Obama Vows To Help Struggling States

President-Elect Addresses Bipartisan Audience At Conference Of Governors In Philadelphia

(CBS/AP)  President-elect Barack Obama promised swift action Tuesday on an economic plan "to solve this crisis and to ease the burden on our states," and he cast governors as his partners in crafting a recession-rebound strategy.

"This administration does not intend to delay in getting you the help that we need," Obama said as he met with the chief executives of most states and sought to rally bipartisan support for an economic stimulus.

Over the next two years, 43 states are expected to face budget deficits, likely forcing some to slash spending to the bone, reports CBS News Chief White House Correspondent Chip Reid. Governors are now asking the federal government to spend 136 billion dollars to repair the nation's crumbling infrastructure -- everything from roads and bridges to mass transportation and schools.

President-elect Obama has set a goal of saving or creating 2.5 million jobs to boost the economy, which experts say has been in recession for the past year. His aides and congressional leaders have been discussing the outlines of a measure that could exceed $500 billion over two years. Congress wants to have it ready for his signature shortly after his Jan. 20 inauguration.

Incoming White House chief of staff Rahm Emanuel told reporters that in a private portion of the meeting, Obama and Republican and Democratic governors agreed that the measure must focus heavily on money for infrastructure as well as bureaucratic reforms to make it easier to complete programs without having to cut through piles of red tape.

"The top priority is to invest in these areas," Emanuel said, listing roads, bridges, high-speed rail, water-treatment systems, schools, medical information technology, broadband networks, transportation systems and "green" technology.

"The governors see that as essential to their own economic recovery in their states, and we see it as essential to the economic recovery of the country," Emanuel said.

But Emanuel was noncommittal on whether the legislation would contain exactly what the governors seek - some $136 billion more for infrastructure projects and at least $40 billion to temporarily increase the federal government's contribution to the Medicaid program for the poor and disabled.

"We're going to review all that," Emanuel said.

The measure is expected to blend money for those priorities with tax cuts, a temporary increase in food stamp payments, as well as investments in renewable energy projects and other "green jobs" initiatives.

Obama and Vice President-elect Joe Biden spoke to the bipartisan group of governors at historic Congress Hall.

Republican and Democratic governors, nearly all of whom are struggling with budget deficits at home because of the recession, sat at desks in the hall, with no separation by party. They included former and possibly future political rivals, such as GOP Govs. Bobby Jindal of Louisiana and Sarah Palin of Alaska, the party's vice presidential nominee this year.

Reid notes that while many Republicans are on board with Obama's plan, others have reservations, including Palin, who criticized Obama as a big spender during the presidential campaign.

"Solving those problems will not come from incurring more debt," Palin said.

In his brief public comments, Obama called the meeting the start of a partnership, and said he will go beyond asking governors to implement the economic plan that will include tax cuts for "hard-pressed middle class families" and increased federal spending.

"I'm going to be interested in you helping to draft and shape that economic plan," Obama said.

Biden told the governors he hopes they will not criticize the incoming administration for raising the deficit as it tries to help them. "I know none of you would do that," he said jokingly. Most states have constitutions that prohibit deficit spending.

The governors, in turn, pledged their cooperation.

Pennsylvania Gov. Ed Rendell, a Democrat who chairs the National Governors Association, said: "We are here with the understanding that we have to be not only participants but to lead in dealing with the financial problems that are upsetting our states."

Obama empathized with governors struggling to craft budgets while state tax revenues fall and an increasing number of people seek state help during the downturn. The president-elect said at least 41 states likely will face budget shortfalls this year or next.

"Jobs are being cut," he said. "Programs for the needy are at risk. Libraries are being closed. Historic sites are being closed."

As he has since his Nov. 4 election, Obama gave a sobering assessment of the challenges ahead and emphasized bipartisanship in finding solutions to the country's ills.

"I don't think anybody here is viewing the situation through rose-colored glasses," he said and warned of potentially disappointing decisions he will likely have to make. "Not all of those choices are going to be popular."

He promised Republican governors "the hand of friendship, the same commitment to partnership" that Democrats receive.

"We are not going to be hampered by ideology in trying to get this country back on track. We want to figure out what works," Obama added, drawing applause that started with Mississippi Gov. Haley Barbour, a former GOP national chairman.

Biden singled out Palin - his debate adversary from the fall campaign - and said her presence was a sign that both parties are confronting problems together. "Maybe walk outside with me later and say hello to me," he said to laughter from the crowd.

In the private meeting, according to Emanuel, there was a consensus that the Federal Emergency Management Agency was not responsive and needed to be fixed, and discussion about helping states deal with rising health care costs and increasing foreclosure rates.

[bbasso-2009]

obama has been saying forever he wants to help,but i have not seen anything!!

WHERE ARE YOU BARAK OBAMA!!!

[payday_loans]

The biggest criteria in the United State%u2019s recession are employment, income, industrial output, and sales figures. The peak time for income and employment were in December of 2007, industrial output peaked in January 2008, and then sales peaked in June. Congress, especially Democrats, weren%u2019t exactly surprised, and called for a stimulus package. Senate Majority Leader Harry Reid (D-Nevada) said that %u201CThe announcement simply makes official what we have long known: with rising costs, rising unemployment, record foreclosures and depleted savings, we must do more to help families make ends meet.%u201D Not rolling over and granting the banks%u2019 wish to ban payday loans would be a good idea, too. Bear in mind that economies work in cycles, booms and busts. The expansion that just ended lasted from November 2001 to December 2007, for 73 months. The record is 120 months, but most expansions last an average of 57 months since the end of World War II. For more info on http://personalmoneystore.com/moneyblog/what-are-payday-loans-2/, click the link.

[inketolstoy]

It is getting so hard to tell republicrats from democans anymore. Different faces, same message. If there is a problem, throw money and promises at it. They need to form one party and make their mascot the chicken.

[harp1963]

More phony promises.

[yongamerica]

Listening to the Governors talk about getting aid from the Federal Government was a hoot. To listen to Republican governors, like Sarah Palin and Arnol Schwarzenegger talking positive about receiving Federal Aid as if it was a social welfare program had me scratching my head in disbelief. The very thing they criticized Democrats for was the very thing they were very thankful for.

[cariboubarbi]

BRdeckard


Is their anything you won''t ****** about for the sake of ******?

[wardoglrs]

America a Warfare/Welfare Nation When will they think for themselves

[allzwell]

I don''t think most people realize the deep s**t we''re in. Our souls and possibly our grandchildrens and possibly their childrens souls have been mortgaged as well to the monied elite. The money in your annuities and IRA''s didn''t disappear from your account without appearing in somebody else''s account as a credit. Follow the money to find the perpetrators of this crime. We''re being bent over and raped my the BMW driving crowd living in their gated community McMansions and immune to the push and pull of everyday responsibilities we all endure... and they''re laughing all the way to the bank. They consider us fools for not being as smart as themselves at the evil art of prospering on others misery as they do. They want a "New World Order" with what they call freedom from rules and regulations that in actuality level the playing field for the rest of us without their insider information. We''ve "evolved" from the greatest manufacturing base the world has ever seen to a bunch of feeble, girly men paper pushers dependent on the smoke and mirrors of unintelligible investment instruments meant to enrich the few at the expense of the many. And all the girls rush to this impotent hoard of money clad phonies like flies to s**t. Go figgah!? As I''ve always said, I shoulda been born rich rather than well hung.

[downtowner97]

Last time I checked, there were 50 struggling states. I''m not sure if Puerto Rico and Guam are doing well either.

[likenoone-2009]

another bailout keep printing

[cibaito]

I don''t know why all the politicians benefit just the banks, Wall Street, Corrupted corporated America, but they forget about main st., Plese, benefit home owners instead of benefiting the auto companies. If you really want to improve the economy at least lend half a million dollars to all the home owners, they will pay their mortgages and will improve the economy because they will pay off the mortgages and will spend the rest of the money improving the economy and it won''t be so expensive, you has spent $850 billions of dollars and everything still the same,please think about this and the economy will improve.

[kansas1946]

Wouldn''t it be nice if everyone put politcs aside and worked together to solve the massive problems that Americans are facing. This is everyone''s chance to act like Americans instead of acting like Democrats or Republicans. Even though people may disagree on issues, we can surely all agree that we want America and Americans to prosper.

[wardoglrs]

You cant make a counterfeit currency legal

I cant believe that the American people haven''t figured this out yet.

American Money is what the economics call "TOXIC"
Printed on a printer is not real money unless it''s backed by a commodity like Gold & Silver like it used to be before it was handed over to the Federal Reserve Bank, The Federal Reserve Bank is NOT Government it''s a Private bank owned and run by the Jewish Elite The rest of the world will do well as soon as they dump there US Toxic dollars.

[noloyalisti]

I think that Obama is smart enough to realize that the fascist American corporation were the cause of the immigration "crisis". By the way, most of the crises are invented by right wingers who want to keep us in fear. So they demonize foreigners, yet another indication of a fascist country like America.

[hypnotoad72]

And, no, reality is nowhere as nimble as simple as my little opinion... but more people with jobs would make up for the difference generated by cutting taxes (again). Again, in theory, I certainly know nothing of substance and results other than what some had been predicting have come to pass.

[hypnotoad72]

Let''s read the final details first;some other social and other programs will undoubtedly be cut, if with more corporations doing their part to encourage American workers, we wouldn''t need any "social programs" at all.

In theory.

[cattiej]

What can the Governor''s of various states do...looks like they all have there hands out for Obama and his crew to give them money...What a mess George Bush has made of our country, he and his Republican buddies have raped our nation. The Democrats elected last term are little better. All the politicans are crooked. Can''t they see the writing on the wall..no, they are busy lining their own pockets and putting money in their off shore bank accounts. I want to see Bill Clinton stay at home in New York and stay out of our government...he screwed everyone when he screwed Monica, and now he wants to be a big cheese again..he even announced Hillary''s appointment before Obama could...get used to Barack, you picked them, you are going to have nothing but drama when our country needs NEW leadership. This is why our country is in such a mess, it''s the same ole, same ole....May God help us, because our corrupt Congress hasen''t.

[bjcone8559]

Are you kidding me??

These are the kinds of solutions this inexperienced rookie is looking at to turn the US economy around??

Hire more concrete workers, road builders, and carpenters??

Down here in Texas we call those folks **************s!!

Posted by DemsSUK2




IT''S OFFICIAL!!

You''re an idiot!

[candy-apple]

Your comment about Mexicans is insulting and racist! Certainly, the federally funded projects can have rules about hiring only citizens or others legally allowed to work in the US.


--------------------------------------------------------------------------------

Posted by nolalou at 10:11 AM : Dec 02, 2008

Sure, they can have rules. Who''s going to enforce them? The same government that''s enforcing immigration laws now.
You''re from the NO area and I can''t believe that you''d defend the illegal immigrants that have come here and taken jobs from people that really need them just because they work for less money. In my opinion, you get what you pay for. It''s time for "our" country to start taking care of their own and quit trying to take care of everyone else. Send the ILLEGALS back where they came from!!!

[cattiej]

When we lived down by Pensacola, Florida during Hurricane Ivan, Sept 2004, almost 85% of the men working on the roads and for FEMA were illegal aliens. With the group that Obama has picked, it''s almost a sure bet that the 11 million illegal aliens will be granted amnesty...now the public aide rolls will really increase and the illegals will finally be able to use their own names and not ours. More''s the pity. If someone wnats a job, Obama should send people down to our southern borders to build the *** fence to keep them out. We are the only country in the world where we let anyone come in and give them free health care, free food and free housing. Just so you can re-remember....Barack Obama of Illinois and Hillary Clinton voted FOR Comprenhensive Immigration, and Obama was the co-author of this bill. So, American''s welcome to the Bill and Hillary show, co-staring Barack Obama in the role of acting President, Hillary as acting President and the biggest x-rated star of all Bill Clinton. What happened to the no drama Obama....Now we wished we would have voted for Ralph Nader or Elmer Fudd.