Don't Mess With Joe

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Bobby Jindal Responds to Obama at Governors Gathering

Blah, blah, blah. These guys are boring me today. Same old. Same old.

Stimulus is Harsh Medicine

Earlier, I commented on the immaturity or the republicans' actions, their silly ads, theatrics and a memo, calling Obama's first month a disappointment. They don't seem to have any grasp on the economic hole we're in.

But here is David Brooks, conservative columnist at the NYT, making a grown up point: Who really likes the stimulus? We have to trust government officials to spend it well and who knows if they will. If we knew there was one responsible shopper who would spend the money wisely, we wouldn't mind as much. And the people who were wise with their money are now being punished by the bad apples. Then he gets to the point -- the stimulus is harsh medicine. It's necessary, unfortunately:

These oscillations are the real moral hazard. Individual responsibility doesn’t mean much in an economy like this one. We all know people who have been laid off through no fault of their own. The responsible have been punished along with the profligate.

It makes sense for the government to intervene to try to reduce the oscillation. It makes sense for government to try to restore some communal order. And the sad reality is that in these circumstances government has to spend money on precisely those sectors that have been swinging most wildly — housing, finance, etc. It has to help stabilize people who have been idiots.

Actually executing this is a near-impossible task. Looking at the auto, housing and banking bailouts, we’re getting a sense of how the propeller heads around Obama operate. They try to put together programs that are bold, but without the huge interventions in the market implied by, say, nationalization. They’re balancing so many cross-pressures, they often come up with technocratic Rube Goldberg schemes that alter incentives in lots of medium and small ways. Some economists argue that the plans are too ineffectual, others that they are too opaque (estimates for the mortgage plan range from $75 billion to $275 billion and up). Personally, I hate the idea of 10 guys sitting around in the White House trying to redesign huge swaths of the U.S. economy on legal pads.

But at least they seem to be driven by a spirit of moderation and restraint. They seem to be trying to keep as many market structures in place as possible so things can return to normal relatively smoothly.

And they seem to understand the big thing. The nation’s economy is not just the sum of its individuals. It is an interwoven context that we all share. To stabilize that communal landscape, sometimes you have to shower money upon those who have been foolish or self-indulgent. The greedy idiots may be greedy idiots, but they are our countrymen. And at some level, we’re all in this together. If their lives don’t stabilize, then our lives don’t stabilize. Read the whole thing

Tax Breaks in the Stimulus for Business, Home and Auto

Not sure if this summary is comprehensive but it's readable.

Most Americans Support the Stimulus

I hope Republican butts don't get too sore as they sit on the sidelines waiting for the stimulus to fail.

Gallup: President Barack Obama signed the new $787 billion stimulus bill into law today in Denver with the general support of a majority of the American public, albeit a public sharply divided along party lines -- just as was the case in Congress where the bill was deliberated and voted on over the last several weeks. The bill becomes law at a time when almost 8 in 10 Americans believe the U.S. economy is getting worse, and fewer than 1 in 10 say it's a good time to find a quality job.

Stimulus Gets Last Minute High Speed Rail

Obama serving cookies to guests in the White House theater

Politico: 'Obama plans huge railroad expansion: Railroads made Chicago, and now a Chicago-rich White House wants to return the favor: remaking rail with a huge new federal investment in high-speed passenger trains. The $787.2 billion economic recovery bill - to be signed by President Barack Obama on Tuesday - dedicates $8 billion to high-speed rail, most of which was added in the final closed-door bargaining at the instigation of White House chief of staff Rahm Emanuel. It's a sum that far surpasses anything before attempted in the United States - and more is coming. Administration officials told Politico that when Obama outlines his 2010 budget next week, it will ask for $1 billion more for high-speed rail in each of the next five years.'

Read more about the high speed rail here and here.
Apparently, republican Arlen Specter tucked it in the bill at the last minute:

One of the biggest changes was the increase for high-speed rail. Senator Arlen Specter of Pennsylvania, a key backer of the bill, introduced a high-speed rail bill in the fall. Ms. Snowe was a co-sponsor of that bill.

The addition was cheered by transit advocates, who had been dismayed that the stimulus deal included only $8.4 billion for mass transit. “After decades of looking on with envy at efficient bullet trains overseas, American high-speed rail is finally leaving the station,” John Krieger of the U.S. Public Interest Research Group said in a statement.

The money would only be a small down payment, though, toward bringing high-speed rail to fruition. Californians voted in November to approve $10 billion in borrowing to begin building a high-speed rail line; the state currently estimates that the project will cost $45 billion to complete. NYT

From the U.S. Public Interest Research Group:

In a bold and far-sighted move, Congress added $9.3 billion in the American Reinvestment and Economic Recovery Act for development of high speed rail and other intercity rail. This amount was large increase from the Senate version of the bill and came on top of $8.4 billion designated for public transit agencies.

“This bill, especially the money for high speed rail, marks a bold step for 21st century transportation,” said John Krieger, Transportation Advocate for the U.S. Public Interest Research Group (U.S. PIRG). “After decades of looking on with envy at efficient bullet trains overseas, American high speed rail is finally leaving the station.”

The additional high speed rail funds mark the second time that public transportation has bucked the general trend in the Recovery Act. When the bill came to the floor of the House, dozens of amendments for additional were all defeated – with the sole exception of a measure to add $3 billion to public transportation. That amendment passed on a voice vote without opposition and with speeches of support from Republicans.

The $8.4 billion total for transit agencies is the same amount as in the earlier Senate version and less than proposed by the House. According to a statement from Speaker Pelosi’s office outlining the amounts, the transit money, “Includes funds for new construction of commuter and light rail, modernizing existing transit systems, and purchasing buses and equipment to needed to increase public transportation and improve intermodal and transit facilities.” Pelosi’s office noted that, “states have 787 ready-to-go transit projects totaling about $16 billion.”

The money for high speed rail development and for intercity rail will be spent largely on projects to build and improve tracks, signals, and stations, as well as to make pedestrian, auto and transit crossings safer near corridors where trains will reach speeds in excess of 150 mph. Some of it will be spent to modernize Amtrak, which has seen six years of record ridership gains. Californians recently passed a $10 billion ballot question for a North-South high speed rail link for trains which will travel over 200 mph. The project will avoid the need for costly airport and highway expansion and millions of gallons of oil consumption.

The push for rail and other transit comes at a time of record levels of public transportation and Amtrak ridership and growing frustration with airports. Europe, Japan, and China, our major economic competitors, already have thousands of miles of high speed rail. Experts generally see high speed rail as a more efficient and time-saving option than airplanes for trips less than 500 miles.

Said Krieger, “funds for transit and other rail will get Americans back to work while reducing dependence on oil and congestion at highways and airports.”

The stimulus bill also includes for transportation: $27.5 billion for highways, $1.5 billion for competitive state and local grants, and $1.3 billion for investment in air transportation systems. A copy of the press release from House Appropriations appears at: http://appropriations.house.gov/pdf/PressSummary02-12-09.pdf

What's In the Stimulus for Small Business?

CNN: The bill authorizes the Small Business Administration to temporarily eliminate or reduce fees for participation in its flagship loan-guarantee programs, which insure banks against default by small business borrowers. The stimulus bill also increases to 90% the percentage of qualifying loans that the SBA can guarantee.

For companies in need of quick relief, the bill offers a "small business stabilization financing," which gives them money to pay off existing loans. Under the program, the SBA can issue or back loans of up to $35,000; businesses can then use the money to make up to six months of payments on previous loans. Interest on stabilization loans will be fully subsidized, and the loans won't have any payments due for the first year. Borrowers must repay them within five years.

The SBA has a limited window of time and cash to fund these emergency measures. Congress allocated $630 million to fund loan subsidies and modifications, and authorized them to continue through September 2010. If the cash starts to run out, borrowers will have priority over lenders - and small banks will have priority over larger ones - for receiving fee discounts and waivers. Read more here.

Stimulus Highlights

See state by state stimulus breakdown here.

John McCain: Obama's Off to a Bad Start

An SNL skit spoofed that republicans are irrelevant and in real life, they're working their way toward irrelevancy because they don't yet realize that Americans want a new direction.
I had originally thought that Obama would get more republicans to support the stimulus but it's become apparent that the republicans are backing into the hard right corner, so bipartisanship needs to be viewed as inviting the republicans to participate, but if they're not offering any good ideas, or the same ideas, then there's no sense bickering with them. McCain says they weren't invited to participate, but three republicans did.

CNN: “It was a bad beginning,” McCain said Sunday of the legislative process that resulted in the $787 billion stimulus bill recently passed by Congress. “It was a bad beginning because it wasn’t what we promised the American people, what President Obama promised the American people – that we would sit down together.”

While McCain said he appreciated the fact that Obama came to Capitol Hill to speak with House Republicans about the stimulus bill. But, “that’s not how you negotiate a result.” Instead, “you sit down in a room with competing proposals” and “almost all of our proposals went down on a party-line vote”

“I hope the next time we will sit down together and conduct truly bipartisan negotiations. This was not a bipartisan bill.”

Obama to Sign Stimulus at Denver Museum of Nature & Science

Obama will sign the stimulus bill on Tuesday at 12:40 at the Denver Museum of Nature & Science. Hmmmm. Why the museum? Obama never does anything without an underlying symbolism or meaning. Perhaps he'll highlight the parts of the stimulus that will go toward science research or toward science museums? Maybe this is why.

WSJ: He said Mr. Obama reached out in unprecedented way to Republicans in Congress and will continue to seek bipartisan support despite winning almost no opposition backing for the massive stimulus measure. Mr. Gibbs spoke on CNN's "State of the Union."

Sen. John McCain, meanwhile, said Mr. Obama failed to include Republicans in writing the big economic stimulus bill.

Also appearing on "State of the Union," the Arizona Republican said the measure will create what he calls "generational theft" -- huge federal deficits for years to come.

Mr. McCain, who lost the presidential race to Obama, said the president is backtracking on promises of bipartisanship.

Mr. McCain acknowledged that Republicans excluded Democrats when the GOP held power on Capitol Hill. But he said Obama had promised to work differently.

Mr. Obama planned to sign the economic stimulus bill in Denver on Tuesday.

The Denver Museum of Nature & Science told patrons it would be the site of the signing.

Watch Obama speak to the business council on the economy.

David Axelrod On Meet the Press Feb. 15

David Axelrod says the executive pay situation will be retooled to work. Wall Street is very unhappy that a new provision in the stimulus is retro restrictive on bonuses.
On Geithner, Axelrod said Geithner had planned to lay out a strategy, not details. The plan is very complex, Axelrod said.
On Judd Gregg, Axelrod pulled the M-word, maverick. Axelrod said Gregg was a maverick in the senate and had second thoughts. The Census will not be politicized, he said. It will reflect the population of this country.
Picks for Health and Human Services and Commerce are in the works.
Axelrod on stimulus:

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Axelrod, obviously irritated, puts Cheney The Grouch in his place:

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Axelrod on the republican whining about the bill:

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Republicans are Smarter Than Democrats Republicans Say

The republicans response to the stimulus, courtesy of Sen. Lisa Murkowski -- of Alaska!
In a soft voice, Murkowski says the stimulus is cause for serious concern. It's not Monopoly money.
Democrats settled on a random amount of money and then sought to fill the bucket. Republicans, on the other hand, targeted the root of the problem, she said.
Too late Murkowski! Bill passed. Now we have to make it work. It seems they'll sit on the sidelines and root for failure.
This, by the way, is the party sending out GOP Valentines.

More republican outrage from Wisconsin's Paul Ryan.

Obama's Weekly Address Feb. 14

The stimulus bill has passed congress, Obama will sign and then the fun begins. Watch recovery.gov, which will show where the money is going.
Read the transcript here.

Obama's Going to Make Stimulus Work

Obama's traveling to Denver Feb. 17 and Phoenix Feb. 18 to talk about the stimulus and outline his plan to prevent home foreclosures. By then, republican moaning and groaning and spectacular theatrics will have subsided (maybe) and the bill will have passed.
So why the trip?
Obama may not have the left or the right but he has the majority of the American people with him, the people in the middle, so he's going to rally them and make the stimulus work. That's what I'm thinking.

Republicans on Record: They Don't Like the Stimulus

The $800 billion stimulus costs less than the Iraq war but the stimulus will actually help our country. Read about what's in it for individuals here. If you want to read it with your own eyes, the stimulus is posted here.
The republicans are making it known, as if we haven't heard them whine enough, that they don't like this bill. They said they weren't allowed to participate. Well, why were Olympia Snowe, Arlen Specter and Susan Collins allowed to participate? Maybe because they did. They participated. Anyway, the bill passed the house (7 dems against and all republicans against) and a vote is expected in the senate tonight.

Outraged they are:

Did Judd Gregg Cave to Peer Pressure?

If so, it's good he's out. Apparently, the republicans have been hammering Gregg for selling out:

Gregg's out, who cares.
Writers for The Atlantic, Mark Ambinder and Andrew Sullivan, hash it out. Are the republicans resorting to survival tactics? This, by the way, is a great use of video:

Obama's Sit Down With 16 Newspapers

From Politico's Playbook, Obama sat down for a roundtable interview yesterday and today, made some headlines:

President Obama did a 55-minute roundtable interview in the Roosevelt Room yesterday with reporters from 16 regional newspapers, producing huge play in key states for his message that voting for the stimulus bill is voting for jobs:

Anchorage Daily News: 'Obama calls Alaska gas pipeline promising'
Columbus Dispatch: 'Stimulus not perfect but will help Ohio, Obama says'
Dayton Daily News: 'Stimulus package provides relief to Ohio, Obama says'
Detroit Free Press: 'Obama: I can offer serious auto help'
Detroit News' 'Obama to Big 3: Craft plan that works'
Indianapolis Star: '[P]resident declines to comment on $2.5M proposed for Carmel water park'
(Norfolk) Virginian-Pilot: 'Obama says he will not act quickly on offshore drilling'
Omaha World-Herald: 'Obama praises Nelson's role in stimulus bill'
Philadelphia Inquirer: 'Obama: Plan will save millions of jobs'
Portland (Maine) Press Herald: 'Obama: Snowe, Collins 'outstanding' senators'
(Raleigh) News & Observer: 'Obama talks about N.C.'s big issues'
Salt Lake Tribune 'Obama: Oil lease sale needed scrutiny'

ALSO INCLUDED: California, Florida and Hawaii scribes.

Deb Price in the Detroit News: 'What, exactly, was the brick-size wooden box with the red button on top, on the table in front of President Barack Obama? 'If any of you really got me mad, I would press it,' Obama said with a mischievous laugh.' The president went on to explain: 'These are in every room that I'm in. And so if there was an emergency, Secret Service – you know, I could press this. Some of 'em, you knock over, and Secret Service rushes in.'

For Maureen: AT ONE POINT, THE PRESIDENT CORRECTS HIMSELF FROM 'STIMULUSES' TO 'STIMULI.' And he tells Dale Eisman of The Virginian-Pilot: 'What we've done is, we've identified where are some areas of military spending that can occur within that two-year [stimulus] timeframe, but doesn't have what's called a long tail – it doesn't perpetuate long-term programs.'

SHOT – Charlotte Observer, 'Obama not taking sides in UNC-Duke: At a roundtable of regional reporters in the Roosevelt Room of the White House, the president came close to predicting a rebound for Duke basketball's Coach Mike Krzyzewski at tonight's highly anticipated Carolina-Duke game. He said Duke is 'coming off one of the worst losses it has had in several years,' but noted that Coach K had been working the team pretty hard this week. 'They might be fired up,' he said. ... [He] played a pickup game with many of the [UNC] Tar Heel standouts before the May primary. Pointing to his body man, former Duke basketballer Reggie Love, he said he has to remain on the sidelines, as it were. 'If I said anything contrary to Duke, I might not be able to find my Blackberry,' he said.'

What's in the Stimulus for You?

The Swamp has a good rundown of who would benefit from the stimulus. Ultimately, it would seem everyone would benefit if the economy ramps up again. But more specifically, here are some of the benefits:

Taxpayers

For most Americans, aid would show up most directly in a simple tax credit.

Workers making less than $75,000 a year would get a $400 credit for 2009 and 2010. Couples making up to $150,000 would get $800.

Higher-income taxpayers would see smaller credits. Individuals making more than $100,000 a year and couples making more than $200,000 would not get the credit.

In addition, 24 million middle-income Americans would be spared from paying higher income taxes under the alternative minimum tax.

The tax was originally designed to apply only to the wealthiest Americans, but it was never indexed for inflation, so larger numbers of taxpayers have been required to pay it.

College students

Many people paying for college would get a $2,500 tax credit for tuition and other education-related expenses, such as books and computers.

Eligible college students would also receive higher Pell Grants, thanks to a $400 boost in the maximum grant, to $5,250. There's plenty more at the Swamp

Reid and Collins Announce $789 Stimulus -Video

More than 35% of the bill is tax relief, says Susan Collins, one of three republicans who worked on the deal. Read more here and here. It seems conservative republicans' last minute scare tactics didn't work.
Support for the bill has gone up, according to a Gallup poll.

Stimulus Bill Squeaks On To Conference

The stimulus bill squeaks by in the senate 61 to 37. Does it even matter that the 61 people who moved the bill forward are mostly democrats? I don't think so. Now it moves on to a conference, where the House and Senate versions of the bill need to be reconciled.
Obama wants the bill on his desk Monday.
He announced the passage of the stimulus to cheering crowd in Fort Myers.
A woman in the audience, Henrietta Hughes (sp) tells Obama she needs help. She's living in a car. Obama then went to the woman and told her that his staff will talk to her after the town hall. That is the main reason I have always supported Obama. I know that he cares about the most vulnerable people. He's always talking about the middle class, but the poor are also as much on his mind, if not more. 
Ms. Hughes and Q&A portion:

Loved the exchange between the student who works at McDonald's and Obama.

Here's a transcript of Obama's intro prior to the Q&A.
Obama in Fort Myers:

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See more photos of the day here.
Florida Gov. Charlie Crist introduced Obama:

GOV. CHARLIE CRIST, R-FLA.

[*] CRIST: Well, Mr. President, welcome to Fort Myers, Florida.

(APPLAUSE) Just a couple of points I wanted to make to you, Mr. President. Our -- our budget is in balance here in Florida. We have some people that have worked very hard in our Florida Senate and our Florida House to make that possible. In fact, we’ve had to cut about $7 billion over the past two years, and we haven’t raised taxes, and we’re still in balance.

CRIST: But to be candid, it’s getting harder every day. It’s getting harder every day, and we know that it’s important that we pass a stimulus package. It’s important...

(APPLAUSE)

It is important that we do so to help education, to help our infrastructure...

(APPLAUSE)

... and to help health care for those who need it the most, the most vulnerable among us.

And let me finish by saying, Mr. President, we need to do it in a bipartisan way.

(APPLAUSE)

This issue of helping our country is about helping our country. This is not about partisan politics. This is about rising above that, helping America, and reigniting our economy.

You know, a great president once said, “The government ought to be of the people, by the people, and for the people.” That was Abraham Lincoln, whose birthday we celebrate later this week.

Ladies and gentlemen, please give a warm Florida welcome to President Barack Obama .