that, quote, we are not enemies but friends. so passion the have strained but it must not recover bonds of affection.n that's the end of the quote. of our nation -- those were his words. if we listen to his critical lesson in leadership at this critical moment in history, we will secure in our time a stronger future for this great stronger future for this great

>> this is the opening of the session. >> translator: the national people. the debates should be presented by questions. the specific strategyies.

the national people. please all rise. the national anthem of the people's republic of china. ♪ ♪ ♪ ♪ ♪

♪ >> translator: please be seated. fell lows, we have four agendas. now we go through the first. please welcome about to give the report on the work of the government of 2011. [applause] [applause] >> translator: fellow

deputies, now on behalf of the state counsel, i present to you my report on work of the government for your deliberation and approval. i also invite the members of the national committees of the chinese people's political conference to submit comments and suggestions. first, the view of the national economic and social development during the year. the 11 five year time period was truly an extraordinary time in the course of the country's development. in the course of domestic, political, and other situations, there's major risk and challenges, the communist party of china united with and led

with all ethnic groups incomprehensively advancing reform and mod dearnization -- modernization bringing historic change in china in the past five years. the conference productive forces and overall national strength improved significantly. we effectively warded off impact of the financial global crisis, maintained steady and rapid economic development and fulfilled major objectives the five year plan. the economy scaled to new heights. gdp grew at an average annual rate of 11.2% to reach 38 trillion. annual revenue increased to 3 .1

trillion yuan. major breakthroughs are attained in cutting edge science and technology such as lunar exploration programs and supercomputers. great progress was made in modernization, national dissent, and the army. programs accelerated and people's lives improved significantly. comprehensive progress was made in education, sign, and technology, culture, public health, and sports programs. the number of new other jobs in connection increased by 57.7 million and agriculture workers found employment. the per capita disposable income of urban residents rose by an annual average of 9.7% and per

capita net income of rural residents by 8.9 percent in real terms. the social security system covering both urban and rural areas was progressively refined. major progress was made in reform and opening up. new breakthroughs were achieved in crucial areas and the economy further improved. last year, foreign trade volume reached 2.97 trillion u.s. dollars, and the openness of the economy increased rapidly. china's international prestige and influence grew significantly. we played an important and constructive role in international affairs. in fact, we safeguard the the national sovereignty, security,

and development interests, and we made major progress in our all around diplomacy. we hosted bay of pigs and beijing technology expo. the chinese nation has cherished this for a century. [applause] these brilliant achievements clearly show the advantaging of socialism of chinese culture, the good power of reform, and opening up. it quickly increased the confidence and pride of our people of all ethnic groups, strengthed the capacity of the chinese nation, and we site to forge hands on our historic.

[applause] the following are our main accomplishments of the past five years. first, the strengthening and improving macrocontrol and spurring study and rapid economic development. we'll pay close attention to the orientation, focus, and strength of macrocontrol and fund initiatives on economic work. in the early stages of the 11 five year plan period, we adopted policy and measures to address overheated, investment growth, excess liquidity and structural and imported inflation. effectively prevented emerging problems from turning into trends. we prevented problems from becoming general problems.

in the past two years, we responded coolly to the passage of the global financial crisis, a crisis that made decisions scientifically and rhetorically followed the proactive policy as modestly monetary policy implemented a concern and greatly increase the the government spending and made structural tax reductions, carried out the plan for restructuring and remigrating key industries on the large scale. we increased the support for work in science and technology and increased the social security benefits. this showed a strategy of the demand adopted policies to encourage consumer spending and increase rural incomes, particularly low income people. as a result, consumer spending

grew suddenly and infrastructure constantly improved. we carried out a two year investment plan to increase spending by 4 trillion yuan by increasing 1.8 trillion yuan by the government. of this amount, 43.7% was invested in low income housing projects. projects improved the residents and social programs. taking this step in innovation, restructuring, energy conservation, efficient reductions, and ecological improvements. 26% in infrastructure projects and 14.8% in ethnic recovery and reconstruction. government's funding guided and drove nongovernmental investments and greatly increased domestic demands and effectively compensated for the

demand that helped economic growth in a relatively short time to make the chinese economy the first in the world to pick up again. in this way, we not only got over the hard times and ensured and improved the well being of the people and also laid a firm foundation for long-term development. [applause] >> translator: related to agriculture and rural areas in consolidating and strengthening the agriculture foundation. central government expanding on agriculture rural areas, 3 trillion yuan of mrn -- of more than 23%. they ended the history of farmers paying taxes on the

crops they grow and using burdens by 135.5 million grams. the subsidy system for grain growers and other major growing areas are paid out 123.6 trillion yuan in institutes for growers last year. minimum purchase prices and temporary purchases and storage policies and the minimum for wheat were raised by between 25%-60%. we safeguarded animal land, worked hard to make moves in agriculture and science and technology. the new record highs were set for grain productions to reach 545 kilograms last year, the year increase per capita and so

promise to continue to grow rapidly and reach 5419 runs to make steady progress in the countryside and fully implemented the reform in forests and systems for managing state-owned farms. it generated the rural infrastructure development reenforcing 7256 large and medium sized reservoirs and ensures the state's drinking water for 250 rural residents. farmer's lives constantly improved and rural development anchored in a new era. three, strongly promoting risk restructuring and improving the quality and performance of economic growth.

first, we accelerate the industrial restructuring and innovations. we vigorously carried out technological updating in enterprises and enterprise mergers and organizations and improved the level of chinese industries, particularly commitment manufacturing. merging industries grew rapidly, accelerated the development of national innovation systems carried out technology innovation projects and other projects. we needed cutting edge technologies, core technologies, and key equipment technology. a large number of results have applied in industrial productions in service industry developed quickly and contributes to gdp by 2.5

percentage points. it greatly accelerated infrastructure development and expanded the railway system by 16,000 kilometers including the expressways. we built, improved, or expanded # 3 airport -- 33 airports and dikes. second, the progress for energy conservation, emissions reductions, ecological improvements, and protection, formulated policies and a national objective in controlling greenhouse gas initiatives by 2020 and the comprehensive birth plan and conserving energy and emissions. there's new energy and power units with the capacity and

there's 96.01 kilowatt capacity and 3.84 mill watt capacity. there's smaller power plants with a capacity of 32.2 kilowatts and many need a number of updating with steel, cement, and other production facilities. there's a number of forestry products and 4.29 million. we applied a combination of processes to event soil erosion and present efforts contributing to weather and air pollutions and key water shed to prevent and control air pollution and control industrial wastewater with gases and promoted the development of economy and consumption pay unit of 19.1%,

chemicals by 12.4%, and other emissions by 14.29%. third, the economic development. there's a master strategy to reach the department's issued and the master plan development of priorities stimulated the new ten year guidelines for the last scale development of the western region, a number of regional plans and introduced new measures to stimulate the development by leaps and bounds in tibet and other ethnic areas. the developments accelerated in the center of the western regions in northeast china and economic growth rates and other economics indicated higher than the national average. economic structure of the eastern region constantly improved and the innovativeness

and competitiveness increased. the level of basic public service is among agents that are decreasing and taking on unique characteristics. fourth, determinely work to deepen reform in opening up and strengthening the internal vitality of social development. first, determinedly working for reform and opening up and strengthening the internal vitality of economic and social development. to gradually improve the system and set up a rudimentary mechanism to ensure funding for levels of government. we carried out the reform, the reform of prices of refined

products and taxes and fees were implemented smoothly. cars were launched at a quarter of reform to restore taxes and domestic and overseas were unified. the reform to reverse large state owned commercial banks and stock holding companies was completed and reform of policy based financial institutions and other cooperatives is well underway. the resolved issue of nontradeble shares of companies successfully launched in the china soft market and stock futures and trading. the marnlt for government -- market for government bonds established quickly and the insurance industry. orderly, progress was made in reforming the mechanism for setting the r and b exchange rate and prize of cost border

trade accounts was constantly expanded. further progress was made in the reform of farm prices and stock holding corporations and the reform of the system for managing and overseeing state assets. with fed -- fedder rated reform act was reformulated and helped small and medium enterprises and the environment and the nonpublic sector but the economy constantly improved and economic entities by various forms of ownership developed side by side. in the depth of our openness to the outside world constantly increased, total import grew by an average annual rate of 15.9% and structure of import and export constantly improved. there's a decrease for two

consecutive years and year on year decrease was at 6.4% in 2010. these ideas of floating capital further improved. the level increased noticeably with direct investment with 220 billion in contracts to review foreign projects and provide services to reach 235 billion u.s. dollars. we approximated in the development and regional cooperation and multilateral abilateral cooperation continues to deepen. the scale of foreign aid continues to grow. opening to the outside world spurred development and restructuring and opened technology and other expertise and greatly improved china's international standing.

labor contract law and law on promoting employment with minimum wages, the breakthroughs in development of the social security system. for both for rural and urban residents and promoted labor relations. we achieved breakthroughs in the development of the social security system for both urban and rural residents. the workers was put under unified planning at a provenn issue level. ensuring coverage for workers moving to other provinces and an average of 10% increase for the last year in the basic pension for enterprise and retirees. in addition, the new pension insurance has been expanded to

24% of all. to accelerate yet prudentially carried out the reform of pharmaceutical and health care systems. completed a basic insurance systems for nonworking residents and the system which supports 432 working and nonworking urban residents and 835 million rural workers to complete coverage of the system that was put in place with rural government. social welfare prefer. the national social security fund stands at 781 billion

yuan. we devoted great access to low income housing and developing run down areas, and as a result, they were able to move into new homes and everybody has access to old age care. we simulated and implemented the long term plan for education reform and the government expanding on education that totaled 4.45 million and costing 2.4%. we made open ended rule for education free so that all children of school age can receive an education at no cost. we implemented the system that makes the salaries for teachers in education for performance. secondary vocation education was made free for students from

poverty stricken families. it accelerated the implementation of the government's system for students and investment increased to 36.6 yuan in 2010. it responded to schools and secondary schools and help fund the education of 3.2 million students and 12 million students living on campus receiving education. accelerate the innovation of the lackadaisical school buildings and the development of rural education and structure. increasing overall quality of higher education and cost innovation for colleges and universities and formulated for the national long term plan the technological development and central government allocated

16.9 for science and technology, an average increase of 17% that resulted in major achievements. great progress was made by services provided in the health care facilities. a special fund was included to renovate or build town or township hospitals and county hospitals, 500 county traditional hospitals, and 1,000 maternity child care hospitals and built 2400 community health service centers. it was implemented in the long term plan for human resource development. it's mostly contained the planning objective. important programs were made in the reform of the management system, development of the system's public services and

accelerated own the industry developed vigorously and social sciences and press and publishing, film and television and art. the construction of the rural and public schools renovated with fitness programs. the five year plan to implement the public under the law. the -- one major victory to fight against other natural disaster. earthquake recovery work will be completed in two years rather than the intended three years. there's a major rock slide if proceeding, will be in an oralely manner.

-- orderly manner. this makes the chinese people for confident, more stronger, and the grades indome -- and the chinese mission is invincible. [applause] in five years, we constantly deepened reform of the administrative system. we stimulated the transformation of government, function, computer reform of government agencies, carried out the administration in accordance with the law developed in low based government, making the government more service oriented, make government, in fact, more open, improve the accountability systems, combat

corruption, and continue progress in the government capacity building. we make solid progress and give chinese people every reason to take flight in this. [applause] our achievements do not calculate, but made to bring leadership of the npc and all ethnic groups across the country. here on behalf of the state counsel, i'd like to express my sincere gratitude to parties and organizations from all walks of

life. [applause] in addition, i'd like to express my thanks to the administrative regions and in taiwan and overseas chinese. [applause] finally, my sincere thanks goes to the government of other countries, international organizations, and organizations from around the world who care for and support china's organization. [applause] we are keenly aware that we still have a serious problem and that is relevant that it's not well balanced, coordinated, or sustainable. if manifests itself mainly in following growing resource and environmental constraints hindering economic growth, and

balance between investors, large income debt, and sufficient scientific technology innovation capabilities, a rational infrastructure, and development between urban and rural areas and the coexistence of the pressure to expand the structure of personnel of industries. the facts and systems have mechanisms that hinder scientific development, and our failure to meet three targets that in the 11 five year plan, the value added of the service sector share in total disappointment and a percentage of gdp. moreover, we have not yet fundamentally solved a number of

issues that matter strongly about. namely, the quality of education and medical resources and their uneven distributions. increasing pressure to prices and exorbitant health prices in some cities including social problems resulting from illegal land use, appropriations, and housing demolitions. the significant problems concerning states and ram participant corruption in some areas must have a strong sense of responsibility to the country and the people and work tirelessly to solve this problem, not quickly to recess -- resuscitate the satisfaction of

the people. [applause] looking back at the government's work during the 11 five year period, we have deepened our understanding and awareness in several areas. first, we must work steadfastly on scientific development. we have relied on development to overcome all types of severe challenges. all our achievements and progress in every area comes from development. we must, therefore, continue to rely on development to resolve difficulties and problems on the road ahead. china is still in the primary stage of socialism, and will remain so for a long time, and so we must continue to take economic development as our central task and pursue scientific developments. people first and ensure and improving their well being at

the starts point and find all work. we work for prosperity of all and ensure that everyone shares in the development. we need to steadfastly take all factor into consideration and develop regional development and economic and social development. we need to accelerate the transformation of the economic development, strongly promote innovation, further resources, and protect environments, ensure that economic and social development is coordinated with our population resources and departments and make developments more comprehensive, balanced, and sustainable. second, we must continue to closely integrate government's control with market forces. some market forces and effective macrocontrol are both

indispensable parts of the socialist market's economy. it must be guided by realities in deciding when market forces are to play a greater role and when government plays a greater role. in responding to the impact of the global financial crisis, we tightened and improved macrocontrol, quickly improved markets, remedied market failures, and prevented serious economic fluxuations. all measures we've took have prevented entirely a crisis. we must constantly improve the socialist market economy, and make full use of the basic rule of the markets and resources to stimulate the internal vitality of the market and use scientific tools to promote long term,

steady economic development. third, we must consider the overall domestic and international situations. as economic globalization intensifies and china's opening up constantly deepens, our economy is becoming linked ever more closely to the world economy and the two o constantly interacting as becoming more interdependent. we must adopt a global perspective, strengthen our strategic thinking, proficient at recognizing the development of opportunities presented by changes in the international situation, respond prudently to risk and challenges, make use of both domestic and international markets and resources, correctly fund domestic development,

degrees to the outside world, and truly take into consideration external demand to achieve a balanced development. fourth, we must steadfastly provide a basic thriving world for social development. the only way to make the transition prosperous and to ensure people's happiness is through reform of opening up and we must implement them throughout the course of socialist modernization. we need to be more resolute and courageous and carry out reform and make reform decisions and reform measures that are coordinated. we need to comprehensively carry out economic, political, cultural, and social reforms and no invasions. -- innovations. eradicate obstacles emissions badded in systems. -- embeds in systems.

we need to promote social status and justice. we must make improving people's lives with linking reform and stability. consider the intensity of reforms and speed of development in light of the ability of the society to accept changes, promote harmony and stability as we reform and make sure we are content with the job society and we want to enjoy long term peace and stability. [applause] two, main objectives and tasks of the period. we have drawn up the 12th five-year plan for social development in concordance of the center of commission

forformulating a party plan for economic and social development and submitted to you for your deliberations and approval. the 12th five year plan is crucial for building a moderately prosperous society with deepening reform and speeding up the transformation on economic development. from an international per perspective, globalizations are deepening and cooperation remain the current of the times. the global financial crisis is having far reaching its depths and restructuring is taking place, breakthroughs in scientific, technology innovation, and transformation is on the horizon and the

developing strength of countries measuring market economies is increasing from a domestic perspective. the long term development trend has not changed. industrialization, implementation, other organizations, marketization, and internationalization are all intensifying. there's demand in the market, but the supply of funds is ample. the innovational level of people is rising. the quality of the work force is improving, infrastructure is getting better by the day. the government's ability to exercise control and spot major challenges contributing significantly and looks at the overall domestic situation and have concluded that china's development is happening during an important period of opportunity. the chie nays capitalistic

theories and the important thought which we represent as our guide apply to the scientific development, and we adapt to the latest changes and have expectations of the all people of all ethnic groups. deep reform and opening up the shore and improving people's well being to respond to impacts of the global financial crisis, promote long term developments and social harmony and stability and lay its foundations for a modestly prosperous society. we will propel economic development to a new level.

we have set a target of 7% annual increase in economies over the next five years can significant improvement in equality and performance in economic growth. based on the 2010 findings with gdp in 2015, should exceed 55 to 1. we will continue to strengthen macrocontrol, keep the overall level stable, integrate short term control policies with long term democracy policies and have expanding domestic demand and have a huge potential for demand and more quickly get economic growth to be driven by a balanced mix of spending, investments, and exports. we will accelerate the transformation of the pat tent of the economic development and

economic restructuring. we will give a new path to industrialization with chinese characteristics, try to fully integrate implementation with the manufacturing industry and develop with emerging industries. we will accelerate the department of the service sector and raise gdp gi four percentage point. we are actively carry that out. increase the level by 47.5% to 31.5%. we are constantly working to raise its quality. we will continue to strengthen the infrastructure and further strengthen the foundations of economic and social development. we will work hard to develop

more in agriculture and the development of the new socialist countryside. we will thoroughly implement the regional developments and the constructive priority zone and gradually achieve equality of the basic public services, promote construction between urban and rural areas and among regions and balance the development of promise. we will work hard to develop social economics and give top priority to education and steady raise the educational level of the people. we will adhere to the principle of making innovations and leap forth in advances of key areas supporting the government and creating. to prove the system and support and policies for specific and technological innovation described to make major technological breakthroughs, and increase spending on r and d to

2.2% of gdp and promote progression of advances in science and technology and productive forces. in order to meet the demand of modernization, we will strengthen personnel training and strive to develop a large number of high personnel. we will strengthen development and make another great stride forward to develop culture in order to meet the ever growing and cultural demand of the people. we will work hard to develop and further deepen reform of the pharmaceutical and health care system, improve the basic medical and health care systems and more quickly reach the goal of basic medical and health services available to all citizens. we will make innovation and social administration systems and mechanisms and improve the

legal and institution and capacity of social administration and improve the vitality to be harmonious and stable. we will effectively conserve resources and the protective environment. we will actively respond to climate change. we will strengthen resource conservation and management, and yet be better able to ensure adequate supplies of resources, intensity protection of farmland and environment, strengthen ecological development and systems and advance and mitigate natural disasters and comprehensive build our capacity for sustainable development. the propulsion of nonfossil fuels should reach 11.4%, energy

consumption and co2s to 16% and 17% respectfully. the release of major pollutants will be reduced from 8% to 10%. stocks increased by 600 million and forests recovery should be increased to 21.6%. we will improve water conserve and make progress in imports and take control of large rivers as well as lakes and significantly improve modernization and water resources and resistance to flooding. we will comprehensively improve people's well being. we will increase the environment to the four most objective of economic social development,

create equal job opportunities for the entire work force and create an economics of 14.5 million jobs in the next five years. we'll improve the distribution and redefine distribution and they will exist side by side, strive to coordinate with people and work with economic development increases and workers pay increase with improvements and raises the proportion of the national income distributed and increase the proportion of wages of income and could impact income distribution. the per capita disposal income of urban residents and net income for rural residents will rise on average by 7%. we will raise the poserty line

and reduce the number of people living in poverty and quickly improve the social security system and continue to raise social security benefits. the bigger pensions ensuring and pence systems cover residents. the basic medical insurance system for nonworking residents and new rural operation medical care systems will stabilize and increase the systems and paid out of the medical insurance up to 20% in accordance with the relative policies. housing will be made available to around 20% of the country's urban households. we'll adhere to the basic state policy on family planning and improve it. we'll promote the growth of some and raise the average expectancy by one year. we will comprehensively deepen

reform and open up and pay greater attention to the public and overall planning of reform. vigorously pressing hard with economic risk measures, actively yet prudently advance measures and accelerate reform of the cultural and social management systems, constantly improve the socialist market economy, improve socialist democracy, make the infrastructure more responsive to advancement of and changes in the economic base. we'll provide strong assurances for scientific development who will uphold and improve the basic systems and create an institutional environment on aid and abets for all form of ownership and factors of production in accordance with the law engaging with markets and joint equal legal protection. we will accelerate a reform

innovation and financial systems, make fiscal systems that transform the path of economic development and develop a financial system that is comprised of other organizations, provide service, and keep rich living bounds. we'll deepen reforms of the prices for products and environmental protection charges and establish a sound flexible mechanism for resource products capable of reflecting supply and demand in the market, support demand, and cover damage. we will implement a more positive opening up strategy. we'll have international cooperation and competition and bring in more with opening up

with mutual benefits. we will constantly strengthen the government's internal reforms on staff improvement. all the government's power is entrusted by the people and the government is therefore responsible for the people and accept their role. we will mobilize as many people as possible to manage the social affairs of the social, economic undertaking in accordance with the law. it must not hurt the rule of law as the basic strategy and strengthen laws to safeguard the people's interest and carry out in accordance with the law and make decisions scientifically and democratically. there's a sound operational mechanisms and there's enforcement and oversight to check each other. we have to ensure that power is exercised properly, not to make institutional changes to end the

expected concentrated power unless it is checked on power and the others prevent and punish corruption. we must safeguard people's legitimate rights and the interests over safeguard social fairness and justice. in short, by achieving all the targets set forth in the 12th five year plan with hard work in the coming five years, china's overall strength in serving increases. people will live better lives, and our country will have more profound changes. [applause] three, for 2011, the year 2011 a

the first year of the 12th five-year plan period, and it is pivotal for us to do a good job this year in order to accomplish all the tasks and objectives held in the plan. last year, we achieved significant results in all our work. gdp rose by 10.3%. the increase in the cpi was held in check at 3.3%, 11.68 million urban urban jobs created, and want balance of payment situations improved. all of this laid a good foundation for our work. this year, our country has seemly complex situations for development. the world economy will continue to recover slowly, but the foundation for recovery is not solid. economic growth may make

economies weak. the unemployment rate are and will remain high, and some countries are still under the belt of their stubborn debt crisis. other economies eased monetary policies. global liquidity has been increasing slowly. the prize in major commodities and exchange rates of major currencies become more volatile in the international market. with bubbles and inflations, pressure has i don't grown in emerging markets. protectionism continues to heat up. competition in the international market is becoming more in tact, and there are still many unstable and uncertain factors. in long term and short term problems in our country's intertwine and institutional

structural problems stack up together making our macrocontrol more difficult. we need to control the job situation to keep our head clear and have dangers that we prepare for to avoid risks. the major target for this social development are as follows. to increase gdp by around 8%, further optimize the economic structure, keep the cpi increase around 4%, create more than 9 million new urban jobs, register the urban late at 16.4% or lower and improve the balance of payment situation. our main purpose is to create a good environment for transforming the economic development. we have to guide all sectors

with their work on accelerating economic restructuring and raising the quality in the department and it's increasingly important. improving the people's well being and promoting social harmony. to achieve the top target, we need to maintain continue knewty and stability in our economic policies, make them more targets, effective, directly strike a balance between rapid economic development, restructuring the economy, and managing expectations to maintain stability and prevent large economic fluxuations. we will continue to implement a proactive fiscal policy. we will keep the deficit and government bonds at appropriate levels. we are projects deficits of 900

billion yuan that consists of 700 billion yuan and 200 billion yiewn in local government bonds to be found in local budgets. this deficit is 160 billion yuan, and the deficit was increased around 80% of gdp. we need to focus on optimizing the structure of the expenditures. we need to increase expenditures in key areas such as agriculture, rural areas, and farmers, underdeveloped areas, the people's well being, underserved areas, and technology innovation. we need to increase expenditures with party and government body, office buildings, and other facilities. if the budgets are abroad to purchase and operating costs, the official entertainment at the present level without an

increase, and decrease add min straitive costs. we'll continue to implement structural tax reductions and strengthen tax productions at administration in accordance with the law and comprehensive organize local debt, carryout complete oversight and control and establish a standardized mechanism for local governments to borrow money.

to optimize the credit structure and guide commercial banks to the key areas and strip the control the loans large quantities of energy or have access where we further proof the exchange rate we will closely monitor the cross border capital growth and prevent the influx money and risk management where our foreign exchange reserves and increased on our investment. our focus is and doing the following work well. one, keeping the overall price. recently prices have risen

fairly quickly and inflation expectations have increased. this problem as the overall interest affect social stability and to make our top priority and the control and the overall price levels stable. to make the most conditions and reserves and considerable foreign-exchange requires. to overcome the adverse structural inflation production and market expectations to resolutely curb the price. we need to strengthen our work controlling and monitoring prices mainly through economic and legal matters when necessary. we will effectively manage the

market liquidity and control conditions to monitor prices rising rapidly. we will decide to put frequency and intensity of adjustments for goods and services to the practice. second, we will vigorously have a production and supply of major products and important production. we will effectively implement a system of provincial government taking responsibility or grain supply programs and the demand taking the responsibility for the markets will not going to supply the programs. we will develop the distributions in the products and encourage farmers to link up and guaranteed a transport of fresh farm products as green

channels and paying the road tolls. we will improve the research for timberlake purchasing and stockpiling major products using the state to manipulate and strengthen our ability for the market. fourth,. >> the market speculation. we will raise the social security benefits by the process we cannot allow the price rises to affect and normalize the company.

>> further especially consumer demand expanding the market's longer-term strategic support in china's economic policies and fundamental means and encounter requirements for the realistic development. we will actively raise consumer demand and increase government spending to help expand consumption and increase the subsidy to low-income urban residents and farmers. we will implement a policy providing subsidies for the royal residence to change, appliances and subsidies trading in to the new ones and strengthen the infrastructure of the distribution traveling broadband in the rural areas. we will vigorously pursue the old age and promote change operations and unify distribution in the rural areas

of the commercial outlet services for the geographic information will overhauled and standardize the markets and protect the interests. we will continue our efforts to crack down on violating the property rights and manufacturing the substandard goods. improved investments we will implement the state council non-governmental metal meant to work quickly to formulate those in the transfer of standards and support policy in the market. effectively the market access has all visible and invisible barriers encouraging the non-governmental areas suggest

infrastructure and social programs and services. privately run enterprises to strengthen their innovation transformation and upgrading encouraging the reorganization and the non-governmental involvement in the reform the surface and guidance for standardizing the non-governmental meddling and the state of growth and stricter optimization. the best government played a different role in restructuring the parity ensuring the key product for the expansion and major projects in the five-year plan in an orderly manner. we will prevent haphazard redundant construction and have approval standards on banking in

the protection and safety and the quality benefits. number three, consolidating as the position of the foundation of the economy. we will make agricultural role areas the priority work as the cultural modernization deepening and the urbanization to consolidate and build upon the favorable situation agriculture. we show a supply of increased incomes through multiple channels to make safeguarding our primary goal and work to increase the agricultural production and keep the area stable and support the cotton, we'll see in the sugar crop. we will energetically developing the fishery and forestry sectors

and carry out the new round the total program and show the cities have a basic area for growing vegetables and basic ability to supply for urban residents. and the technology to support the agriculture develop and expand and increase agricultural production and continue to implement policies by up to seven and increase by 9025. we will energetically developing in rural areas. the skills and they're a

devotees and increasing the income and encourage them to find agricultural employment in the hometown hearing as. we will raise poverty lines and intensify our efforts to alleviate the development and the competency and comprehensive strengthening a culture and rural infrastructure. we will focus on developing more irrigation and water projects, or medium size reservoir and preventing the ideological disasters. it will improve irrigation drainage and develop force in the river embankment and the courage waterways and increase

their storage capacity to prevent. three separate years of hard work we will improve our ability to prevent floods including trout and prevent and mitigate natural disasters to vigorously develop and improve rural land developed an arab land and resistance scales and to increase the grain production capacity and intensify the work on projects to provide running water to the rural health and improve the roads in the constructive housing and living conditions along with my environment. we will improve our polity to strengthen agriculture. we will direct government spending towards agriculture and rural areas and make sure the expansion in this area those

high year than last year. the investment is to develop agricultural infrastructure and we will ensure both the operation and total amount of investment further increase and received from the transfer for the primary developing agricultural land irrigation and water and constructing the roel infrastructure and we will ensure adequate amount used for those purposes. this is invitation for agricultural rural areas and farmers such as will be 988.45 billion increase on hundred 50 over the last year. and increase the subsidies production and its priority to

increase subsidies to the major production areas on the proper variety in specialized. we will increase payment from the central government to supply other parts of the country with green, policy and pigs and expand the subsidies. we will encourage financial institutions to the critic for agriculture farmers and in short this increase in credit is no less than that of last year but will increase policy debates for the agriculture rural areas and farmers and improve the policy supported agricultural assurance reassurance system for defeating the risk of huge deficits. in the reform we would increase the vitality of the rural development. we will adhere to and improve

the basic operation system and the responsibility system for the land use for the land to move forward with reform of the system in an orderly manner and establish a compensation system for protecting the land and continue to carry out reform. we will fully implement but government subsidy system for the public work. the launching of which is determined by villagers themselves and we will work to significantly increase the size of the subsidies to the will to accelerate the government and specialized the system whereby for the agriculture organization and a culture assuring adequate

1.3 billion [inaudible] [applause] we of the confidence and the ability to handle this important matter well. fourth, accelerating strategic and advances to restructure. this is the major goal of transforming the economic development. it needs to be quickly put on the path of the indigenous growth by innovation. we will adjust and optimize and quicken the establishment of the modern industrial situation and give impetus to the industrial transformation and upgrade. third, we will transform and upgrade manufacturing. we will intensify the upgrading of prices towards the focus on becoming better able to develop

new products names, utilize energy resources were comprehensively and the integration of the process system and raise the quality technological content and value added. the enterprises in key industries to enter into the acquisitions and the reorganizations we will improve the exit plan and accompanied the outdated production capacity. second, we would accelerate industry who will vigorously develop the next generation i.t. industry. the broadband information network accelerate integration of the conditions that work, the regal and television broadcasting network and the internet and promote the demonstration of how to use.

we will give the industry environmental protection technology and equipment manufacturing and materials and energy vehicles to properly formulate standards to improve the policy and more and medium-sized to play the role and healthy to submit strategic emerging industries to meet the production capacity. >> third, we will vigorously developed excellent and that we develop the services to make every effort to develop and operate the solar wind industry and decide to create a market environment to the service industries and quickly improve policy in the development who

find this power basically the same since the service industries encouraged by the states and the industrial sector for we will strengthen the energy industry and comprehensive transport system and actively promote changes to the way energy is produced and used and raise energy efficiency to the plan traditional energy into its of fighting construction queen energy and coordinate the development and accelerate the construction of a comprehensive system as it's convenient and highly efficient. we will make coordinated the demint plans in the real economy. the development between the regions fully implement the development plans and implement

the market strategy of the regional development we will steadfastly give high priority large scale of the western region and earnestly implement the policy for the new period of a large scale development and the development of tibet we will fully modernize and continue to transform the dependent cities who will foster and make a greater use to the graphic and advantage of the region and actively support the development of the country and making -- and

other to play a leading role in reform and give great support to the barrier, the ethnic minority areas and border areas, promulgate the 11 to 20 world and development program to poverty through development and contiguous areas who suffered difficulties and live in poverty areas out of poverty more quickly to actively move forward with urbanization and the path for urbanization by the principles of the carbon development of the urbanization and the planning and strict management to strengthen the urban infrastructure and the public increase the overall

carrying capacity in cities and towns and meet the level of the urban services to gradually but sure the migrant workers have stifel jobs and are registered in the urban residents in line with the step in a manner. we need to help the rule migrant workers the are not currently qualified in the result to the renomination, schooling for the children, public health and social security for the independent choose to seek or stay in their home villages generally protecting their interest of the concerned land and the land on which their home is. they must ensure an urbanization together with the agricultural modernization and building the

new for sing. [applause] >> we will strengthen energy conservation, environmental protection and ecological development and actively evidence the climate change. the focus on conserving energy in the areas suggesting in the industrial sector, construction, transportation and will continue projects to give us to conserve energy and industrial sector popular energy preserving technologies and the equipment and improved energy states will invest more in improving energy conservation and existing buildings and actively promote energy conservation and the new buildings. we will develop the economy to move forward in the pilot projects to build low carbon

cities to strength and capacity to climate change and respond to the event sit the statistical monitoring systems of greenhouse gas emissions, energy conservation and emissions reduction will accelerate the planning building on the networks of the facilities in urban areas and expand the newly recycled water in the coal-fired power plants and expansion for the treatment of the marine treatment of water pollution in the ki river basins of the treatment and pollution, the treatment of heavy metal pollution in the key areas and comprehensive improvement and pollution from the rule sources need to carry out the restoration project to intensify the protection and management of the functional ecological

concerns and the second phase of the project to protect the natural forest resources come implement the subsidy for the ecological conservation and the achievements of ready-made on the grassroots as well as vigorously carrying out to strengthen the wetland protection and in that progress dealing with the desert sand improve the contingency plans to finding and mitigating natural disasters and accelerate the development of surveying and evaluation monitoring and early warning to detection to the disasters from the mountaintops. [inaudible] and strategies in the country through human-resources. science and technology,

education resources and the national development has always been given an important and strategic position. we will continue to give equality to education and promoting the education programs and have diverse high-quality expectations. in 2012 we will reach 4% of gdp. we will encourage the government and non-governmental organizations by school the educational purposes and increase resources concern in preschool education and promote the balance of development education and strengthen the standardization and ensure the

application of public resources gets priority to the rural schools. relying mainly on those in the government and public schools we will guarantee equal access in the education and migrant workers we will look for the dever of the of education and bilingual instructions and ethnic minority areas and comprehensively promote the status to education and transform genuinely the workload of primary and secondary school students and give high-quality to think independently. we will ensure that primary and middle school students get exercise every day. we will secondary schools and universities to emphasize unique

features raised to quality of their teaching to help their students become better able to find employment. we will strengthen the development of a number of world-class universities. we will implement and improve the government and ensure they are obliged to discontinue [inaudible] to their of the family's financial. [applause] we will enhance the resource development. with a focus on high level and highly skilled personnel we will more quickly foster a large number of innovative scientists and engineers, skilled workers who urgently needed it.

we will invest more in the human resource development carried out we will deepen the reform of the system for the personnel to try to create a credible, open and competitive system as well as an environment which people let selected. encourage the people to emerge and create an environment that encourages people to tap their full potential. we will vigorously promote the innovation and speed up the implementation to meet the project's make breakthroughs in the number of key technologies and enhance our capability to carry out major integrated innovation project. to strengthen the research and capacity for the original

innovation with the impetus to the establishment to take the lead in r&d and innovation. we will encourage enterprises to take the r&d on the key generic technologies and share both efforts and rewards. the government will provide policy support the project and areas of the national strategic interest. we will deepen the reform of the system for managing science and technology and will promote the optimal allocation to use and public sharing specific and technological resources. we will provide incentives to the research institute universities and engineers to encourage them to cooperate with enterprises in various ways we will increase government spending and improve the research expenditures and will implement the national strategy

to increase the devotee to create the management and the innovative spirit. >> social development in ensuring and improving the well-being of the people. the more the economy develops the more to pay for social development and assuring within our power to expand employment have been more productive employment policy plans to invest 42.3 billion on promoting employment. in light of the work in china we will increase the development securities servicing, microbusinesses enterprises to satisfy the employment needs of the different groups of people to continue to get top priority to the employment never see graduates and vocational

training to strengthen employment and the flexible human-resources market. we will more quickly develop the network on the nationwide connectivity to the labour force to resolve labor disputes that have gotten interest of workers and labor relations. we will adjust income distribution in a reasonable manner. it means to be addressed now. this year we will concentrate on the following, creating the basic income of low-income people and the rural areas and we will increase minimum wage increases the secretaries --

retirees. we will establish the workers and the minimum wage and second put new resolution to the income distribution and the individual tax threshold tax rate structure and genuinely the tax burden on the low and middle income people will effectively raise the high income from the control in the industry's and standardize the management of fixing it as pay and bonuses.

third, to vigorously overhaul distribution, the resolution of the income quickly established the system from income distribution through our effort the income gap to be sure. [applause] >> translator: we will accelerate the improvement of social sec3 >> translator: we will accelerate the improvement of social security systems at both the urban and rural residents and expand the pilot project for the rural residents to 40% of counties and move forward on the

old age for urban residents and longstanding problems and the retirees that collectively owned enterprises and the mechanisms and to adjust the basic pensions of the enterprise to actively press ahead on the system of government agencies and collective enterprises to suffer from the compensation system will improve the systems allowing them to both urban and rural residents to keep the social security channels spinning from educational rehabilitating the disabilities provided for in the government but needs to put forth the development of the social

security systems and those with disabilities would speed up the information of the management to get commercial insurance to play a role in improving the social security system and we will vigorously develop the programs. >> we will resolutely regulate the real-estate market. we will select more quickly on term systems focusing on solving housing difficulties below low and middle-income areas and generally stabilize housing prices and made a reasonable demand of the efforts for housing. first, we will do more low-income housing. this year the new low-income

housing that will undergo innovation will reach 10 million common and 1.5 million will be renovated. we will give priority to balance the central government is allocated 193 billion in the budget for subsidies to support this work, an increase of 26.5 billion of last year the government at all levels has furious channels and substantially increase the spending areas. we will establish the system for the operation and the return of these housing and increase transparency and strengthen public oversight to be sure that eligible families benefits for low-income houses. second, we will further implement and improved policies

like the real estate market to curb the excess of revenue of some cities. we will formulate the annual housing development plan to designate the low-income housing and the new construction to make sure they are used to develop low-income housing. emphasis will be placed on more ordinary, small and medium sized housing. we will develop the housing market and strictly implement and differentiated housing credit policies and of trust and improved tax policies on a realistic and the tax collection and administration and effectively curb the purchase of homes for speculation. we will strengthen monetary markets and oversight market behavior to strictly deal with the laws and regulations.

third, we will establish the evaluation and accountability mechanisms for the government to house the general responsibility and municipal and county governments have the direct responsibility for stabilizing housing prices and guaranteeing the ability of low-income housing and the relevant government authorities need to improve elections appraisal, admonition and the system. the insufficient efforts and to the destabilizing and promoting the company and thereby the stability. [applause] >> we will press forward with the reform and the development of the pharmaceutical this year

will be crucial for implementing for the pharmaceutical and health care system to make sure all targets are met. first we will fully implement the basic level. we will put in place the supplies of the drug oversight and genuinely the drug prices. public hospitals and encourage all to make explorations concerning possible management for the steady prices and services and oversight mechanisms we will improve selling the relations between

hospitals and raise the level of the basic medical assurance that will cover more working and nonworking residence and the insurance system and more farmers under those cooperated. this year pa government subsidies for the new cooperated medical care insurance and not working to 200. fourth we will complete the county that work and community health service and raised the government expenditures on basic 25 per person. we will strengthen the control standardize management major communicable diseases as well as chronic, occupational and mental

illnesses. we will strengthen work to attend and continue conducting breast cancer screenings for the women and providing the necessary sufferings from these diseases and do the work of preventing and controlling hiv/aids. we will vigorously developed the minority to implement. >> this will encourage nongovernmental workers of institutions for the non-governmental looking to establish and improve the system whereby they work with more than one practice to encourage the reasonable doctorates between the institutions and encourage community level clinics in order

to survive clinical masses. to comprehensively carry out family planning and keep the birth rate low but still a good level to provide family planning services and managing the population to strengthen efforts to prevent birth defects and further expand the pilot project for pre-pregnancy checkups dropping rate of hospital delivery is expected to be 95% of the women in rural areas. we will implement a new round in the program for women and children and effectively protect the rights of children and miners that accelerate the establishment of the social service system for the elderly and intensify the development of the age surface facilities. the innovation to strengthen the

administration functions to mobilize the masses and to make use of the rule of the structure of the social administration with the urban and rural community and the public demand as our guide and for the administration in the areas of population, employment, social security, the administration and public health, culture and distinguished effective positive interaction with the government administration at the level. to accelerate these mechanisms for safeguarding the rising interest will evaluate the risk of the administrative decisions and selecting the wrong decisions. to strengthen the mediation's

and the channels of people to report on the social conditions and populist sentiments to solve the problems in the masses suggest on authorized with arab land and the system of public security will improve the response system and the society to manage private withstand ret. to intensify our information security and improve management on the information will improve all of the factors of the social security and on high alert for the crackdown for the law on the workplace safety, quality and resolutely improve oversight

systems and mechanisms for the relevant laws and regulations strictly issue standards for monitoring the evaluation inspection. if the local government strengthens oversight and law enforcement and raise our capacity to ensure the government at all levels must pay more attention to the public services and sold the most practical problems at the greatest and the most direct. second, vigorously encounter the development. there's an increased demand in the nation and better satisfy the coulter demand in guiding society, educating people and promoting development and create

morality as the common idea within the characteristics and adopting the establishment of the moral and behavioral norms and the chinese virtue for the socialist, and ethical requirements and for the market economy. the development of the credit devotee system and relevant systems and the ability to provide public culture services concentrate on strengthening the cultural infrastructure and the urban and the rural communities and the projects and benefit people. they will support the nonprofit efforts to protect. further philosophy and social science developed the radio and

television film arts and archives step the administration of the internet, the reform of the culture management system and actively push for the transformation of the institution to operate in its entities. the energetic cultural industries act causing it to pillar the national economy to vigorously carry out the national fitness program and promoted recreational would intensify the change and expand the culture so that [inaudible] [applause] >> translator: deepening reforms in key areas.

we will continue to advance the strategic sector of the economy and improve the mechanisms for redirecting the assessments in the capitol to ensure its rational flow. we will improve the system for the financial assets, and operational, natural resources and assets, strengthen the oversight overseas. we will continue to encourage support and guide the development of the sector in the economy. we will improve the taxation systems so that financial resources of government are in line with their respective responsibilities, and again, special payments increase general transfer payments and improved mechanism for assuring basic funding for the county level governments we will carry

out a pilot project to institute the reforms and produce the sector and carry forward the reforms of the resource taxes. we will deepen the reform of the budget management, formulated budgets for all government funds, comply all budgets with the state capital operations and budgets for the social security funds. we will continue to deepen the reform of the financial enterprises and the establishment of the financial enterprise system. we will accelerate the cultivation of the financial institutions. we will continue to develop the financial markets and encourage financial innovation. we will push forward market-based reform of interest rates and expand the wendi to the trade and press ahead with making the r&d credible under capital account. we will strengthen and improve

the financial oversight and a sound early warning systems on the risky response mechanisms to prevent the financial risks and we will improve the mechanism for setting the prices for petroleum products in the natural gas and proceed with and carry out studies and formulate guidelines for the pilot projects for paying for the training of the mission. we need to fully consider people, particularly low-income people to the price reform. we will actively push forward the reform of the institution in the requirement that institutions stop referring the business and government function from the day-to-day operations that for-profit separated.

third, improving our work to the outside world. china cannot develop without the multilateral and bilateral trade correlation and expand the new fields and say we will continue to get the dough of round of trade talks and work on the economic border. we will effectively change the way to ensure we ought to - and increase the profitability. the tree and the processing is essential to make the most of the resources to reduce the consumption of energy into the resources - up the industry

change to the kachina and raise the value added and actively expand the parts of chinese and develop traits in the surface and constantly support the trade services to attach equal importance and the key parts of energy and raw material and promote support on the latest default countries and from countries with [inaudible] and promote coordinated development and the utilization of the foreign capital in china or accelerate the global strategies to improve and simplify the examination and approval procedures and provide qualified enterprises and

individuals in an active and orderly manner and to improve the mechanism stimulate and guard against the policy of using the foreign capital more effectively to focus on producing the technology and skilled personnel as well as intellectual resources to encourage multinational corporation said utilizing foreign capitals and the list of industries to encourage the new and high technologies on the environmental protection industries and the western regions. >> strengthening the efforts to promote the clean government and the corruption's and to act

quickly to solve the serious problems in the corruption the clean government effective development systems are preventing and punishing corruption and making the investigation large and measure fighting the corruption that paying closer attention. first we will comprehensively clear up the government employees that have the personal gain that infringe upon their rights we have to publish the key areas of the mineral resources to intensify the investigations of the law and resolute in the punished. [applause] second, we would generally

and conscientiously implement the code of conduct to the clean and honest government and implement the system whereby regularly report their incomes ability and investment and their spouses and children, too, and they voluntarily accept. we will move strength and oversight to the government organization and the leaders and the institutions and we oppose the extravagance and we reduce the meetings of the streamlined standards making evaluations and awarding the accommodations of the innovation by strictly controlling such.

we will standardize the allocation and the management and actively reform or quickly with the government budgets about how much and what the money spent on. government at all levels publish practical results for the people and public servants should genuinely serve the people. [applause] >> translator: fellow deputy, consolidating and developing of our ethnic groups is a fundamental entity for the long term stability and serves the

fundamental interest. the regional at the nec economy to implement the leadership policies and measures supporting the development of the minorities and ethnic minority areas. to formulate and implement and support the ethnic group with more population and press ahead on the president's campaign and develop the programs. people report card together for the prosperity of the chinese nation. [applause] the cop comprehensively to implement the basic policy of work to the early implement the regulation of providing

religious affairs. religious figures and beavers to play an active role in promoting economic development and social harmony. we need to improve our work related to the overseas and protect the local rights and interests who turned over the chinese and their families and solve a unique role in promoting the education of the motherland and the rejuvenation of the chinese nation. fellow deputies, the national defence building a powerful people's army are important guarantees to safeguard the security and the development and building moderately prosperous society in all respects. [applause] the overall work of the party and the government firmly in

mind and directing attention to effectively carrying out the mission and the new stage needs to comprehensively make our army more revolutionary and standardized and constantly enhanced to accomplish a military task. the most paramount of which is when local wars condition and raises the overall ideological army to adapt our military training to accelerate the modernization to promote integrated military and civilian

development expanded the weapons equipment to energetically move ahead with of the national defence steps on the army with strict discipline and accordance to the wall, the military will resolutely carried out difficult, dangerous daunting task for emergencies and disasters. and we will modernize the police force with the ability to carry out duties in combat terrorism stability with strengthened defense, mobilization and forces to consolidate and develop unity between the army and the government and the people.

>> translator: we will have cooperation between the mainland and hong kong and have a set of mechanisms and support the deepening the interregional cooperation between hong kong for mutual benefit.

an historical course of great generations of the chinese nation, people will join hands. we will share the dignity. [applause] we will adhere to the major principles and policies for developing relations between the two sides of the government and establish the motherland. we will continue to carry out negotiations vigorously to fund economic cooperation for an agreement, strengthen

cooperation, accelerate cooperation in and the development of the larger industry of finance and other service industries, and to support the mainland resources in taiwan. we will support the economic zone in leading the way in exploring any paths for exchanges and cooperations between the two sides. we will increase cost rate of changes and vigorously expand cultural and educational cooperation across the states. we will consolidate the political foundation for peaceful development for relations. we will work together to safeguard and have a peaceful development of cross relations. convinced that as long as all chinese people at home and

abroad, the great course of the motherland will be your land. [applause] hello, deputies, in the new year, we will continue to hold high the banner of peace, development, and cooperation. we will adhere to a foreign policy. we will pass peaceful development to see an open strategy of major benefit, promote the building of harmonious work with lasting piece and common prosperity.

we will create a favorable environment and external commission for the organization. we will maintain a sound development with our relations of major powers and produce dialogue and cooperation, and we will expand common interests and foundations for cooperations. we will adhere to the foreign policy of the neighboring countries. deepen good neighborly relations of friendships, and cooperation with them to promote processes for regional and subregional cooperation. we will have additional friendships and cooperation with other developing countries further making oaths and achievements in cooperation and have innovations with cooperation and development related mechanisms. we will take an active part in

multilateral diplomacy and use the g20 summit as things to strengthen the nature of macroeconomic policy and develop the reform of international economic and financial system promoting robust, sustainable world economy. playing a constructive role in global problems, and fulfilling our international responsibilities. the chinese government and people are winning to learn together and responding to risks in challenges, share in development opportunities, make contributions, multicultures of peace and development. [applause]

hello, deputies, looking back, we're proud of our extraordinary glorious achievements. we look forward with even more confidence. [applause] under the leadership of the party central committee with jintao, let us face challenges, break new ground, work diligently in unity, strive to get the 12th five year plan off

to a good start, and continue to advance the great cause of socialism with chinese characteristics. [applause] [applause] >> translator: looking at the

second agenda, the 12th five-year plan. the agenda with the state counsels draft on to 2010 national development. please review. the fourth agenda. review the counsel, central and local budget communications and the draft for 2011 budget. the draft have been handed out to you.

the meeting is adjourned. ♪ ♪ ♪ >> sunday night also from the chinese national people's congress, the foreign minister from beijing. we'll run that for you on c-span. sunday on prime minister's questions, british prime minister cameron talks about humanitarian aid and possible military intervention including the no-fly zone over libya. other topics include police

forceses in communities, child education centers, and changes to government welfare programs. >> last week, the house passed hr1, a republican spending bill that proposes to cut an estimated $61 billion from current year spending through september. now, senate majority leader, harry reid, lays out how the senate will proceed next week on federal spending. this is about 30 minutes. >> without objection. >> mr. president, thank you very

much. i have a longer statement that i'll give after we finish this colloquy here. yesterday afternoon at four o'clock we met back here at vice president's office. it was a very fine meeting, vice president biden was there, my friend the republican leader, the speaker, and the minority leader of the house. parredden me, -- pardon me on getting the terms down since it changed in the house. boehner and pelosi were there with vice president biden, and we spent about an hour there, and we were going to have a vote on hr1 sometime in this next week and also a vote on the bill we just laid down which is our alternatives to what we think should be done with the economy. now, i know, mr. president, that our bill, because it's the way we have to do things around

here, it's a long bill, and i'm sure the minority wants to spend some time looking at that, but one way or the other, we'll do it with an agreement or through my filing of a different procedural motions and get to a point next week to vote on hr1, which we democrats want to do, and we will vote on the bill. what is the number of the bill that we have at the desk? the amendment? anyway, it's been here for awhile. whatever the number is, it's the democratic alternative that center in a way -- that the senator in a way has laid down. mr. president, we believe and i'm confident that the speaker feels the same way that the thing we should do is vote on

hr1, which we've had calls of voting on that for more than a week now. i've had statements pressed by and for a vote on hr 1-rbgs. that's what we're doing. we'll do that with an agreement with the republican leader or a motion that i'll file later today. the amendment to that is numbered 149, and that's senator inohe's. to move the process forward, i think this is the place to start. we have some confidence that we'll get votes on our bill that will move this matter forward, but regardless, yes, hr1 doesn't pass, and won't pass, and if ours doesn't pass, we at least know where we stand, mr. president, to move this ball down the road a little further. speaker said that that would

allow the negotiations to start, and i think thaim paraphrasing, but i think that's what he said. that's what all of us in the room decided to do yesterday. today, i set -- i seek to set those two votes. one is a vote on hr1 as it came from the house, and after that, there's a vote on passing the alternative which is the chairman inohe's draft. once we got that, it would seem to be a fair proposition to move forward. as i said, mr. president, my friend, the republican leader, has scheduling problem, and i understand that. i'd like to have come here earlier today, and so would he, but we were not able to do that. i 4r give a -- i will give a full more explanatory statement in a few minutes, but right now, mr. president, i ask consent upon this position of s23 which is

the pat tent bill, a senate procedure of calendar and we recognize and offer the substitute amendment, text is at the desk, that there's four hours evenly divided between the two and related to the substitute amendment. upon disposition of substitute amendment -- let me read that again, mr. president. sorry about that. there's four hours of debate divided between the two leaders on the substitute amendment. upon disposition of the amendment, senate proceeds to vote if amended, but let moo motions be in order to the substitute amendment or the bill prior to votes. that's the sub qent amendment of a 60 vote threshold and if

amended does not achieve 60 votes, we turn to the calendar. >> go ahead. >> observing the right to object, and for the short term, i'm objecting at least for today. we received this 350 page amount at 11:45, and we need to have a chance over the weekend to take a look at what our friends have offered here, and it could well be that by monday we will conclude this proposal with the majority leader laid out as the best way to go forward. we'll continue to talk about that over the weekend, but for the day, i object. >> the objection is heard. >> mr. president, i ask consent upon decision s23, the patent senate bill proceed to long term continuing resolution for fiscal year 2011. >> is there objection?

>> yes, for the same reason, i object. >> the objection is heard. >> i move to proceed to count number 14, hr1. >> the clerk will report. >> motion to proceed to count 14, hr1, didn't and agencies, the fiscal year ending september 30th, 2011. >> mr. president, i have a closure motion at the desk, and i ask that the clerk reports that. >> the clerk will report. >> cloture motion, assign senators according to provisions of rule 2 # of the standing rules of the senate hereby move bring to a close debate on a motion to proceed to calendar

year hr1 and the department of defense and department and other agencies of the government for the fiscal year ending september 30th 2011. reid of nevada, inohe, whitehouse, conrad, hagen, boxer, franken, feinstein, and bingaman. >> i ask that be waived. >> without objection. >> i now withdrawal my motion to proceed. >> the senator has that right. >> mr. president, when an american family sits in the kitchen at their table and sorts through their finances as they often do, partisan politics doesn't figure into that equation, and the families we represent calculate their own budgets. when they add up the cost of gas and groceries, tuition in some

instances, and other necessities, they ware more about the bottom line than news headlines. when i family desperately counts the number of weeks before the unemployment insurance runs out, that family doesn't have time to keep track of the political points during the given week. that's because when you have to make the tough decisions on any budget, the decisions are practice call, not political. they are realist realistic, not ideological. we have to be as responsible as the american people. as their representatives, we absolutely must be sympathetic to the challenges outside this chamber, and we need to come quickly to a resolution that benefits them. we must be just as mindful not to waste their time.

regrettably though, the budget debate has turned into a political exercise, and i'm sorry to say, mr. president, not much more. that's counterproductive. we need to be as serious as the challenge before us. i'm much more concerned about keeping our country running and up vesting smartly in -- investing smartly in our future than in this political game. when we wake up in the morning, the american people want their children in a good school and then go to a good job. now, mr. president, they are saying "a" job. they want their families to come home to a safe neighborhood at night, go to sleep knowing our country is safe. they don't care about who gets the credit. they don't care who thought of how best to do it. they just want us to do it. the time really now then for political posturing should be over. we set up a procedure, it was agreed on in the vice president's office to get this

hr1 out of the way. everyone knows it's not going to pass. it's a very, very difficult, bad piece of legislation. well, get rid of that. we will do what we think is responsible and cut spending by $51 billion and knock out all those mean-spirited writers that are attached to hr1 that on their own couldn't pass anything over here, mr. president. there's a mad rush to see who could do the most sensational amendment. bring it over here in the light of day, refer it to a committee, having a hearing on it, and once that were done, none of them would come to the floor. they were not willing to do that. so the time for pragmatism is

overdue also. the senate is going to vote early next week on the democrat's plan. we're going to vote on the republican's plan. seems fair. let the american people decide which is the better of the two. everyone will have the chance to be on record supporting whichever they choose to do. whenever plan. let me talk briefly about the merits of the plan and what they will do. first of all, hr1, which will go down in history as probably one the worst pieces the legislation drafted in the history of this congress. first, this is the plan that the tea party pushed through the house. that irresponsible proposal slices investments, cuts jobs, and sacrifices security and education. yes, it cuts a lot of money, today, but america would lose so much tomorrow because these cuts are made arbitrarily without

regard to the consequences, that's why independent economists believe it would hurt our economy, cut growth and jobs. we can't afford that. yesterday on national public radio, they had more than 300 economists saying with one voice, don't do this. we can't be blinded by the big numbers in the house republican plan. we have to scrutinize how they cut $63 billion, and the truth is if it adds up to $61 billion through significant subtraction of programs the american people don't want to lose. it slices more than a billion dollars from social security, a billion. that means half a million seniors who paid in social security their entire lives, and now are eligible for it, wouldn't be able to get the benefits promised to them. there's no one to process the

claims. it cuts $700 billion from education which means a million disadvantaged students can lose funding, and more than 10,000 teachers, aides, and school staff lose their jobs. it would take 200,000 children out of the head start program. these are not just words. they are programs to educate the poorest of the poor children. that's worked out well. try to find somebody that criticizes the head start program. these little boys and girls have no alternatives, and it's worked out well because the parents are involved. they are going to eliminate 200,000 children from this wonderful program of head start. the republican hr1 closes poisen control centers, cuts $100 million from food safety inspections. that means the food could be

less safe and more exceptive, and that's really a lose-lose proposition. it cuts three quarters of a billion dollars, $750 million from noble energy investments, and the reason that's so important, mr. president, is these up vestments are incentives for people who do these kinds of jobs. you can drive from my home in nevada 36 miles, get baht to the 31 mile mark, and you look off to the left, and there's 1 million solar panels being installed there, a million solar panels producing electricity. we call that the great dry lake. that was done because of these programs. we don't have to be held to the middle east tyrants there who ship us oil. it cuts three quarter of a

billion in protecting us and the clean energy economy. cuts hundreds of millions of dollars from port security, federal emergency management agency. when an emergency comes up, we have to respond to that. even republican congressman have said and are admitting, it's not smart to pinch pennys on first responders. in my conference room right across the hall, one the shriver boys came in to see me. the shriver family has done so much for our country, okay? the eldest shriver who just died was head of the peace corp., but probably their number one mark has been hue they worked -- how they worked with children, young men and women with challenges, physical challenges,

emotional challenges, and they brought a number of those young men and women, some not so young anymore, with some of the great programs that are being cut in hr1 to help special olympics, the best buddy program is another one, and shriver told me that he brought an elected member of the house of representatives who voted for hr1, and he said, how could you do that? how could you do that? you have a child with down syndrome. her response? oh, i didn't know it was in the bill. i didn't know it was in the bill. i just talked, mr. president, hr1, i don't know how many pages. madam clerk, how many pages in

hr1? >> [inaudible] >> mr. president, could you tell me how many pages are in hr1? >> 382 pages. >> 382 pages. well, mr. president, i have only talked about enough to take up a couple three pages, but it is full of the same kind of stuff that i've talked about here today. stuff that is not fair and mean-spirited. we all want a cut. i represent the state of nefs. we're in a deep economic problem. we know though we have to cut things here. the resigning officer from the state of connecticut, we are both members of democratic party. we have supported these programs because it's the right thing to do. we recognize there's going to have to be cuts made, but we have to do them with a scalpel, not a meat cleaver, and to have

someone to say, well, i didn't know it was in the bill -- eliminating programs for people who have challenges, emotional, mental, physical challenges -- i didn't know it was in the bill. there's that stuff in this bill, hr1. that's why it's going to be defeated here, and i say, mr. president, to my friends, the republicans, i can't imagine that you will all vote for this. we've got to move beyond partisan politics and do what is right, and i don't know how many, but not all republicans will vote for that, and i've been cascade in the press. let's have a vote on this. i'm willing to move to that. i couldn't do that, i had to file cloture on it to move to proceed to it. they won't even let me do that. when i get to it because we know how this -- i know the

procedures around here, and i can get to this bill, and i can do it next week, but i just talked about the tip of the iceberg with this mean-spirited hr1. federal chairman ben bernanke talked about the cuts that will cost a tremendous number of jobs. chief economist and chief economic adviser for john mccain said hr1 will cost the country 700,000 jobs. that cuts -- those cuts place far too heavy a burden on low income families, children, and seniors, and it asks of little sacrifices of those who rake in tax funded subsidies that they don't need. that's no way to recover. oil and gas subsidies, the former head of chevron oil said

we don't need them, we're doing fine. mr. president, i've been very helpful to my farm state senators. i've helped them work their way through droughts and floods, all kinds of things so i can understand how important agriculture is, but very, very few times in the history of our country has commodity prices been so high. it's been so high. don't you think they can take a little nick rather than take it away from head start programs like that? our plan, mr. mr. president, filed today by senator inohe. senator inohe is a great man, one of the most famous men in

the history of our country, been in congress for a long time, but we also remember that this man is a hero, not only on the battlefields of italy where he lost his arm and was badly injured as a result of his actions there, he received the congressional medal of honor, but he's a hero here in the legislative halls also. one of the leaders in the watergate hearings, and one of the many other things he's done to become a hero here in addition to the battlefield. it's hawaii amendment. -- it's his amendment. that's why democrats have a different plan, the senator inohe plan. it is supported by the president of the united states. we know we have to make cuts. i said that here this morning several times. we also know when we cut, we have to cut in a way that stlentens our -- strengthens our economy, and not

weaken it. we have to not get blinded by the quantity of the cuts. i've said before, we can lose a lot of weight, you, i, anybody in this room. cut off your arms and your legs. that accomplishes the purpose. you lost the weight, but no doctor would recommend it, and that's what they've done with hr1. no well-reasoned economist would recommend it. our plan cuts $51 billion from president obama's budget, but in a more responsible way. we are eliminating redundancies, cutting earmarks. mr. president, we agreed to cut funding for earmarks. i don't like that. i told the president of the united states i don't like it. i believe we are giving up too much power to the president in giving up those earmarks. we have obligations, but i agreed like all of us over here

to accept that. remember, mr. president, earmarks, when you have a budget of $10, and you have two-tenths of 1% of that going to congressional directed funding, it's still the same amount of money, it's just that the president didn't determine how the money was spent. congress has a say in it, but we've agreed. we agreed. we have earmarks in here, billions of dollars that are going towards cutting the deficit, and i've agreed to accept that. ending unnecessary bureaucratic programs, cutting funding as i mentioned. mr. president, i commend my friend, senator coburn. he had a paper showing redundancies. those are places to cut money, let's do it. we're not in competition with

germany on who can cut the most. we need to cooperate and figure out where we can cut the smartest. well, the house passed goals based on ideology, but ours is based on reality, not ideology, but reality. these are real decisions with real money affecting real lives. our budget affirms our determination that we also have to reflect our values, and we see our modestly recurring economy, today's news about employering hiring at the fastest rate in a year, and the gnarl unemployment -- national unemployment rate fell to a two year low. you can't squander that. there's positive news with counterproductive cuts. mr. president, i hope that when we have these votes next week,

hr1 will be, it'll be -- people will run from that, run from that. people will vote with that and afterwords trying to live down having voted for that stuff, but this is what each senator will vote for or against next week. these votes like all our votes are about choices, what i just outlined is what these choices represent, not to spoil the squires, but we all know how this vote will turn out. we know neither will reach the president's desk as written. republicans likely won't vote for ours. i hope they do. now, if it were a simple majority vote, we'd win that, but republicans have established a different standard, 60 votes, we accept that, so we'll end up back at square one without consensus, without a budget, and without assurance we can keep the country running. once the votes are behind us, i

hope each senator and member of congress will find renewed motivation to do what we needed to do since the beginning, to come together and negotiate in good faith, negotiate, working on con consensus, compromise, legislation in the art of compromise. legislation is not who can flex their muscles the biggest, the longest, and the hardest. legal conclusion is compromise, -- legislation is compromise working for the american people. it will come between our two positions perhaps and digging in one threatens our footing. one side stubbornly demands victory, everybody loses. that goes for both parties in both chambers. this negotiation will not happen in the media, and a solution is not found in unrealistic ideaism. it will happen when we have a conversation about what our country and constituents need.

that's the only worthy exercise. how we create a foundation for the future, how we articulate our priorities to our citizens and states across the country and to our allies # and adversaries across the country. it's not political. it's practice. there's no dispute on the 53 democrats. we are willing to cut. we cut $51 billion from our president's budget. as we talked about it, we're willing to do more, but we're not willing to do this with a meat ax. we want to do it the right way, take a scalpel and be careful we don't affect people's lives. we want, mr. president, when it's over, someone saying, well, i didn't know that was in the bill even though it affects that person personally as anything could be. when we talk about investing and

cutting, everybody is concerned. when we talk about how we can get there, here's the bottom line of the negotiation process. yes, we have to make tough choices, but that's what leadership is really all about, and it's true that no one here gets everything he or she wants. my friend, the presiding officer, was a long time attorney general of one of our -- i was going to say most famous state, but one of the original states, who was noted for his fairness, and if an attorney general or a lawyer is noted for fairness, that person is known to be willing to compromise. that's what it's all about. it's the same in the law as it is here in this united states senate. when we talk about how we can get there, bottom line is negotiation. we have to make tough choices, but that's, i repeat what

leadership is all about. today, mr. president, marks 150 years since abraham lincoln took his first oath of office as the president of this country whose very existence at the time was in question. like the incomplete nation you were just sworn to lead, this great capitol building was unfinished. as he addressed the nation for the first time as president, president lincoln stood on the east lawn the capitol under cranes that represented growth and uncertainty at the same time. 150 years later, the threats we face are nowhere near as dire as the civil war lincoln's america was about to endure. his words are useful to us to hear this afternoon for we are at a moment of payroll in our country. as longes -- lincoln closed that address 150 # years today, he reminded "that

we are not enemies but friends. passion may have strained it, it must not break our bonds of affection." that's the end of the quote. he called us to be the better angels the nation. those were his words. if we listen to his lesson in leadership in this moment in history, we'll secure a stronger future for this great nation we call america. >> the senate wrapped up legislative work for the week earlier today, but the chamber returns on monday to continue debate on a bill that changes procedures for issuing federal patents. that legislation also creates a formula for adding up damages in patent lawsuits. a vote to limit debate is scheduled for monday afternoon as well as votes on three judicial nominations. after completion of the patent bill sometime next week, the senate is then expected to take

test votes on two bills dealing with temporary 2011 federal spending. current funding for the government expires friday, march 18. follow the senate live on c-span you 2. c-

span video library. watch what you want, when you want. >> "washington journal" continues. host: we want to welcome back to c-span senator dick durbin, the said it.mocrat in the cen guest: it is shabby when you think we cannot reach an agreement. democrats, republicans, on how to fund government? we have big challenges ahead. we face a debt ceiling in a couple of months, literally whether or not because -- whether or not the united states of america will default for the first time in its history, which the -- which would be catastrophic for our country. we need to put together a five- year budget resolution that we think will move us toward a

approach that will reduce our deficit. if we cannot fund government for the rest of the year it does not speak well for our prospects. host: i want to guess to a procedural question neither side has enough to offset a filibuster. what will happen next week procedurally, and what happens beyond those votes? guest: we will demonstrate, what i think it's obvious, that hr1, which cuts $100 billion out of our budget this year is not realistic, goes too far, and cannot pass the senate. we then hope to propose a more honest and balanced approach, cutting up to $51 billion from president obama original -- president obama's original request.

host:. this week president obama -- earlier this week, senator john boehner spoke about this. >> pass in the short-term bill gives senate senate -- senate democrats two more weeks to either consider hr1, or all when their own plan for how we move ahead. americans have a right where the democrats plan to cut spending to fund the government for the rest of the fiscal year is. host: he has been quick to point to you and senator harry reid for that plan. guest: our plan is to do it in a sensible way, and not go too far.

i think the house picked a number. it originally said 60 billion, if you remember. a group in the republican caucus said let's up the ante. they went way too far. they made deep cuts to education, worker training, cuts in research and innovation, and the basic infrastructure of america. i pointed those out in my home state. those cuts would be devastating to medical research. our national laboratory at oregon. in out of every student's private college in what draw -- dry up because of the pell grant reduction. we said let's step back, and this in a measured, thoughtful way. let's bring the deficit down. i hope we follow the model of the deficit commission, which i served on with erskine bowles

and alan simpson, appointed by the president. that reduces the budget in a sensible way. host: that same deficit commission also look at entitlements -- medicare, medicaid, and social security -- president obama, so far has not address specifics on that item of the budget. why? guest: he has not because this matter is evolving in the national debate between congress and the white house. first, let me make a couple of things clear. the commission addressed social security. social sector does not add one pay toward deficit. -- social security does not add one penny toward our deficit is not the problem. they do have a problem by the year 2037 if we do not do something before then. we will see it 22% reduction in the social security checks that are going out. until then, it is solvent, and will continue to be. what i believe the commission

said and the american people will embrace is we have to look at the entire federal budget, from the mandatory entitlement programs, as to that tax expenditures, which means breaks in the tax code, reductions, and defense spending, and domestic spending. speaker john boehner and the house has said we do not want to talk about anything besides discretionary spending. everything has to be on the table. host: republicans have said that the debt and the deficit did go up when republicans had control of the house of representatives and when president bush was in the white house. now, we are at $1.50 trillion dollars. it is a huge increase with this president. guest: i have to challenge you on that. let's go back to when bill clinton left the white house. the national debt in his last

budget was $5 trillion. he said to the incoming president, george w. bush, i predict a $120 billion surplus. we have been running surpluses in the budget now. that is the economy he handed to george w. bush. fast forward eight years. now look at president george w. bush's last budget. the national debt was no longer $5 children in his last budget, it was $12 trillion. he said to president obama, welcome to washington, we are losing money, and the next deficit shows the to the next budget shows a deficit of $1.20 trillion. for republicans to say we should step back, and they will deal with that, it ignores history.

during the bush administration we fought two wars without paying for them, and he did something no president has done, cut taxes. it is counter-intuitive. to cut revenue during a war is something no president has done for obvious reasons. it drives you deeply into debt. host: why did you agree to continue the bush era tax cuts for the next two years? guest: we need to stimulate the economy. the earlier stimulus package which the president suggested and passed in congress, avoided what could of been a global depression and the united states economy could been in a much worse position than it is today. this time, we reached an agreement. let's use not spending stimulus, but tax stimulus to see if we can keep the economy moving forward.

there were parts i did not light reaching the ideas of tax breaks for the wealthy -- did not like. the ideas of tax breaks for the wealthy, i did not like. extending benefits for the people they need, and extending tax breaks for middle class families and working families, they were worth it. host: we have the newest jobs numbers. the unemployment rate is now down to 8.9%. guest: it is good to break the barrier of 9%. i do not think anyone is happy. i am not. we need to continue to make sure we do not spoil the recovery. it is very sensitive. if we want to cut the money for education of young people for the training of workers, for research and innovation so that companies can make new products and create new jobs, and we cut

the basic infrastructure, this fragile recovery could fall backwards. host: the unemployment rate was 9.8% in november. guest: which have come a long way, but i do not think anyone is satisfied. host: we will get to your calls per the numbers are on the bottom of the screen. you can also send us an e-mail or join the conversation online at twitter. you supported president obama. how often do you interact with them on a one-on-one level? guest: not frequently. i do not insert myself into his life. he is been kind enough to invite me over for lunch. i have sat with him in the oval office. we were colleagues in the senate, and close friends. i was the first senator to endorse him for president, and for 12 months, i was the only

senator to endorse him. i am very proud of that effort. i think the american people made the right choice. is it tough agenda, but we are moving in the right choice. host: is the job he expected it to be? guest: i did not know if the president expected to inherits an economy in this trouble. we are going through a transformation. sometimes, i think his critics do not give them credit with trying to deal with restructuring our economy. many of the unemployed in america will never return to a job like the one they left. we need to make sure we have the resources available to train them, educate them, and make sure they have the resources available. the alternative is we will fall behind. host: carroll joins us from north carolina. if good morning. caller: how are you on this

beautiful morning? guest: could not be better. caller: i feel i should not help bailout america, because i did not cause the problem. i never over-stepped my boundaries, and my personal opinion is a misuse start dragging out people like bernie madoff from wall street co. they are not going to make the money. there was a wall street article written in january 9, 2009, and what is called is bullish on jobs. if you type that in the computer, you have the charts that goes back to the full term presidents of the way back to 1945. it says that of the six democratic presidents, the democrats created 21 million more jobs than the republicans.

that is almost 1.2 million jobs per year more than republicans. host: will get a response. gerald, thank you. caller: the old same, if you want to live like a republican, both for a democrat. by and large, the economies have improved under a democratic president and there has been more business expansion. i mention of the clinton era. it has been one of the more positive in recent times. i want to address what he said about not making a sacrifice. we need to overcome that. i would say, and gerald, you might not be able to identify what this government has spent in that effort to help you, but a lot of it has had to do with the security of our nation and building infrastructure. we all consider to be the greatest nation on earth, and we

need to make certain that we right the ship, which means in dealing with the deficit in honest terms. the deficit report was a bipartisan effort to put everything on the table and deal with our issues. here is the thing that is not sustainable. for every dollar we spend, we borrow 40 cents. we bar would primarily from china and the opec nations. these are not the easiest creditors to have. if china decided they did not trust the dollar, we would be in deep trouble. they would demand higher interest rates. it would put our economy in peril and raise interest rates. we need to deal with this an honest terms. i said i was questioning of a lot of the republicans pointing fingers at democrats, but the fact is there is a lot of blame to go around. what we need to do now is say let's stop the finger-pointing, and talk about the future care

what will we do together. host: we are seen -- with what we are scene played out in wisconsin, tell us what you feel about the union protests? guest: i support the union movement. i think that collective bargaining led to my family receiving fair wages, a safe workplace, and had -- having an opportunity for a safer future. i think collective bargaining, and the union movement after world war two caution the greatest prosperity in the history of america. american workers continue to be the most productive in the world. the idea that we need to solve budget problems state-by-state by destroying the idea of collective bargaining i think is wrong. we respect so many people like the firefighters and teachers, and the fact it they want to

bargain and stand as one for dignity in the workplace is something we have enshrined in our culture. as the new republican governors in wisconsin, ohio, a challenge that, i think people will say even if i am not a right -- a member of a human, i have the rights to decide if i want to be. host: it is known as the gang of six that includes yourself, senator mark warner, kent conrad, sex be chambliss, -- saxby chambliss -- what is the agenda? guest: it is to reduce the deficit in the world, so that people will say that the united states