tv The David Rubenstein Show Peer to Peer Conversations Bloomberg February 7, 2021 10:00am-10:31am EST
♪ david: this is my kitchen table and also my filing system. over much of the past three decades i have been an investor. the highest calling of mankind, i have often thought of as private equity. then i started doing interviews. -- then i started interviewing. i have learned how leaders make it to the top. >> i asked how much he wanted. i did no due diligence. david: and how they stay there.
you do not feel inadequate now being only the second wealthiest man in the world, is that right? one of the most interesting political stories has been happening in my home state of maryland where somebody who had never been elected to anything before got elected twice, a republican in a heavily democratic state. he is very pop -- popular. everyone is wondering what he will do after his term as governor finishes. for those who do not know your background, it is quite interesting. i want to go through it. you grew up in maryland. your father had the same name -- larry hogan. lawrence hogan. he was a member of congress, a s a member of congress, a member on the house judiciary committee. he cast the first vote against richard nixon in favor of being impeached. >> as much as it pains me to say it, he should be impeached and removed from office. david: was it difficult for him
to do? gov. hogan: it was. i learned a lot about integrity and public service from my dad and there was that one particular moment i was most proud of him for. it was a difficult decision. he was the first republican on the house judiciary committee to come out for nixon's impeachment, to say it publicly. he was the only republican in congress to vote for all three articles of impeachment. it was a difficult thing with a lot of people very angry, but i think history remembers him well. my dad was running for governor of maryland in 1974. he lost to race due to that vote. republicans were really angry. when i was sworn in, when i was elected in 2014, my dad was there. i was proud he was still around to see it. i said "it may have taken us 40 years but we will finally have a
larry hogan in the governor's mansion." david: when you were a teenager your parents divorced and he -- you went to live with your mother in florida. you went to florida state university. you had some jobs working at the -- at beach related places, selling suntan lotion and things like that. what is wrong with that lifestyle? you are living on the beach, you are surfing, lots of parties, lots of girls, lots of fun. why did you move back to my home state? it's a great state, but why didn't you stay in florida? gov. hogan: that's a great question i'm still asking myself. being governor is the best job i've ever had aside from being a lifeguard in florida during spring break. that was a pretty good gig. that was a nice thing to do in high school and my early college years, but my dad set i had to
-- my dad said i had to get a real job and grow up so i came up to maryland and worked for a lot less money and have a lot -- had a lot less fun than i did in florida on the beach. david: one thing you did was run against cindy hoyer now the house majority leader. very republican, -- for a republican, you did reasonably well. after you lost, why didn't you say i am out of politics. gov. hogan: i beat him in four out of five counties in the district and actually declared me the winner. he finally caught up the next day with the votes that came in from prince george's county. i have been in congress ever since. i was a 30 something-year-old kid at the time. i came back to focus on business. i thought i had sworn off of politics. i was still involved in helping
other people and i still cared about decisions, but i had no desire to run for office again. until 22 years later. david: you go back to your real estate business you already had. it was doing quite well. then there were financial problems in the united states -- i guess this is the ladies -- the late 80's -- and your business had to file bankruptcy. how did you pick yourself up off the ground? gov. hogan: it was a low point. you learn more from the tough times in life. i had worked very hard, started a business in the basement of my townhouse to build a successful company. it was a tough time. the savings-and-loan industry was collapsing. homebuilding and development businesses were filing bankruptcy all across the country and many of my clients were doing the same. many of my lenders were going under. it did not give me any solace that i was not alone. our that it was not my fault --
or that it was not really my fault. it was a difficult time to go through. i had to start from scratch. i learned a lot about overcoming adversity and understanding what people go through when they both through a difficult financial time like that. david: when you decided to run for governor, did people say " you are a nice guy and you overcame bankruptcy in real estate, but you ran for congress once and lost. you have not been elected to anything ever in maryland. why are you doing this?" did people tell you you were a little crazy? gov. hogan: almost everyone told me i was completely crazy, not a little crazy. we had only elected one republican governor in 50 years and he had only served one term. it had gotten worse in maryland since then. the odds were stacked against any republican winning statewide, especially one most
people had never heard of and had never held elected office. so i talked to a lot of my friends, my clients and business associates. when i said " i'm thinking of running for governor," and they said "what state?" like where are you moving to? it was the biggest surprise upset in america in 2014. david: you were running against the lieutenant governor of state who had been governor for eight -- tenant governor for eight years -- lieutenant governor for eight years. maryland has a high percentage of african-american voters. how did you win? gov. hogan: i was elected in spite of being a republican because i focused on issues everyone cared about like turning our economy around and growing out of a big deficit the state had. it resonated. we worked really hard. it was a grassroots effort.
i was outspent 12 to one by the incumbent. nate silver, political prognosticator gave me a 96% chance of losing by between eight and 12 points. we won by five points instead. david: you get elected governor. early on there was a crisis in baltimore. the biggest city in maryland. a person who had been arrested was put in a police paddy wagon and he died in that paddy wagon more or less. his name was freddie gray. it produced a lot of riots in baltimore. you being the governor, did you say to the mayor "fix this problem," or did you get involved? was it controversial to get involved? gov. hogan: it was 90 days after i was sworn in so i am a new baby governor then the worst violence in 97 years broke out in the city of baltimore.
the city was in flames. it was out of control. the mayor was not responding. business owners, city residents were scared. the city police force was overwhelmed. i immediately declared a state of emergency. i called up the national guard and we sent in 1000 extra police officers and 4000 members of the national guard. we brought peace and calm to the city. we allowed peaceful protesters to continue safely for a solid week, but no more violence took place. i walked the streets of baltimore for a solid week. i went to freddie gray's neighborhood, went into the places with the burned out shop owners and listened to the concerns of city residents. it was a prelude to what we have seen this past year with violent protests in cities across america. i don't think they handled it
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♪ david: shortly after you were elected governor you found that you had stage iii lymphoma. you had lymph nodes that were cancerous throughout your body. so how did you find out that you had cancer and did you think that maybe you were not going to survive? gov. hogan: i had just been governor for 150 days. i was on a trade mission to china, korea and japan. i was not feeling so good. i was feeling a little run down. i noticed a little thing popping out of my throat.
i went to the doctor. it came as a complete surprise. i thought i was working too hard. i did not think it was anything serious, but it was pretty advanced and aggressive cancer, which came as a shock. i was as transparent as possible with the people of maryland. i went through a tough six month process of 24 hour a day chemotherapy and another year of maintenance chemo after that. it wreaked havoc on my body, but thank god i am 100% cancer free. david: when you come down with stage iii lymphoma and you are the governor of a state with a lot of responsibilities, did you say "i will step down and be the -- and let the lieutenant governor do the job"? did you ever consider that? gov. hogan: i got the diagnosis father's day weekend and i had to go home and tell my wife and kids. i had to tell my cabinet about
-- and my lieutenant governor and i wanted to tell the 6 million people who just voted for me that i was going through this. >> a few days ago i was diagnosed with cancer. gov. hogan: bass me that at -- they asked me that at my first press conference, are you going to step down? i committed to do a job and i was going to try to do it. i just kept working from the hospital. sometimes it was difficult. a lot of my team stepped up and helped and took on more responsibility, but i decided i was going to try to fight through it and i am glad i did. it set an example for some other people who have told me they were inspired by the fact i kept fighting through it, which is what everyone has to do who goes through cancer. david: when you are the republican governor of a state like maryland and you say i want
to get this through the legislature, i assume you can get through anything you want! gov. hogan: in my dreams that would be the way it works. charlie baker, the governor of massachusetts, and i have a high job approval rating. it is not a popularity contest, but people approve of the job we are doing. i think it is because the nature of -- we cannot get anything done in our states unless we reach compromise, unless we find that common ground where we can all stand together. it is what we do -- we have accomplished a lot in our states and you only do it through bipartisan common sense solutions, by reaching across the aisle. turns out that's really popular among democrats, republicans and independents in every demographic group whether you
are white, black, suburban. that is what people want. david: you are a very popular governor but the state is still a very big democratic state. you are running for reelection, but the odds are against you. you are running against a former head of the naacp. african-american who had grown up in baltimore. how did you win that election? gov. hogan: we had done a really good job over four years. as you mentioned my approval was , very high, 78% of the people in maryland approved of the job i was doing. in spite of that they were not going to vote for me. i was dealing with the blowback from president trump, who had a 28% approval rating. some people were holding it against me. we ran a campaign to say i'm different than donald trump and you cannot punish me because of my party affiliation. look at the things we have done
and accomplished together. maryland has the highest percentage of black voters in any state outside of the south and i am running against a former leader of the naacp and we won in a landslide in a very blue year. in a very blue state, i ended up getting more votes than any other governor in the history of our state. david: you have said recently the virus that is coming back, covid-19, is coming back in a more virulent state than it was before. are you talking -- what is the state in maryland? are you talking to other governors who say they may not have enough ppe or hospital beds? gov. hogan: this is something we have been dealing with for nine months now. as much as we would like to get back to our normal lives, the honest truth is some of our darkest days are ahead of us. the virus is spiking out of
control all across the country. we are still in better shape than many, but the virus does not recognize state borders. the good news is there is light at the end of the tunnel. operation warp speed and the vaccine is way ahead of schedule. the cavalry is coming to the rescue. it just will not happen as fast as we would like. david: when the first wave of the virus came, the governors were supposed to cooperate but -- you were the head of the national governors association, at the time, but in the end they were competing for ppe because they could not get tests or equipment. do you anticipate that will happen again? governors will sneak around and get more vaccines than they are otherwise entitled to? gov. hogan: this was uncharted territory when we were at the beginning of this crisis in the
spring. i was pretty frank about some of my concerns about the lack of coordinated response in washington. it was kind of a mess. we were building entire infrastructures from scratch. the good news is we are miles ahead of where we were. now i am not critical of where we are. there is good cooperation between the federal government and the states. they have a plan. no governors will be able to go around the back door and get vaccines without going through the process. everyone will get them in the same pro rata manner. we will prioritize who gets them first starting with our most vulnerable populations and our front line health care workers. as we get them we move down the list to the people who are most vulnerable. david: private equity people
won't be on the top of your list? gov. hogan: it depends on if you have some comorbidities or health issues. we might be able to move you up the list if you are of a certain age -- you are probably too young. david: i wish i were. [laughter] david: many in this country said, racing gallup poll -- a recent gallup poll said about 40%, don't want to take the vaccine. dr. fauci has said unless you get 70% vaccinated you do not get the benefits of herd immunity. how will you convince people to take it? gov. hogan: there was a miscommunication about some people had the impression it was being rushed in an unsafe way. now people are feeling more comfortable as more information comes out with the change in administration, everybody together saying the vaccine is good, works and is important. it will take some convincing -- you are right, we have to get
♪ david: after you were elected governor and you were helped by chris christie, then republican governor of new jersey, when he ran for president, you supported him. when he dropped out, he endorsed donald trump and he tried to get you to endorse donald trump and you said no. you never endorsed him and you didn't vote for him. was that awkward when you tried to go to the white house as head of the governors association? gov. hogan: not really.
chris christie and i are friends, but we don't have to agree on everything. in spite of all of that, the relationship was pretty good. the president got testy a few times when he didn't like me speaking up on certain topics, and i wasn't always drinking the kool-aid, but i try my best not to be attacking the president. regardless of who the president is, i want to work together with them. chairing the national governors association, i brought together in a bipartisan way all the governors of the states and territories speaking with one voice, in many cases unanimously pushing for certain things. sometimes the president may have bristled if we did not just compliment him on everything, for the most part the whole team was very cooperative. david: after trump was elected president, you did not vote for him, you worked with him when he was president, you flirted with
running against him for the republican nomination in 2020. why did you decide in the end not to run for nomination? gov. hogan: honestly -- i don't know if flirting is the right way to put it. there were people trying to encourage me to do it. i never formed an exploratory committee. i did not aggressively go after it. after i was reelected in 2018 in the bluest state in the country when many of my republican colleagues across the country were losing, when we lost state legislative bodies and we did really well appealing to suburban women, minorities, and democrats and independents. when i was inaugurated for the second time jeb bush talked -- gave a speech where he talked about me being the antithesis to washington and the way we have been able to get things done in a bipartisan way and that took on a -- people started saying
"how about this guy? how does he do that? how do you reach a wider audience and a bigger tent? how do you get things done in a state that is two thirds democratic and how do you get reelected when everyone else lost?" it took on a life of its own. i was frustrated in many respects with my party and some of the things i thought the president should have been doing that was not doing or some of the way we were going about it. i listened, but i never really took any serious, aggressive action towards running for president. david: 2024 will have another presidential election and some people are saying you should run for the republican nomination then because you have proven you can win in a democratic state, you are very popular. are you thinking about it? are you ready to announce today you are running for president in 2024. gov. hogan: that would really break some news!
your show would get a lot of eyeballs if we said something like that today. i am flattered by these people suggesting that and i am not saying i would rule it out, but this is the honest truth -- i have an important, difficult job that i love doing. we are in the middle of two twin crises, and i still have this day job to do on till january, -- do until january, 2023. i want to be part of the conversation about where we go as a party and country and i will continue to speak up and let people know what i think we should do, but i am not ready to launch any campaigns. david: if you do not run for president, and your term is up, would you consider private equity? [laughter] gov. hogan: if that is a job offer, i would like to talk to you about it. if i do not pursue higher office, i likely will go back to the private sector. i enjoyed most of my life as a businessman. i miss that a little.
dennis: we don't need to consume animals to get our protein. it is harmful to the environment. and if we can build a product that tastes as good as an animal, we are going to win. annmarie: food of the future. this week, what if the whole world went vegan? we look into the impact of a no meat, no dairy lifestyle on people in the planet. >> i told my friends i'm going to become a vegan and live that plant-based diet. annmarie: a green alternative, pork from a petri dish, edible insects, and impossible burgers. the big money behind fake meat. josh: it is not surprising that it tastes like chicken be