FOX URGES COOPERATION ON DRUGS, EDUCATION

SACRAMENTO -- Mexican President Vicente Fox, saying a growing democracy in
his country allows frank comment, urged California's Legislature yesterday
to take a hard look at the drug problem on both sides of the border and to
give students of Mexican descent greater access to the state's higher
education.

The first Mexican president elected from an opposition party in 71 years
candidly discussed Mexico's own problems, saying years of authoritarian
government have produced an unfavorable perception of his nation.

"We Mexicans have demonstrated our political maturity," said Fox, who is
making his first visit to the United States since taking office in December.

But he made pointed remarks about California's need to act on such matters
as drug abuse. He contends that border drug traffic will subside only
through both a crackdown on organized crime and a reduction in drug
consumption.

"We need flowing cooperation at all levels of government if we are to break
the chains of production, transportation, sale and consumption of narcotics
on both sides of the border," he said.

Fox told the Legislature that he believes hard-working men and women of
Mexican descent have made California's prosperity possible, while
contributing to a richly diverse culture.

"We are therefore of the opinion that they should have greater access to
the California educational system, especially in the state's excellent
higher education program," Fox said.

Fox said that Mario Molina, a 1995 Nobel laureate in chemistry, is an
example of what can be accomplished. Molina, a professor at the
Massachusetts Institute of Technology, was born in Mexico City and received
his doctorate from University of California Berkeley.

But earlier in the week, Gov. Gray Davis said he is opposed to dropping
out-of-state university tuition for Mexican students who are not U.S. citizens.

The Mexican president said his country's new openness has created a
historic opportunity for better relations with its northern neighbor. He
chose California, home to 7 million Mexicans and Mexican-Americans, for his
first U.S. visit as president.

Fox drew a big round of applause from legislators when he said that Mexico,
which has been sending California enough power for 50,000 homes, now has
the flexibility to work to send more surplus power in the future.

The Mexican president earlier told reporters that the North American Free
Trade Agreement should be expanded to develop an energy plan that would
reach from Canada to Central America.

Sacramento was the first stop for Fox, who is conducting a two-day tour of
the state with Davis. Late yesterday, they toured high-tech companies in
the Silicon Valley, where they dined with business executives.

Today, Fox will meet with agricultural workers in Fresno, address a
business group in Los Angeles, open a Mexico business office in Santa Ana
and tour a school with first lady Laura Bush. Bush is visiting California
to promote education programs and makes a stop at the San Diego naval
station at 32nd Street tomorrow morning.

Fox came to California first because "we want to make a political statement
that things are for the better, that we are starting a brand-new era with
California," said Enrique Berruga, Mexico's deputy secretary of foreign
relations.

"Now, there is an attitude in general toward Mexico that was unheard of
before, an attitude of confidence, trust and greater expectations," Berruga
said. "California is a trendsetter in the United States for the perspective
about Mexico."

Since Davis was elected in 1998, relations between California and Mexico
have improved dramatically. Relations were at a low point with the 1994
passage of Proposition 187, a California initiative to cut off public
services to illegal immigrants that was backed heavily by then-Republican
Gov. Pete Wilson.

The Legislature gave Fox a warm reception even as he delivered straight
talk about the problems, as well as the opportunities, facing the two
neighbors.

Fox told legislators that providing enough water from the Colorado River to
restore the delta in Mexico is "an issue of enormous importance" and that
neither nation should act unilaterally without consulting the other.

Davis and Fox announced that the first of what is expected to be a series
of Cabinet-level meetings between Mexican and California officials produced
agreements to reduce smog in Tijuana and to protect the Sea of Cortez.

California will give Tijuana a computerized inspection system that can
measure tailpipe emissions. Inspections will begin with the municipal fleet
of 8,000 automobiles and 2,000 other vehicles. The inspections are aimed at
reducing pollution in the air basin shared by Tijuana and San Diego.

The second agreement recognizes the importance of preserving the ecology of
the Sea of Cortez and pledges a joint effort by government, the private
sector and university researchers in California and Mexico.

Joining Fox in emphasizing the importance of the relationship between
California and Mexico, Davis said Mexico is California's largest export
market. He said exports to Mexico total nearly $19 billion and account for
228,000 jobs in the state.

"The relationship with Mexico is not just important," Davis said. "It's
essential to our future."

Davis commended Fox for adopting a new policy of praising Mexican
immigrants to California, calling it a "new beginning" in the long
relationship between the two neighbors.

"I think it's a healthy, smart relationship that benefits both sides of the
border," Davis said.

At a news conference with Davis, Fox sidestepped a question about whether
California should issue driver's licenses to illegal immigrants. Davis told
reporters earlier in the week that the driver's license must be restricted
because it is a "gateway document" that can be used to obtain other things.

Fox said Mexico cannot impose its wishes on California. He said that "we
can only mention what we believe should be mentioned if there is a
situation that exists."

The Mexican president said he will continue to press the United States for
an orderly immigration plan. At a meeting with President Bush in February,
Fox agreed to high-level negotiations on the issue.

"The experiences of the state of California will be invaluable in this
process," Fox said.

Fox drew his first big applause from the Legislature when he called for a
broad effort to improve the economic conditions of people on both sides of
the border.

"We must not forget that the region's economic progress will only be
sustainable in time if it is able to enhance the well-being of all of the
social groups, particularly those that have so far been excluded from the
distribution of wealth," he said.