Obama to Sign Stimulus Bill Today in Denver

By: Associated Press
By: Associated Press

WASHINGTON (AP) -- President Barack Obama is ready to sign into law the most sweeping economic package in decades, a rescue plan meant to reinvigorate job creation, consumer spending and public optimism. Add the bill to an ever-growing deficit.

Capping the biggest victory of his month-old administration, Obama will sign the economic legislation Tuesday in Denver.

The setting, the Denver Museum of Nature & Science, is meant to underscore the investments the new law will make in "green" energy-related jobs. It also allows Obama to get away from Washington, where the bill's passage was a mostly partisan affair, and be among people who may benefit from the huge government intervention.

The flailing economy continues to dominate Obama's time.

Tuesday is also when General Motors Corp. and Chrysler LLC, which are living off a combined $13.4 billion in federal bailout loans, are due to hand in plans to Obama's government about how they can remain viable.

And on Wednesday in Arizona, Obama will unveil another part of his economic recovery effort - a plan to help millions of homeowners fend off foreclosure.

But first comes the $787 billion economic stimulus bill, which tries to attack the nation's economic free fall on multiple fronts.

It pumps money into infrastructure projects, health care, renewable energy development and conservation, with twin goals of short-term job production and longer-term economic viability.

There's a $400 tax break for most individual workers and $800 for couples, including those who do not earn enough to pay income taxes. It dishes out tens of billions of dollars to states so they can head off deep cuts and layoffs. It provides financial incentives for people to start buying again, from first homes to new cars.

And it provides help to poor people and laid-off workers, with increased unemployment benefits and food stamps, and subsides for health insurance.

What is not expected to do is change the nation's economic fortunes quickly. So part of the White House's goal has been managing expectations.

Presidential spokesman Robert Gibbs said over the long holiday weekend that "things have not yet bottomed out. They are probably going to get worse before they improve. But this is a big step forward toward making that improvement and putting people back to work."

The unemployment rate is now at 7.6 percent, the highest in more than 16 years. Analysts warn the economy will remain feeble through 2009.

Republican lawmakers, meanwhile, largely balked at the economic package. It drew no GOP votes in the House and only three in the Senate, albeit vital ones. Many Republicans said it was short on cutting taxes and the spending measures didn't target the vast sums of money well enough toward short-term job creation, which was the major goal of the bill.

But with the economy shedding jobs, there was widespread consensus in Washington for some sort of stimulus, and fast.

Yet the government's action comes at a cost down the line.

Many private economists are forecasting that the budget deficit for the current year will hit $1.6 trillion, including the stimulus spending. That's about three times last year's shortfall, and such year-to-year deficits contribute toward a mounting national debt.

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  • by GV Location: Ga on Feb 17, 2009 at 01:41 PM
    To idiot,your not really an idiot,are you?
  • by Hello Location: Obamaniacs on Feb 17, 2009 at 08:38 AM
    How do you all like this version of "trickle up" economics that O' has put into place that he promised during his campaign. Make sure you trickle up that 13/week and we'll be in Obamatopia before you know it...Hello mr. unemployed...when you receive that 100 million for infrastructure, please make sure you rebuild the worst bridges first. DADGUMMIT! I'm sorry I misspoke, you won't be getting that check, some big general contractor will and I can only hope that Mr. unemployed is an engineer and can get the job. Other than that, they might have a shovel for you. DADGUMMIT! I did it again, that's "trickle down" economics. O' stated trickle down doesn't work...why is he doing it? Give the money to the people to get themselves above water..good idea huh? Not really, the democrats know that some of their constituents can't think for themselves and will be right back where they started. Don't get offended, if the shoe fits, wear it.
  • by Sayitaintso Location: Tallahassee on Feb 17, 2009 at 08:19 AM
    Now that the “Three Amigos” (Reid, Pelosi and Obama) are in charge, we will be very lucky if our country survives. European socialism is now the “soup du jour”.
  • by Idiot Location: I WANT TO BE PROUD TO BE AN AMERICAN AGAIN! on Feb 17, 2009 at 07:11 AM
    Prez Obammy can make his mark on history today by showing up in Denver with a giant rubber VETO stamp tied to a sledge hammer Gallagher would be proud of , smashing it on this Scumulus bill and pointing out each and every one of our elected officials that signed this spam sammich and asking Americans to fire them and start new elections right away to fill the positions of these crooks. Make me proud to be an American Mr President!
  • by Bill on Feb 17, 2009 at 07:00 AM
    Phase 2 of the Bush, O'Bama bankrupting the United States. Taxes on the way to repay this welfare package.
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