Secretary Leon Panetta is Cautiously Hopeful About our Democracy
Secretary Panetta closed out the 2026 Leadership series with a keynote examining the stakes facing American democracy and global leadership.
“We still have the tools to save our democracy.”
- Secretary Leon Panetta
The East Bay Leadership Council closed out the 40th Annual Leadership Series with a timely and thought-provoking conversation featuring former Secretary of Defense and CIA Director Leon Panetta. Building on the series’ broader focus on regional leadership and economic resilience, the discussion explored the intersection of global conflict and economic stability and what those dynamics mean for communities and business leaders in the East Bay. In both his keynote remarks and subsequent conversation, Secretary Panetta connected international affairs and national policymaking to the long-term resilience of democratic institutions and local communities.
In his remarks, Secretary Panetta emphasized the urgent need for principled, bipartisan leadership at what he described as a defining moment for American democracy. Reflecting on decades of public service, he argued that the country stands at a crossroads between “American renaissance” and “American decline” noting that our nation’s path will be defined by the quality of leadership at all level of elected office.
Drawing on his experience in Congress, he pointed to periods when both parties worked together on immigration reform, social security, tax policy, and deficit reduction, contrasting that spirit of collaboration with today’s increasingly polarized political environment. He warned that governing through crisis rather than cooperation continues to erode public trust and weaken the long-term strength of American institutions.
Turning to global affairs, Secretary Panetta delivered an extensive assessment of the ongoing conflict involving Iran, reflecting on both the strategic failures that contributed to escalating tensions and the risks that remain ahead. “One of my most awesome responsibilities as Secretary of Defense was deploying our young men and women in uniform into harm’s way,” he said. “And I thought it was very important that when we do that, we have a clear objective.” He argued that the absence of clearly defined goals before initial U.S. military involvement contributed to a prolonged and increasingly complex Iran conflict. He also highlighted the broader geopolitical and economic consequences of the conflict, including disruptions to global energy markets and growing instability in the Middle East. Looking ahead, he cautioned that while diplomatic agreements may be reached, tensions with Iran are likely to persist for years to come.
Secretary Panetta was then joined by Dr. Daniel Sargent of U.C. Berkeley’s Institute of International Studies for a wide-ranging conversation on the fiscal and democratic challenges facing the United States. Drawing on his experience as Chair of the House Budget Committee, Director of the Office of Management and Budget, and Secretary of Defense, Panetta described rising national debt and political dysfunction as major threats to long-term economic stability and American leadership abroad. “We are now in the deepest debt we’ve been in as a country,” he cautioned, stressing that meaningful fiscal reform will require bipartisan cooperation, difficult policy choices, and leaders willing to prioritize long-term national interests over short-term political considerations.
The conversation also underscored the importance of the rule of law and enduring democratic norms, with Panetta warning that the erosion of these core institutions would not only weaken America’s democratic foundation but its credibility and influence in the world.
The discussion concluded on a note of cautious optimism. While acknowledging widespread political division, Secretary Panetta expressed confidence in the resilience of American democracy and the ability of communities to help shape a stronger future. “We still have the tools to save our democracy” through civic participation, local engagement, and community leadership. He closed by emphasizing that the strength of the United States ultimately rests not only in national institutions, but in the willingness of individuals and organizations like the East Bay Leadership Council to remain engaged and committed to the democratic process.
The webinar recording is available on our YouTube Channel
The East Bay Leadership Council is a regional employer-led organization with a nearly 90-year history of advancing policies that strengthen the economy and improve quality of life in Contra Costa and Alameda Counties.