Friday, February 27, 2009

We're Not Quitters

“It is the responsibility of our elected leaders to create the conditions for our people to aim high, work hard, and realize the full promise of the American life”
- A New Era of Responsibility: Renewing America’s Promise. President Obama’s 2009 Budget document at http://www.budget.gov/


This week the stock market hit a level not seen since 1997 (two bubbles ago). In the same week a confident President Obama stood before the American people to deliver a budget speech in the middle of the worst economic crisis of my generation.

Obama did what all great Presidents have done in a crisis. He called on Americans’ better nature and courage to stand up, pull together and not be afraid. Obama inspired us to look beyond the moment, and be confident that we could continue to master our future. This alone was striking after the waves of gloomy news that have washed over the country since Lehman Brothers was allowed to go bust.

Unlike his predecessor, President Obama used the bully pulpit to inspire, not bully. Unlike Clinton, he set aside small bore triangulation and painted a broad agenda. Not since LBJ and the Great Society has a President pushed his chips out on the table in an “all in” move to use government as a tool to better American’s lives.

How is he planning to redraw America? Take a look at the summary of his proposed budget: A New Era of Responsibility: Renewing America’s Promise found at
www.budget.gov or at www.whitehouse.gov. All the bullet points below are taken from that document.

He wants to:


· Reduce the deficit from 10.6% of GDP in 2009, to 8% in 2010, 6.7% in 2011, and 4.6% in 2012.


· Set aside $630 Billion over the next 10 years to finance health care reform. Some funding will come from letting the Bush tax cuts expires , some will come from ending tax breaks for employer based health care insurance.

· Increase pay for men and women in uniform by 2.9%.

· Restore VA Health Benefits for 500,000 veterans. Improve funding for treatment of PTS and traumatic brain injuries.

· Expand Pell Grants to a $5,500 maximum award for the 2010-2011 school year. He also proposes to index Pell Grants to the CPI plus 1% so the maximum grant amount will keep pace with inflation.

· Do away with many of the Federal Subsidized loans for education and support direct lending programs from schools. This will save $4 Billion a year which will he will reinvest in students.

· Modernize the Perkins Loan program, which will make low interest loans more widely available and equitably distributed.

· Expand the size of the Foreign Service.

· Increase AmeriCorps capacity from 75,000 to 250,000 volunteers.

· Redraw asset test for program eligibility. Current tests are contradictory and prevent people from using programs they actually need.

· Establish a National Infrastructure Bank to provide ongoing funding coordination between Federal , State and Local governments as well providing direct Federal investments to needed project.

· Increase funding to fight wildfires – an increasing necessity in the drought stricken areas of the country.

These proposals are in stark contrast to the “Government is the Problem” philosophy that has ruled the country in some form since 1980. The Republicans have divorced the people from their government for the Party’s political gain. In doing so they set country’s agenda on a course that was increasingly small minded, selfish, and backward. Their budgets reflected that attitude.

But Obama’s proposal has rewritten the agenda. Just by the act of proposing broad ranging solutions he demonstrated that we have the will and capability to tackle the big problems facing this nation. He reminds us that we are the Government and that we can use the Government as an extension of ourselves to help our neighbors in distress.

To quote from the conclusion section of the Obama budget proposal:

“Overcoming the problems we have inherited will not be completed in one budget, in one month or in one year. It will take years of ingenuity and innovation, courage and commitment. It will take all Americans, including those in Washington and beyond living up to the responsibilities we have to each other as neighbors and citizens. But if we come together and pull together, there will be little doubt that America will be growing, innovating and creating jobs for generations to come.“

President Obama’s proposals focused the country on the future, but he also gave us confidence in the present.

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