economy

Obamas begin 10-day vacation in Martha’s Vineyard

Posted in News, economy on August 20th, 2010 by admin – Be the first to comment

(CNN) — President Barack Obama and his family begin a week-long vacation in Martha’s Vineyard on Friday — the president’s second time on the island off the coast of Massachusetts.

In 2009, Obama spent time there golfing and hanging out with family and friends.

“It’s a beautiful part of the country. It has really nice beaches and the folks are really great,” Deputy Press Secretary Bill Burton told reporters Thursday. “The food is terrific. And it’s some place that the president went before he was president and likes to go back because it’s a comfortable place where he can rest and recharge the batteries a little bit.”

Some have questioned why the Obamas have chosen to go to an elite holiday spot in Massachusetts instead of the Gulf Coast, as Obama had encouraged Americans to help bolster tourism there. The first family — minus eldest daughter Malia — did visit Panama City, Florida, August 14-15, however. There, the Obamas swam in the Gulf of Mexico and played miniature golf, and the president met with business leaders about the BP oil spill and its effect on the region.

Burton said this vacation, which will last 10 days, will also include some work.

“Well, he’ll continue to get his intelligence briefings, and he’ll also be getting briefings on the economy and other issues as they come up,” he said. “But as any of you guys who have covered these vacations before know, there’s other things that come up and he’ll obviously attend to those as necessary.”

The island, a vacation spot of the rich and famous, was a favorite getaway for another Democratic president as well: Bill Clinton, who spent plenty of time there.

George W. Bush, however, preferred to unwind at his ranch in Crawford, Texas.

Obamas begin 10-day vacation in Martha’s Vineyard

Will Obama take the plunge in Florida?

Posted in News, economy on August 14th, 2010 by admin – Be the first to comment

Washington (CNN) — There’s really only one big question hanging over President Obama’s weekend vacation to Panama City, Florida: Will he or won’t he dive into the water to send a message that the Gulf Coast is back?

“Absolutely, I want him to take his shirt off and get in the water and show it’s clean and safe,” said Stephen Leatherman, a professor at Florida International University in Miami who puts together an annual list of America’s best beaches.

Leatherman rates the beach there as one of the top 10 in the country, and he said Obama has a unique opportunity to showcase the fact that the Gulf Coast is still open for business despite the worst oil spill in American history.

“It’s got lily-white sand, and frankly the oil didn’t really make it there — it was pretty well spared,” said Leatherman, who noted that the water is 87 or 88 degrees because of the steamy Florida weather, making it conducive to at least a quick presidential plunge.

“There is no better symbol than the president of the United States showing us the way,” Leatherman said.

But White House press secretary Robert Gibbs was cagey Friday when reporters asked whether the president will take a swim during the first family’s 27-hour mini-vacation.

“Stay tuned,” said Gibbs, who grew slightly impatient and a bit bemused about getting so many queries about something as seemingly minor as a presidential swim.

“Look, he’s going to have some fun,” Gibbs said. “Whether or not he gets in the water is up for clearly some debate. But, look, he will have an opportunity to enjoy … the physical beauty of the Gulf and do some work at the same time.”

Mindful that Obama caused a bit of a tabloid stir when he took off his shirt to reveal a muscular physique during trips to Hawaii during the 2008 presidential campaign and subsequent presidential transition, Gibbs turned it around on reporters and wondered whether they would bare their midriffs this weekend.

“Are you bringing your suits?” Gibbs said with a smile.

But Leatherman suggested it’s no joking matter because the president’s decision to swim or not to swim will carry tremendous symbolic weight.

“I think it’s very important that he gets into the water because I think there’s this feeling that if you get in, you’re going to get contaminated or get all kinds of diseases,” he said.

This will be the president’s fifth trip to the Gulf region since the April 20 explosion that sparked the horrific oil disaster. The trip is already generating criticism over whether Obama is giving the region short shrift by spending only parts of Saturday and Sunday in Panama City.

White House officials announced the trip earlier this summer after critics wondered why the president and first lady had urged Americans to vacation in the Gulf but originally chose Bar Harbor, Maine, and Martha’s Vineyard, Massachusetts, as the only locations for their own sojourns.

Now, the criticism has shifted to whether 27 hours in Panama City is too quick of a jaunt, and the Republican National Committee released a statement Friday that also said Obama has included Florida in only a couple of his trips to the region in recent months.

“It’s nice to see the president take the time out of his busy schedule of golf games and campaign fundraisers to clear his conscience and visit Florida for only the second time since the oil crisis began,” RNC spokeswoman Amanda Henneberg said. “As he meets with business owners in the Panhandle, it seems like the perfect opportunity for him to explain how his reckless spending, tax increases, and government takeover of health care are supposed to help the Gulf’s devastated economy. Not even the Sunshine State can put a positive light on the president’s failed liberal policies that have sunk his approval ratings to an all-time low.”

The president will be accompanied by first lady Michelle Obama and their younger daughter Sasha — big sister Malia is still away at camp and will not be in Florida. Obama will also be joined by his Gulf Coast recovery chief, Secretary of the Navy Ray Mabus, to try to show the administration is committed to a long-term turnaround.

Gibbs largely deflected questions about whether the trip was too short, saying the president is focused on promoting the “health of the region” with the vacation.

“Tourism in Florida and along the Gulf Coast is the economy,” Gibbs told reporters Friday. “This is an opportunity to highlight the notion that this important region of the country is still doing well and open for business.”

While Leatherman said he does think the trip seems too short, Obama should be applauded for carving out some time to help the region.

“I think it’s basically a photo-op, isn’t it?” said Leatherman. “But I still think it’s a good thing for the president to come down and show the world that it’s clean and safe. That will go a long way to helping the Gulf Coast.”

Leatherman added: “The best thing that could happen is the president saying, ‘I’m going in!’ And I don’t mean damn the torpedoes. I mean him saying, ‘It’s clean and safe, and I’m going in the water!’ “

He concluded that it’s a good thing the president is visiting one of the nation’s best beaches in the summer instead of earlier in the year.

“It’s also one of the best spring break beaches, but I don’t recommend going then,” Leatherman said. “I went once, and there were 500,000 people there. I don’t know if it was actually 500,000 all at once, but it felt like it.”

Will Obama take the plunge in Florida?

Former Sen. Ted Stevens remembered

Posted in Education, News, Politics, economy on August 10th, 2010 by admin – Be the first to comment

(CNN) — Former U.S. Sen. Ted Stevens of Alaska was killed in a plane crash Monday. Stevens served more time in the U.S. Senate than any Republican in history.

Colleagues from his Senate days and others who knew him remembered Stevens on Tuesday, as news of his death was confirmed.

President Barack Obama

“A decorated World War II veteran, Senator Ted Stevens devoted his career to serving the people of Alaska and fighting for our men and women in uniform. Michelle and I extend our condolences to the entire Stevens family and to the families of those who perished alongside Senator Stevens in this terrible accident.”

President George H.W. Bush

“Barbara and I mourn the tragic loss of Senator Ted Stevens, a respected friend of longstanding, and send our most sincere condolences to his family. Ted Stevens loved the Senate; he loved Alaska; and he loved his family — and he will be dearly missed.”

Gov. Sean Parnell, (R) Alaska

“Senator Ted Stevens fought hard for our future in Alaska. He was larger than life. Ted was a lion who retreated before nothing. He was a devoted husband… a loving father. His impact on Alaska will live on in future generations.”

Sen. Lisa Murkowski, (R) Alaska

“(Monday) night, Alaska lost a hero and I lost a dear friend. The thought of losing Ted Stevens, a man who was known to business and community leaders, Native chiefs and everyday Alaskans as ‘Uncle Ted,’ is too difficult to fathom. His entire life was dedicated to public service — from his days as a pilot in World War II to his four decades of service in the United States Senate. He truly was the greatest of the ‘Greatest Generation.’ The love and respect that Alaskans of all persuasions feel toward Ted Stevens is on a par with what the American people felt towards leaders such as John F. Kennedy, Dr. Martin Luther King, Jr. and Ronald Reagan. Ted had the vision of a John Kennedy that Alaskans are an exceptional people who would achieve great things in his lifetime; the compassion of a Dr. Martin Luther King Jr., in devoting his life to alleviating the Third World conditions that plagued Alaska’s Native people; and the unwavering strength of a Ronald Reagan whether fighting for the men and women of our military or for Alaska’s right to develop ANWR and its abundant natural resources.”

Sen. Mark Begich, (D) Alaska

“Alaska has lost one of its greatest statesmen and a true pioneer of our state with the passing of Senator Ted Sevens. Over his four decades of public service in the U.S. Senate, Senator Stevens was a forceful advocate for Alaska who helped transform our state in the challenging years after statehood. Senator Stevens’ many contributions to Alaska are enormous and his legacy of fierce devotion to Alaska will be long-lasting.”

NASA Administrator Charles Bolden

“We at NASA are deeply saddened by today’s news that former U.S. Sen. Ted Stevens and others were killed in a plane crash in Alaska that also injured former NASA Administrator Sean O’Keefe and his son, Kevin. As a longtime supporter of NASA, Sen. Stevens made lasting contributions to our agency and our country. We at NASA mourn his loss and send our deepest condolences to his family, as well as the families and friends of all who perished in the accident. We also send our best wishes for a speedy recovery to Sean, Kevin, and other survivors of the crash. Our thoughts and prayers are with them and their families.”

Sen. Mitch McConnell (R) Kentucky/Minority Leader

“It is with deep sadness that Elaine and I note the passing of a friend and former colleague, Senator Ted Stevens. In the history of our country, no one man has done more for one state than Ted Stevens. His commitment to the people of Alaska and his nation spanned decades, and he left a lasting mark on both. From his early military service as a pilot in World War II, to his involvement in the statehood of ‘The Last Frontier,’ to his fierce support and defense of our nation’s military, Ted Stevens was always there, fighting for what he believed in, and usually winning. He was a force to be reckoned with, and we will miss him greatly.”

Sen. Daniel Inouye, (D) Hawaii

“Irene and I are deeply saddened by the tragic death of our dear friend, and my brother, Ted Stevens. Our friendship was a very special one. When it came to policy, we disagreed more often than we agreed, but we were never disagreeable with one another. We were always positive and forthright. Senator Stevens and I worked together to ensure that the small non-contiguous states of Hawaii and Alaska were not forgotten by the lower 48 and to ensure that the nation awoke to the importance of the Pacific for our economy and international relations. I will never forget him.”

Sen. Orrin Hatch, (R) Utah

“Today, America lost a legend, a patriot and a gentle warrior who never stopped fighting for his beloved state of Alaska or for what he believed in. Ted Stevens is irreplaceable — his fierce loyalty and spirit remain unrivalled in the United States Senate. He will be greatly missed, but his legacy will always live on.”

Sen. Lindsey Graham, (R) South Carolina

“I’m very sad to hear of the passing of former Senator Ted Stevens. Senator Stevens was a decorated World War II veteran, and he was truly loved by the people of Alaska. As the longest serving Republican senator in history, he lived a life of incredible accomplishment. He will be greatly missed.”

Sen. Joe Lieberman, (I) Connecticut

“America has lost a great patriot; the state of Alaska has lost a founding father; and I have lost a dear friend. I am deeply saddened by Ted’s death. I knew him for many years as a valued friend, a neighbor and a colleague. We shared many great experiences and I am grateful for all of the wisdom he offered me personally. I treasure the example he set in his career of devoted service to this country in the United States Army Air Force, the United States Senate, and through the many important causes that he championed for the state of Alaska and throughout our country. We, his colleagues and his friends, were particularly blessed with the opportunity to have learned from Ted, who was always doggedly determined to serve the best interests of the people and state that he loved so much. Our occasional differences on legislative issues never adversely affected our abiding friendship. Ted was a giant of the United States Senate, and at a time of extreme political polarization, he inspired a spirit of bipartisanship by reaching across the aisle.”

Sen. Mary Landrieu, (D) Louisiana

“I am deeply saddened to learn of the tragic death of my former colleague and friend, Senator Ted Stevens. Ted was a skilled legislator who mastered the art of principled compromise for the betterment of Alaska and the nation.

“I took a trip to Alaska with Ted in 2007 and quickly found his fingerprints in every corner of the state — from Alaska’s largest cities to the most remote Native villages. Ted always said, ‘To hell with politics. Do what is best for Alaska.’ He never apologized for fighting for his state, and Alaska is better for it today. Ted’s work continues to touch the lives of millions of Americans through his strong support for our military, revolutionizing the nation’s fishing industry, his establishment of the U.S. Olympic Committee, and his persistent efforts to achieve American energy independence.”

Michael Steele, RNC Chairman

“It is with deep regret that I learned of former U.S. Senator Ted Stevens’ tragic death in (Monday) night’s plane crash in Alaska. Our sympathies go out to the Stevens family and all who have lost a loved one. Senator Stevens had a long and active career serving the people of Alaska in the United States Senate and was revered for his unparalleled effectiveness at fighting for his home state interests. He was a colleague and friend to many in the Senate but he was a champion for the people of Alaska. He will be missed.”

Rep. Dave Obey, (D) Wisconsin

“Ted Stevens and I agreed on issues about once a century, but I always enjoyed and appreciated working with him because you always knew exactly where he stood. There was no guile about him. He devoted his life to the State of Alaska, which he dearly loved, and fought for it every day of his life with conviction and passion.”

Sen. John Cornyn, (R) Texas

“This is a sad day for the state of Alaska and our entire nation. When I came to the Senate in 2002, Ted Stevens was already one of the longest serving Republican senators in history. His public service began with his military service in World War II and ended more than 60 years later. He was a dedicated, passionate and faithful public servant for the people of Alaska. But the role he cherished the most was that of husband, father and grandfather.”

Ken Salazar, secretary of the Interior

“Senator Stevens was a friend and colleague. From his courage in World War II, his work for Alaska statehood and his time at the Department of the Interior to his years of leadership in the U.S. Senate, Senator Stevens left behind a lifetime of service. We have lost a dedicated public servant for our country, the United States Senate, and Alaska.”

Dennis DeConcini, former senator (D) Arizona

DeConcini said he had been contacted by Stevens’ staff to see whether he wanted to go on a trip to China with other former senators in November. “I said yes,” DeConcini said, “and I wrote him a note about it; I said, ‘Thanks for thinking of us, we look forward to seeing you.’” DeConcini said only three days ago he got back a handwritten note from Stevens, saying, “I look forward to seeing you. I’m on my way to a fishing trip in Alaska, I’ll call you when I get back.” DeConcini told CNN’s Rick Sanchez he had dinner with Stevens in April. He praised Stevens for being helpful to Arizona’s veterans and Native Americans. “I’m always indebted to him,” DeConcini said. When asked how Stevens was in April, DeConcini said, “He seemed to be doing relatively well, considering all the tragedies and difficulties he’d been through.” DeConcini said he talked to Stevens not long after charges had been dismissed against him. “He said, ‘Well, those things take a toll on you, Dennis.’ And I said, yeah, I know what you mean.” DeConcini called Stevens a “tough guy. He was a strong man. He believed in his state. Sometimes he went overboard when it came to the ‘Bridge to No Place,’ but I saw the clinics he built for the veterans and Native Americans. …

“We used to kid him. We said they’re going to rename that state ‘Stevens,’ you’ve done so much for ‘em.”

Bob Francis, former NTSB vice chair

“Sen. Stevens was probably the biggest advocate in the Senate for aviation safety. And he basically volunteered the state of Alaska for the test program for the next generation of air traffic control. He was enormously knowledgeable. You can see by the amount of activity that is associated with him in Alaska. But he was always not only in the vanguard of aviation safety in Alaska but nationally.”

Sarah Palin, (R) former Alaskan governor

“It’s with great sadness that Todd and I hear the reports coming in of Senator Ted Stevens’ passing in the plane crash near Dillingham. In our land of towering mountains and larger than life characters, none were larger than the man who in 2000 was voted ‘Alaskan of the Century.’ This decorated World War II pilot was a warrior and a true champion of Alaska. In 40 years of service in the U.S. Senate, he fought tenaciously for Alaska’s future. Alaskans know how much we owe to Senator Stevens, but all Americans owe him a debt of gratitude for his leadership on many issues, including the crucial energy issues that fuel American prosperity. Two years ago, he sat at my kitchen table over a salmon lunch, and we talked about our long anticipated Alaska natural gas pipeline and our mutual commitment to have the Last Frontier’s rich resources contribute to America’s quest for energy independence. Our senator was also known for spearheading efforts to ensure equality in education, and his Title IX legislation allowed girls to be on a level playing field in the athletic arena.”

Jack Gerard, president and CEO American Petroleum Institute

“We are saddened (Tuesday) by the news that former Senator Ted Stevens has died in a plane crash. Ted Stevens loved Alaska and cared deeply about his constituents. He understood the importance of the oil and natural gas industry, and he worked tirelessly to help secure a stronger energy future for Alaskans and all Americans.

Former Sen. Ted Stevens remembered

Haslam wins Tennessee GOP primary for governor

Posted in Education, News, Politics, Video, economy on August 6th, 2010 by admin – Be the first to comment

(CNN) — Bill Haslam, the mayor of Knoxville and considered a moderate Republican, easily won the Tennessee GOP primary for governor Thursday, the Tennessee Department of State’s website reported.

With all of the state’s precincts reporting, Haslam had 47.5 percent of the vote as he defeated Congressman Zach Wamp and Lt. Gov. Ron Ramsey.

Haslam, who helped fund some of his own campaign, will now face Mike McWherter, a Democratic businessman and son of a former governor. The race is to succeed Gov. Phil Bredesen, a Democrat, who is prevented by term limits from running for a third term. Political handicappers think Republicans have a good shot at winning back the governor’s office.

Republican Governors Association spokesman Tim Murtaugh in a statement: “Bill Haslam emerges as a strong candidate headed toward November, having beaten a pair of qualified office holders in a spirited primary. As Tennessee faces great economic challenges, Bill Haslam will be a strong voice for job creation, fiscal restraint and individual freedom.

“A successful mayor and businessman, he has the leadership experience necessary to create jobs and grow the economy. We look forward to seeing him elected the next governor of Tennessee.”

Democratic Governors Association executive director Nathan Daschle said, “Mike McWherter has spent his career growing jobs and strengthening the economy. The only thing Bill Haslam has increased in his career is Knoxville’s taxes and unemployment rate.”

“Voters are looking for someone with the know-how to move the state in the right direction, and that candidate is Mike McWherter,” Daschle added.

The race grabbed national attention last month because of controversial comments by two of the challengers.

Wamp appeared to suggest that Tennessee should consider secession in light of mandates forced on the states by the Obama administration’s health care bill. The eight-term congressman later stepped back from those comments.

Ramsey also drew attention to himself last month after he was seen in a YouTube video questioning whether Islam is a religion. He was expressing his opposition to the expansion of a mosque in Murfreesboro, Tennessee, which has become a hot-button issue in the city about 35 miles southeast of Nashville.

Ramsey, who has been endorsed by 20 Tea Party organizations, said he is a supporter of religious freedoms, but such protections may not extend to bringing “Shariah [Islamic] law into the state of Tennessee … into the United States.”

“Now, you could even argue whether being a Muslim is actually a religion, or is it a nationality, way of life, a cult, whatever you want to call it,” he continued. “But certainly we do protect our religions, but at the same time, this is something we are going to have to face.”

Following criticism, Ramsey defended his comments, saying, “My concern is that far too much of Islam has come to resemble a violent political philosophy more than peace-loving religion.”

In a high-profile Congressional primary, two-term Democratic Rep. Steve Cohen overwhelmingly defeated former Memphis Mayor Willie Herenton. The campaign in the 9th District, which covers Memphis and has a large African-American population, was dominated by race.

With all precincts reporting, Cohen had 78.7 percent of the vote to Herenton’s 21.3 percent.

Herenton has been urging voters to elect him as the only African-American member of the state’s congressional delegation, saying, “It is as if only white people live in the great state of Tennessee. No African-Americans. I believe that it is very clear to the majority of the citizens of this community that we lack representation.”

Cohen, who served as a state lawmaker in the area before being elected to Congress, has campaigned on what he’s done for education and health care in the area. “I represent everybody and I work hard for people to get them opportunities. And I just think that race should not be an issue in 2010,” he said.

President Obama and the Congressional Black Caucus backed Cohen.

Stephen Fincher won the 8th District Republican primary. Fincher collected 48.5 percent of the vote over Ron Kirkland at 24.4 percent and George Flinn at 24 percent. The race, for Rep. John Tanner’s seat, is noteworthy because the Center for Responsible Politics has called it the most expensive House primary in the country,

Fincher will face Roy Herron, who easily won the Democratic primary.

Haslam wins Tennessee GOP primary for governor

Can Bush-bashing help sway voters?

Posted in News, Politics, Video, economy on August 6th, 2010 by admin – Be the first to comment

Washington (CNN) — While he’s not on the ballot, George W. Bush is still vital to the midterm election as far as the nation’s top Democrat is concerned.

President Obama has made a point recently to invoke Bush’s name in what many say is a calculated effort to remind voters of the previous administration’s economic policies, which Democrats argue led to the worst recession in modern history.

On Monday, the president told those attending a Democratic fundraiser in Atlanta, Georgia, that the GOP has not distinguished itself from Bush.

“They have not come up with a single solitary, new idea to address the challenges of the American people,” Obama said. “They don’t have a single idea that’s different from George Bush’s ideas … not one.”

That sentiment was echoed once again on Wednesday during a speech before the AFL-CIO and at a fundraiser in Chicago, Illinois, a day later.

“They haven’t come out with a single solitary idea that is different from policies that held sway for eight years before Democrats took over,” Obama said Thursday. “Not a single policy difference that’s discernable from [George W.] Bush. Not one.”

Since taking office, Obama has largely referred to the “previous administration” or the “Republican control for the past eight years” in place of saying the name “Bush.”

So why the recent surge in Bush-bashing? It may have something to do with polls.

Video: Most negative campaign season ever?

Video: Obama: Job growth must increase

A Quinnipiac University poll, taken July 13-19, asked 2,181 registered voters: “Who do you blame more for the current condition of the U.S. economy: former President George W. Bush or President Barack Obama?”

Fifty-three percent said Bush; 25 percent said Obama; 21 percent said either neither, both or unsure.

Perhaps the most stark example of why Bush’s name is now a part of Obama’s stump speech comes from a poll by the Benenson Strategy Group, the president’s chief polling firm. The poll was taken for Third Way, a moderate think tank.

Conducted June 19-22 of 1,100 likely voters, the poll found that Bush’s economic principles are “almost universally rejected” by a large margin — and merely bringing up Bush’s name causes a swing in attitudes.

When respondents were asked whether they would prefer a candidate who “will stick with President Barack Obama’s economic policies” or “one who will return to President George W. Bush’s economic policies,” the result was a 15-point advantage for the Obama approach.

Read more of the poll results

“President Bush is the key here,” said Sean Gibbons of Third Way. “If you enter President Bush’s name into the equation and ask people when they’re making a choice at the polls between going forward with President Obama’s economic agenda or voting for a candidate who will pursue similar economic ideas as President Bush, Obama runs the table by 49 points. That is extraordinary.”

Conservatives fare better when one of the poll questions pitted generic conservative ideas on the economy to those of the Obama administration. It showed that a majority “actually favor conservative ideas,” Gibbons said, adding that “if you don’t use President Bush’s name, the whole thing flips.”

Republicans, meanwhile, discredit the notion that invoking Bush will change the outcome of the election.

“Democrats can keep talking about the [Bush administration], but they’ll do so in vain,” said Republican National Committee spokesman Doug Heye. “Voters are concerned with the here and now, which means a job market that has atrophied and foreclosures on the rise while the Democrats who control Washington pass a stimulus bill no one wanted.”

Oregon Republican Greg Walden, the deputy chairman of the National Republican Congressional Committee, has said that Democrats can “spin, they can sing, they can dance naked in the streets to say it’s about Bush, but he’s neither in the White House nor on the ballot.”

Texas GOP Rep. Pete Sessions, who chairs the campaign committee, told reporters in July that Republican candidates already “have their footing” in their races and noted that the former president has not participated in any political activities since he left office.

“He has not been involved. He does not do fundraisers. He’s said to us ‘I’m not interested in doing it’ and that’s goes back to the day he left,” Sessions added.

CNN’s Deirdre Walsh contributed to this report.

Can Bush-bashing help sway voters?

Critics cite 100 worst stimulus projects

Posted in Education, News, Video, economy on August 3rd, 2010 by admin – 2 Comments

Washington (CNN) — Monkeys on cocaine. New windows for a closed visitor center. Modern dance as a tool for software development.

A report to be released Tuesday by conservative Republican Sens. Tom Coburn and John McCain cited these and 97 other projects as leading examples of misguided or wasteful spending under the Obama administration’s $862 billion economic stimulus bill.

Titled “Summertime Blues,” the report is the third by the two senators targeting projects that they say fail to meet the job-creation goal of spending under the Recovery Act of 2009.

“We owe it to all Americans that are paying taxes and struggling to find jobs, to rebuild our economy without doing additional harm, and to do it in a way that expands opportunities for future generations,” said the introduction to the report by Coburn, R-Oklahoma, and McCain, R-Arizona. “Too many stimulus projects are failing to meet that goal.”

While some projects in the report “may have merit,” they are “being mismanaged or were poorly planned,” the report said.

The Recovery Act, which was passed a few weeks after President Barack Obama took office, was a government-funded effort to kick-start economic activity in response to the ongoing recession.

It called for “shovel-ready” jobs — from road and bridge repair and construction to scientific research and expanded broadband and wireless service — through federal contracts, grants and loans, as well as helping state and local governments avoid layoffs and funding tax cuts.

The senators’ report challenged the viability or effectiveness of specific projects across the country. However, the report’s use of selected information from hundreds of footnoted sources left it unclear whether the brief summaries of each project told the whole story.

In a previous report in January, the senators included the Napa Valley Wine Train as an example of wasteful stimulus spending, without mentioning that the money was for a flood control project along the train’s route, rather than the train itself.

The latest edition covered a broad range of projects including construction, research, development and conservation.

Topping the list was $554,763 for new windows at the Coldwater Ridge Visitor Center at Mount St. Helens in Washington state. The U.S. Forest Service facility opened in 1993 at a cost of $11.5 million to provide visitors with panoramic views of the scenic volcano.

However, it closed in 2007 due to staffing shortages, and now is getting the stimulus funds to replace its trademark windows in preparation for use for another purpose, according to information provided by the Forest Service.

“One government official likened it to ‘keeping a vacant house in good repair,’ while another official noted that there is hope to find some purpose for the building in the future, whether as a hotel, science camp or restaurant,” the report said, attributing the information to a July 2009 article on tdn.com, a local news website. “Despite those efforts, there are no plans to use the empty space.”

The Forest Service information provided no timetable for the possible reopening of the visitors’ center for another purpose.

“The Forest Service is now reviewing several proposals for how the facility could be used in the future through a variety of public-private partnerships, including a science facility, education camp, or an overnight lodge,” the Forest Service document said.

Ranked second on the senators’ list was a University of North Carolina at Charlotte project that received $762,372 in stimulus finds to develop a computerized choreography program, the report said.

Quoting a July 6 story posted on the Charlotte-based news website WCNC.com, the report said the project involves recording dancers on video, then logging and analyzing their movements.

“This will allow choreographers to explore the interactive dance without always having a full cast of dancers present,” said the grant posted on the government’s stimulus bill website, recovery.gov.

“The system will be extended into a Web-based ‘Dance Tube’ application that will allow the public to engage in interactive dance choreography,” the grant goes on to say.

However, the senators’ report initially failed to state the money was spread over three years. Again citing the WCNC.com story, it also initially said lead researcher Celine Latulipe “noted that her funding was severely restricted by the fact that the university is taking a 44 percent cut to cover ‘overhead’ expenses.”

In reality the website story said: “The money is spread over three years and Latulipe points out the university takes 44 percent overhead.”

After the discrepancy was pointed out by CNN, the report was changed, an aide to Coburn said.

In an interview with CNN, Latulipe said the project fit the kind of research and development work called for by the Recovery Act.

Through its application and further development, it could lead to audiences having an impact on performance by registering their reaction through handheld audience response devices, Latulipe said.

“We’ll need to develop a bunch of different software packages that never existed before,” she said, adding that the project employs three students part-time over its three-year span and pays for dancers and other participants in what amounts to direct economic activity.

“I think it’s sad that this research money that is really allowing innovation and funding students doing great research is being used as a political tool,” Latulipe said.

Then there is the project listed at No. 28 by the senators — $71,623 to researchers at Wake Forest University to see how monkeys react to cocaine.

Titled “Effect of Cocaine Self-Administration on Metabotropic Glutamate Systems,” the project calls for monkeys to self-administer drugs while researchers monitor and study their glutamate levels, the report said.

It cited a March 8 Raleigh News and Observer article that quoted Wake Forest University School of Medicine spokesman Mark Wright as saying the stimulus money would allow the university to continue a job that otherwise might have been cut.

Paula Faria, assistant vice president for media relations at Wake Forest University Baptist Medical Center, said the grant will “have significant impact on public health in regards to cocaine addiction and the issue of relapse.”

“It’s also important to note that the applications for these grants are peer reviewed and this study was deemed of merit by a panel of scientific experts, and then reviewed by the National Advisory Council on Drug Abuse before funds were awarded,” Faria said in a statement to CNN.

Liz Oxhorn, the White House spokesperson for the Recovery Act, called the senators’ report a partisan effort intended to undermine the overall success of the Recovery Act.

According to Oxhorn, new research shows stimulus money is responsible for nearly 3 million jobs and has lowered unemployment by 1.5 percent.

“We’ll look into each of their claims and take action if any have merit, but with more than 70,000 Recovery Act projects underway, any misguided project is just a small fraction of tens of thousands coast to coast that are rebuilding America and putting people to work,” Oxhorn said.

Critics cite 100 worst stimulus projects

Governorships, Senate seats and health care test on ballots Tuesday

Posted in News, economy on August 3rd, 2010 by admin – 2 Comments

(CNN) — Voters from the Great Lakes to the Plains head to the polls Tuesday with primaries in Kansas, Michigan, and Missouri. In the spotlight are a competitive Republican Senate contest and gubernatorial primaries, as well as a key provision in the new federal health care reform law.

The GOP Senate battle is the marquee race in Kansas, as two congressmen fight to replace fellow Republican Sen. Sam Brownback, who is running for governor rather than for re-election.

According to the most recent polls, Rep. Jerry Moran heads into primary day with a lead over Rep. Todd Tiahrt.

“It’s been a classic GOP primary, with each congressman claiming to be the true conservative. Moran has tried to be the more fiscal hawk and Tiahrt is probably closest to conservatives on social issues,” says Nathan Gonzales, political editor for the nonpartisan Rothenberg Political Report.

Two other Republicans are also on the ballot. While five candidates are on the ballot in the Democratic primary, whoever captures the GOP contest will be considered the overwhelming favorite in the general election.

“The winner of the Republican primary essentially becomes the winner in November because Kansas is a state where Republicans dominate in federal races,” adds Gonzales.

Expect competitive GOP primary contests to replace Moran in the state’s 1st Congressional District and to replace Tiahrt in the 4th Congressional District. Nine Republicans and two Democrats are on the ballot in the 3rd Congressional District, hoping to succeed retiring Democratic Rep. Dennis Moore. One of the two Democrats is Moore’s wife Stephene.

Brownback, who made a bid for the White House in 2008, is favored to win the GOP gubernatorial nomination, as well as the general election in November.

In Michigan, the state with the second highest unemployment level in the country, the contest for the GOP gubernatorial nomination is the headliner. The winner will start the general election with an advantage.

Recent state surveys indicate that businessman and former Gateway CEO Rick Snyder, Rep. Peter Hoekstra, the senior Republican on the House Intelligence Committee, and Attorney General Mike Cox are in a three-way battle, with Oakland County Sheriff Mike Bouchard in fourth place in a five-candidate field.

State Rep. Andy Dillon and Lansing Mayor Virg Bernero are facing off for the Democratic nomination. Two-term Democratic Gov. Jennifer Granholm is term-limited.

Michigan’s economy continues to sputter and with a sitting Democratic president and an outgoing Democratic governor, “it looks like Michiganders might be willing to let Republicans have a shot at governing,” says Gonzales.

There are also competitive Republican primaries for the 1st, 2nd and 3rd Congressional Districts. The GOP is hoping to score a pickup in November in the 1st Congressional District, where longtime Democratic Rep. Bart Stupak announced in April that he would not run for re-election.

Democratic Rep. Carolyn Cheeks Kilpatrick faces five opponents in her party’s primary for the 13th Congressional District. The drama involving her son, former Detroit Mayor Kwame Kilpatrick, who is serving time for a parole violation, will not help her case.

There shouldn’t be as much drama in Missouri, where the fight is to succeed retiring Republican Sen. Kit Bond.

Missouri Secretary of State Robin Carnahan, who hails from one of the state’s leading political dynasties, is expected to easily win the Democratic primary. Rep. Roy Blunt, the former House Majority Whip, is expected to win in a nine-candidate Republican field. His only competition appears to be coming from Chuck Purgason, who enjoys the backing of many Tea Party activists.

One ballot initiative getting attention Tuesday is Missouri’s Proposition C. It’s a test of support for part of the new federal health care law, as voters decide if Missouri residents should be allowed to opt out of mandatory health insurance.

A recent Mason-Dixon poll conducted for the St. Louis Post-Dispatch and KMOV-TV indicated extremely strong Republican support for the proposition, with Democrats opposing the idea by a 48-27 percent margin.

Mason-Dixon pollster Brad Coker told the Post-Dispatch that the proposition is likely to pass, because there will be heavier Republican turnout for the primary. But if voters say yes, a court challenge is expected. Some states have already passed similar legislation, but this will be the first test at the ballot box.

CNN’s Steve Brusk contributed to this report.

Governorships, Senate seats and health care test on ballots Tuesday

House votes to remove oil spill liability cap

Posted in News, economy on July 31st, 2010 by admin – Be the first to comment

Washington (CNN) — The House of Representatives passed legislation Friday which would lift the current $75 million liability cap for oil spills while imposing new safety standards for offshore drilling.

The Senate has yet to act, however, so the prospects for final oil spill and energy legislation are unclear.

The House measure passed by a vote of 209 to 193.

Among other things, the bill would also impose stiffer penalties for oil rig safety violations while requiring independent certifications of key drilling equipment and demonstrations of a company’s ability to respond to future rig blowouts or spills. It would also ban the practice of granting environmental waivers for drilling plans.

“We want to ensure that offshore drilling is done efficiently, while protecting both the environment and our number one natural resource — the brave men and women who help power this great nation,” Democratic Rep. Nick Rahall of West Virginia, who chairs the House Natural Resources Committee and sponsored the bill, said in a statement.

The measure was pushed by House Democratic leaders as part of the congressional reaction to the BP oil disaster in the Gulf of Mexico. Top Republicans have opposed the measure, arguing that it will further damage an already-reeling Gulf region economy.

The Senate is expected to consider its own version of energy legislation next week, before senators leave for their August recess. But even if that measure is approved, House and Senate negotiators would need to reconcile differences between the two bills.

House votes to remove oil spill liability cap

Geithner: Let tax cuts for rich expire

Posted in News, Politics, Video, economy on July 25th, 2010 by admin – Be the first to comment

Washington (CNN) — The Obama administration will push for letting tax cuts for wealthy Americans expire while extending them for the rest of the nation, Treasury Secretary Tim Geithner said.

In interviews broadcast Sunday on ABC and NBC, Geithner called for a balanced approach as the economy recovers from the recession that started in 2008 while facing mounting federal debt.

That means pushing for measures designed to raise revenue, such as letting tax breaks from the Bush administration expire for families earning more than $250,000 a year while holding down spending and taking steps to encourage private sector job creation, Geithner said.

“We’re in a transition … from the extraordinary actions the government had to take to break the back of this financial crisis to a recovery led by private demand,” Geithner told the NBC program “Meet the Press”. “That transition is well under way. It’s going to continue and it’s going to strengthen.”

Along with letting the tax cuts for the wealthy expire, the administration also wants to “leave in place tax cuts that are very important to incent businesses to hire new employees and to invest and expand in output,” Geithner said on the ABC program “This Week.”

Republicans say letting tax cuts expire for wealther Americans will hurt economic growth as the nation recovers from the recession. In particular, GOP critics say the $250,000-a-year threshold means many small business owners would be included in the group seeing their tax burdens increase when the cuts expire at the end of 2010.

“The safest thing for America would be to have a provision passed this fall that said no tax increase of any kind in 2011,” former House Speaker Newt Gingrich, a possible Republican presidential candidate in 2012, said on the “FOX News Sunday” program. “Everywhere I go — and I’ve been in 10 states in the last 14 days — business people say to me over and over again, ‘I will create no new jobs in this environment because the uncertainty is too frightening.’ “

Geithner said the plan is to extend the tax cuts for more than 95 percent of country while letting them expire for about 3 percent, which he called the “highest-earning Americans.”

Asked on the ABC show if letting any tax cuts expire would harm the recovery, Geithner said: “I do not believe it will have a negative effect on growth.”

“We think that’s the responsible thing to do,” Geithner said. “We need to make sure we can show the world that we’re willing as a country now to start to make some progress bringing down our long-term deficits.”

Video: Bush tax cuts: Time to expire?

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Video: Obama’s economic plan

Overall, he said, the government was “making progress” in restoring private sector job growth.

“I think the most likely thing is you see an economy that gradually strengthens over the next year or two,” Geithner said on NBC. “You see job growth start to come back again; and again, investment expanding, manufacturing is getting a little stronger, exports better. Those are very encouraging signs. But we’ve got a long way to go still.”

President Barack Obama’s poll numbers for his handling of the economy have dropped into unfavorable territory, and Republicans have hammered the administration over continuing high unemployment despite last year’s $787 billion economic stimulus bill. Last week, the administration said it expects unemployment to remain above 9 percent through 2011.

Geithner said the government is moving from the emergency steps enacted to deal with the recession — such as bailing out big banks and automakers — to more long-term approaches for helping the private sector create jobs.

On NBC, he called completing projects under the stimulus bill and enacting proposals to help small businesses and teachers “sensible, good steps,” adding that the main goal is to “make this transition to a recovery led by private companies.”

“We have to make some choices, too, and we have to make sure we can continue to earn confidence around the world that we’re going to have the will as a country to bring these large inherited deficits down over time to a much more manageable level,” Geithner said.

Geithner: Let tax cuts for rich expire

Can Obama sell Democrats’ legislative victories?

Posted in News, Politics, Video, economy on July 22nd, 2010 by admin – Be the first to comment

Washington (CNN) — A legislative win is a win — but not necessarily when it comes to swaying voters facing the worst economic conditions since the Great Depression.

High unemployment and fears over an ever-increasing federal debt are weighing heavily on Americans. That could drown out President Obama’s message as he heads out on the campaign trail to tout Democrats’ legislative wins: health care reform, financial regulatory reform and economic stimulus projects, among others.

“Right now he is facing an uphill battle,” said Vanderbilt University political scientist John Geer. “I don’t think there’s much that can be done about that. He’ll sharpen the message. But when economies are soft, incumbents have a tough time.”

And members of Congress, bracing for a tough election, got a frank assessment Wednesday of where the economy is headed.

Federal Reserve Chairman Ben Bernanke warned that the economic outlook remains “unusually uncertain.” But he said that while there are growing signs of weakness in the nation’s economic recovery, Bernanke and other top Federal Reserve officials still expect “continued moderate growth, a gradual decline in the unemployment rate, and subdued inflation over the next several years.”

Read more on Bernanke’s assessment

In addition to championing Democrats’ legislative wins, Obama is being urged to continue to go after Republicans — and lay out an argument that conditions in the country won’t improve if the opposition takes control of Congress after the midterm election.

So far, that strategy is being employed.

Video: Financial reform signed into law

Video: Obama urges Senate to act on jobs

Obama recently traveled to Missouri to help fellow Democrat Sen. Robin Carnahan in her crucial Senate race.

“The last thing we should do is go back to the very ideas that got us into this mess,” Obama said at the campaign event. “That’s the choice you are going to face in November. … a choice between falling backward or moving forward.”

A CNN/Opinion Research Corp. poll would seem to support that strategy, according to CNN Polling Director Keating Holland.

The poll, released in late June, found that Americans are angry at both the Republican and Democratic parties for the economy, but they continue to blame the GOP slightly more than the Democrats for the country’s current economic woes.

Fifty-three percent said they are angry at both parties; only 7 percent are angry only at the Democrats and 9 percent are angry only at Republicans.

But that’s not necessarily good news for the Democrats, since an anti-incumbent mood tends to hurt the party with more incumbents. Some argue, however, that it suggests 2010 may not be a precise replay of 1994 when Republicans grabbed control of both legislative chambers from Democrats.

“Democrats are saying ‘Look, let’s make this a referendum on Barack Obama as the future and the Republicans wanting to go back to the past — and Republicans wanting more of the same policies that got us into the economic mess in the first place,’ ” CNN Senior Political Analyst Gloria Borger said.

That strategy worked for Democrats in 2006 and 2008, she said, when they told voters change was needed.

“It’s a very good decision on [Democrats'] part obviously, because that’s the way they get some of those voters back — particularly, independent white men who are deserting them,” Borger added.

Another problem for Obama’s legislative campaign tour? That those policies will be portrayed as big-government.

“It’s difficult in the economic environment because people are nervous,” she said. “Polls show that people are more worried about the deficit than getting tax cuts. They’re worried about government spending and worried about too much government. … So he wins Wall Street reform but doesn’t get credit for it because we’re in a different political environment.”

But that is the environment right now. What if the economy were to improve?

“If the economy right now was showing tremendous growth and jobs were being created, he’d have no problem making the argument [for Democrats to be re-elected]. But we’re not there right now,” Geer said.

Economic conditions are not just a product of policy — but also the natural economic cycle, he added.

“Ronald Reagan’s economy took off in part due to some policies he pursued but also because of natural business cycles just like for Clinton. So there’s a lot of it outside the control. Right now, I suspect Obama’s getting a little too much of the blame … we’ll see if he is successful.”

CNN Polling Director Keating Holland, along with CNNMoney.com’s Scott Spoerry and Chris Isidore, contributed to this report.

Can Obama sell Democrats’ legislative victories?