchasing half what they're saying is you want to sell less you have to have a discount which means a further loss in revenue, and on top of this, the chinese premier goes to the region, spends six days in the region, doesn't go to iran, goes to saudi arabia, goes to kuwait who are arguably the hardest

line. >> the most antiiranian. >> even beyond that he makes a very blunt statement against them having nuclear weapons when he's out there. >> and when he's in saudi arabia he guarantees the flow will go there which is a thing this administration did well with his orchestra all that. are you saying there is no need for a military strike? >> the context has been created where the sirenians are increasingly aware of the price they are paying and the key to the strategy all along has been concentrating mind that we but then leave them a way out. can debate the issue whether this is going to work or not but i did say if you are going to pursue a diplomatic approach that had any chance of success the only way you will do it is by creating such a context. i would say the prospect of inducing the pyrenean still getting up the pursuit of

nuclear weapons was never going to work because there was nothing that can offer them that is worth as much to them as actually having that program. but if you look historically when they have made serious tactical adjustments when they've been under pressure and sought a way out. i've read the supreme leader's speech and he's obviously adopting a very tough line publicly. i would expect nothing else. i wouldn't expect him to adopt the line publicly but the fact is they are also not talking about meeting the five plus one and when the foreign minister talks about meeting the five plus one this is the members of the security council's germany. when he talks about meeting them he's also talking about a step-by-step approach on the russian proposal which is explicitly about the nuclear program. the last year when they met in geneva and a stumble they refuse to shop at the nuclear program suddenly the foreign minister is saying they will meet with a five plus one and they will --

the want to talk about a step-by-step approach but basically something that was raised by the five plus one in these meetings last year so it is interesting that whereas last year they wouldn't talk about the program and now they're signalling they will talk about the program i'm not suggesting any negotiation is going to be simple. but i am suggesting a context has been created where you have a chance for the diplomacy to work. you have a kind of pressure that the israelis themselves have called for so that does suggest to me that in fact there is time to try to make the diplomacy work. >> what should the u.s. be doing now? >> i saw the secretary of state called yesterday for the creation of the friends of syria group which i think is the right thing to be doing. if i take a step back - court

the veto on saturday dramatically undercut the effort right now to produce a transition and syria. i think if you look within syria right now, a solid as opera and the premise that leased the constituencies where he says we can outlast this because basically we have an insurance policy and that is provided by the russians and that insurance policy ensures there won't be the intervention and there's a limit else to what can be done and stick with the end we will be able to outlast this. have the russians and the chinese, along with this resolution i think the message and syria would have been quite different and would have had an affect on us sob. i don't see him as gadhaffi or hiding out and somehow, you know, with no electricity, no

water coming and i don't see him that way. i think that if he saw the real balance of powerless changing and from the outside it would have an impact further on the inside i think that you can see a potential change so in answer to your question, just one other thought. the more that you create a sense of inevitability that the change is coming the more i think that you will be able to affect what's going on on the inside. so the idea of the friends of the syrian opposition approach is right. i think it does make sense for us to do more with the ceiling in opposition and i understand that up until now requiring them to do more to demonstrate their own effectiveness is important but i think it is also important to create that the snc is the future because that will have some impact on the insight squeezing the sanctions making them more effective is important doing all we can -- >> with russia not cooperating.

what is russia's reason is a grand historical thing? is it, you know, autonomy? >> i think it's several things. >> is it lavrov or putin? >> let's put it this way. i think that on saturday putin was focused on what was going on in the streets of moscow. i think that he's focused on what's going to happen on march march 4th and then afterwards, he is thinking about what's the kind of government he is going to put together. his preoccupation is much more on the inside. now there may be a kind of anticipation about put putin seen to demonstrate russian independence. they have come the only naval base they have in the middle east and syria. but if you take a step back and want to preserve a position in

syria the only way you're going to preserve a position in syria is being on the right side of history. the longer you are seeing to help up al asad and what is now basically a killing machine and the way that he treated this book is the license to unleash if you look at i don't know how many people look to the videos over the weekend, you're looking at artillery, mortars and anti-aircraft shells they used to fight your the building the fact is the russians have a stake right now in demonstrating they are the ones who helped produce the transition, not the ones to the input into it. i think it's not just the friends of the syrian opposition that we should be focused on which is important, and i think we should be working very closely with the arabs to build pressure on the russians because

i think that will leave them in the position they're feeling increasingly uncomfortable and the more they begin to see their own position in the region more generally could be put at risk again, take a step that. we are talking about the league that put together a transition plan for syria, it's the land that we are talking about, anybody that is his stoically primarily governed by how it could protect all the regime's not how it could be thinking were talking about the transitions. there is a reason that the adopted this position because all of them are more attentive to their own publics and what is going on and syria is a magnet for the preoccupation and it's something that is unacceptable and something that again further sharpens the attitude in the region as a whole. >> one last question before you open up and it deals with egypt and especially with what's happening with the detainees and

people worry is that happening and what should we be doing now? >> this is one of those issues that from the hillside it's hard to fathom and understand. they're certainly has been the tradition in egypt of the preoccupation with protecting sovereignty and the symbols of sovereignty and the like. but it is -- i know that the supreme council for the armed forces is saying they were fomenting on the ground. schenectady's our congressional refunded national democratic. >> i was just about to say i know that's what they say. i happen to know the institutions. there is no way that's what they

were doing. they're talking about how you can register to vote and participate in elections and develop a political agenda and create an identity this is how to help foster civil society at the time the staff is themselves saying they are providing over the transition to the social role to then massengill us out looks like such a throwback. you know, it is a real challenge for us because the fact of the matter is, you know, the idea of somehow not being able to provide assistance to egypt right now when it's important for egypt is a potential problem. on the other hand, to engage in these kind of peters and think that there is no consequence for them is also a problem. ..

so it raises some questions about what kinds of conversations have been going on between the muslim brotherhood and again i will conclude with one general thought. the one thing that i was getting at before is that you know if you are going to have to govern out. you are going to have to deliver. you are going to have expectations. you are going to have to mance. the brotherhood themselves i think don't have an interest in seeing the system cut off because they will find it much more difficult to deliver. they have an interest in

demonstrating to the world the national obligations. we have an interest. i was in europe last week and i was speaking in a lot of different places there. the value of us creating a mantra that the repeat internationally that focuses on accountability standards that seeps into the bloodstream throughout the region certainly in egypt. you have to have a space for continuum in competition. you have have to have elections that are repeatable. you have to have freedom of speech and assembly. you have to respect minority rights. you don't criminalize the private sector. we need to be repeating the standards because in a sense we will find that the public will then hold whoever is speaking to govern to those standards. the standards. >> it's somewhat strange to put it in this context. the countries to whom we give the most assistance whether it

be pakistan, egypt, even israel, we seem to have the toughest time having influence when we really need it so i don't know what that says. yes, and ted would you introduce yourself and press the red button so c-span can pick it up? >> ambassador i wanted to ask, you indicated that it would probably in the -- ian israel's rational self-interest to bolster the palestinian authority at this time but yet there was a major prison release that has given as you know hamas tremendous credibility and i have never been particularly impressed by the measures that the israeli government has taken, has taken to bolster the palestinian authority when everybody agrees that this is the most non-violent, most rational group of leaders ever.

is it not possible that given the extreme right-wing nature of the coalition government in israel that there is essentially a tacit understanding between hamas, i mean tacit i don't mean anything overt, settler groups and the like? time is on their side and preferring that the extremists be in the driver seat or at least be very influential? >> yeah, i don't think so, ted. i think the deal was not done to validate hamas. it had an effect, granted it had an effect. there was a fear that they might lose the opportunity and you know the israeli government and the israeli military has a compact with everyone of their citizens that everybody goes into the military and something happens they will do everything that it takes to get you back.

so i think that explains the deal but the fact is that had a validating effect on hamas narrative which is one of the reasons i'm suggesting if you're going to have the steps taken not by design but by consequence validates that narrative you need to take steps to help validate the other narrative. i don't think that there is even a tacit -- this government does not want to bolster hamas and they have done i think if you had a representative of the israeli sitting here they would say they did a great deal to enhance. the reason the economy has done better is the israelis have done a lot to ease a lot of the restrictions and ease the mobility to make that possible. what i'm suggesting is to take it a step further. what i'm suggesting is when you look at people like fayyad, his critics will say he makes

occupation palatable and i would say no, he is actually someone who is going to make the occupation and. and so what i want to see our steps to show the occupation is actually shrinking as a way of validating the people but frankly also elevating hamas because he has been the embodiment of nonviolence. i mean the israelis have their differences and i think part of the problem and what i didn't say before an answer to your question walter, we have a major psychological gap between the two sides particularly the leaders. hamas believes that with this israeli government there is no deal therefore why try to get into a negotiation but he also feels he interpreted the deal as something that might undercut him. prime minister netanyahu looks at the abu mazen and says you impose conditions on me that you

can impose on my predecessors and you are prepared to talk to a lot as israelis but not me so it looks like you're constantly trying to isolate israel so each of them have sort of cemented psychologically their view of the other in a way that colors the substance. and it's very hard to break through that and i would say the jordanians are making an effort with the support of the quartet to try to break through that and it's an effort that is worth applauding and i think has some potential but whether it succeeds or doesn't either you help to underpin it by what i'm suggesting or something parallel regardless because if you're going to face elections there is going to be those elections that will shape the future identity of the palestinians and it's important to try to effect that in a positive way. >> let me try to get back. i have 19 people on my list so

if you can grab them afterwards ted. >> thank you walter. dennis i wonder if you could elaborate on something you said earlier which i found interesting. you said you would never limit one strategic choices and yet that is exactly what the administration has done on syria. they have essentially taken military intervention off the table. secretary clinton said there will be absolutely no military intervention. do you think that's wise? >> well i think you know when you are in a situation where you have just ended one war and you were winding down another war, it's not a simple thing when somebody starts talking about another military intervention particularly when you don't see a lot of support for it internationally. having said that i do think that you know, there is, there are options that one has to be

thinking about right now and you know there was discussion at one point by the french foreign minister. there are some who talked about maybe safe havens and for those of us who remember bosnia safe havens they don't exactly conjure up wonderful memories that i think it is important to signal al-assad that he has more to worry about, that if i'm right that this guy is not a gadhafi and we have to think about how you build the pressure on him and how do you give him reasons to think he has more to worry about? right now my focus would be more and the russians because i do think the russians could he a dramatic pivot and i don't think the russians are real comfortable with the position they are in right now. with the vote 13-2 that means you have the indians along with you and the international

consensus was really quite striking. in fact with the syrians did over the weekend is actually embarrassed the russians more because it made it look like the russians are the ones who gave them the -- to engage in behaviors so i would try to mobilize as i said the air right now to do more and from my standpoint that is probably a better way to go at this juncture. you know when you talk about him it's not like you have a lot of great military options but we have to think about how can increase the pressure on assad and he shouldn't think that there aren't ways to add a lot to that. >> thank you, sir. ambassador ross the problem with hunkering down and doing nothing is the settlements go unabated so you know very well what should we do over the next 12 months in and hunkering down and doing nothing and maintained the

two state viability? do you believe there ought to be a back channel between the present of the united states barack obama and leaders and maybe as was suggested last week -- >> you can't go back that way. i think the administration is fully capable of managing its own communications. i would say in answer to your question though that you know, what the jordanians are doing right now through the preparatory talks is in fact trying to, trying to get to a resumption of formal goucher shins and the truth is the talks were held, there were five talks that were held, my impression from the jordanians is they think in fact they were actually promising and that real issues were being put on the table. and that the aim is to actually get to what was called for in the quartet declaration.

the quartet declaration of september 23 talked about preparatory talks and they would be direct and within 90 days once the preparatory talks began that both sides would put down on the table comprehensive proposals on the u.n. security so if you have comprehensive puzzles on territory and security that allows you to get to the issue borders and you can resolve the issue orders in the resolve they should settle once. is a whole lot better to resolve the issue than to deal with it by saying gee let's try to stop it or limit it. the fact is you want to resolve it and if you actually resolve orders then you have resolved it. so my advice would be build on what the jordanians are doing. don't give up on it yet. the jordanians clearly from what i understand it not if not given up on it. they think it shows promise. i would try to build on that and if there are steps that they offer you, some achievements,

find ways to build on them. you know there is not a lot to be gained by always devaluing what may be possible, and i think at this point there is something that is possible fair and i wouldn't give up on it. >> you think netanyahu believes a border is possible? >> i think he has agreed -- the truth is both leaders prefer liters per for an end to deal with all the issues. if you go back to what the president has spoken about in may, he offered what were guidelines on territory and security because the idea was create a foundation on issues that are less existential and go to the heart of what i call self-definition and identity. self-definition and identity, what you need to do is to

provide each side a level of confidence that what is really fundamental to them can actually be achieved. if the palestinians see the territorial outline of their state are there and viable and the israeli see that what they need from the standpoint of security is there and is condensing from their standpoint then it becomes a lot easier to take on these remote divisions like jerusalem and the fact that the quartet statement called for both sides to present comprehensive proposals on territory and security within 90 days of those preparatory talks being underway than the two sides have a different approach on this. hamas feels there were indirect preparatory talks that began so that is why he talked about the end of january but the israeli israelis said the preparatory talks did not start until january 3 and i think technically speaking because i was still in when this was drafted, the idea of preparatory

talks was they were not the goucher shins but they were supposed to be direct. the fact is, at this point jordan and the members of the quartet leave that discussions have been taking place actually are promised and build on them and you are going to get relatively soon to what could be those comprehensive proposals of territory and security and that does actually allow you to deal with the question. >> thank you very much. on the palestinian question -- sorry about that. in the palestinian question we used to always talk about abu mazen but i was wondering if in fact you believe that there will be elections, do you see anybody that perhaps would have the credibility within the palestinian base and also

possibly with the israelis to eventually cut a deal and i'm wondering if you have a repeat of 2006, the palestinian elections and hamas does make a good showing, would you recommend repeating the same course of action that the u.s. and the international community did which was to boycott hamas because my personal feeling -- i mean i just don't feel they were even given the opportunity to show whether they would govern or whether they would moderate. in effect they were backed into a corner and we never knew so i understand there are these kind of quartet red-lined that i was just wondering if you would make any changes to that approach? thank you. >> you are asking two different questions. one question relates to who could emerge in elections on the palestinian side individually in terms of the presidency and the other is you know, if in a sense

which movement is the one that emerges? on the first one, you know i don't think it is ever a good idea for anybody on the outside to look like they are trying to anoint the palestinians. that is for the palestinian people. they are going to decide who they are going to vote for. it doesn't mean there shouldn't be consequences for who you vote for. my concern about what happened in 2006, my problem brinkley was and i said at the time to the administration was, we had an agreement that we helped negotiate called the interim agreement. that agreement created criteria and was agreed to by the palestinian authority. i felt that a hamas criteria they could be candidates but if they didn't sign up to the criteria then they shouldn't be. and at that time, the interim, the provisions of the interim agreement were not -- so i would preferred that had been a case.

i think that in the end, the palestinians will decide for themselves how they want their future to be that they should also understand that if you are voting for those who believe in violence and if you are voting for those who believe there is no such thing as co-existence then they shouldn't assume they are going to have a relationship with us. that's fair. i think what isn't right is if we create a misimpression where if you look like you are pushing for elections and then you don't respect the outcome of the elections. >> is that what happened with hamas? >> i think that's what happened in 2006 and they think you know we at least need to be consistent. we have certain principles. my own attitude is we created conditions for the plo and and and in the end of plo met the conditions. i don't know why we would treat hamas differently than we would have plo. >> but respectfully do you think there's any way perhaps down the line five or 10 years from now you could see hamas like we are

dealing with the muslim brotherhood? who would have thought the deputy secretary of the stay would be meeting with the muslim brotherhood's talking about we would love to form a partnership. is there any way anyway you can guide them towards that? >> guide them? [laughter] look, think again, if hamas wants to be able to deliver and by the way take a look at the polling in gaza. hamas it's standing in gaza is quite dead. one of the things i was, one of the reasons i said before it would be quite something if the international community we all work to help validate those palestinians who believe in nonviolence. i said before think about the significance in the first election we have seen where the islam is don't win is among the palestinians. i think i would be quite remarkable. one of the things that you see happening right now in the region, think there's a hunger

for a successful model so some are looking at, they think about turkey. you know, if the palestinians came to embody a successful model, because you look at what they are doing on the west bank, that would be quite significant i think for the region. and, you know that applies to the islamist. they are all going to be dealing in a different universe now. this is not the same middle east and when i made the reference to people seeing themselves as citizens we shouldn't underestimate the significance of that. this is a region where people were acted on as subjects. they couldn't make demands. they had no rights. there was no accountability. and now, they see themselves, they have discovered their voice. the fact that they have discovered their voice suggests to me that they are not about to give it up easily. and i think again, syria is another interesting example

because for all those who think that coercion can work and you can simply apply the old rules, it has not worked in syria. >> doyle mcmanus, los, los anges times. >> i would like to ask you to go back to iran for a moment and spend a little time deciphering the various israeli potential military action over the last few months. they almost seem to have gone through mood swings. is this a debate inside israel that is unresolved? is it a message for the united states for the e-85 plus one and if it's a message for iran is it possible to measure the message and iran? >> i think you can have, one of the things you know for certain particularly in international relations but particularly in today's interconnected world is that you can have multiple audiences when you communicate

things. but it does it mean when you have a message that even if you have multiple audiences and you have multiple messages that the messages themselves necessarily have to be competing. if you are sitting in israel one of the things you want is you want to see sanctions and now d.c. for for the first-time first time sanctions being adopted. one can ask the question if the rest of the world wasn't convinced that israel might take military action would they be likely to adopt sanctions which by themselves means those who adopt the sanctions are prepared to assume the cost. so i think there is no doubt in my mind that some of what the israelis do has been designed to motivate the rest of the world in the actions that they themselves might think alter behavior. one thing that was quick from the beginning the israelis never wanted us to be against a rand. they want us to be a world

against iran so i have no doubt some of the purpose of, some of the reason to have seen in some of what they have said is to motivate the rest of the world. by the same token what makes a credible is the fact that they view this in existential terms. again, ehud barak was stating that yesterday so if you see it in existential terms obviously here as well -- where you will develop the capability to try to deal with that are good does it mean that, are they just posturing? no, i don't think they are just posturing but i think they are is no doubt that some of what they have done has had an effect on others. again i go back to the fact that the fact that the israelis themselves believe crippling sanctions work suggests there is an alternative to the use of force which i think they hope will actually succeed. >> thank you.

>> would you hit the mic button? >> ambassador you laid out very important points about the arabs really controlling a lot of the political process and the most important issue to them as jobs. walter isaacson wrote a fabulous book about steve jobs and given -- a different kind of job, but i think they are very connected because the arab is -- to the internet and there's so much on facebook. why is it that the u.s. administration is so slow to come forward with facebook applications that teach job empowerment tools like how does get a loan and start a small business and how to market your business through podcasts and other thing on facebook so that we can be ready for a post-apple world in the arab spring? >> i don't represent the

administration any more. but i think if you had somebody here from the state department, certainly the secretary of state has put a premium on the new media and connecting with the region using the new media. i think you raise an interesting point, that there are multiple applications for that new media. it's not just a vehicle for communicating. it's not just a vehicle for trying to create a certain kind of mobilization that it can also be something that can be used quite effectively to try to create jobs and to try to promote the public sector when we have an enormous stake in a success but frankly all these countries have an enormous stake in the success. if you look at one of the senior members of the muslim brotherhood over the weekend was

talking about the importance of assistance coming from the outside but he was also putting a premium on their interest in promoting and responding to their economic needs so i would say this is fertile ground and we need to be thinking about how we can add to it, how creative we can be and your suggestions are well taken. >> we are very engaged i can assure you entrepreneurship on facebook and on ge entrepreneurs if you want to look us up. we don't have all of our followers on facebook however we reach and media -- we have an entrepreneur in egypt and we were in marrakesh together. we have been very active with

jordan and other places and we have just received -- from the king of jordan. where we brought in silicon valley people. >> i was going to add and give shelley a shout-out. one of the things we have done is we have served as a secretary for partners of new beginnings which comes out of what secretary clinton and condi rice wanted us to do with the palestinian -- in which we try to set up both jobs, entrepreneurship, economic investment and we were just a marrakesh and terry albright the cochair came with us and in each one of these regions, and we met with people leading the facebook groups and i can also. >> as a former head of the

broadcasting board of governors, we have the tools for people who want to and the work with facebook and twitter and others to make sure it's safe and that firewalls can be broken and anonymity can be assured when need the. all of that to create a sense of partnership with the u.s. in the arab world and creating entrepreneurship and jobs and i would urge you to talk to some of our people here on the partners for new beginning and what we have tried to do. and jim was in marrakesh as well just two weeks ago, right jim? >> i'm extremely familiar with this very vital work that shelley is doing and you are doing that with all due respect it was not filmed and put on facebook in their back and in fact you are doing extraordinary work in so many different places where you go on google and try and google lead in arabic, you can't find it.

and you could have a force multiplier and leveraging of the economic investment in these fabulous programs you are doing if you were to podcast them, put them in arabic on the web and they were widely broadcast. >> we have an innovation commission meeting on the broadcasting board of governors next week in which crowdsource translation into all of the languages. we are trying to work that out, but obviously, especially with the international broadcasting institute it's done in all languages and you are right we have to be faster and more nimble on it and people like allen at the state department have been pushing hard. korean, sorry from the carnegie endowment, correct? >> thank you. my question dennis is the to

enormous -- to iran and hezbollah was the fall of the assad regime in syria. i wanted to know if you think the israelis have any ability covertly or overtly to expedite the fall and is that something that they would be willing to pursue? >> you know, i would not exaggerate it in that respect. without knowing, my assumption is that you are much more likely to have other arab states who are much more active in that regard than the israelis are. i think we israeli region is quite different and if you are going to see a change in the regime which as i said i think is coming. it's only a matter of time that the longer it takes the worse it

is for everybody. the worse it is for syria to itself and the worse it is for the effect on its neighbors. the less likely you're going to have the transition that is manage. that is why i say i think it's important to try to accelerate the process of the change and i think the more we can put the pressure on the russians to realize that they can be of pivot in this, because they really do want to preserve their position in fact they should be the ones who are seen as somehow helping to preside over the transition. otherwise i think you will see this position will stay valuable to syria and they're the ones put in jeopardy. ..

jordan doing same thing, and my question is, after jordan's -- his king is agreeing to help us, but after this kind of -- not control. who will be taking care of this situation? all areas now and brotherhood and egypt and everywhere, and we need to hear some kind of special guideline so we can make middle east peace process, and another question is regarding the israeli issue and the

israelis -- but lebanon and -- northern part is hezbollah and southern part is ham mass, -- hamas, and if there is something wrong with iran, hezbollah and hamas will not stop. thank you. >> i thought you were going in a somewhat different direction so let me try to pick up on in of the points you were raising. i thought the kind of first point you were raising was this question of whether the u.s. has friends, and friends are not adopting the kinds of political reform postures they might that ultimately we're going to find that sustaining stability in those places is going to become

increasingly difficult. i do think that the -- you're referring to the king of jordan, who i was talking about, is playing a very important role right now in the peace issue, and that's a fact. i think he is -- he has been quite mindful of trying to get in front of the reform process. i think he is still wrestling with the best way to introduce it in jordan. he has looked at different models. he has looked at what is going on in morocco, where you had elections, and where you actually have a government -- a prime minister who is from the party that won those elections. but that the king retains responsibility for security and religious affairs, which, again, because -- like in jordan, you have leaders who are able to trace their lineage to the

prophet, and because of that, they do have a certain, i think, credibility and legitimacy, and i know the king of jordan has looked at the more -- moroccan example others one argentina emulating. he has looked at the timing of elections and he is working on this, and i know from when i was in the administration, this is something that we talk -- i think the administration talks in a very, i think, intensive way with him. these are -- none of these are simple kinds of problems. you're faced with dilemmas. you have to make choices, but i think there's a general direction that we have to be mindful of, and i do think that no one in the region is immune from the changes that are taking

place, so it makes sense to get in front of the changes so that you own the process and don't become the victim of the process. >> woodrow wilson center. >> the glue is going to be in time for the next four or five days. the day after tomorrow. is there chance he is the turkish foreign minister going to -- is there a chance that the administration might use again turkey as a go-between after the previous, you know -- we won't call it fiasco, but misunderstanding, to really send a serious message to iran. number one, and, number two do you think that there is still a chance or possibility for

engagement? >> on the second point, the answer is, yes. i do. i don't think -- again, i don't want to keep repeating the same point. i don't speak for the administration, so the administration hat plenty spokes people. i think from the time i was in the administration until the time i left, the administration never closed the door to engagement. ever. now, i also think that the relationship with turkey has -- is, i think, a close relationship. i have no doubt that there will be a kind of extensive discussion when he is here on this issue as well as many others. i don't know that the administration is anxious for go-betweens but there's no doubt in any mind that the administration has consistently used a variety of different

messengers. one of the reason for the fact of the door to engagement was never closed, and one of the reasons the effort of engage independent the first year of the administration was an outreach, was precisely because there was a fundamental concern if you were going to have any possibility of producing a diplomatic outcome, the united states needed to be able to talk directly with the iranians and not having others interpreting us to them and them to us. that's been the pattern since 1979. there have been, as you know, a limited number of exceptions, but they were always on specific issues. they're always episodic, and they were never systemic. and so i think we need less go-betweens and we still need the ability to talk directly with them. i don't think -- when the administration sort of shaped the strategy that was behind some of the initial effort -- wasn't designed to focus on

how -- the initialert was focused on how to reach out. if they didn't respond, you could use the fact you were reaching out, but if you're trying to produce a diplomatic outcome, pressure is a means and not a end, and you leave a way out in case the iranians are willing to take it. you know the history better than i do. but it is a fact that home -- komen knee, he understand the cost of not doing it. when the assassination of disdidn'ts in europe was going on, that was policy, but they dropped the policy because the price was too high. when they engaged in suspension of enrichment in 2003, it was at

a time when they thought they might be next. i also felt -- many people debate this issue -- they actually -- the either acquiesced in the proposal at the same time that was real. were they really representing them or,acquiesced or are knowledgeable. it was potentially interesting. that should have been tested. if it wasn't real you would expose it as not arrest if it was real, you have been in a different place. the reason they ac we eased on the process sal, which was across the board, was because after we had defeated the iraqi army in three weeks, an army they couldn't defeat and basically had to accept a cease fire with, they thought they were next. so, there is a pattern here that when the pressure is sufficient, they seek a way out. will they do it this time? i don't know.

i think a context has been created where there is a chance for diplomacy to succeed. i don't suggest it will be simple. and i also can envision what the character might look like and what some of the choices on each side might be. i would certainly like to see that take place. >> last question. my partner, of the u.s. palestinian partnership, and the american task force on palestine. >> thank you, partner. always a pleasure to see you. you have referred to two arab initiatives taking place. one the jordan janishtive, and then the -- and con sillation. my question to you, do you view

these as two separate unrelated initiatives or there is a coordination between them? there is a possibility of conflict between these two separate initiatives? . >> good to see you as well. not surprising you have asked what i think is both an interesting and the kind of compelling question. once again, i'll say, i don't know. one of the things -- when it comes to this region, the notion of humility is not only called for but from time to time you actually say you don't know, which i often times an understated reality in this city. the truth is, i think it's -- there is often times good reason to say you don't know. but i will come back to what i said earlier. you know, you follow this as closely as anybody. we know how long the issue of

reconciliation has been discussed. we know how many times we have seen announcements made about agreements. now, it isn't to say at some point such announcement may not actually be quite meaningful, and i don't know if this is one of those moments. it could be. it is -- it could reflect a basic judgment that -- he has said many times, you know he wasn't going to run in the next elections. you also know that he talked that he wants elections by may. so, it's possible that he is doing this because he is quite serious about wanting to move towards elections in that time frame. so, i don't know if this is the case now. it could be that it's a case of keeping options open. i do know that it will be

problematic when seen from this city, and i do know it will be problematic when seen in israel. so, i'm hoping that it's like some of the previous efforts, that while it may be a step, it's not necessarily a step that where everything is finalized, and i'm -- i remain quite hopeful that what the jordannans are doing to instill bear fruit and i think it deserves the chance to bear fruit. . >> as urge, dennis, absolutely fascinating. thank you very much. [applause] >> those who want a little more information on our middle east program, jim is there, i say gabe and chris and anybody else who is there. just check with them and get more involved in the middle east programs. thank you all for doing this. appreciate it.

[inaudible conversations] >> up next on c-span2 booktv, new hampshire governor john lynch delivering his final annual address to state legislators. then more state of the state addresses from tennessee governor, virginia gov, and delware's governor.

>> i hear an excuse why not to do it but rather the fundmental philosophy of try to rearm people with an education so when they go into the work force, they have an additional tool. >> to link the social insurance program designed and for 70 plus years functioning to provide financial support when you lose your job, to a climate you have to be in this training, i think, first of all, won't work due to some of the practical considerations, but second, i don't think it contradicts the notion you're suggesting, that the more education you have today, the better off you'll be in this economy. >> watch the rest of this meeting online at c-span.org. [applause] >> a new america where freedom

is made real for all, without regard to race or belief or economic condition. [applause] >> i mean a new america which ever lastingly attacks the ancient ivy that men can solve their differences by killing each other. [applause] >> as candidates campaign for president this year, we look back at 14 men who ran for the office and lost. go to our web site c-span2.org to see video of the contenders who had a lasting impact on american politics. >> the radical lib rat left continue to offer only one solution to the problems which confront us. they tell us again and again and

again, we can spend our way out of trouble and spend our way into a better tomorrow. c-span2.org/thecontenders. >> next, new hampshire governor john lynch lays out his priorities for his final year in office. he talks about collective bargaining rights as state employee and gay marriage. in 2009, governor lynch signed legislation making new hampshire the sixth state to legalize gay major. the new hampshire democrat was elected governor in 2004. this one-hour speech is courtesy of new hampshire public television. [applause] [applause] >> thank you all very much. [applause]

thank you very much. thank you. [applause] >> thank you all very much. thank you all. how how about dartmouth? if anybody can get it to snow, it would be them. and if any game is going to win the super bowl, it will be the new england patriots. [applause] >> so, mr. speaker, mr. senate president, members of the judiciary, honorable members of the executive council, house and senate, and my fellow citizens of new hampshire. first, let me take a moment to thank our great first lady, dr. susan lynch. [applause]

>> for eight year susan has juggled our family andmer medical practice while serving organizations such as walk new hampshire, and the proudy, she been a strong advocate for children and families, so, susan, thank you. thank you for your love and support of your family and me, and for your commitment to our great state of new hampshire. thank you. >> i also want to recognize ray

wieczorek, thank you for all your service to manchester. [applause] this fall, american combat troops left iraq after more than ten years. countless new hampshire citizens have served in the support of the wars in iraq and afghanistan, leaving their families behind as they risked their lives for all of us. in these past ten years, 58 knew. citizens made the ultimate sacrifice. one of my most humbling and moving dutities has been to represent the people of new hampshire to the families of the

fallen, to offer the heartfelt thanks of a grateful state. i have had the tremendous honor of learning about the lives, joys, and the loves of the people behind the uniforms. meeting their parents, their wives, and their children, the people who in the words of abraham lincoln, have laid a sacrifice on the altar of freedom. please stand and join with me in a moment of silence for our fallen. >> thank you very much. i am proud to serve as commander in chief of the new hampshire national guard. whether they are responding here at home to a flood or ice storm, or going across the world to protect us from the threat of

terrorism, guard members answer the call to serve. they and their families sacrifice so much for all of us, and they serve with dignity, with honor, and with courage. in september, colonel pete corey of littleton brought 700 members of the 197th fires brigade home safely from kuwait. i i'd ask colonel corey to stand so we can thank him and all the men and women of new hampshire who served our nation in the armed forces. [applause] >> we were led today in the

pledge by david clark. a resident of the veterans home and a vietnam veteran. he is joined today by men and women from the veterans home who served our nation in world war ii, wore ya, and vietnam. is it easy to take for granted the freedoms we enjoy as americans, the freedoms we exercise every day in this building as we debate. we must never forget that the blood and sweat and tears of our veterans paid for every one of those. let us thank them and all our veterans for their service to our country, and for protecting our liberty. applause. [applause]

it is my great honor to report to the people of new hampshire, for the fourth and final time, on the state of our great state. now, you know what i'm going to say next, i'm going to say it's because it's true. i believe that we live in the greatest state in the greatest country in the world. [applause] and you know, as governor, i think about that every single

day. there is something so special about new hampshire. our extraordinary and caring people. our sense of community. our independent spirit and yankee frugality. the creativity and ingenuity of our people. our strong connection to the land. i have the opportunity to see all parts of new hampshire, businesses and nonprofits, schools and employment offices, veterans' homes and police stations. i meet people from every walk of life, from the fourth graders whose state house tours brighten my days, to the ceos considering moving their companies to our great state. and i can tell you that the state of new hampshire is strong, resilient, and caring. [applause] we gather today in the state

house. a powerful symbol of our commitment to citizen involvement, democracy and transparency. its golden dome reaching toward the sky beckons us to aspire to great things, and a greater future for our state. in our best moments, this is a place where we can find common purpose in service to our fellow citizens. here we can make a difference for the people of new hampshire. but this building is only a small part of new hampshire. the heart and soul of new hampshire, the true strength of our state, lies outside these doors, with our people. we see it every day, as people from across new hampshire come together in common purpose, in ways large and small, to serve our state and to serve each other. take the number food bank. where thousands of volunteers work to make sure families don't go to bed hungry. under melanie gosselin's direction, the new hampshire

food bank distributes seven million pounds of food every year. let's thank melanie, who is here today, and all of the food bank donors for their work. they show a the giving spirit of new hampshire. [applause] thank you, melanie. at londonderry high school, 232 people, mostly high school girls, in a selfless act of giving, lined up to off their hair in support of those living with cancer. students who organized the drive, along with their teachers, steve juster, are with us here today.

let's thank them for their generosity. they showed the true heart of new hampshire. [applause] when tropical storm irene hit, it devastated a number of north country roads right before fall foliage season. early estimates were that it would be impossible to open some roads, including the kancamagus highway, until spring. that would have devastated our tourism business, but employees at the department of transportation, partnered with private contractors, to open the

kanc in just 15 days. dennis ford and john paul-hill yard, two of the dot maintenance supervisors who led the efforts to re-open roads damaged by irene. let's thank them and their crews. they show the strength of new hampshire. [applause] >> the people of new hampshire work together every day to solve problems and to make our state a better place. in our work over the next year, let us take our inspiration from them. let us find, under this golden dome, that same sense of common purpose that unites our

citizens. many new hampshire families have experienced hard times in the last several years. some have lost their jobs. some have lost their homes. many have seen their savings dissipate. even though our unemployment rate is one of the lowest in the nation, too many of our neighbors are still looking for work. we cannot rest until every person who wants a job can find a job here in new hampshire. [applause] our first priority remains putting people back to work. and we have a strategy here in new hampshire that has made us a national leader. we've invested in our students

and our workers. we've ensured that state government is open and accessible to citizens and to business leaders. we've worked to protect our quality of life and environment. we've kept state taxes among the lowest in the nation. and we've traditionally recognized that state government has basic responsibilities it must meet and it must fund. if you look at any national statistic, you can see that our strategy is working. we have the fourth lowest unemployment rate in the nation. we are routinely ranked as the most liveable, healthiest, and safest state. we've been named the best state in the country to raise a child four years in a row. [applause] so as the husband of a

physician, i urge us to don't the cardinal rule of medicine: first, do no harm. we can build on our success, but overall new hampshire has a strategy that is working. let's not mess it up. [applause] our greatest economic asset is our people. we have a responsibility to them, and to our state's economic future, to make sure that new hampshire's workers have the skills they need to compete for good jobs. my background is in manufacturing, and i understand the special value that comes from making things. manufacturing is still the

heartbeat of new hampshire's economy. its value is firmly rooted in our history and in our ethic of hard work. from the manchester mills, today a center for high-tech inning newt, developing products that are changing the world. to gorham where the re-opened paper mill is once again producing high-quality paper goods. manufacturing is alive and growing in our great state of new hampshire. [applause] manufacturing creates good-paying jobs that help families live better lives. but manufacturing like every industry today, demand workers with new, more advanced skills. that is why we're investing in building the work force to meet the needs of today's manufacturing companies.

albany international, a nearly billion dollar company, could have located anywhere in the world, but its leaders chose new hampshire. to ensure albany has the work force it needs, we're partnering with the company to create an advanced composites training program at the great bay community college. that is one of the reasons why albany is bringing hundreds of jobs to the city of rochester. as part of our efforts to get people book to work, we launched new hampshire working. this program has already helped avert the layoffs of more than 1200 workers. it has helped companies hire hundreds of people by allowing up to six weeks of on-the-job training for people collecting unemployment. and this fall, we launched its final component, which is helping unemployed workers assess and upgrade their job skills. other states are now looking to

emulate new hampshire working, and we're going to keep building on this innovative effort to help our people get back to work. [applause] through our job-training program, we've partnered with companies like new hampshire ball bearing in petitionerbrow, and osram sill cran ya in hillsboro to make sure their workers are able to tackle today's job requirements. in all, we have trained close to 12,000 workers as about 200 jobs here in new hampshire. >> job trainening works for our businesses and works for our workers. if we invest in our people, we will keep those good jobs right here in new hampshire.

[applause] building our future work force starts with making sure all of our children receive a good education, from kindergarten to high school graduation, and through college if that is the course they choose. we increased funding for public schools, investing in modernizing facilities at the time colleges and universities, and at long last, made kindergarten available to every student in every community in new hampshire. [applause] education opened up a whole new world of opportunity for me.

i want every child in new hampshire to have that same chance, especially a high school graduation. that's why we ininvested -- we increased our compulsory attendance age from age 16 to 18. we've invested in alternative education programs. and as a result, we have cut our annual dropout rate in half. [applause] so at a time when high school dropout rates are of epidemic proportions in other states, which is what they are -- here in new hampshire, we have lowered our high school dropout rate to a remark remarkably low 1.16%. [applause]

and we've made so much progress because teachers and schools from the "pass" program in manchester, to the bud karlson academy in rochester, have made eliminating high school dropouts their goal as well. they've brought commitment and creativity to the effort to help every child succeed. why we have one of the lowest dropout rates in the nation, there was a slight uptick this year. we should reexamine cuts -- recent cuts to the dropout prevention program that help teachers keep their students engaged in school. this is a fight our state can't cannot afford to lose. [applause] every new hampshire child should graduate from high school.

to strengthen the opportunity for all of our students, we need, however, flexibility to direct more aid to the communities and to the the children with the greatest needs, and that's hard to do under the current supreme court rulings, which requires a state to spend the same base amount for every student and in every town. that is why i believe we need a constitutional amendment. [applause] now, i support a bipartisan amendment that would improve our ability to give every child the opportunity for a quality education. i remain committed to working

with any legislator who shares the gel of an amendment that allows us to target state education aid and affirms the state's responsibility to our schools. and i will oppose any amendment that would allow the state to abandon its responsibility for educationing our children. [applause] [cheers and applause] our teachers are the heart and soul of our schools. i love teachers. they invest so much of themselves in helping young people learn. at windham high school, the passion and energy of this

teacher is inspiering students to love science. please join me in welcoming beth any bernasconi, new hampshire's 2012 teacher of the year. [applause] teachers like bethany are what help make a school great. but no matter how great the teachers, it can be hard for children to learn in dilapidated buildings. over the past decade state funding for building aid has doubled. but there are still some districts that haven't been able to afford to fix even the basics at their schools. we need to put in place a reform

building aid program. i support legislation that will establish a building aid budget, prioritize projects, and increase the match available to school districts with the greatest needs. every child in new hampshire should receive a quality education in a good school building. [applause] to compete in the future, new hampshire will need more workers with backgrounds in science and engineering, technology and math. that's why so many businesses have joined with programs like first robotics, to inspire students to pursue careers in these fields. many of those jobs will require higher education, which is why we must make it financially possible for more of our students to go on to college. the most recent budget reduced state funding to our public

colleges and universities by half. this is exactly the type of shortsighted reduction that undermines our economic strategy and jeopardizes our vitality for years to come. [applause] that reduction hurt new hampshire students and families struggling to pay tuition. some students may not be able to afford college at all. and there may be fewer spaces for new hampshire students at our own colleges. these cuts also put businesses trying to grow in new hampshire. and send the wrong signal to the companies we are trying to attract. an educated work force is the

core of our state's successful economic development strategy. for our economic future, we must make it a priority to restore funding for higher education. [applause] in addition to educating our future workforce, our public colleges are economic engines in other ways. two years ago we partnered with the university of new hampshire to create the green launching pad. the launching pad works directly with startup companies and entrepreneurs, connecting them with faculty and students to provide expert assistance, and with business mentors and angel

investors. since its inception, the green launching pad has helped to launch 11 companies in new hampshire, and every one of these companies has created jobs. at enertrac in hudson, they developed remote monitoring technology for fuel tanks. this allows customers to become more efficient, reducing operating cost by as much as 40%. when they were chosen to participate in the green launching pad-the-company had just three employees, and just 200 monitors installed. now it has 25,000 monitors in player, 140,000 units on order, and the "help wanted "sign is out. [applause]

i believe in balanced budgets. and i am proud of the work we have done to maintain a balanced budget in these very difficult times. as a result of our strong financial management, we end edifice school year 2011 with a surplus. [applause] as you look at the current fiscal year 2012, there are some promising signs. in addition to carrying forward a surplus, business taxes, which are the state's biggest revenue source, are running 6.4% ahead of last year. but there are challenges as well. starting with the $14 million deficit the legislature built into its budget for 2012. the 10-cent cut in the tobacco tax has basically wiped out much of the gains in business tax

revenues. -- [applause] >> already, tobacco revenues are running $13 million below last year. as a result of a federal audit of the 2004 uncompensated care program for hospitals, the federal government will reduce its medicaid payments to new hampshire by $35 million over the next three years. through strong management and slowing caseload growth, the department of health some human services absorbed this year's federal reduction without additional program cuts. the current budget dramatically reduced uncompensated care payments to hospitals. as a result, hospitals have been challenging current and past medicaid enhancement tax payments. we have resolved the major issues with the federal government and we expect the hospitals to now meet their obligations. but the legislature must also consider how to repair this

fractured relationship with our major health care providers. with the 2011 surplus, and assuming the hospitals pay the taxes day owe, we should be able to end fiscal year 2012 balanced. that's my goal because that's in the best long-term interest of new hampshire. [applause] i am proud that new hampshire has among the lowest state taxes per capita in the nation. and i have been and i remain committed to vetoing an income or sales tax. [applause]

there are tax reductions that can spur job growth here in new hampshire. innovative companies create jobs and lay the foundation for a stronger future for our state. five years ago, we put in place a research and development tax credit to attract companies to create the products of the future here n right here in new hampshire. this year, i am proposing that we double the research and development tax credit. [applause] this is a tax credit that works to help create jobs. the same cannot be said of the cut in the tobacco tax. [applause]

the cut in the tobacco tax was nonsensical. that money would have been better spent on our community college and university systems, for example. we should roll it back, and use the revenue to invest in our economic future in new hampshire. [applause] a good transportation network is the lifeblood of our economy. it is critical for transporting goods, for ensuring an enjoyable experience for our visitors, and for the quality of our citizens'

lives. and we have made great progress in the past seven years. by 2013, traffic will be flowing on a wider and safer spaulding turnpike. opening up new economic development opportunities from rochester to portsmouth. the airport access road was completed ahead of schedule and under budget, bringing new opportunities to businesses in manchester. to reduce traffic for visitors and residents we have installed open road tolling and will complete open road tolling by mid-2013. [applause] everywhere i go, i hear about the difference that these transportation projects have made for our people and for our businesses. on all these projects, we came

together, we made the difficult decisions on how to pay for them, and we made them happen. and that is what we need to do with the widening of interstate 39 from salem to manchester. [applause] >> interstate 93 was built in the early 60s. for 20,000 cars a day. now we can see as many as 100,000 cars in the salem area. with the available funding, the interstate 93 widening will sputter to a dead stop in wyndham. delaying this project hurts our citizens who must commute on that road every day. it hurts the businesses that depend on i-93 to transport goods. it hurts our tourism industry. and it undercuts the economic

development of land that would be opened with a new exit 4a. right now, bids for road construction projects are coming in nearly 10% below estimates. the cost of capital its at an all-time low, and key permits will expire in 2020. smart financial sense says we should be pushing forward with this project now, while it is less expensive. last year i called on the legislature to come together to fund the expansion of i-93. not only did the legislature not act on i-93, it cut overall highway fund revenue $90 million. alone will not raie $365 million needed to complete the project. i am willing to put reasonable options on the table. and i'm asking the legislature

to do so as well. if we come together and show the necessary political will, we can complete the widening of inter93 through manchester in just four years. [applause] the people of new hampshire are waiting. we can and we should finish widenle interstate 93 by 2016. now, we hear from some a lot of antigovernment talk. but to me that doesn't make lot of sense because government, after all, is all of us. the people of new hampshire. and it exists to serve all of us. responding to fires. keeping our streets and our neighborhoods safe.

caring for our sick and elderly. protecting our clean air and water. our focus shouldn't be on attacking government. it should be on improving government. making government better. [applause] that's why we are making it easier for businesses to navigate state government with a new online business one stop. this one stop will provide business owners with streamlined access to the steps they need to take to open or expand a business, including one licensing system for all our boards and commissions. this is just one of our many

efforts to make government more transparent and to improve critical services. we've cut outdated programs, eliminated unnecessary offices. centralized purchasing. put more services, like driver's license renewals, online. reduced personnel. under chief justice, the courts are moving forward with restructuring and ecourt efforts, and we've put the state checkbook online so that taxpayers can see where their money is being spent. [applause] now we're working to consolidate our human resources across the state government. the department of health and human services is moving forward with implementing medicaid managed care. at the department of corrections we issued requests for proposals

to examine new approaches running our correction system. state agencies are working hard to do more with significantly fewer people. we need to devote our employee resources to providing direct services to our citizens, rather than writing reports that no one reads. that's why i am proposing streamlining legislation to eliminate oar reduce the frequency of 100 time-consuming reports, reduce the paperwork it takes to buy small items, and combine the administrative functions of 34 boards and commissions into a new office of professional licensure. three these efforts have taken lat of work of employees across state government, starting with agency head. in tough times, they have worked with creativity to ensure that the state provides crucial services. our agency heads worked so well together, and they are

absolutely dedicated to the people they serve. i'd like to ask them all to stand, so we can thank them. [applause] in... ...

[applause]

>> iowa respect the contributions of all of our workers and i will never take away their right to organize. [applause] too many families lost their homes because of deceptive marketing practices but we have turned the hands of the attorney general's into protecting the consumers almost alone in the nation because of the change in the law a decade ago. our attorney general asked the authority to prosecute unfair trade practices in industries

like banking. the exit of counsel and i spent a lot of time looking at this issue in coming and we stand united in calling on the legislator to restore to the attorney general the power to protect consumers run by abusive mortgage practices. [applause] helping those hurt by the market crisis is in and purchased about economic recovery and we need to act now want as we look to continue to build our economy we need to consider the non-governmental cause that in that company's ability to grow and compete and on the top of that list is health care. the problem with health care in

our country is not that we don't spend enough money. here is enough money in the system we just don't spend it efficiently. changing that is all of our responsibilities. consumers, providers and insurance companies. through the citizens of the initiative we've been working to spur change in our health care system. we've completed a promising home pilot regarding providers and small monthly fee is so they can spend their time managing and coordinating the care of their patients. medical care done right can lead to better and less expensive care. the results are promising individual insurers, providers and medicaid programs are working to expand this model across the state's my goal is to continue to build on the pile wet to move new hampshire away

from the inefficient fee-for-service model rich weave dockery word civilization to the model that rewards good care and saves us money. as we innovate with our health care system here in new hampshire, we must also consider the impact of reform and nationally. states like utah have adopted health insurance exchanges because they benefit businesses and benefit citizens. a well-designed health insurance exchange can make it easier for businesses to compete and to compare and obtain affordable health insurance. and i certainly don't think we want the federal government to decide in exchange for us here in new hampshire. that is why i think we must look forward now with designing our own exchange for all the people and businesses and our great state. [applause]

over the past eight years we've worked together to preserve acres of space to reduce mercury pollution to protect our clean water. we are building a new energy future with an energy efficient fund to help residents cut their energy costs and new standards the spurring renewable energy projects. now we have new plants under construction as well as a new plant that will help create 400 construction jobs and contribute enough home grown energy to power about 70,000 homes. these were bipartisan efforts because new hampshire citizens have long recognized we have a responsibility to cherish and preserve our natural resources.

i strongly believe that the new hampshire environmentally give to our children and two grandchildren should be just as good if not better than the one that was given to us. [applause] that is why i will stand firm against bills that underlie our environment. one of the biggest issues facing our state and our environment is the proposal for northern past. now i support bringing more renewable power to our state. it's in our long-term interest to diversify the power sources,

and i don't think we should dismiss out of hand the idea of hydropower coming from canada. but the proponents of the northern pass need to listen better. this project cannot happen without local support, and it should not happen with eminem domain. [applause] as lawmakers we have responsibility to think of the long-term consequences of our actions. that is why i oppose expanded gambling. new hampshire has developed a brand that has led to our economic success. i do not believe that the

monetary benefits of expanded gambling outweigh the risks that it poses to new hampshire quality-of-life on our existing businesses and workers and our economic future. that is why i will veto legislation allowing casinos here in new hampshire. [applause] i am proud that new hampshire is one of the safest states in the nation. that is due in large part to the dedicated work of the members of several enforcement community and the smart and sensible law that we put in place. i support the right of our citizens to bear arms. we have had a long bipartisan tradition of reasonable laws the balance the rights of gun owners

with the need of public safety. unfortunately, there is a ration of proposed legislation the would undermine that tradition from a bill repealing the gun licenses to a bill forcing colleges to allow guns in classrooms and dorms. we should always make public safety our highest priority. these bills are wrong for public safety and they are wrong for new hampshire. [applause] new hampshire has a long and proud tradition of fighting for the rights of all of our people

and the tradition of leaving people alone to pursue their own happiness to. as governor i intend to uphold that a century-old tradition and i will stand firm against any legislation that would strip any of our citizens of their civil rights. [applause] finally, i would like to talk about how we deal with each other and the people we serve. if there is a harshness in the air and the tone and the nature of our communications and particularly within this building, that isn't healthy for our people and it's not healthy

for our democracy. we can disagree without demonizing one another. vigorous debate is important, but our citizens expect us to behave with dignity and with respect. the expect us to look for common ground and common purpose. we can find inspiration and models that follow our people who showed us every day care to come together. peterson are role models of mine because they always put public service first. we lost walter this past year but his memory and his example live on. dorothy and walter never let political defeat lead to bitterness. delivered let politics stand in the way of service and they always looked to find ways to bring unity. please join me in the thinking dorothy peterson who is with us today for her service.

[applause] [applause] our citizens have shown us over and over again that when we stand together we can win any battle. when the federal government threatened to close the neighbor shipyard workers, lawmakers, local businesses in the communities came together to fight to keep it open. it seems like we have everybody against us. the navy, the secretary of defense, the pentagon.

but we have the facts, we have unity, and together we kept open the best shipyards in the country. [applause] we have with us today to of the workers who helped lead that fight, paul o'connor and j.j.. [applause] [applause] if and now there are plans for a

new round of closures while we stand ready. [applause] we are not going to let them close our shipyard. this is not a partisan issue of this on a note that all of new hampshire will stand together. [applause] so, j.j. and paul, let's get out the t-shirts, let's get ready to showcase our wonderful shipyard workers. let the federal government tried. we are going to win, we are

going to win again, and we are going to win together. [applause] i believe the interest of our people, the interest that unite the people of our state or greater than those that divide us. i'm ready and eager to continue to work with you to make state government more efficient, to rebuild a war roads and bridges, to strengthen our economy and help get our people back to work. that is where i hope we will put our focus during this coming year. if we work together in the great tradition of new hampshire, i believe we can find areas of common ground to build a stronger future for all of the citizens of our great state. thank you very much. [applause]

[applause] tennessee governor gave his state of the address before the joint session of the general assembly. he talked about his $31 billion spending plan that would raise the pay for state workers by 2.5% and cut more than 1100 state jobs across tennessee.

from the state capital in ashbel this is 35 minutes and is courtesy of the tennessee public television. [applause] thank you. please have a seat. thank you so much. [applause] thank you. lt. governor ramsey, speaker harlow, speaker pro tem wallsten, tim ruffini, members of the 107th general assembly particularly mcnally since it is his birthday. [applause] justices, constitutional officers, friends, guests, fellows and my favorite first lady ever. it's my response ability to night to report to you about the state of our state. as i do that i want to begin by telling you again how honored i am to serve as your governor.

in a little over the years that i've been in office i've been reminded time and again about the incredible state we live in and the inspiring people who call tennessee home. i have hope for tennessee because i have confidence in tennessee whether it's visiting with families after the last spring's deadly tornadoes sitting down with teachers for breakfast or spending time with the garden men and women in iraq and afghanistan i've been struck by the fact that tennessee in from all walks of life are willing to give of themselves to create a better state for our children and grandchildren. [applause] so, what is the state of our state? in many ways you're doing great. in fiscal response of the i am proud that working together we are carrying on that commitment to the taxpayers.

we have new jobs last year. the unemployment rate is the lowest its been since 2008. all across the country tennessee is being recognized as a leader in educational reform. but yet, all of us realize we have issues to deal with, unemployment is still too high and we are consistently in the mid 40's when the states are ranked for educational achievement. i don't think any of us should be satisfied. so i stand here tonight and ask you is the current state of our state good enough? no, i think we can believe in better. we can believe in better for how the state government serves tennessee to be we can believe in better when it comes to the education of our children and we can believe in a better when we talk about a stronger healthier economy for our state. [applause]

where shall we start? i think we start by looking in the mirror. i think we start by reminding ourselves of our purpose as a state government. it's my conviction that we exist to provide services for citizens they can't purchase themselves. our job is to provide those services at the lowest possible price, the price that's the taxes we pay. at the end of the day i think that is what people their state government to do, provide the very best services for the lowest price and the government accountable and spend their tax dollars as carefully as they spend their own but that's the problem isn't it? it's hard for folks to spend other people's money as carefully as they spend their own room. even worse it's easy to think the tax dollars are hours. it's here that it's best for all of us to remember what mark

twain said about taxpayers' dollars. in government, tennessee expect us to talk about results. it's our responsibility to identify a problem, take politics out of the equation and find a solution. people are so frustrated with washington today because when problems are identified politics are always put into the equation and there never seems to be any effort to find a solution. even when we disagree, in tennessee become together to move forward. a quick check of some of our sister states and washington shows not everyone is blessed with this common sense. here we do things differently. in tennessee we've been able to accomplish a lot in a short amount of time. last year we thought this on a limited number of important issues to make a meaningful difference and impact. we make significant reforms to make our legal system more predictable which will encourage employers to invest in the new

employees. we inform the the laws to prioritize results for our children. we expanded charter schools brittany's for students and parents and made the lottery scholarship available to students for summer school which encouraged them to finish school more quickly and help universities use their campuses more efficiently year round. in 2011 there are more than 28,000 new tennessee jobs created in over $4 billion in capital investment. [applause] our jobs for tennessee plan is working. we continue to focus on the regionalism and existing businesses and ki clusters that make no mistake that doesn't mean we are not taking our foot off the gas and pursuing new businesses for tennessee. i appreciate how well we've worked together on job creation. a good example is amazon. i'm proud we worked with amazon

to expand the company's presence in the tennessee to include in addition to hamilton and bradley, willson and brother fer counties, too, creating thousands of jobs and through that process we were able to reach an agreement with the company to get to them and to us moving forward certainty. we need help in passing legislation this session to solidify that agreement. as i said earlier, our role in state government is to provide services that tennessee isn't able to get on its own. we build roads, we all for higher education options, guard prisoners come help families about children, care for the mentally ill, patrol highways, serve veterans, propose hundreds of other services. to make sure we provide those services and customer focus and effective way. you know, whether it is in business, government or sports team with the best players wins. unfortunately in tennessee state

government. the rules always allow us to go out and recruit great players after we are like a college football team that can't recruit who plays based on who's been on the team the longest, not necessarily the best players are. whether you share for the tigers, the would-be the memphis tennessee state variety, the sky hawks, the blue raiders, the commodores, the governors or the i don't think you would be very excited about the season if your team followed that plan. you heard me say in the past but it bares repeating to might. we have to change the way we do government of limited state and federal dollars to work with they expect us to do more with less. to do that we must be able to recruit, retain and every word that best and brightest employees so we can get the type of service our citizens deserve.

that's why i introduced the team act tennessee efficiency come accountability management act. in the next five years almost 40% of our state employees will become eligible for retirement. so we embark on the challenge to recruit the talent to serve in the state governments we face a hiring system that's broken. the resource commissioner rebecca hunter posted sessions across the state to hear from state employees. but a number of issues with recruiting, hiring, managing and retaining talent. the participants representing fred agencies and have different job titles and responsibilities, differing lengths of state service and came from the executive service and civil service perspectives. what we heard from them is what you are hearing from me. our employment system is broken. let me be clear, this is not an indictment of our work force. i visited with employees and all

of our 22 departments over the last year. i seen firsthand of many dedicated hard-working and impressive people. this is about an antiquated system that limits how we can hire and limits growth opportunities for outstanding current employees. nobody else high years this way in tennessee exit the executive branch of state government. they face these restrictions and business is certainly don't. every time a citizen in trucks with state government it should be a customer friendly experience with an impressive state employee. i get a lot of feedback from across the state of employees who go over and above the call of duty. for example, there is maria stivers, she joined state government 2007 as a firefighter with the tennessee air national guard and now works in memphis. she voluntarily deployed twice as an air national guardsmen to iraq and kuwait.

maria, thank you for being here tonight and your commitment to the state and the country. [applause] and there's johnny crosby a correction officer at the special needs facility in asheville. he was recently appointed to the department's first tactical rapid response team which handles emergency situations. officer calls be, thanks for being here this evening and for the work that you do. [applause]

there's also stanford. last september while making a routine traffic stop he was shot in the chest. thanks to his arm our ability to focus on his experience, his training in his bulletproof vest he survived. trooper stanford, we're grateful you are here tonight. thank you for putting yourself in harm's way to serve our state. thank you very much. [applause] and finally i would like to introduce you to authority year employee of mental health. doris pruitt is a counselor of the western mental health institute. she's described as strong and compassionate with impeccable character and someone who approaches her work not as a job

but as a colleague. thank you for supporting our most vulnerable citizens and for being here. [applause] the five of us were talking before the speech today and i said that they represented thousands of outstanding employees across the state in the department couldn't provide them here tonight but these are the kind of people that we want to make sure we are hiring as we look at the lean and efficient state government of the future. we all understand, we are expected to do more with less and we need the best and the brightest to tackle complex issues for the people. another challenge of our employment system is the convoluted process of managing our work force. currently when the decision