1 00:00:02,520 --> 00:00:07,000 Speaker 1: Bloomberg Audio Studios, Podcasts, radio News. 2 00:00:08,240 --> 00:00:10,400 Speaker 2: We're going to turn it over now though to Bloomberg's 3 00:00:10,600 --> 00:00:12,600 Speaker 2: Texas Bureau chief Julie Fine. 4 00:00:12,760 --> 00:00:15,240 Speaker 1: She's live in Dallas for a special interview that's with 5 00:00:15,360 --> 00:00:16,760 Speaker 1: Texas Governor Greg Amos. 6 00:00:16,880 --> 00:00:21,720 Speaker 3: Julie, Governor Abbitt, thank you so much for being with us, 7 00:00:21,720 --> 00:00:22,280 Speaker 3: my pleasure. 8 00:00:22,280 --> 00:00:24,400 Speaker 2: Thank you, Julie, Governor Abbot. 9 00:00:24,440 --> 00:00:26,240 Speaker 3: I do want to start with the news of the morning, 10 00:00:26,280 --> 00:00:28,360 Speaker 3: the presidents saying that he will have some type of 11 00:00:28,400 --> 00:00:33,000 Speaker 3: announcement on reciprocal terrorists in the coming days. Now he 12 00:00:33,200 --> 00:00:37,000 Speaker 3: has paused tariffs for now on Mexico and Canada. Bloomberg 13 00:00:37,040 --> 00:00:39,800 Speaker 3: had a story earlier this week in Laredo. Some port 14 00:00:39,880 --> 00:00:43,200 Speaker 3: cities very concerned about these Are you concerned this will 15 00:00:43,200 --> 00:00:44,640 Speaker 3: affect the Texas economy? 16 00:00:46,320 --> 00:00:48,320 Speaker 2: Not really, And there's a reason for that, and that's 17 00:00:48,360 --> 00:00:49,440 Speaker 2: because he. 18 00:00:49,760 --> 00:00:54,680 Speaker 1: Had these tariff announcements during his first term as president 19 00:00:54,760 --> 00:00:57,960 Speaker 1: and it didn't really impact the Texas economy. Listen, the 20 00:00:58,000 --> 00:01:00,560 Speaker 1: Texas economy is the most powerful kind of in the 21 00:01:00,640 --> 00:01:03,520 Speaker 1: United States, and we're able to withstand all types of 22 00:01:03,600 --> 00:01:05,480 Speaker 1: challenges and we're going to make our way through this. 23 00:01:06,200 --> 00:01:08,720 Speaker 2: And so to be honest, I'm not really concerned about it. 24 00:01:09,200 --> 00:01:13,800 Speaker 1: Also, we've seen as everybody observed, and that is sometimes 25 00:01:13,800 --> 00:01:17,800 Speaker 1: these tariffs are used strategically to achieve certain purposes, like 26 00:01:17,840 --> 00:01:21,560 Speaker 1: what happened with Mexico and Canada, and it worked out 27 00:01:21,600 --> 00:01:25,920 Speaker 1: to the United States advantage that certain border security measures 28 00:01:25,920 --> 00:01:30,080 Speaker 1: were taken, especially by Mexico as well as Finnel issues 29 00:01:30,080 --> 00:01:33,520 Speaker 1: concerning Canada. And so the United States is better now 30 00:01:34,120 --> 00:01:37,840 Speaker 1: because of the use of tariffs and the ability to 31 00:01:37,880 --> 00:01:39,920 Speaker 1: extract changes that are better. 32 00:01:39,720 --> 00:01:40,320 Speaker 2: For the country. 33 00:01:40,920 --> 00:01:43,280 Speaker 1: I have no doubt that'll be one of the goals 34 00:01:43,319 --> 00:01:46,360 Speaker 1: that the President will pursue with regard to other potential tariffs. 35 00:01:47,640 --> 00:01:50,520 Speaker 3: And you met with the President this week, and border 36 00:01:50,560 --> 00:01:54,600 Speaker 3: security of course the topic for you. You said that 37 00:01:54,760 --> 00:01:58,840 Speaker 3: Texas would offer military bases forty two hundred beds for 38 00:01:59,160 --> 00:02:03,040 Speaker 3: troops as well as four thousand jail cells. Now, border 39 00:02:03,080 --> 00:02:05,680 Speaker 3: crossings are down in the state of Texas. What do 40 00:02:05,720 --> 00:02:08,320 Speaker 3: you envision the long term plan for the state when 41 00:02:08,360 --> 00:02:09,280 Speaker 3: it comes to the border. 42 00:02:11,280 --> 00:02:14,960 Speaker 1: So you know, obviously under President of Biden, Texas needed 43 00:02:15,000 --> 00:02:18,400 Speaker 1: to take extraordinary steps because we had more than eleven 44 00:02:18,440 --> 00:02:21,680 Speaker 1: million people across the border, more than during any president 45 00:02:21,720 --> 00:02:23,560 Speaker 1: that see in the history of the United States of America, 46 00:02:23,919 --> 00:02:26,799 Speaker 1: and as a result, we built two military bases. 47 00:02:26,520 --> 00:02:28,480 Speaker 2: On the border, one in Del Rio, one Inegle. 48 00:02:28,240 --> 00:02:32,880 Speaker 1: Pass, and we're working with the Trump administration to provide 49 00:02:32,919 --> 00:02:38,120 Speaker 1: them holding facilities, detention facilities such as jail and prison 50 00:02:38,200 --> 00:02:42,519 Speaker 1: cells as they apprehend people and prepare them for deportation. 51 00:02:42,919 --> 00:02:45,600 Speaker 1: Bottom line, Texas is going to be all in to 52 00:02:45,760 --> 00:02:47,079 Speaker 1: assist the Trump administration. 53 00:02:47,600 --> 00:02:50,519 Speaker 2: But we have seen illegal. 54 00:02:50,080 --> 00:02:53,040 Speaker 1: Crossings decrease to a trickle. 55 00:02:53,560 --> 00:02:54,680 Speaker 2: Here's what we need to see. 56 00:02:55,000 --> 00:02:58,560 Speaker 1: We need to see the ongoing success by the Trump 57 00:02:58,639 --> 00:03:04,760 Speaker 1: administration reducing illegal immigration in a sustainable way, and that 58 00:03:04,840 --> 00:03:08,960 Speaker 1: will help Texas calibrate what our next actions will be. Obviously, 59 00:03:09,560 --> 00:03:13,400 Speaker 1: it should not be incumbent upon Texas taxpayers or any 60 00:03:13,560 --> 00:03:17,400 Speaker 1: state taxpayers to have to put that bill, and as 61 00:03:17,440 --> 00:03:21,040 Speaker 1: a result, that's why I've been working with members of Congress, 62 00:03:21,080 --> 00:03:23,120 Speaker 1: and I'll be back next week to talk to them, 63 00:03:23,200 --> 00:03:26,640 Speaker 1: to them even more about ensuring that Texas is going 64 00:03:26,680 --> 00:03:28,639 Speaker 1: to be able to have the resources we need and 65 00:03:28,720 --> 00:03:30,920 Speaker 1: a reimbursement for some of the costs that we incurred 66 00:03:31,320 --> 00:03:32,359 Speaker 1: to better secure the board. 67 00:03:33,440 --> 00:03:36,120 Speaker 3: I want to turn to the Texas economy, the newly 68 00:03:36,160 --> 00:03:39,760 Speaker 3: formed Texas Stock Exchange just submitted for approval. Now, if 69 00:03:39,800 --> 00:03:42,760 Speaker 3: companies dual list and the New York Stock Exchange and 70 00:03:42,840 --> 00:03:46,240 Speaker 3: the Texas Stock Exchange or the Texas Stock Exchange in NASDAQ, 71 00:03:46,640 --> 00:03:49,760 Speaker 3: how might that be different from other dual listings. 72 00:03:51,600 --> 00:03:55,560 Speaker 1: So it may be similar to what happened historically concerning 73 00:03:55,680 --> 00:04:00,280 Speaker 1: dual listings. But here I think we will see a 74 00:04:00,320 --> 00:04:04,240 Speaker 1: trend change in stock markets the way that we've seen 75 00:04:04,280 --> 00:04:06,200 Speaker 1: a trend change in the economy. 76 00:04:06,400 --> 00:04:08,760 Speaker 2: Now, let's go back to the year two thousand for example. 77 00:04:09,280 --> 00:04:12,160 Speaker 1: You know, New York City was still the home of 78 00:04:12,600 --> 00:04:16,000 Speaker 1: finance at that time, and other states were larger than 79 00:04:16,040 --> 00:04:21,719 Speaker 1: Texas economically. These days, Texas has the most powerful economy 80 00:04:21,720 --> 00:04:23,600 Speaker 1: in the United States. As well as we have more 81 00:04:23,600 --> 00:04:25,240 Speaker 1: people moving here at than any other state. We have 82 00:04:25,480 --> 00:04:28,800 Speaker 1: the fastest growing financial sector in the United States. Add 83 00:04:28,839 --> 00:04:31,960 Speaker 1: to that, the way you could subdivide the United States 84 00:04:32,000 --> 00:04:35,279 Speaker 1: into quadrants. If you look at the Southeastern quadrant from 85 00:04:35,320 --> 00:04:37,640 Speaker 1: Texas up to Oklahoma, over to the East Coast down 86 00:04:37,680 --> 00:04:40,920 Speaker 1: to Florida, then back over to Texas, that quadrant represents 87 00:04:40,960 --> 00:04:44,640 Speaker 1: almost all of the positive GDP growth in the United 88 00:04:44,680 --> 00:04:47,520 Speaker 1: States of America, and as a result, there would be 89 00:04:48,200 --> 00:04:51,600 Speaker 1: a kinship in that region for businesses that will be 90 00:04:51,920 --> 00:04:55,320 Speaker 1: far more likely to be aligned with the stock exchange 91 00:04:55,320 --> 00:04:57,159 Speaker 1: that we have in Texas than stock ex changes up 92 00:04:57,200 --> 00:05:00,560 Speaker 1: in New York. One last thing about that is we 93 00:05:00,600 --> 00:05:04,200 Speaker 1: need to ensure access to capital or oil and gas businesses, 94 00:05:04,360 --> 00:05:08,040 Speaker 1: businesses that are unique and important to just not only 95 00:05:08,040 --> 00:05:10,279 Speaker 1: the state of Texas, but also to this entire region. 96 00:05:10,880 --> 00:05:15,120 Speaker 1: We think that with the growing financial expertise that's going 97 00:05:15,160 --> 00:05:18,880 Speaker 1: to be taking place in Dallas in Texas, as well 98 00:05:18,920 --> 00:05:22,359 Speaker 1: as the growing accounting in the Southeastern quadrant, we're going 99 00:05:22,400 --> 00:05:24,600 Speaker 1: to see a lot of businesses that are interested in 100 00:05:25,160 --> 00:05:29,280 Speaker 1: locating here for access to capital. And know this, You've 101 00:05:29,279 --> 00:05:33,280 Speaker 1: already seen this jeerly with regard to incorporation. You've seen 102 00:05:33,520 --> 00:05:36,440 Speaker 1: Space ex for example, move their in corporation from Delaware 103 00:05:36,480 --> 00:05:38,679 Speaker 1: to Texas. We're seeing a lot of that take place 104 00:05:38,920 --> 00:05:41,880 Speaker 1: across the board with businesses because they see Texas as 105 00:05:41,920 --> 00:05:45,800 Speaker 1: a more business friendly state, especially after math of a 106 00:05:45,839 --> 00:05:48,640 Speaker 1: new law that assigned two years ago creating business course 107 00:05:48,680 --> 00:05:51,520 Speaker 1: in the state of Texas that now rival and some 108 00:05:51,760 --> 00:05:55,040 Speaker 1: businesses feel are superior to the business course in Delaware. 109 00:05:56,520 --> 00:06:00,479 Speaker 3: President Trump has a very broad education agenda, so do you, 110 00:06:00,720 --> 00:06:04,080 Speaker 3: thirty three states have some form of school choice. If 111 00:06:04,160 --> 00:06:06,960 Speaker 3: it happens in Texas, it would be the biggest. You've 112 00:06:06,960 --> 00:06:10,599 Speaker 3: tried to get this done for several sessions this time around. 113 00:06:10,640 --> 00:06:13,080 Speaker 3: Do you think Texas will have school choice at the 114 00:06:13,120 --> 00:06:13,840 Speaker 3: end of the session. 115 00:06:15,240 --> 00:06:18,440 Speaker 2: I really do, and there's several reasons for it, one 116 00:06:19,960 --> 00:06:21,120 Speaker 2: as you know, but others may not. 117 00:06:22,080 --> 00:06:25,839 Speaker 1: I campaigned this last election cycle to ensure that we 118 00:06:25,920 --> 00:06:28,720 Speaker 1: elect to the Texas House representatives who are going to 119 00:06:28,720 --> 00:06:31,800 Speaker 1: support school choice, and we were successful in that effort 120 00:06:32,120 --> 00:06:33,800 Speaker 1: and now should have more than enough posts of the 121 00:06:33,800 --> 00:06:36,080 Speaker 1: Texas House to get it passed. It's already passed the 122 00:06:36,120 --> 00:06:39,960 Speaker 1: Texas Senate, it passed the Texas Senate just this week, 123 00:06:40,520 --> 00:06:43,800 Speaker 1: and so we are on a pathway where it should 124 00:06:43,800 --> 00:06:44,320 Speaker 1: get passed. 125 00:06:44,800 --> 00:06:46,400 Speaker 2: And know this, as you. 126 00:06:46,360 --> 00:06:49,479 Speaker 1: Pointed out, the school choice in one form or another 127 00:06:49,640 --> 00:06:52,920 Speaker 1: exists in more than thirty states, and in those thirty 128 00:06:52,960 --> 00:06:56,520 Speaker 1: states there's not been a collapsing of the public school 129 00:06:56,560 --> 00:07:00,520 Speaker 1: system and said the public school system gets more competitive 130 00:07:01,120 --> 00:07:03,960 Speaker 1: while at the very same time giving parents' ability to 131 00:07:04,040 --> 00:07:05,719 Speaker 1: choose the school dis best for their child. 132 00:07:08,720 --> 00:07:10,840 Speaker 3: You were with the President earlier this week as he 133 00:07:10,960 --> 00:07:14,920 Speaker 3: signed some executive orders along the lines of the Texas legislature. 134 00:07:15,000 --> 00:07:18,520 Speaker 3: You have signed one as well regarding DEI that would 135 00:07:18,520 --> 00:07:22,000 Speaker 3: be in public offices. There is also a ban on 136 00:07:22,160 --> 00:07:26,560 Speaker 3: DEI in public universities. Are you hearing any feedback? What 137 00:07:26,600 --> 00:07:28,800 Speaker 3: are companies saying to you about this? 138 00:07:30,640 --> 00:07:34,600 Speaker 1: I think companies are tired of having dictate some posts 139 00:07:34,600 --> 00:07:37,960 Speaker 1: of them, such as DEI mandates, because their real goal 140 00:07:38,040 --> 00:07:42,400 Speaker 1: is to be a success for their shareholders, and the 141 00:07:42,440 --> 00:07:45,040 Speaker 1: way they can do that is to increase their paternal 142 00:07:45,080 --> 00:07:50,160 Speaker 1: investment without having to invest in social programs. 143 00:07:49,920 --> 00:07:52,200 Speaker 2: That may not be beneficial to. 144 00:07:52,280 --> 00:07:55,000 Speaker 1: The bottom line. And so I will say I've heard 145 00:07:55,360 --> 00:07:58,800 Speaker 1: nothing negative about it. I've heard many positive things about it. 146 00:07:59,120 --> 00:08:01,360 Speaker 1: We need to get back to core value sets. But 147 00:08:01,560 --> 00:08:05,360 Speaker 1: understand this also, and that is what di I programs 148 00:08:05,800 --> 00:08:12,480 Speaker 1: often promote is discrimination. Is a violation of the US Constitution, 149 00:08:12,760 --> 00:08:15,280 Speaker 1: of the Texas Constitution, of the civil rights laws to 150 00:08:15,480 --> 00:08:17,000 Speaker 1: discriminate on the basis of race. 151 00:08:17,400 --> 00:08:19,040 Speaker 2: What many d I programs do. 152 00:08:19,840 --> 00:08:23,600 Speaker 1: They promote one race while not advancing others, and that 153 00:08:23,680 --> 00:08:26,840 Speaker 1: violates the Constitution of Texas and federal laws. 154 00:08:28,000 --> 00:08:30,400 Speaker 3: In the very short time I have left with you, you 155 00:08:30,360 --> 00:08:34,160 Speaker 3: touched on this earlier elon Musk arguably texas most well 156 00:08:34,200 --> 00:08:36,959 Speaker 3: known residents. What do you think of his influence right now? 157 00:08:38,800 --> 00:08:41,360 Speaker 1: Listen, he's doing to the government sector what he's done 158 00:08:41,400 --> 00:08:44,079 Speaker 1: in the private sector, and he's going to have success 159 00:08:44,120 --> 00:08:46,280 Speaker 1: in the government sector like he has in the private sector. 160 00:08:46,520 --> 00:08:48,880 Speaker 1: One thing we desperately need in our country is to 161 00:08:49,040 --> 00:08:52,439 Speaker 1: shrink government. The government has grown too large, and one 162 00:08:52,440 --> 00:08:54,839 Speaker 1: way to save money for taxpayers and make government more 163 00:08:54,840 --> 00:08:57,880 Speaker 1: efficient is to do exactly what Elon is doing. And 164 00:08:57,920 --> 00:09:00,480 Speaker 1: I think most Americans are very proud of what he's acomplishing. 165 00:09:01,760 --> 00:09:04,240 Speaker 3: Governor Rabbits, see you in Austin soon. Thanks so much 166 00:09:04,240 --> 00:09:04,840 Speaker 3: for your time.