Nixon White House Tapes — Conversation 015-004 Date: Wednesday, November 17, 1971 at 5:23 PM Participants: Nixon, Richard M. (President); White House operator; Ehrlichman, John D. Recording device: White House Telephone Source: https://www.easynixon.org/tapes/015-004 This transcript was generated automatically by AI (WhisperX) and has not been reviewed for accuracy. Do not cite it as authoritative. [0:00] Hello. [0:02] Yes, sir. [0:03] Hi, John. [0:04] How are you getting along on that Percy matter now? [0:11] Well, Clark closed the deal. [0:14] Was he able to close it all right? [0:15] Right. [0:17] And I've been tied up this afternoon. [0:20] Clark sat with him, and they pretty well wrote up a little memorandum of understanding on it. [0:27] Now, the understanding, of course... [0:29] does not mean, in my opinion, that we put this in the budget necessarily. [0:32] That's correct. [0:33] Don't you agree? [0:34] Yes, sir. [0:35] Because we can still go forward with our... Well, that's the only thing that concerned me after I talked to you, that we having... [0:42] I don't want Percy to say that we have changed one of our major things of postponing welfare reform because of the need to implement it and so forth. [0:53] No, I think we can take the position that it's just too iffy, that it's a... [0:58] That it's something that we've agreed to support that we are not introducing. [1:03] And we're simply going to abide the outcome. [1:06] I get it. [1:07] Good. [1:08] In other words, you're supporting an amendment. [1:09] Good deal. [1:10] That's good. [1:11] Well, I think it's the less of two bad choices. [1:14] And it postpones and time's on our side. [1:18] Yeah. [1:19] Well, it really gets down to the fact that there's a chance of beating one and damn little chance of beating the other, as I understood. [1:25] That's correct. [1:27] Because even though we have both governors, the big governors, Gregg and Rockefeller on our side, each for different reasons. [1:33] One for principle and the other, well, both for principle. [1:35] Very much. [1:35] Rockefeller just believes that this sinks revenue sharing, and it does. [1:39] Right. [1:40] Isn't that his argument? [1:41] That's his argument. [1:42] Well, Reagan's argument is not that. [1:44] Reagan's argument is that it's going to mean an escalation of welfare costs. [1:48] And he's dead right about that. [1:50] It puts it on the top. [1:51] God damn that Percy for coming up with such a horrible thing. [1:54] Well, I suppose it's because of trying to help Ogilvy, huh? [1:57] Well, yes. [1:59] And then he's up this time. [2:01] Yep. [2:02] Yep. [2:03] I must say, though, that on the Ogilvy thing, will you now go ahead and try to help him with this? [2:08] We are going to help him. [2:10] All right. [2:11] I'd give him his nickels and dimes. [2:12] Well, the way we do it actually works very much to our advantage because it moves some welfare costs into fiscal 72. [2:20] I see. [2:20] And we'll pile them up in this fiscal year. [2:23] I get it. [2:25] Which is pretty well busted anyway, and take some of the load off for next year. [2:29] And that's what you're doing with him? [2:31] Right. [2:32] It helps his cash flow problem about $50 million worth. [2:36] My God, that's a hell of a help. [2:38] Sure is. [2:38] What the hell is he screaming about? [2:40] Well, he's not screaming now, you see. [2:42] No, he isn't. [2:43] It's our senator friend who took the bite out of us. [2:46] I see. [2:47] But Ogilvy feels pretty good, he should. [2:49] Oh, he feels fine. [2:50] Very great. [2:51] Yeah, because he's going to be able to survive. [2:52] Sure. [2:53] Okay, John, thank you. [2:54] All right.