Good afternoon. I want to thank Paul Vallas, the Philadelphia School District, Drexel University, and the Department of Education's Office of Innovation and Improvement for hosting this conference. And I thank all of you for participating.

Let me begin by recognizing Paul Vallas for his inspirational work. Paul has been expanding the scope and depth of partnership here in Philadelphia, including inviting cooperation with faith-based organizations. This multiple-provider model, combined with choice and accountability, is what makes Philadelphia a success. Thanks, Paul.

Ladies and gentlemen, the powerful partnership you have in Philadelphia is a model for many other cities. Here and throughout the country, the transformation of education is under way. But if we are to successfully revolutionize public education, we need a full community effort. Together, in common cause, we can accomplish a great deal. You are a powerful catalyst for education reform. A dynamic partnership between government, teachers, business, and parents transforms our schools, helps end the achievement gap, and makes American education inclusive for all students. A united community effort means a better education for Philadelphia's children.

We need you. There is a marked achievement gap, where millions of students have been left behind. We know who these students are: primarily African American, Hispanic, special-needs, economically disadvantaged, and English learners. And all students, even those doing well, face stiff competition from students in other developed countries. Globalization has made quality education absolutely imperative. We have entered a new age: the 21st century is now a service economy dependent on technology, innovation, information, and technical skills. We need what are called "knowledge workers." And knowledge workers must be well-educated. Marginally educated or under-educated workers are not in high demand.

The Washington Post recently reported on the story of one businessman who has a dozen job openings at his surveying company. But he cannot find workers with enough basic math to learn the software. He noted that there are plenty of people who "can fog a mirror" or "do grunt work." But he needs educated workers with strong basic skills.

And you would appreciate his comment on the bottom line: "We need people with some knowledge of trigonometry and geometry. It's really just arithmetic. We're turning down work because we don't have the people."

You see this story throughout Pennsylvania. The demand on all levels is for knowledge workers. The need for literacy skills in reading and mathematics is a prerequisite for almost every job. In the past, employers had jobs for both brawn and brains. Now, almost every job is highly dependent on intelligence, communication ability, and computer skills.

Not surprisingly, you also see this reflected in the so-called "earnings gap." Recent Labor Department figures show that college-educated workers earn a median weekly salary of about $1,000. High school grads earn about $600 a week. Those without a diploma earn about $400 a week, or less than half of what college grads earn and only two-thirds of what high school graduates earn.

And make no mistake: this wage gap is about education and only education. As Federal Reserve Chairman Alan Greenspan testified last July, the growing earnings gap reflects "skill premium" commanded by relatively better-educated workers, not an underlying problem with the economy.

Sure, the United States is economically powerful now. We must retain that position of strength and stability. One recent commentator called our economy "the job creating machine." Well, we are creating jobs at a rapid rate. In this country, new job growth has been phenomenal in the last few months, with strong growth in all segments of the economy, including manufacturing jobs. We can remain competitive in the foreseeable future. Our workers can be the most sought-after, highly recruited, most desired in almost any industry. But this will only happen if our workers are highly qualified, educationally prepared, and well-trained.

For example, one estimate is that by 2014, the American workforce will have openings for nine million more college degree-holders than there will be new degrees awarded. This includes three million openings for two-year degree-holders, four million for four-year degree-holders, and two million for advanced degree-holders.

Unfortunately, all of our students are not ready for this new environment. Four years ago, millions of students were mired in mediocrity, denied a quality education. For various reasons, they were passed on and passed out.

How bad was it? Well, many students did not read at their grade level; some were years behind; some could not read at all. By 12th grade, African Americans are typically four years behind white and Asian students. Hispanics are doing only slightly better than blacks. In other words, these students are finishing high school with a junior high education.

This achievement gap could not be corrected by simply spending more money. We already spend more on education per pupil in grades K-12 than any other country except Switzerland and Norway. Between 1965 and 2000, the federal government spent more than $130 billion on education (Title I), with no visible difference. Our students remained about average when compared to European or Asian students. The educational divide in this country only became wider. The money was just thrown at the problem, not invested in the future.

The educational system itself needed to be reformed—transformed!

That is why the No Child Left Behind is so important. It is a more accountable, responsible approach to education. Like a successful business, the No Child Left Behind Act introduces measurement of progress, makes the system transparent and accountable, and introduces consumer choice. These ingredients ultimately make the system better and provide a better product.

This law has been the salvation of our schools. We already see considerable evidence that the law is working. Under No Child Left Behind, the investment is paying off. Taxpayers are getting a powerful return for their money. While fourth-grade reading scores between 1992 and 2000 remained stagnant, there has been a five-point increase in the last three years nationally. The percentage of African America and Hispanic fourth-graders who know their reading and math basics increased substantially more between 2000 and 2003 than in the previous eight years combined.

Further evidence comes from a report earlier this year by the Council of the Great City Schools, which reviewed test scores from 61 urban school districts in 37 states. Students in the largest urban public school systems showed significant improvement in reading and math in the first year under No Child Left Behind.

And in the last few weeks my Department has received data from a number of cities and states indicating further remarkable, rapid improvements. We see an emerging pattern of positive data. The achievement gap is closing. There is a lot more to do, here in Philadelphia and elsewhere. We are just three years into this process. We are merely witnessing the "twilight of the dawn." But as we remain steadfast to the principles and requirements of the law, we will see greater improvements with each passing year.

The president and the Congress have provided a range of resources to assist students and schools. The state of Pennsylvania has adopted an accountability plan and set standards for achievement, tests students, and provides more information to parents. Schools in need of improvement are receiving more resources. Economically disadvantaged students are eligible for free tutoring, mentoring, and other services.

The president and the Congress provided enough funding to fully implement the law, with historic increases larger than those of any previous administration. For example, in the president's 2005 budget, funding for education would be $57.3 billion, an increase of 36 percent since 2000. For Pennsylvania, this means $5.3 billion more in federal education funding since the president assumed office, a 41 percent increase. Several independent studies, including two by the GAO, have concluded that the money is there to get the job done.

As a result, all of the children of Philadelphia, and children throughout Pennsylvania, will benefit. This law will be our children's salvation. It is a necessary law to guarantee a quality education for all children. It will help preserve our country's economic and political leadership throughout the world. Perhaps more than any other law, this one is our best hope for the future of America.

The government and educators have their roles; so do the business and philanthropic communities. Again, I thank all of you for your many contributions. But we need to expand partnership even further. There is considerable need for greater community involvement. I ask you to work to bring more organizations, businesses, and individuals into this proactive, far-sighted, visionary, and vigorous partnership. In Houston, we worked very closely with the business community, brought in KIPP, and had a strong relationship with non-profits and even the police force. We wanted total community involvement. Such expansive cooperation will help to improve our education system.

I know many of the business people and representatives from non-profits ask, "What can I do?" Well, tell them. Show them how to craft a close working partnership with the school district and individual schools.

For example, tell them to make education a top priority for your company or foundation. The best investment is an investment in education. You know this. Explain the difference it made for your company or your foundation. A recent study by the United States Chamber of Commerce and Boston College found that education was the number one social issue for which businesses felt in the best position to contribute. That's why the Gates Foundation has just pledged $51 million to the New York City school system. General Electric, Time Warner, IBM, and hundreds of other companies and foundations have donated to school districts around the country.

But schools need more than financial investments; they also need an investment of time and talents. I hope each of you have adopted a school. If not, that's a good place to start. Also, help to increase the number of in-kind contributions, especially computer equipment and video conferencing devices. We need mentors to help teach children in adopted schools. We also need your business to help sponsor concerts, plays, trips, art exhibits, and other activities that feed the mind and souls of each student. And we need expertise in the classroom. The Bush administration has instituted several programs to encourage alternative certification for those with hands-on experience and a knowledgeable background.

We can do all of this, and more. The goal is excellence by all. Education reform cannot be a process of dumbing-down education. It must lift all students higher. We are setting a higher standard for learning. We must expand expectations and achievement. Thanks to President Bush and the Congress, the No Child Left Behind Act is our nation's guarantee that all children will receive a quality education—every single one. Your child, your neighbor's child, a child on South Street, a child living over by the river ...every child. This law is one of the most important actions by government in our lifetime. It is a promise that our children will be educated, not just required to go to school.

Together, you and I can help transform our education system. We can help make it better. We will make sure every single child receives a quality education. And together, we can make sure no child is left behind.

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