Mitch Daniels, Director of the Office of Management and Budget

This is a partial transcript from Your World with Neil Cavuto, October 22, 2002, that was edited for clarity. Click here for complete access to all of Neil Cavuto's CEO interviews.

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BRENDA BUTTNER, GUEST HOST: Is President Bush planning on revisiting tax cuts after the elections in two weeks? Word is that the White House could step in with some tax relief sooner rather than later, even during a lame duck session of Congress. Here to give us some real answers on what's ahead, the president's point man on all budget matters, Mitch Daniels, director of the OMB.



BUTTNER: Well, sir, we've just had some incredibly chilling news, and it is difficult to talk about tax cuts before addressing this.  You're in the D.C. area, we have just heard that children in the area face the greatest threat from this sick sniper. You have children?

DANIELS: I have four daughters, mercifully in this instance at least they are back home in Indiana. I have chosen to commute, my wife and I did not want to uproot the kids. And at least for this reason, you know, we are lucky. But we are the fortunate exception. And I feel so badly and so deeply for all of those families who have to live with the uncertainty that they do right now.

BUTTNER: It is really targeting our nation's capital. Do you think the administration is putting enough resources to work here? I know we have got the DOD planes and you know we have various federal regulators helping out, can we do more to catch this guy?

DANIELS: Well, that is in the hands of the experts and the local authorities, but I think the president has been paying very close attention to this himself. And various agencies of the government, including the Department of the Defense, have chipped in every time they've been asked. If they're asked for more I don't doubt they'll do it.

BUTTNER: Right. The election that's coming up, voters vote their pocketbooks, and there is a lot in the economy that is wrong today.  Unemployment is up, there is some suggestion that consumers may be getting a little softer. They're not spending as much. They're more pessimistic.  A leading guide of economic indicators has dropped for four months in a row. Do you think voters are going to be voting for their money and the against the president?

DANIELS: Voters generally do. But I would not think it would be against the president. There's no indication of that. I think voters know that this president is very active when it comes to the economy. I can guarantee you he is after us every day both for information about where we're headed, and about additional steps he might take. He has acted over and over again on tax cuts last year, a stimulus bill earlier this year, terrorism insurance, trade, and reform of corporate governance.

BUTTNER: Prescription drugs as well.

DANIELS: Prescription drugs, too. So he won't rest until the economy is at full throttle again. We are growing but not fast enough to suit anybody let alone him.

BUTTNER: Do we need tax cuts and when are we going to get them?

DANIELS: We may. I think the president continues to look at all options for economic growth, tax cuts are one. They're not the only thing that could be done.

BUTTNER: If they could put. If you did a rebate, for example, you could put money right into the consumers` pockets. Would you go that way or would go for business tax cuts?

DANIELS: Well, the president has done both on different occasions.

BUTTNER: In the past, yes, but we may need it again.

DANIELS: They ought to be well targeted. We ought to make certain that whatever investment we do make here is likely to pay a good return in terms of more jobs and higher incomes. But he is continuing to look for new options and I don't doubt that he will pull the trigger if he sees ones that he likes.

BUTTNER: Might he have to even during a lame duck Congress?

DANIELS: He might, maybe it would be a good time to do it. He has not ruled out or in any action or any timing. The president by now, folks should have seen, is not one to sit around when he sees action that he thinks is necessary.

BUTTNER: All right. Thank you so much, OMB director Mitch Daniels.

DANIELS: Thank you.

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