$3Trillion in spending deficit- went from $5trillion surplus to this Economic Recovery Act – before 3 people looking for every one job opening, now 5 people looking therefore want to extend benefits, create 3Mil jobs next year primarily in construction, infrastructure, and energy. Focus: - minimize school layoffs

- money for food stamps, food pantries

- extend unemployment insurance

- try to extend COBRA benefits, 60% subsidy

- $2500 tax credit for college students

- Child tax credit increase

- School construction money, to be spent locally

In the long term

– need to retire debt, put money in following, and bring manufacturing in solar /energy back to US

- reform health care

- address dependence on foreign oil

- emphasis on education

- healthcare reform – health IT- computerize benefits to prevent errors in prescriptions, charting, etc.

no other entity can do this but government, to reduce the depth of the downturn and plan for the future National Service Bill – Congressman working on this, First Lady Supports and wants in committee next week; Pres. Supports Banking meltdown – reckless behavior; America runs on credit certainty and doesn’t have this now. AIG – Congress tried to put restrictions, but legislation passed due to the downturn in the economy and stock market driven. AIG bonus unconscionable – that’s why placed 90% tax on it; believe this tax to be constitutional and to hold up in courts Chairman Bernacke- emphasis on paying more attention to banks, focus on resources going to banking institutions so that they can loan to the small businesses War – Presidential review of Afghanistan & Pakistan—it is disturbing; cannot solve with military, cannot kill our way out; serious problem with government and Pakistan to deal with Jehadists. Afghanistan has Taliban, problem with their government, not necessarily a problem with US. 150,000 troops trained and police trained to help government, but, no central government – run by warlords. Empowering these warlords causes concerns. India/Pakistan/China/Iran – need their by-in and support. Need to be cautious. It won’t work to stay and rebuild it to 21st century. Some say need 600k troops to turn around and we are not going to do that.

Q) How will government address the uninsured – what’s happening with Health Care Reform?

A) We are starting the conversation to change Health Care. Looking at options – 46million people need health care extended; would like to see Medicare available for all. Congressman’s committee is looking at a public plan – like Medicare – requiring contributions. Questions is who pays – employer? Employee contribution? Health care business and drug industry doesn’t support. Want to drop age and include children.

Q) Home loans – can the interest rate be lowered.

A) If this is done, could undercapitalize banks and they will fail. Ripples to other areas e.g. schools, pension plans, other businesses, etc. Recommend look to file for bankruptcy which will tell true value of assets.

Q) Deficit spending – why would anyone want to buy debt from US?

A) This is a legitimate question. Chinese don’t get well if we don’t get well; if we crash, take most of western world and China down. China said it would stay w/ US but concerned. We both need to work our way out of this together. As say this, it changes the value of $ back and forth. Need international cooperation on how to handle this.

Q) Education/WCCUSD – debt passed down from 20 years ago, what type of debt relief is being discussed for the WCCUSD?

A) Congressman Miller/Loni Hancock/T Torlakson working together on this. Would like to get debt forgiven, $14M coming to schools to address issues.

Q) Schools costs – any money for healthcare, modernization of schools?

A) money will go to the Districts based on Title I formula, other funding IDEA

for students w/ disabilities, third funding source is from the State formula. Includes money set aside for school construction. Hopefully superintendents put emphasis on school construction/repairs because people most excited about this. Want to see layoffs minimized. Regarding health care, like to see national plan available to schools.

Q) Would government consider tax relief if you are 65 or older, and make less than $50k a year?

A) this would be expensive; taxes should be determined by ability to pay not by age

Q) Students working to pay basic expenses expel them from receiving PEL grants – can this be adjusted or funding from other sources found?

A) money goes to schools per a formula; stabilization fund uses are up to the determination of the school boards. PEL is income determined, haven’t dealt with question of offsets.

Q) Comment on a line item veto for the President.

A) Not a great way to do this; Congress should make decisions regarding spending.

Q) Health Care Plan – how will the money be distributed to mental health, parenting, early intervention in schools.

A) Created mental health parody treating mental illness the same as other medical issues under health care coverage, passed last year – for insured plans, must be included as same as medical illness, injury.

Q) Will money go directly to the school districts?

A) want money to go to schools, talking with Attorney General, under Fed law must go directly to district – what President wants and what I want. Don’t want it to go to State for distribution.

Q) Will accountability be attached to money given to banks?

A) before election, 09/08, banks asked for money, the President wouldn’t

sign a bill with accountability provisions in it. Raising issues regarding this w/ Treasury department regarding banks, foreclosures, rules, etc.

Q) Special ed classes – how will these be impacted?

A) IDEA established a federal right that children have right to education; need

more teachers/training/services. Funding sources include Title I, IDEA, and general aid to schools.

Q) Employee Freedom of Choice Act - comment

A) I proposed, it passed the House, majority of employees who sign cards for a union will get a union. Probably have 250 votes, Senate take first and have votes to pass.

Q) Immigration laws – how will these protect us and our borders?

A) Concern with illegal immigration, and drug runners - we have a bad relationship – Mexico is sending drugs North and we are sending guns south, there are 7000 gun stores along the border.

Q) Greed of lenders/re-fiing home loans – they refuse to refi

A) I support bankruptcy because of the lack of cooperation with the banks – if you file, you can protect your secondary homes, boats, etc., but you can’t protect your principle place of residence. Once bankruptcy occurs, this will put pressure on banks to address the issue. Looking at legislation to address this -- passed the house, think it will pass the Senate. Looking at lowering payments to 30% of lowest payment, reduce interest rates; see it’s starting to happen. President’s home bill – receiving good reviews from business and finance community.