Conversation 512-025

TapeTape 512StartFriday, June 4, 1971 at 3:14 PMEndFriday, June 4, 1971 at 3:35 PMTape start time03:52:11Tape end time04:12:14ParticipantsNixon, Richard M. (President);  Bull, Stephen B.;  Rockefeller, Nelson A.;  Kissinger, Henry A.;  Chapin, Dwight L.;  Ziegler, Ronald L.Recording deviceOval Office

On June 4, 1971, President Richard M. Nixon, Stephen B. Bull, Nelson A. Rockefeller, Henry A. Kissinger, Dwight L. Chapin, and Ronald L. Ziegler met in the Oval Office of the White House from 3:14 pm to 3:35 pm. The Oval Office taping system captured this recording, which is known as Conversation 512-025 of the White House Tapes.

Conversation No. 512-25

Date: June 4, 1971
Time: 3:14 pm - 3:35 pm
Location: Oval Office

The President met with Stephen B. Bull, Nelson A. Rockefeller, Henry A. Kissinger, and Dwight
L. Chapin

     President’s forthcoming meeting with Rockefeller

Bull, Kissinger, and Chapin left at 3:15 pm

     Drug abuse
          -Federal aid to New York
               -Robert R. Douglas
               -John D. Ehrlichman
               -Howard H. Baker, Jr. [?]
          -Federal program
               -Dr. Jerome H. Jaffe

     John V. Lindsay
          -Dr. W. Kenneth Riland
          -John N. Mitchell
          -Seabury Commission
          -Problems of New York City
                -Corruption
                -Inefficiency
          -Hoover-type commission

Aid to New York
     -Summer youth program

President’s forthcoming trip to Rochester
      -Announcement
     -Purpose
     -Paul Miller [of Associated Press ?]
     -Timing
     -Maine

New York fiscal problems
    -Compared to New York City
         -Taxes
         -Revenue sharing

Property tax reform
     -Wilbur D. Mills’ views
     -Substitution of revenue
           -Revenue sharing

State income tax levels
      -Effect on New York business
      -Uniform state tax structure

National economic changes

President’s foreign policy
     -Strategic Arms Limitation Talks [SALT]
      -Vietnam
      -People’s Republic of China [PRC], Soviet Union

White House photographs
     -Ronald L. Ziegler

Revenue sharing
    -Mills’ committee
    -Russell B. Long
    -Prospects
    -Mills
    -Democrats co-sponsoring bill
    -Governors’ activities

                -Richard B. Ogilvie
                -Warren E. Hearnes

     President’s dinner for Anastasio Somoza Debayle
          -Major General James D. (“Don”) Hughes
          -Hearnes
          -Chancellor of University of Pittsburgh Wesley Posvar
          -Class of 1946 West Point

     Somoza
         -Rockefeller’s schedule
         -Father
         -Dinner by President

     President’s schedule
          -President Emilio Garrastazu Médici of Brazil
                -Rockefeller
           -Dictators
                -Soviet Union
                -Romania

     Chamber of Commerce
         -Unknown man’s talk

Ziegler and members of the press entered at 3:29 pm

     [Camera noise]

     Revenue sharing

The press left at 3:31 pm

           -Hugh Carey’s efforts
           -Popular opinion

     President’s schedule
          -Rochester

     Revenue sharing
         -Senate hearings
         -Mills

The President, Rockefeller, and Ziegler left at 3:35 pm

This transcript was generated automatically by AI and has not been reviewed for accuracy. Do not cite this transcript as authoritative. Consult the Finding Aid above for verified information.

I was going to talk to Nelson about a federal one.
I don't think he's going to do any good.
I don't think he's going to do any good.
I don't think he's going to do any good.
I read that, I really read the paper this morning.
This is just the start.
I want to tell you that one of the very first weird, let's see, we can't do an evidence about that.
It's your little problem.
It's your whole thing that's been in the papers two or three days and I've written it.
I've written it.
I've written it.
who's great, you know, he's 39 years old, he's Jewish, he's tough, but understood the minority politics, you know.
And so where do we go out?
But the other thing is that in terms of, in terms of this fellow, I guess the reason I worry about it this way is this fellow, right about the waist, he's just pathological.
I said, now, I said, now, Kendrick, let's come back to this.
He said, no, he said, Nelson's too kind to go.
He said, I told him, just too kind to go.
I said, well, what is the matter?
He said, let's see.
I told him this morning, Nelson, and he told me, I just talked to him, and he said, well, he said, he thought you were practically done elaborating.
He said,
Lindsay's lost all his good people.
Lindsay can't keep anybody.
The city's a mess.
He raised the problem of the Seabury Foundation that you mentioned to me.
Anybody do that job?
Well, we just hang on to it.
I don't think his problem is corruption as much as inefficiency.
It's just incompetence.
So, if I go see- How about a capital one?
We're talking about the Hoover Commission.
Go with capital.
Capitalism, eh?
Yeah, go with capital, but call it- You think of it as a Hoover-type commission.
Exactly.
Rather than secret.
Exactly.
You're right, that's the wrong connotation.
But the Hoover Commission is terrific.
I mean, the capital is the ideal man.
Beautiful.
I think he would, because he loved it.
He loved the city.
You know, he grew up, he lived and worked there.
The main thing is he was programed.
He just, you know, he wanted to come back there.
And then he came out and said, No.
I know what you mean.
The other thing is that we were, we were, we were wanting some other ways to,
But the indications don't, as far as the numbers are concerned, that is not the case.
It's because the city has cut what it is doing.
We are putting more
we are going to try to find a way to see who can have to do it through your office too to see that you can it's the highest priority possible the other thing i was going to say when i recover briefly in rochester we will not have payments we should after all these reasons i got you and second therefore it will have to be a media briefing on domestic policy for the
I'll do a little foreign policy too, myself and all, but everything else will be domestic for the North-East.
And we do not want to announce that we're going to be there on the 18th.
We don't want to announce it too much in advance due to the late time for demonstrators.
But I want you to know that the 18th, if you would come, that would be fine.
They're very good, actually.
They're all top Indian people.
They give them various domestic programs.
You know that Paul Miller is there, and he's the president of the Associated Press, and has been at this.
Yes, I heard.
Very strong.
Nice.
He's a Colt P-18.
We'll do it.
Sunday the 18th.
Sunday the 18th.
No, that's the line.
That's the line.
That's the line.
That's the line.
Friday, June 18th.
I'm thinking about the right day.
Yes, it is, it is, it is.
Yeah, that morning, I remember now, yeah, that morning, I was doing something, and I fly up there, here, yeah, I do something here, and then I fly to Rochester.
That's right.
It is game.
Right, and then I go to, I think I'm going to Maine, and then I'm going to Iowa, and then I'm going to Mississippi.
But, uh, tell me, how are you?
How's everything going?
How are you doing?
Well, we're going to hope that it blows up the legislatures.
It's been rough.
We've turned our state around.
We've cut $150,000.
It's a difficult thing to turn around.
But I think that if we don't go bankrupt, that's about 18%.
And we've been involved with taxes.
So for them, first of all, we're awesome.
We have to watch our taxes.
And Mr. President, we just kind of raised the money.
We have the highest in sales tax, highest in income tax.
I don't feel proud of any tax.
I don't think we can spend the kind of money we spend.
The Washington cannot finance the rates we're looking for.
The nation won't.
No way, not with the kind of insurance we put together.
No.
Ah, however, I think we have to bear in mind, and we should know in that common word, we have a very hard month next year.
It would be, it would have been an idle gesture to suggest that we cancel it this year because of bills.
have indicated that we don't tax this year.
But next year, I think Nelson has got to move on tax reform.
And I think we have got to move in a way that we can really prompt him to do so.
In other words, I don't know what the best answer is, but we talked about it earlier.
But there are many factors that excite him that he can't, but he will have.
So we need an additional source of revenue
a different source of revenue at the national level than it does in the U.S. states and cities.
The issue we've got to be is looking at those people and say, well, here's property taxes from the U.S.
Yes, I do.
That's going to be very difficult to accomplish.
Because those are local taxes.
The local governments, whether it's a county or a town or a village or a city, just press them on.
Yeah, yeah.
Well, the point is, though, that if you provide them with the means, they'll have the option if they want to.
Great.
Well, we will.
We can't tell if we have the first chance at property tax, but we provide.
What it means is that your revenue share has to be on a much larger basis than property tax.
I see.
I see.
So they will have the money.
That's what that means.
Exactly.
That's what it means.
Another area that I worry about is the disparity of income tax levels between states.
We're just driving business out of New York.
Yeah.
We're not making that much money.
And we're losing businesses.
We say, oh, I'm moving to Florida.
I'm moving to Texas.
No.
Well, this is back again.
Now, we're up with ours is 14.
The city is two.
We'll give another one, one and a half.
That'll make up to 60 and a half percent.
And...
Unless somebody in this country has a uniform income tax for all states, so that you don't get this artificial stimulation for business to lean.
You can't have that kind of competition in the United States.
It's just damn foolish.
This is either one country or it's 50 countries and it's not changed.
I don't know.
It's now become so mixed anyway now.
I mean, the blacks have come north, but not necessarily.
The problem is more north than south.
The industry's going south.
That's right.
Cotton's going out of business.
I mean, the whole country is changing so rapidly.
That's a weekend.
What was I saying?
Yeah, it's not dope.
What you're going to have is, we go in here, you're listening to this, we're going to have a lot of things going on in foreign policy that we aren't talking about.
Great.
Just, uh, but, uh, we'll, uh, tell you what we can.
But we, we, we...
I saw, I saw that there was, uh, that was kept completely, uh, the...
But there's some other things that just...
I'll put it this way.
The day is now June 4th.
I don't want you to... And I think you can't be sure of all my English things, but some of them come flying, if you're always sure.
It's about the history of everything I've shown before.
I said there were some things going on.
And you came in and I had some good time.
Listen, I don't want to take it out on you.
I don't want these people to want to fight all the time.
As long as you're there and doing the job, we're out of here.
We're out of here.
We're out of here.
We're out of here.
We're out of here.
We're out of here.
We're out of here.
We're out of here.
You know very well, by this time, by this time actually, as a matter of fact, there's an issue with Nelson and O'Fielder, an issue, because that's what you made me find.
I'm sorry to bother you, but this is, but be that as it may, but in the Sino-Soviet thing, there's some of these things, you know, they have involved with this one.
I've just got to say, so I don't have anything.
It's everything.
And don't worry about me for it.
I'm not worried about it.
Isabel, did you say there was, say, the rest of the time you wanted to get your job, did you want to get your idea?
I said we were discussing a federal state problem.
That's true.
That's true.
And, uh, Reverend Sheridan stood by the Chancellor.
Ah, well, don't, don't, don't testify.
You know, Mills was the candidate.
Uh, Colonel Heath, his... And from the inside, too, somebody's on the committee.
All right, sure, on the committee.
Russell Wong sat inside.
Mills was, uh, is being, um, stubborn.
And, uh, and, of course, he was, uh, also a man with a reason for it.
This day, Reverend Sheridan's gonna come.
It's got to come.
It's got to come.
I think you're perhaps right on time.
We're ready for a picture now.
We're saving both of us.
I'm going to hit the tent.
Did you notice that a New York delegation of Democrats, Gene Carey, who's a member of Ways and Means, has come out with his own $10 billion revenue-sharing program?
So I hope Bill is getting from the inside, from his own mouth.
Did you notice?
No question.
There are 78 Democrats who have introduced some kind of revenue-sharing bill.
Well, that was to the number of Republicans that we had.
to give us the vote.
If it ever comes to the fore, we'll vote for it.
Now, Mills can never justify keeping the measure from the board.
I mean, on an evening, they're ready to take the vote.
We'll try.
But, you know, that can be a very damn unpopular thing to do.
So I don't care.
Are you going to come out on the panel?
Yeah, I am.
He does not allow individual governors to come along.
Well, how do you do it?
Well, we've got a committee of governors representing the Governors' Conference.
And I'm on a panel.
of four, I think it is, four governors, maybe six.
They're representing the country, and we sleep in the government.
But that's all I need, just to get there.
Are you going to be there?
Yes, sir.
I don't know if he's going to be there.
South Carolina was the chairman of our committee.
My parents will be there because he's the chairman of the government's conference.
And he is a kind of convert that you may have got to go for.
You know, say, well, then I'm going to go take over.
Well, that would just be too early.
a partisan Democrat.
I think he's a very tough, strong man.
He's on your side on this, and you're very confident.
I have no hesitancy to speak out.
Did you know that I had a little debtor in person also because Don Hughes, my fourth grade, he, along with several others who graduated from West Point 25 years ago,
Her was in that class also.
Was he here for dinner that night?
He did not.
He was not here.
But Erwin, they said, was in that class.
The chancellor of the university at this very question of Palsmark, whose wife is Marilyn Miller, the director of policy.
He was there.
He was the person in that class.
It was a remarkable class.
Graduated in 46, and that's pretty huge.
Well, 25, the President General was 12, and the Army, 12, and the Air Force, and the Chancellor of the University.
Oh, nice.
I've had a good time here.
I've heard a lot about this.
Oh, great.
Well, I knew Simon very well.
He was a good man.
I told him, I'm glad you are having him, because I, you know, when I put this on, some of our people in the state were screaming about the dictator saying, I just got that.
I said, he's our friend.
So he's coming.
And it's a debt we're having with the President of the Republic.
I want you to come to that, as I told you, to Brazil, Medellin.
I don't know if you ever found them, but Dan is the biggest country in Latin America.
And he said, well, it's a dictatorship.
I just can't give it to him.
He said, well, it's a country.
But it's hard.
They never objected.
We have the Russians.
Did they say anything about dictators?
Or when we had Romania, they didn't think about that, did they?
I don't know.
And he made an excellent talk.
I understand.
That's high.
That's low for them.
I'll see them soon.
What they bring is magic.
They are magic.
That's it.
We're out of here.
I don't know.
Oh, it's going to be easy.
It's going to be hard.
.
.
.
.
.
.
.
And he's not in the government.
He's not discouraged about it.
He's not discouraged about it.
And Hugh Carey, who's our Congressman from New York City, Democrat, is on with it.
He's supposed to go and do it.
But he said, this year, there won't be recognition.
So...
So down the stairs, the other guy, he said, well, it's going to change.
Bill's got to sit in that much discussion.
He couldn't dare.
He couldn't dare to kill him.
You're optimistic about his passage.
But just by the voice of the mass and the presidency of the ship, this is bubbling up behind them.
There's no other way that they can do it.
I think you could put it summarized this way.
Basically, if you want to look at the battle down there...
We don't want to announce that yet.
We don't want to give demonstrators a chance to load up.
Well, you can go into the other gallery and see.
Aren't there a reason?
Musky's been in hearings.
I think of putting a little pressure on him.
Yeah.
I didn't go to Musky.
You want to be open for him.
I thought, well, Mills is the most important.
I'm not very impressed.
Mills is very sensitive.
Well, I'll start with him.
I won't.