Sept. 29, 2009 : Candidate Steve Pagliuca

THERE ARE NOW FOUR DEMOCRATS

WHO HAVE JOINED THE RACE FOR

THE UNITED STATES SENATE SEAT

ONCE HELD BY TED KENNEDY.

BUSINESSMAN STEPHEN PAGLIUCA

IS MAKING HIS FIRST RUN FOR

POLITICAL OFFICE.

THE 54-YEAR-OLD HAS BEEN THE

MANAGING DIRECTOR OF BAIN

CAPITAL AND IS TOUTING HIS

FINANCIAL EXPERTISE AS ONE OF

HIS PRIME QUALITY INDICATIONS.

SINCE 2003 HE HAS BEEN ONE OF

THE CO-OWNERS OF THE BOSTON

CELTICS AND STEPHEN PAGLIUCA

IS HERE.

WELCOME.

>> THANK YOU, IT'S GREAT TO BE

HERE.

>> SO YOU KNOW A LITTLE ABOUT

WHAT IT MEANS TO BE IN A TENSE

DOWN TO THE WIRE RACE.

THE CELTICS VERSUS THE LAKERS.

>> ABSOLUTELY.

>> ANY COMPARISONS HERE?

>> THEY'RE ABOUT THE SAME,

THIS REMIND ME OF THE PLAY-OFF

RUN WE HAD TO TAKE THE

CHAMPIONSHIP AND HOPEFULLY

I'LL HAVE THE SAME RESULT.

IT'S CONDENSED, IT'S A SPRINT.

>> THERE WAS A POLL THAT CAME

OUT RECENTLY BEFORE YOUR MOST

RECENT CAMPAIGN ADS THAT SAID

72% OF THE RESIDENTS OF

MASSACHUSETTS WERE UNAWARE OF

WHO YOU ARE.

YOU ARE RUNNING TELEVISION

ADS.

DO YOU THINK THAT WILL CLOSE

THE RECOGNITION GAP?

>> WE HOPE IT WILL.

WE'RE TRYING TO GET THE

MESSAGE OUT THERE THAT WE'RE A

CANDIDACY OF TRYING TO BRING

JOBS BACK HERE.

WE'RE IN THE WORST RECESSION

WE'VE HAD IN 75 YEARS, AND THE

REASON I DECIDED TO JUMP IN

THE RACE IS IT'S UNACCEPTABLE.

WE HAVE A GREAT STATE, WE HAVE

GREAT TECHNOLOGIES, GREAT

HEALTH CARE, BUT WE REALLY

NEED TO GET JOBS BACK HERE.

>> HOW DO YOU GO ABOUT DOING

THAT?

IT'S THE SAME THING GOVERNOR

PATRICK SAID WHEN HE RAN FOR

GOVERNOR.

HOW DO YOU ACTUALLY DO IT.

>> THAT'S A GREAT QUESTION.

THE FIRST THING YOU DO IS MAKE

IT ATTRACTIVE FOR INVESTING

HERE.

WE HAVE A LARGE FINANCIAL

SERVICES INDUSTRY.

THE BIOTECHNOLOGY INDUSTRY AND

HEALTH CARE IS ONE OF SEVEN

JOBS IN THE STATE.

WE HAVE A COMPETITIVE

ADVANTAGE IN MASSACHUSETTS, WE

NEED TO WORK WITH THE GOVERNOR

AND STATE TO BRING IN FEDERAL

MONEY IN PARTNERSHIP WITH THE

UNIVERSITIES, WITH HEALTH CARE

COMPANIES, WITH BIOTECH

COMPANIES, AND MAKE IT A

CENTER OF EXCELLENCE.

THE ENEMY IS NOT EACH OTHER,

THE ENEMY IS FOREIGN

COMPETITION.

IF WE CREATE THAT KIND OF

ENVIRONMENT HERE,

MASSACHUSETTS SHOULD COME OUT

OF THIS THING AND THAT COULD

BE A MODEL FOR THE ENTIRE

UNITED STATES.

>> THE STATE HAS DONE THAT

WITH SOME COMPANIES, AS YOU

KNOW, A ONE TWO THREE COMPANY

IN WESTBOROUGH.

BUT THE BOTTOM LINE SEEMS TO

BE THE JOBS PARTS OF IT.

CREATING AN ECONOMY THAT

CREATES JOBS.

EVEN THOUGH THERE'S BEEN

FEDERAL SUPPORT.

>> ABSOLUTELY.

AND SPECIFICALLY I'VE HAD

DISCUSSIONS WITH, AS PART OF

THIS CAMPAIGN AND JUST PART OF

BEING IN PUBLIC SERVICE

WORKING WITH CHARITIES HERE IN

THE STATE TRYING TO THINK

ABOUT HOW WE GET JOBS BACK,

HAD CONVERSATIONS WITH HARVARD

BUSINESS SCHOOL, SEVERAL

UNIVERSITIES, SEVERAL C.E.O.S,

AND AN IDEA THAT WE'RE TALKING

ABOUT IS YOU'VE GOT A SITE

OVER THERE AT HARVARD THAT'S

NOT BEING DEVELOPED NOW

BECAUSE OF THE PROBLEMS WITH

THE ENDOWMENT.

WE SHOULD HAVE A FEDERAL,

STATE UNIVERSITY, ALL THE

UNIVERSITIES PARTNERSHIP TO

GET THAT THING GOING AND MAKE

IT A CLUSTER OF BIOTECHNOLOGY.

>> THAT'S BORDERING ON A

CRIMINAL SITUATION WHAT

HOWEVER HAS DONE OVER THERE,

THEY LET THE CITY DOWN, THEY

LET THE UNIVERSITY DOWN, THE

NEIGHBORS ARE UP IN ARMS.

IT'S ALMOST LIKE 90 ACRES OF A

VACANT LOT.

>> THAT'S HOW IT WAS IN

RESEARCH TRIANGLE IN 1965.

I WENT TO COOL AT DUKE

UNIVERSITY, THE GREAT

UNIVERSITY, DUKE UNIVERSITY,

AND WHEN I WENT THERE IN 73

THERE WAS, IN 65 THERE WAS A

TOBACCO FIELD.

NOW THERE ARE HUNDREDS OF

THOUSANDS OF PEOPLE WORKING IN

MEDICAL RESEARCH, HIGH

TECHNOLOGY.

WHY?

IT'S BECAUSE THERE WAS A

GOVERNMENT EFFORTS AND A

GOVERNMENT PARTNERSHIP WITH

PRIVATE BER PRICE TO BUILD

SOMETHING.

WE HAVE THAT SITE THERE, THERE

ARE OTHER SITES IN CAMBRIDGE.

AND THEN THE KEY, AS YOU SAID,

IS TO TAKE THAT SITE, GET IT

DEVELOPED, GET PHARMACEUTICAL

COMPANIES IN HERE.

WE HAVE TEN TIMES AS MANY STEM

CELL RESEARCHERS THAN ANYWHERE

IN THE WORLD, THAT IS GOING TO

BE A HUGE AREA IN THE FUTURE.

GET THEM IN HERE AND MAKE

PARTNERSHIPS IN PLACES LIKE

SPRINGFIELD AND HOLE WOKE.

I WAS IN AGAWAM, THERE'S VERY

BAD UNEMPLOYMENT IN THE WEST.

IF WE GET THAT SITE HERE AS A

CLUSTER AND HAVE THE BEST

PEOPLE IN THE WORLD, THEN

THEY'RE GOING TO DEVELOP

PRODUCTS TO BE MANUFACTURED.

WE CAN HAVE FINANCIAL AND TAX

INCENTIVES TO USE THOSE

FACILITIES TO GET EMPLOYMENT

BACK THERE IN SPRINGFIELD AND

HOLYOKE.

AND FINALLY WE ARE COMPETING

ON A GLOBAL BASIS, SO YOU WANT

TO CREATE GOOD JOBS FOR PEOPLE

THAT WILL STAY HERE IN AMERICA.

>> THE SENATE FINANCE

COMMITTEE THIS AFTERNOON VOTED

AGAINST THE GOVERNMENT OPTION

PART OF THE OBAMA HEALTH CARE

BILL.

WHERE DO YOU STAND ON THAT?

THEY'RE RECON FIGURING IT, AND

MAX BAUCUS IS TRYING TO COME

TO A MIDDLE GROUND HERE.

BUT THERE ARE STILL OTHER

DEMOCRATS WHO SAY LOOK THIS IS

A RUNAWAY SITUATION FOR THE

INSURANCE COMPANIES, FOR

PRIVATE COMPANIES WITHOUT THIS

GOVERNMENT OPTION, THEY'RE

GOING TO BE RAISING --

THE MINUTE THIS THING PASSES

IN SOME FORM, INSURANCE RATES

ARE GOING TO GO UP.

>> I THINK THAT'S A GREAT

POINT.

THE FIRST PLACE WHERE I STAND

ON THE ISSUE IS WE'VE GOT TO

GET EVERYBODY IN THIS COUNTRY

COVERED.

WE'VE DONE THAT HERE IN

MASSACHUSETTS, AND YOU REALLY

CAN'T REFORM THE SYSTEM UNLESS

EVERYBODY IS IN THE SYSTEM.

BECAUSE TODAY THE DIRTY SECRET

IS PEOPLE WHO ARE NOT COVERED

ARE COVERED BY EMERGENCY

ROOMS.

THAT'S THE HIGHEST COST CARE

YOU CAN GET.

IF YOU GO TO THE EMERGENCY

ROOM WHEN YOU HAVE A COLD, OR

YOU HAVE, YOU NEED SOME KIND

OF DRUG, IT'S REALLY HIGH

COST.

YOU NEED TO GET TREATED AS

PART OF THE REGULAR HEALTH

SYSTEM.

SO I'M HOPING CONGRESS WILL

PASS UNIVERSAL COVERAGE.

AND THEN THE QUESTION IS HOW

DO WE BRING DOWN THESE COSTS.

IS IT CO-OP, IS THE PUBLIC

OPTION?

SO-CALLED.

THEY HAVEN'T FLUSHED EITHER

ONE OF THOSE OPTIONS OUT.

I'VE SPOKEN TO PEOPLE IN

WASHINGTON WHO ARE WORKING ON

THE BILL, AND I HAVE 25 YEARS

IN HEALTH CARE EXPERIENCE.

I HAVE INVESTED IN

PHARMACEUTICAL COMPANIES,

SERVICE DELIVERY COMPANIES,

PHYSICIAN PRACTICE MANAGEMENT.

AND SO THEY HAVEN'T FLESHED

THAT OUT.

SO I CAN TELL IF THE PUBLIC

OPTION WOULD BRING DOWN COSTS

OR NOT.

BUT THE REAL ISSUE IS WE SPEND

2.4 TRILLION ON HEALTH CARE IN

AMERICA, THAT'S 17% OF THE

GDP.

PEOPLE ESTIMATE THAT THEY'RE

SOMEWHERE BETWEEN 25 AND 30%ED

AMIFF COSTS, THAT'S $600

BILLION.

WHY IS THAT?

THAT'S BECAUSE WE'VE GOT GREAT

DOCTORS, GREAT HOSPITALS,

GREAT TECHNOLOGY IN A BAD

SYSTEM THAT STARTED 50 YEARS

AGO AND JUST GREW IN ITSELF.

WITH 600 BILLION OF

ADMINISTRATIVE EXPENSE, THAT'S

GOT TO COME DOWN, AND

TECHNOLOGY CAN GET THAT DOWN.

SO GET EVERYBODY COVERED,

NUMBER ONE.

GET A BILL PASSED.

THEN THE HARD WORK BEGINS OF

SAYING HOW DO WE INCENTIVIZE

THE SYSTEM TO GET COSTS DOWN,

BECAUSE WE ARE NOT GOING TO BE

COMPETITIVE WITH THE REST OF

THE WORLD IF WE'RE RUNNING UP

TO 20% OF OUR GDP IN HEALTH

CARE WHERE THE REST OF THE

WORLD IS 9 TO 10%.

>> WHERE DO YOU STAND ON THE

POTENTIAL OF A RAMPUP IN

TROOPS IN AFGHANISTAN?

OR, WE'RE ALREADY BACK UP TO

64,000.

THE YEN IS CALLING FOR AS MANY

AS 40,000 MORE.

>> I'M VERY WARY OF MORE

TROOPS.

I'M VERY WARY OF MORE TROOPS—

I'M A BIG BELIEVER IN

COUNTERTERRORISM, NOT

COUNTERINSURGENCY.

WHAT DOES THAT MEAN?

WHAT THAT MEANS IS I DON'T

THINK SINCE WORLD WAR II HAVE

WE EVER BEEN SUCCESSFUL IN

GOING INTO AREAS THAT HAVE

TRIBAL ROOTS AND TRIBAL

FIGHTING, YOU DON'T HAVE A

DEMOCRACY, YOU HAVE AN

UNSTABLE GOVERNMENT, DIFFERENT

RELIGIONS, AND THEN THE

TERRORISTS WHEN WE GO IN IN A

BIG WAY, THEY JUST MOVE ACROSS

THE BORDER OR MOVE TO KASHMIR

OR SOMALIA.

THE TERRORIST PLOTS HAVE OFTEN

BEEN HATCHED IN GERMANY AS

AFGHANISTAN.

>> THIS IS NEVER GOING TO WORK

NO MATTER WHAT WE DO.

>> I FEAR IF WE SEND MORE

TROOPS IN, IN THREES YEARS

WE'LL BE EXACTLY WHERE WE ARE

TODAY AND WE'LL BE LOSING

LIVES AND THERE WON'T BE A

SUCCESSFUL STRATEGY.

SO I'M VERY WARY OF THAT.

I TALKED TO A YOUNG SOLDIER

WHO JUST CAME BACK FROM

AFGHANISTAN AND HE TALKS OF

THE FACT THAT THERE IS NO

ORDER THERE.

THERE IS NO GOVERNMENT WE CAN

WORK THROUGH EFFECTIVELY.

WE'VE HAD FRAUDULENT

ELECTIONS.

SO, AND I INCLUDE IRAQ AS WELL,

WHICH WE NEVER SHOULD HAVE

GONE BOO.

I SAID THREE YEARS AGO IN A

CONFERENCE, YOU KNOW, THIS IS

LOOKING TO ME LIKE ANOTHER

VIETNAM.

WE CANNOT NATION BUILD AND

CHANGE THESE NATIONS THAT HAVE

ALL THEIR ISSUES.

SO WE NEED TO FOCUS ON

COUNTERTERRORISM, WHICH IS

FINDING THE TERRORISTS WHERE

THEY ARE AND GETTING THEM.

PROTECTING OUR BRIDGES AND

NUCLEAR SITES AND ALL THE

THINGS IN THE UNITED STATES,

USING ALL THAT FIRE POWER TO

DO THAT.

THAT BEING SAID, I HAVE NOT

CONSULTED WITH GENERAL

McCRYSTAL, HE IS A VERY BRIGHT

GUY, HE HAS A STRATEGY.

I'D ARE TO LOOK AT THAT IN

CONSULTATION WITH THE

ADMINISTRATION, BUT MY

INSTINCT IS THAT WE ARE NOT

GOING TO GET THERE FROM HERE.

AND I'M SICK EVERY DAY WHEN WE

LOSE A LIFE AND I DON'T SEE A

CLEAR EXIT STRATEGY AND CLEAR

VICTORY.

>> YOU DESCRIBE YOURSELFS A

PROGRESSIVE DEMOCRAT, YET YOU

SUPPORTED MITT ROMNEY OF

COURSE AN ASSOCIATE FROM BAIN

CAPITAL.

YOU ALSO SUPPORTED BILL WELD

AGAINST JOHN KERRY FOR THAT

SENATE RACE.

HOW DO YOU RECONCILE THAT?

>> WELL, FIRST OF ALL, I HAVE

HAVE ALWAYS HAD DEMOCRATIC

VALUES.

MY GRANDFATHER WAS A SHOE

MAKER, CAME OVER FROM ITALY,

HAD VERY LITTLE, WAS PART OF

THE AMERICAN DREAM.

MY FATHER WAS THE ONLY ONE IN

HIS FAMILY TO GO TO COLLEGE,

AND I HELPED PUT MYSELF

THROUGH SCHOOL.

MOVING FURNITURE.

DOING ANY KIND OF --

SHORT ORDER COOK.

EVEN ONCE I WAS A TELEVISION

SALESMAN, THAT WAS IN NORTH

CAROLINA.

AND TALK ABOUT DEMOCRATIC

VALUES, I WALKED IN THE

MANAGER'S OFFICE AND THEY SAID,

TEEF, WE'RE GOING TO GIVE YOU

A JOB, AND I SAID GREAT.

THEY SAID THE FIRST THING YOU

HAVE TO DO IS FROM NOW ON THIS

SUMMER, YOUR NAME IS STEVEN

PAGE, BECAUSE NO ONE IS GOING

TO BUY ADVERTISING IN NORTH

CAROLINA FROM SOMEONE NAMED

STEPHEN PAGLIUCA.

>> I KNOW, I SAID IT RIGHT.

>> YOU'RE ONE OF THE FEW.

SO I'VE ALWAYS HAD THOSE KIND

OF VALUES.

I SUPPORTED MITT ROMNEY OUT OF

FRIENDSHIP.

I WORKED WITH HIM FOR 20 YEARS,

I PUT FRIENDSHIP AHEAD OF

POLITICS.

I THINK THE ELECTORATE

UNDERSTANDS THAT.

TED KENNEDY WORKED CLOSELY

WITH ORRIN HATCH.

WHEN I WENT TO TED'S FUNERAL

CELEBRATION ORRIN GAVE AN

AMAZING SPEECH ABOUT THEIR

PARTNERSHIP AND HOW THEY

WORKED TOGETHER TO GET THE

RIGHT THINGS DONE FOR AMERICA.

AND I'M GOING TO TRY AND DO

THAT.

I THINK THE VOTERS WILL

RECOGNIZE THAT.

SO THIS ISN'T ABOUT BEING A

REPUBLICAN.

I'VE NEVER BEEN A REPUBLICAN.

I HAVE BEEN A REPUBLICAN, I

CHANGED, EXCUSE ME ON THAT.

BUT I'VE HAD DEMOCRATIC VALUES

MY ENTIRE LIFE.

THIS IS ABOUT BRINGING JOBS

BACK TO MASSACHUSETTS AND

WORKING IN A GOVERNMENT THAT

IS GOING TO GET THINGS DONE

AND NOT HAVE THE GRIDLOCK.

>> ALL RIGHT, STEPHEN PAGLIUCA,

GREAT TO HAVE YOU HERE.

>> THANK YOU VERY MUCH.