Remarks by President Trump on the Economy in Las Vegas, NV – Part 2

January 25, 2025

Remarks

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Action Summary

Permanent Tax Cuts: Proposal to make Trump tax cuts permanent, targeting relief for American workers, families, and small businesses.
No Tax on Tips: Introduction of a policy eliminating taxes on tip income for millions of workers—including restaurant servers, valets, and other tipped employees—to boost their take-home pay.
IRS and Tax Enforcement Changes: Immediate halt to the hiring of new IRS agents with plans to potentially reassign existing personnel, aiming to reduce aggressive tax enforcement measures.
Border and Immigration Policies: Declaration of a national emergency at the southern border; deployment of active-duty troops; and designation of drug cartels as foreign terrorist organizations to strengthen national security.
Law Enforcement Actions: Enhanced efforts to arrest and expel illegal aliens with criminal convictions and to dismantle organized criminal networks affecting American communities.
Restoration and Reform Measures: Steps taken to restore free speech by ending perceived censorship, declassify historical files on high-profile assassinations, and terminate contentious diversity, equity, and inclusion policies.
Meritocracy and Traditional Values: Emphasis on rebuilding a merit-based society, affirming the recognition of only two genders, and reasserting American strength, prosperity, and national pride.

Risks & Considerations

The proposed tax cuts, particularly the elimination of taxes on tips, could have significant implications for the university’s financial aid policies. Students who rely on tipped income might experience changes in their financial situations, potentially affecting their eligibility for aid.
The emphasis on a merit-based system and the official policy recognizing only two genders could impact the university’s diversity and inclusion initiatives. This may require adjustments in policies and programs to align with federal guidelines while maintaining the university’s commitment to inclusivity.
The potential reallocation of IRS resources to border security could affect federal funding and grants, as tax revenue collection might be impacted. This could lead to changes in the availability of federal research grants and financial aid programs.
The focus on reducing government intervention and promoting free speech might influence the university’s policies on academic freedom and expression, necessitating a review of current practices to ensure compliance with new federal standards.

Impacted Programs

Vanderbilt’s Financial Aid Office may need to reassess its criteria and processes to accommodate changes in students’ financial situations due to the tax policy changes.
The Office of Equity, Diversity, and Inclusion might face challenges in maintaining its programs and initiatives in light of the new federal stance on gender and meritocracy.
Peabody College of Education and Human Development could see increased demand for research on the impacts of merit-based policies and tax reforms on education and workforce development.
The Office of Government and Community Relations may need to engage more actively with federal and state agencies to navigate the changing political landscape and advocate for the university’s interests.

Financial Impact

The proposed tax cuts could lead to a reduction in federal revenue, potentially affecting funding for higher education and research grants. Vanderbilt may need to explore alternative funding sources to mitigate this risk.
Changes in tax policy could alter the financial landscape for students, impacting tuition revenue and financial aid distribution. The university might need to adjust its financial planning and budgeting strategies accordingly.
Opportunities for research funding in areas related to tax policy, merit-based systems, and diversity initiatives may arise, providing potential avenues for Vanderbilt to secure additional resources.

Relevance Score: 3 (The proposed policies present moderate risks involving compliance and potential impacts on diversity and financial aid programs.)

Key Actions

Vanderbilt’s Financial Aid Office should assess the potential impact of the proposed tax cuts on student demographics and financial aid needs. Understanding how changes in tax policy might affect students’ financial situations will be essential for adapting financial aid strategies to attract and support a diverse student body.
The Office of Federal Relations should monitor legislative developments regarding the proposed tax cuts and the “no tax on tips” policy. Engaging with policymakers to understand the implications of these changes can help Vanderbilt align its financial planning and advocacy efforts with new federal guidelines.
Vanderbilt’s Department of Economics should conduct research on the broader economic impacts of the proposed tax cuts and the shift towards a merit-based system. This research can provide valuable insights into how these policies affect economic equity and long-term economic outcomes, enhancing Vanderbilt’s role as a thought leader in economic policy.
The Office of Diversity and Inclusion should evaluate the potential impacts of the executive order ending diversity, equity, and inclusion initiatives across the government and private sector. Developing strategies to maintain and promote diversity within the university will be crucial in navigating these changes.

Opportunities

The proposed tax cuts present an opportunity for Vanderbilt’s Owen Graduate School of Management to expand its research and development of tax policy models. By leveraging its expertise in economic policy and reform, Owen can contribute to the design and evaluation of effective tax policies, potentially influencing national economic policy.
Vanderbilt can capitalize on the increased focus on a merit-based system by developing new programs and partnerships that emphasize merit and capability. This could include joint research initiatives, student exchange programs, and collaborative curriculum development, enhancing Vanderbilt’s reputation and reach in the education sector.
The emphasis on supporting workers through tax cuts offers an opportunity for Vanderbilt’s Center for Labor and Employment Studies to engage in policy analysis and advocacy. By providing evidence-based recommendations, the center can influence how these policies are implemented to support economic equity and access.
By engaging with the broader economic community and policymakers, Vanderbilt can position itself as a leader in the national conversation on economic reform. Hosting conferences, workshops, and public forums on the implications of tax policy changes can further establish Vanderbilt as a hub for innovative economic thought and practice.

Relevance Score: 4 (The proposed tax cuts and policy changes present the potential for major process changes required for Vanderbilt’s programs due to financial and diversity impacts.)

Average Relevance Score: 4.4

Timeline for Implementation

Immediate Action: Several directives—such as halting the hiring of new IRS agents and signing orders (e.g., designating cartels as “foreign terrorist organizations” and ending certain government policies)—were executed immediately or “on day one.”
Near-Term Legislative Proposal: The tax-related proposals (including making the Trump tax cuts permanent and instituting “no tax on tips”) are targeted for action in the coming weeks, with the tax cut law expected to be signed a few months from now.

Relevance Score: 5

Impacted Government Organizations

Internal Revenue Service (IRS): The speech specifically mentions halting the hiring of new IRS agents, directly affecting its staffing and enforcement operations.
Immigration and Customs Enforcement (ICE): The President highlighted aggressive actions by ICE in arresting illegal alien criminals, indicating a direct impact on its operational focus.
U.S. Military / Department of Defense: Active-duty troops are deployed to the southern border under a national emergency, involving military assets in border security efforts.
Department of State: The designation of cartels as “foreign terrorist organizations” typically requires coordination with the State Department to implement related foreign policy measures.
All Federal Agencies Addressing DEI and Censorship: Orders to end “lawless diversity, equity, and inclusion” policies and government censorship indicate a broad directive impacting all agencies with such programs, from administrative offices to enforcement units.
Intelligence and Declassification Bodies: The order to declassify remaining files on historic assassinations implicates agencies such as the CIA, FBI, and the National Archives in the process.

Relevance Score: 5 (The directives and actions described extend across significant segments of the federal government, applying broadly to many agencies.)

Responsible Officials

IRS Commissioner – Tasked with implementing the directive to halt the hiring of new IRS agents and adjusting internal hiring practices.
Secretary of State – Responsible for executing the order to designate certain cartels as foreign terrorist organizations.
Secretary of Defense – Charged with deploying active-duty troops to the southern border as part of the national emergency declaration.
Director of U.S. Immigration and Customs Enforcement (ICE) – Oversees the enforcement actions at the border, including the detention and expulsion of illegal entrants, exemplified by Tom Homan’s leadership.
Relevant Intelligence and Archival Agency Heads – Expected to declassify and publish remaining files related to historic assassination cases per the executive order.

Relevance Score: 5 (Directives impact Cabinet-level officials and heads of key federal agencies.)