corporate criminals, raised homeownership to its highest level in history, and in the last year alone the united states has added 2.3 million new jobs. when action was needed, the ngreeled andhe nati delivered and the nation is grateful. now we must add to these achievements by making our economy more flexible, more competitive, we will keep america the economic leader of the world. america's prosperity requires restraining the spending an tied of the federal government. i welcome the bipartisan

enthusiasm for spending discipline. i will send we a budget that holds the growth of discretionary spending below inflation, makes tax relief permanent, and stays on track to cut the deficit in half by 2009. [applause] >> my budgets substantially reduces or eliminates more than 150 government programs that are not getting results or duplicate current efforts, or do not fulfill a central priority. the principle here is clear. taxpayer dollars must be spent wisely or not at all. [applause]

>> to make our economy stronger and more dynamic, we must prepare a rising generation to fill the jobs of the 21st 21st century. under the "no child left behind" act, standards are higher, test scores are on the rise and we're closing the achievement gap for minority students. now we must demand better results from our high schools so every high school diploma is a ticket to success. we'll help an additional 200,000 workers to get training for a better career. by reforming our job training system and strengthening america's community colleges, and we will make it easier for americans to afford a college education by increasing the size of pel grants. [applause]

to make our economy more stronger and more competitive, america must reward, not punish, the efforts and dreams of entrepreneurs. small business is the path of advancement, specially for women and minorities. so we must free small businesses from needless regulation and protect honest job creators from junk lawsuits. [applause] justice is distorted and our economy is held back by irresponsible class actions and frivolous asbestos claims, and i urge congress to pass legal reforms this year. [applause] to make our economy stronger and more productive, we must make

health care more affordable and give families greater access to good coverage and more control over their health decisions. [applause] i ask congress to move forward on a come preparessive healthcare agenda, with tax creditses to help low-income workers buy insurance, community health center in every poor county, improved information technology to prevent medical error and needless costs. association health plans for small businesses and their employees. [applause] expanded health savings accounts. [applause] and medical liable reform that

will reduce healthcare costs and make sure patients have the doctors and care they need. [applause] to keep our economy growing, we also need reliable supplies and affordable environmentally responsible energy. applause nearly four years ago i submitted a comprehensive energy strategy that encourages conservation, alternative sources, a modernized electricity grid, and more production here at home, including safe, clean, nuclear nrpg. -- nuclear energy. my clear skies legislation will

cut power plant pollution and improve the health of our citizens. [applause] and my budget provides strong funding for leading-edge technology, from hydrogen fueled cars to clean coal, and ethanol. [applause] four years of debate is enough. i urge congress to pass legislation that makes america more secure and less dependent on foreign energy. [applause] all these proposals are essential to expand that's

economy and add new jobs. but they're just the beginning of our duty, to build the prosperity of future generations we must update institutions that were created to meet the needs of an earlier time. year after year americans are burdened by on are kerrick and incoherent federal tax code. i have appointed a bipartisan panel to examine the tax code from top to bottom, and when the recommendations are delivered, you and i will work together to give this nation a tack code that is progrowth, easy to understand and fair to all. [applause] america's immigration system is also outdated. unsuited to the needs of an economy and the values of our country. we should not be cop tent with

laws that punish hard-working people who want only to provide for their families. and deny businesses willing workers and invite chaos out our border. it is time for an immigration policy that permits temporary guest workers to fill jobs americans will not take, that rejects amnesty, that tells who is entering and leaving the country, and closes the border to drug dealers and terrorists. [applause] one of america's most important institutions, a symbol of the trust between generations, is also in need of wise and effective reform. social security was great moral success of the 20th century. and we must honor its great

purposes in this new century. [applause] the system, however, on its current path, is headed toward bankruptcy, and so we must join together to strengthen and save social security. [applause] today more than 45 million americans receive social security benefits. and millions more are nearing retirement. and for them the system is sound and fiscally strong. i have a message for every american who is 55 or older. do not let anyone mislead you. for you the social security

system will not change in any way. [applause] for younger workers, the social security system has serious problems that will grow worse with time. social security was created decade ago, for a very different era. in those days, people tide not -- did not live as long. benefits were lower than they are today, and a half century ago, about 16 workers paid into the system for each person drawing benefits. our society has changed in ways the founders of social security could not have foreseen. in today's world, people are living longer and, therefore, drawing benefits longer. and those benefits are scheduled to rise dramatically over the

next few decades. [applause] >> instead of 16 workers paying in for every beneficiary, right now it's only about three workers. and over the next few decades the number will fall to just two workers per beneficiary. with each passing year, fewer workers are paying ever higher benefits to an ever larger number of retirees. so here is the result. 13 years from now, in 2018, social security will be paying out more than it takes in. and every year afterwards will bring a new shortfall, bigger than the year before. for example in the year 2027, the government will somehow have to come up with an extra $200 billion to keep the system afloat, and by 2033, the annual shortfall will be more than $300 billion.

by the year 2042, the entire system would be exhausted and bankrupt. if steps are not taken to avert that outcome, the only solutions would be dramatically higher taxes, massive new borrowing, or sudden and severe cuts in social security benefits or other government programs. i recognize that 2018 and 2042 may seem a long way off. but those days aren't so distant as any parent will tell you. you have a five-year-old, you're already concerned about how you'll pay for college tuition 13 years down the road. if you have children in their 20s, the idea of social security collapsing before they retire does not seem like a small matter. and it should not be a small matter to the united states congress. [applause]

you and i share a responsibility. we must pass reforms that solve the financial problems of social security once and for all. fixing social security permanently will require an open, candid review of the options. some have suggested limiting benefits for wealthy retirees. former congressman tim penny raised the possibility of indexing benefits to prices rather than wages. during the 1990s, my pred desare so, president clinton, spoke of increasing the retirement age. former senator john bow suggested discouraging early

collection of social security benefits. daniel patrick moynihan recommended changing the way benefits are calculated. all these ideas are on the table. i know that none of these reforms would be easy. but we have to move ahead with courage and honesty. because our children's retirement security is more important than partisan politics. [applause] >> i'll work with members of congress to fine the most effective combination of reforms. i will listen to anyone who has a good idea to offer. [applause] >> we must, hough, be guided by some basic principles. we must make social security permanently sound, not leave

that task for another day. we must not jeopardize or economic strength by increasing payroll taxes. we must assure that lower income americans get the help they need to have dignity and peace of mind in their retirement. we must guarantee there is no change for those now retired or nearing retirement. and we must take care that any changes in the system are gradual, so younger workers have years to prepare and plan for their future. as we fix social security, we also have the responsibility to make the system a better deal for younger workers. and the best way to reach that goal is through voluntary personality retirement accounts. [applause]

here's how the idea works. right now a set portion of the money you earn is taken out of your paycheck to pay for the social security benefits of today's retirees. if you're a younger worker, i believe you should be able to set aside part of that money in your own retirement account, so you can build a nest egg for your own future. here's why the personal accounts are a better deal. your money will grow over time at a greater rate than anything that the current system can deliver. and your account will provide money for retirement over and above the check you will receive from social security. in addition you'll be able to pass along the money that accumulates in your personal account, if you wish, to your children or grandchildren, and best of all, the money in the account is yours and the government can never take it away. [applause]

>> the goal here is greater security and retirement. so we will set careful guidelines for personal accounts. we'll make sure the money can only go into a consecutive mix of bonds and stock funds. we'll make sure your acres are not eaten up by hidden wall street fees. we'll make sure there are good options to protect your investments from sudden market swings on the eve of your retirement. we'll make sure a personal account cannot be emptied all at once but rather paid out over time as an addition to traditional social security benefits. and we'll make sure this plan is fiscally responsible by starting personal accounts gradually and raising the yearly limits on contributions over time, eventually permitting all

workers to set aside 4% of their payroll texases in their accounts. permanent retirement accounts should be familiar to federal employees because you already have something similar called the this savings plan, which lets workers deposit a portion of their paychecks into any of five different broadly based investment funds. it's time to extend the same security and choice and ownership to young americans. [applause] our second great responsibility to our children and grandchildren is to honor and to pass along the values that sustain a free society. so many of my generation, after a long journey, have come home

to family and faith, and are determined to bring up responsible, moral children. government is not the source of these values, but government should never undermine them. because marriage is a sacred institution and the foundation of society, it should not be redefined by activist judges. for the good of families, children and society, i support a constitutional amendment to protect the institution of marriage. [applause] >> because a society is measured how it treats the weak and vulnerable, we must drive to build a culture of life. medical research can help us reach that goal by developing treatments and cures that save lives and help people overcome

disabilities, and i thank the congress for doubling the funding of the national institutes of health. to build a culture of life we must also ensure that scientific advances always serve human dignity, not take advantage of some lives for the benefit of others. we should also be able to agree -- we should a all be able to agree on some clear standards. i will work with congress to ensure that human embryos are not created for experimentation or grown for body parts, and that human life is never bought or sold as a commodity. [applause]

america will continue to lead the world in medical research that is ambitious, aggressive, and always ethical. because courts must always deliver impartial justice, judges have a duty to faithfully interpret the law, not legislate from the bench. [applause] as president, i have a constitutional responsibility to nominate men and women who understand the role of courts in our democracy and are well qualified to serve on the bench, and i have done so. [applause] >> the constitution also gives the senate a responsibility. every judicial nominee deserves an up or down vote. [applause]

[applause] because one of the deepest values of our country is camp compassion, we must never turn away from any citizen who feels -- our government will continue to support faith-based and community group that bring hope to harsh places. now we need to focus on giving young people, especially young men in our cities, better options than apathy or backs or jail. tonight i propose a three-year initiative to help organizations keep young people out of gangs, and show young men an ideal of manhood that respects women and rejects violence. [applause]

>> taking on gang life will be one part of a broader outreach to at-risk youth, which involves parents and pastors, coaches and community leaders, in programs ranging from literacy to sports, and i'm proud that the leader of this nationwide effort will be our first lady, laura bush. [applause] [applause] because h.i.v. aids brings suffering and fear into so many lies i ask you to reauthorize

the ryan white act, to encourage prevention and provide care and treatment to the victims of that disease. [applause] and as we update this important law, we must focus our efforts on fellow citizens with the highest rates of new cases. african-american men and women. [applause] because one of the main soreses of our national unity is our belief in equal justice, we need to make sure americans of all races and backgrounds have confidence in the system that provides justice. in america we must make doubly

should no person is held to account for a crime he or she did not commit, so we're dramatically expanding the use of dna evidence to prevent wrongful conviction. [applause] soon i will send to congress a funding of cap calwayss because people on trial for their lives must competent lawyers by their sides. [applause] our third responsibility to future generations is to leave them an america that is safe from danger and protected by peace. we will pass along to our children all the freedoms we enjoy, and chief among them is

freedom from fear. in the three and a half years since september the 11th, 2001, we've taken unprecedented actions to protect americans. we've created a new department of government to protect our homeland, focus the fbi on preventing terrorism, begun to reform our intelligence agencies, broken up terror cells across the country, expanded research on defenses against biological and chemical attack, improved border security, and trained more than a half million first responders. police and firefighters, air marshals, researchers, and so many others are working every day to make our homeland safer, and we thank them all. [applause]

our nation, working with allies and friends, has also confronted the enemy abroad, with measures that are determined, successful, and continuing. the al qaeda terror network that attacked our country still has leaders, but many of its top commanders have been removed. there are still governments that sponsor and harbor terrorists, but their number has declined. there are still regimes seeking weapons of mass destruction, but no longer without attention and without consequence. our country is still the target of terrorists who want to kill many, and intimidate us all, and we will stay on the offensive against them until the fight is won. [applause]

[applause] pursuing our comments is a vital commitment of the war on terror, and i thank the congress for providing our servicemen and women with resourcees. during this time of war we must continue to support our military and give them the tools for victory. [applause] other nations around the globe have stood with us. in afghanistan, an international

forcees helping provide security. in iraq, 28 countries have troops on the ground. the united nations and european union provide technical assistance for the elections, and nato is leading a mission to help train iraqi officers. we're cooperating with # 0 governments in the proliferation security initiative to detect and stop the transit of dangerous materials. we're working closely with the governments in asia to convince north korea to abandon nuclear amibitions. pakistan, saudi arabia and nine other countries have captured or detained al qaeda terrorist inch the next four years my administration will continue to build the coalitions that we deal feet the dangers of our time. [applause] ...

the economy. we will see the centers lie not in the chamber. they will walk across the capitol, through the sanctuary call and then take you to the house for the president's speech

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[inaudible conversations] cenaudible conversations]e presi the senate will proceed to the hall to hear a message from the president of the united states of america.

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[inaudible conversations] [inaudible conversations] will c the joint session will come to order. the joint session will come to order. come the joint session will come to

order. the chair appoints as members of the committee on the house the president of thee united statee into the chamber.leman from lee gentleman from virginia . kantor. xas,gentleman from california, mr. mccarthy, the gentleman from texas mr. hensarling the gentleman mr. sessions, the gentleman from georgia, mr. price. the gentleman from washington i mcmorris rogers the gentleman from texas mr. carter the gentleman from california was mr.si, from maryland mr. hoyer hoyer. the gentleman from connecticut, mr. larson. the gentleman from south carolina, mr. clyburn. the gentleman from new york, mr. israel. the gentlewoman from ohio, ms. sutton. the vice president: the president of the senate at the direction of that body appoints the following senators as ems of the committee on the part of the senate to escort the president of the united states. the senator from nevada, mr.

reid, senator from illinois, mr. durbin. senator from new york, mr. schumer. senator from new york, mrs. murray. the senator from alaska, mr. bag itch. senator from kentucky, mr. mcconnell. senator from tennessee, mr. alexander, senator from wyoming, mr. thune. senator from texas, mr. cornyn and senator from missouri, mr. blunt. the speaker: members of the escort committee will exit the chamber through the lobby doors.

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>> mr. speaker. the dean of the diplomatic corps. [applause] [inaudible conversations] s. [inaudible conversations] [inaudible conversations]

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thank you. members of congress, i have the high privilege and the distinct honor of presenting to you the president of the united states. [applause] >> thank you. thank you. thank you. thank you. thank you so much. thank you very much. thank you. please be seated. mr. speaker. mr. vice president. members of congress. distinguished guests, and fellow americans. last month i went to andrews air force base and welcomed home some of our last troops to serve

in iraq. together we offered a final proud salute to the colors under which more than a million of our fellow citizens fought. and several thousands gave thundershower lives. we gather tonight knowing that this generation of heroes has made the united states safer and more respected around the world. [applause] [applause] for the first time in nine years, there are no americans fighting in iraq. [applause] for the first time in two

decades, osama bin laden is not a threat to this country. [cheers and applause] most of al qaeda's top lieutenants have been defeated. the taliban's momentum has been broken. and some troops in afghanistan have begun to come home. these achievements are a testament to the courage, selflessness, and teamwork of america's armed forces. at a time when too many of our institutions have let us down, they exceed all expectations. they're not consumed with permanent amibition. they don't obsess over their differences.

they focus on the mission at hand. they work together. imagine what we could accomplish if we followed their example. [applause] think about the america within our reach. a country that leads the world in educating its people. an america that attracts a new generation of high-tech manufacturing and high-paying jobs. a future where we're in control of our own energy. and our security and prosperity aren't tied to unstable parts of the world. an economy built to last. where hard work pays off and responsibility is rewarded. we can do this. i know we can because we've done it before.

tend of world war ii, when another generation of heroes return home from combat, the built the strongest economy and middle class the world has ever known. [applause] my grandfather, a veteran of patton's army, got a chance to go to college on the g.i. bill. my grandmother, who worked on a bomber assembly line, was part of a work force that turned out the best products on earth. the two of them shared the optimism of a mission that had triumphed over a depression, and fascism, they understood they were part of something larger. they were contribute egg to a story of success that everything american had a chance to share. the basic american promise that if you worked hard, you could do bell enough to raise a family,

own a home, send your kids to college, and put a little away for retirement. the defining issue of our time is how to keep that promise alive. no challenge is more urgent. no debate is more important. we can either fill up our country where a shrinking of people do well and a growing number barely get by. or we can restore an economic where everyone gets a fair shot and everyone does their fair share and everyone plays by the same set of rules. [applause] what's at stake aren't democratic values or republican

values. but american values. we have to reclaim them. let's remember how we got here. long before the recession. jobs and manufacturing began leaving our shores. technology made businesses more efficient but also made some jobs obsolete. folks at the top saw their incomes rise like never before. but most hard-working americans struggled with costs that were growing, paychecks that weren't, and personal debt kept piling up. in 2008, the house of card collapsed. mortgages were sold to people who couldn't afford or understand them. banks had made huge bets and bonuses with other people's money. regulators looked the other way. or didn't have the authority to stop the bad behavior.

it was wrong. it was irresponsible. and it plunged our economy into a crisis that put millions out of work, saddled us with more debt and left innocent, hard-working americans holing the bag. in the six months before i took office we lost nearly four million jobs, and we lost another four million before our policies were in full effect. those are the facts. but so are these. in the last 22 months, businesses have created more than three million jobs. [applause] last year, they created the most jobs since 2005.

american manufacturers are hiring again, creating jobs for the first time since the late 1990s. together we have agreed to cut the deficit on more than $2 trillion. and we put in place new rules to hold wall street accountable so a crisis like this never happens again. [applause] the state of our union is getting stronger. we have come too far to turn back now. as long as i'm president, i will work with anyone in this chamber to build on this momentum. but i intend to fight obstruction with action, and i will oppose any effort to return to the very same policies that brought on this economic crisis in the first place. [cheers and applause]

no, we will not go back to an economy weakened by outsourcing, bad debt, and phony financial promises. tonight i want to speak about how we will move forward and lay out a blueprint for the economy, an economy built on american manufacturing, american energy, skills for american workers, and a re newell -- renewal of american values. this blueprint begins perspective american moving. on the day i took office, our auto industry was on the verge of collapse. some even said we should let it die. but the million jobs at stake refused to let that happen.

in exchange for help we demanded responsibility. we got workers and automakers to settle their differences. we got the industry to retool and restructure. today general motors is back on top as the world's number one automaker. [applause] chrysler has grown fastener the u.s. than any major car company. ford is investing billions in u.s. plants and factories, and together the entire industry add nearly 160,000 jobs. we bet on american workers. we bet on american ingenuity, and tonight the american auto industry is back. [applause]

what is happening in detroit can happen in other industries. it can happen in cleveland and pittsburgh and raleigh. we can't bring every job back that's left our shores. but right now it's getting more expensive to do business in places like china. meanwhile, america is more productive. a few weeks ago, the ceo of master lock, told me it now makes business sense for him to bring jobs back home. [applause] today, for the first time in 15 years, master lock's unionized plant in milwaukee is running at full capacity. [applause]

so, we have a huge opportunity at this moment to bring manufacturing back. but we have to seize it. tonight my message to business leaders is simple. ask yourselves what you can do to bring jobs back to your country and your country will do everything we can to help you succeed. [applause] we will start with our tax code. right now, companies get tax breaks for moving jobs and profit overseas. meanwhile, companies that choose to stay in america get hit with one of the highest tax rates in the world. it makes no sense. and everyone knows it. so let's change it. first, if you're a business that wants to outsource jobs, you shouldn't get a tax deduction

for doing it. [applause] that money should be used to cover moving expenses for companies like master lock that decide to bring jobs home. second, no american company should be able to avoid paying its fair share of taxes by moving jobs and profits overseas. [applause] from frow on, every multinational company should have to pay a basic minimum tax, and every penny should go towards lowering taxes for companies who choose to stay here and hire here in america. [applause]

third, if you're an american manufacturer, you should get a bigger tax cut if you're a high-tech manufacturer, we should double the taxes cuts you get for making your products here. if you want to relocate in a community that was hit hard when a factory left town, you should get help financing a new plant, equipment, or train are for new workers. so my message -- [applause] -- my message is simple. it is time to stop rewarding businesses that ship jobs overseas and start rewarding companies that create jobs right here in america. send me these tax reforms and i will sign them right away. [applause] we're also making it easier for american businesses to sell products all over the world. two years ago i asset goal of

doubling u.s. exports over five years. with the bipartisan trade agreement we signed into law, we're on track to meet that goal ahead of schedule. [applause] soon there will be millions of new customers to american goods in panama, chroma, and south korea. soon there will be now new cars on the streets of seoul imported from detroit and toledo and chicago. [applause] >> i will go anywhere in the world to open new markets for american products. and i will not stand by when our competitors don't play by the rules. we've brought trade cases against china at nearly twice the rate as the last administration, and it's made a difference. [applause] over a thousand americans are

working today because we stopped the surge in chinese tires. but we need to do more. it's not right when another country lets our movies, music, and software be pirated. it's not fair when foreign manufacturers have a leg up on ours, only because they're heavily subsidized. tonight i'm announcing the creation of a trend forcement unit that will be charged with investigating unfair trading practices in countries like china. there will be more inspections -- [applause] -- there will be more inspections to prevent counterfeit or unsave goods from cross our borders and this congress should make sure that no foreign country has an advantage over american manufacturing when it comes to accessing financing or new markets like russia. our workers are the most productive on earth, and if the playing field is level, i promise you america will always win. [applause]

i also hear from many business leaders who want to hire in the united states but can't find workers with the right skills. growing industries in science and technology have twice as many openings as we have workers who can do the job. think about that. openings at a time when millions are americans are looking for work. it's inexcusable, and we know how to fix it. jackie bray is a single mom from north carolina who was laid off from her job as a maybe can neck, then siemens opened a gas turbine factory in charlotte and form a partnership with central piedmont college. they designed courses in layser

and robotics training,ed pate jackie's tuition and then helped hire her to help operate the plant. i want every american looking for work to have the same opportunity as jackie did. join me in a national commitment to train two million americans with skills that will lead directly to a job. [applause] my administration has already lined up more companies that want to help. model partnerships between businesses like siemens and community colleges in places like charlotte and orlando and louisvilleville are up and running. now you need to give more community colleges the resources they need to become community career centers. places that teach people skills that businesses are looking for right now.

from data management to high-tech manufacturing. and i want to cut through the faze of confusing training programs so now on people like jackie have one program, one web site, and one place to go for all the information and help they need. it's time to turn our unemployment system into a re-employment system that puts people to work. [applause] these reforms will help people get jobs that are open today. but to prepare for the jobs of tomorrow, our commitment to skills and education has to start earlier. for less than 1% of what our nation spends on education each year, we have convinced nearly every state in the country to raise their standards for

teaching and learning. the first time that's happened in a generation. but challenges remain and we know how to solve them. at a time when other countries are doubling down on education, tight budgets forced states to lay off thousands of teachers. we know a good teacher can increase the lifetime income of a classroom by over $250,000. a great teacher can offer an escape from poverty to the child who dreams beyond his circumstance. every person in this chamber can point to a teacher who changed the trajectory of their life. most teachers work tirelessly with modest pay. sometimes digging into their own pockets for school supplies. just to make a difference. teachers matter. so instead of bashing them, or

defending the status question. let's offer schools a development give them the resources to keep good teachers on the job and reward the best ones. and in return -- [applause] -- grant schools flexibility to teach with creativity and passion. to stop teaching to the test, and to replace teacher who just aren't helping kid learn. that's a bargain worth making. [applause] we also know that when students don't walk away from their education, more of them walk the stage to get their diploma. when students are not aloud to drop out, they do better, so tonight i am proposing that every state, every state,

requires that all students stay in high school until they graduate or turn 18. [applause] when kids graduate, the most daunting challenge can be the cost of college. at a time when americans owe more in tuition debt than credit card debt, this congress needs to stop the interest rates on student loans from doubling in july. [applause] extend the tuition tax credit we started that saves millions of middle class families thousands of dollars, and gives more young people the chance to earn their

way through knowledge by doubling the number of work study jobs in the next five years. [applause] of course, it's not enough for us to increase student aid. we can't just keep subsidizing skyrocketing tuition. we'll run out of money. states also need to do their part by making higher education a higher priority in their budget. and colleges and universities have to do their part by working to keep costs down. recently i spoke with a group of college presidents who have done just that. some schools redesign courses to help students finish more quickly. some used better technology. the point is it's possible. so let me put colleges and universities on notice, if you can't stop tuition from going up, the funding you get from taxpayers will go down.

higher education can't be a luxury. it is an economic imperative that every family in america should be able to afford. let's also remember that hundreds of thousands of talented, hard-working students in this country, face another challenge. the fact that they aren't yet american citizens. many were brought here as small children. are american through and through. yet they live every day with the threat of deportation. others came more recently to study business and science and engineering. but as soon as they get their degree, we send them home to invent new products and create new jobs somewhere else. that doesn't make sense. i believe as strongly as ever we should take on illegal immigration. that's why my administration has put more boots on the border than ever before. that's why there are fewer illegal crossings than when i

took office. the opponents of action are out of excuses. we should be working on comprehensive immigration reform right now. [applause] but if election year politics keeps congress from acting on a comprehensive plan, let's at least agree to stop repelling responsible young people who want to start new businesses, defend this country. send me a law that gives them the chance to earn their citizenship. i will sign it right away. [applause]

you see, an economy built to last is one where we encourage the talent and ingenuity of every person in this country. that means women should earn equal pay for equal work. [applause] it means we should support everyone who is willing to work. and every risk-taker and entrepreneur who aspires to become the next steve jobs. after all, innovation is what america has always been about. most new jobs are created in startups and small businesses. so let's pass an agenda that helps them succeed. tear down regulations that prevent aspiring entrepreneurs from getting the financing to

grow. expand tax relief to small businesses that are raising wages and creating good jobs. both party as i agree on these ideas. so put them in a bill and get it on my desk this year. [applause] >> innovation also demands basic research. today the discoveries taking place in our federally financed labs and universities could lead too new treatment that kill cancer cells and leave healthy ones untouched. light weight vests for cops and soldiers that can stop any bullet. don't gut these investments in our budget. don't let other countries win the race for the future. support the same kind of research and innovation that led to the computer chip and the internet, to new american jobs and new american industries. and nowhere is the promise of

innovation greater than in american-made energy. over the last three years, we have opened millions of new acres for oil and gas exploration, and tonight i'm directing my administration to open more than 75% of our potential offshore oil and gas resources. [applause] right now, right now, american oil production is the highest that it's been in eight years. that's right. eight years. not only that, last year we relied less on foreign oil than in any of the past 16 years. [applause] but with only 2% of the world's oil reserves, oil isn't enough.

this country needs an all-out, all of the above strategy, that develops every available source of american energy. [cheers and applause] a strategy that is cleaner, cheaper, and full of new jobs. we have a supply of natural gas that can last america nearly 100 years. [applause] and my administration will take every possible action to safely develop this energy. experts believe this will support more than 600,000 jobs by the end of the decade, and i'm requiring all companies that drill for gas on public lands to disclose the chemicals they use, because america will develop this resource without putting the health and safety of our

citizens at risk. the development of natural gas will create jobs and power trucks and factories that are cleaner and cheaper, proving that we don't have to choose between our environment and our economy. and by the way, it was public research dollars over the course of 30 years that helped develop the technologies to express all this natural gas out of shale rock. reminding us that government support is critical in helping businesses get new energy ideas off the ground. now -- [applause] what is true for natural gas is just as true for clean energy. in three years our partnership with the private sector has positioned america to be the world's leading manufacturer of high-tech batteries because of federal investment, renew knuble

energy use has nearly doubled, and thousands of americans have jobs because of it. when bryan ritterby was laid off from his job making furniture, he said he worried at 55 no one would give him a second chance. but he found work at energetics, wind tour bind manufacturer in michigan. before the recession the factory made luxury yachts. today it's hiring workers like bryan who said i'm proud to be working in the industry of the future. our experience with shale gas and natural gas, shows us that the payoff from this public investments don't always come right away. some technologies don't pan out. some companies fail. but i will not walk away from the promise of clean energy. applause --

[applause] i will not walk away from workers like bryan. i will not cede the wind or solar or battery industry to china or germany because we refuse to make the same commitment here. we have subsidized oil companies for a century. that's long enough. it's find to end the giveaways to an industry that rarely has been more profitable and double down on a clean energy industry that never has been more promising. pass clean energy tax credits, create these jobs. [applause] we can also spur energy innovation with new incentives. the differences in this chamber may be too deep right now to pass a comprehensive plan to

fight climate change. but there's no reason why congress shouldn't at least set a clean energy standard that creates a market for innovation. so far you haven't acted. well, tonight i will. i'm directing my administration to allow the development of clean energy on enough public land to power three million homes, and i'm proud to announce that the department of defense, working with us, the world's largest consumer of energy, will make one of the largest commitments to clean energy in history with the navy purchasing enough capacity to power a quarter million homes a year. [applause] of course, the easiest way to save money is to waste less

energy. so here's a proposal. help manufacturers eliminate energy waste in their factories and give businesses incentives to upgrade their buildings. their energy bills will be $100 billion lower over the next decade, and america will have less pollution, more manufacturing, more jobs for construction workers who need them. send me a bill that creates these jobs. [applause] building this new energy future should be just one part of a broader agenda to repair america's infrastructure. so much of america needs to be rebuilt. we've got crumbling roads and bridges, a power grid that wastes too much energy. an incomplete high-speed broadband network that recents a small business owner in rural america from selling her

products all over the world. during the great depression, america built the hoover dam. and the golden gate bridge. after world war ii we connected our states with a system of highways. democratic and republican administrations invested in great projected that benefited everybody, from the workers who built them to the businesses that still use them today. in the next few weeks i will sign an executive order clearing away the red tape that slows down too many construction projects. but you need to fund these projects. take the money we're no longer spending at war, use half of it to pay down our debt and use the rest to do some nation-building right here at home. [cheers and applause]

there's never been a better time to build. especially since the construction industry was one of the hardest hit when the housing bubble burst. of course, construction workers weren't the only ones who were hurt. so were millions of innocent americans who have seen their home values decline, and while government can't fix the problem on its own, responsible homeowners shouldn't have to sit and wait for the housing market to hit bottom to get some relief. and that's why i'm sending this congress a plan that gives every responsible home owner the chance to save about $3,000 a year on their mortgage by refinancing at historically low rates. no more red tape. no more run around from the bank. a small fee on the larger financial institutions will ensure that it won't add the deficit and will give those

banks that were rescued by taxpayers a chance to repay a deficit of trust. [applause] let's never forget, millions of americans who work hard and played by the rules every day deserve a government and a financial system that does the same. it's time to apply the same rules from top to bottom. no bailouts no handouts, and no copouts. an america built to last insists on responsibility from for ody. lenders who sold mortgages to people who couldn't afford them. and buyers who knew they couldn't afford them. that's why we need smart regulations to prevent irresponsible behavior.

rules to prevent financial fraud rules to prevent toxic dumping or faulty medical devices. these don't destroy the free market. they make the free market better. there's no question that some regulations are outdated, unnecessary or too costly. in fact i approved fewer regulations in the first three years of my presidency than my republican predecessor did in his. i've record -- ordered every federal agency to eliminate rules that don't make sense. a fraction of the reforms will save business tens of millions of dollars. we got rid of one rule from 40 years ago that could have forced dairy farmers to spend $10,000 a

year proofing they could contain a spill because milk was classifieds as an oil. with a rule like that it was worth crying over spilled milk. [laughter] [applause] well, i'm confident a farmer can contain a milk spill without a federal agency looking over his shoulder. [applause] absolutely. but i will not back down from making sure an oil company can contain the kind of oil spill we saw in the gulf two years ago. [applause]

i will not back down from protecting our kids from mercury poisoning, for making sure our food is safe and our water is clean. i will not go back to the days when health insurance companies had unchecked power to cancel your policy, deny your coverage, or charge women differently than men. [applause] and i will not go back to the days when wall street was allowed to play by its own set of rules. the new rules we pass restore what should be any financial system's core purpose. getting funding to entrepreneurs with the best ideas and getting loans to responsible families who want to buy a home or start a business or send their kids to college. so, if you are a big bank or

financial institution, you're no longer allowed to make risky bets with your customers' deposit. you're required to write out a living will that details exactly how you pay the bills if you fail because the rest of us are not bailing you out ever again. [applause] if you're a mortgage lender, or a payday lender or credit card company, the days of signing people up for products they can't fortunate with confusing forms and deceptive practices, the days are over. today american consumers have a watch dog in richard core cordray to watch out for them.

>> we'll also establish a financial crimes unit of highly trained investigators to crack down on large-scale fraud and protect people's investments. some financial firms violate major antifraud clause because there's no penalty for bag repeat offender. that's bad for consumers and it's bad for the vast majority of bankers and financial service professionals who do the right think so. pass legislation that makes the penalties for fraud count. and tonight i'm asking my attorney general to create a special unit, of federal prosecutors and leading state attorneys general to expand our investigations into the abuse of lending and packaging of risky mortgages that led to the housing crisis. this new unit will hold accountable those who broke the law, speed assistance to home owners, and help turn the page on an era of recklessness that hurt so many americans. return to the american values of

fair play and shared responsibility will help protect our people and our economy. this should also guide us as we look to pay down our debt and invest in our future. right now, our most immediate priority is stopping a tax hike on 160 million working americans while the recovery is still fragile. [applause] people cannot afford losing $40 out of each paycheck this year. there are plenty of ways to get this done. so let's agree right here, right now, no side issues, no drama, pass the payroll tax cut without delay. [applause] let's get it done. [applause]

when it comes to the deficit, we have already agreed it's been more than $2 trillion in cuts and savings. but we need to do more. and that means making choices. right now we're poised to spend nearly $1 trillion more on what was supposed to be a temporary tax break for the wealthiest 2% of americans. right now, because of loopholes and shelters in the tax code, a quarter of all millionaires play lower tax rates than millions of middle class households. right now warren buffet pays a lower tax rate than his secretary. do we want to keep these tax cuts for the wealthiest americans or do we want to keep our investments in everything else? like education.

and medical research. a strong military. and care for our veterans. because if we're serious about paying down our debt, we can't do both. the american people know what the right choice is. so do i. i called the speaker this summer, i'm prepared to make more reforms that reign in the long-term costs of medicare and medicaid and strengthen social security so long as those programs remain as a guarantee of security for seniors. but in return, we need to change our tax code so people like me, and an awful lot of members of congress, pay our fair share of taxes. [applause]

tax reform should follow the buffet rule. if you make more than a million dollars a year, you should not pay less than 30% in taxes. and my republican friend tom coburn is right. stop subsidizing millionaires, and if you're earning more than a million dollars a you use shouldn't bet special tax deductions. if you make under $250,000 a year, like 98% of american families, your taxes shouldn't go up. you're the ones struggling. with rising costs and staggering wages. you're the ones who need relief. now, you can call this class warfare all you want. but asking a billionaire to pay at least as much as a secretary in taxes? most americans would call that common sense.

we don't begrudge financial success in this country. we admire it. when americans talk about folks like me paying my fair share of taxes it's not because they envy the rich. it's because they understand that when i get a tax break, i don't need, and the country can't afford, it either adds to the deficit or somebody else has to make up the difference. like a senior on a fixed income. or a student trying to get through school. or a family trying to make ends meet. that's not right. americans know that's not right. they know that this generation's success is only possible because past generations felt a responsibility to each other. and to the future of their country. and they know our way of life will only endure if we feel that same sense of shared responsibility.

that's how we'll reduce our deficit. that's an america built to last. [applause] now, i recognize that people watching tonight have differing views about taxes and debts, energy, health care. but no matter what party they belong to, i bet most americans are thinking the same thing right about now. nothing will get done in washington this year. or next year. or maybe even the year after that. because washington is broken. do you blame them for feeling a little cynical? the greatest blow to our confidence in our economy last year didn't come from events beyond our control.

it came from a debate in washington over whether the united states would pay its bills or not. who benefited from that fiasco? i talked tonight about the deficit of trust between main treat and wall street, but the divide between this city and the rest of the country is at least as bad, and it seems to get worse every year. some of this has to do with the crowsive influence of money in politics. so together let's take some steps to fix that. send me a bill that bans insider trading by members of congress, i'll sign it tomorrow. [cheers and applause] let's limit any elected official from owning stocks in industries they impact. let's make sure people who

bundle campaign contributions for congress can't lobby congress, and vice versa. an idea that has bipartisan support, at least outside of washington. some of what's broken has to do with the way congress does its business these days. a simple majority is no longer enough to get anything, even routine business, peace through the senate. -- passed through the senate. neither party has been blameless in these tactics. now both parties should put an end to it. for starters, i ask the senate to pass a simple rule, that all judicial and public service nominations receive a simple up

or down vote within 90 days. [applause] the executive branch also needs to change. too often it's inefficient, outdated and remote. [applause] that's why i've asked this congress to grant me the authority to consolidate the federal bureaucracy, that our government is leaner, quicker, and more responsive to the needs of the american people. [applause] finally, none of this can happen unless we also lower the temperature in this town. we need to end the notion that the two parties must be locked in a perpetual campaign of mutual destruction. that politics is about clinging to rigged -- rigid ideology

instead of building consensus around common sense ideas. i'm a democrat but i believe what abraham lincoln believed. the government should do for people only what they cannot do better by themselves and no more. [applause] that's why my education reform offers more competition and more control for schools and states. that's why we're getting rid of regulations that don't work and why our, he, he relies on a reform of private market, not a government practice on the other hand, even my republican friends who complain the most about government spending, have supported federally financed roads and clean energy projects

and federal offices for the folks back home. the point is, we should all want a smarter, more effective government. and while we may not be able to bridge our biggest philosophical differences this year, we can make real progress. with or without this congress i will keep taking action to help the economy grow, and i can do a whole lot more with your help. because when we act together, there's nothing the united states of america can't achieve. [applause] that's the lesson we have learned from our actions abroad over the last few years.

ending the iraq war allowed is to strike decisive blows against our enemies. from pakistan to yemen, the al qaeda operative who remain are scrambling, knowing they can't escape the reach of the united states of america. from this position of strength, we have begun to wind down the war in afghanistan. 10,000 of our troops have come home. 23,000 more will leave by the end of this summer. this transition to afghan lead will continue, and we will build an enduring partnership with afghanistan so it is never again a sores -- source of attack against america. [applause] as the tide of war recedes, with a of change has washed across the middle east.

a year ago, gadhafi was one of the worldest longest serving dictators, a murder with american blood on his hand. today he is gone. and in syria, i have no doubt that the assad regime will soon discover that the force of change cannot be reversed and human dignity cannot be denied. [applause] how this incredible transformation will end remains uncertain. but we have a huge stake in the outcome. and while it's ultimately up to the people of the region to decide their fate, we will advocate for those values that have served our own country so well.

we will stand against violence and intimidation. we will stand for the rights and dignity of all human beings, men and women, christians, muslims, and jews. we will support policies that lead to strong and stable democracies and open markets because tyranny is no match for liberty. and we will safeguard america's own security. look at iran. through the power of our diplomacy, world that was once divided about how to deal with iran's nuclear program, now stands as one. the regime is more isolated than ever before. its leaders are faced with crippling sanctions, and as long as they shirk their responsibilities this pressure will not relent. let there be no doubt, america is determined to prevent iran from getting a nuclear weapon and i will take no options off

the table to achieve that goal. [applause] but a peaceful resolution of this issue is still possible. and far better. and if iran changes course and meets its obligations, it can rejoin the community of nationses. the renewal of american leadership can be felt across the globe. our oldest alliances in europe and asia are stronger than ever. our ties to the americas are deeper. our iron clad commitment to israel's security has meant the closest military cooperation between our two countries in history. [applause]

we made it clear that america is a pacific power and a new beginning in burma has lit a new hope. from the coalitions we built to secure nuclear material to the missions we led against hunger and disease, from blows we dealt our enemies, to the enduring power of our moral example. america is back. anyone who tells you otherwise, anyone who tells you that america is in decline or that our influence has wayned, doesn't know what they're talking about. [applause] that's not the message we get from leaders around the world

who are eager to work with us. that's not how people feel from tokyo to berlin, from cape town to rio, where opinions of america are higher than they have been in years. yes, the world is changing. no, we can't control every event. but america remains the one indispensable nation in world affairs, and as long as i'm president i intend to keep it that way. [applause] that's why working with our military leaders, i proposed a new defense strategy that ensures we maintain the finest military in the world while saving nearly half a trillion dollars in our budget. to stay one step ahead of our adversaries, i already sent the congress legislation that will secure our country from the growing dangers of cyberattacks.

above all, our freedom incures because the men and women in uniform who defend it. [applause] [applause] >> as they come home, we must serve them as well that's served us. that includes giving them the care and the benefits they have earned, which is why we have increased annual v.a. spending

every year i've been president. [applause] and it means enlisting our veterans in the work of rebuilding our nation. with the bipartisan support of this congress, we're providing new tax credits to companies that hire vets. michelle and jill biden worked with american businesses to secure a pledge of 135,000 jobs for veterans and their families, and tonight i'm proposing a veterans jobs corps that will help our communities hire veterans as cops and firefighters so america is as strong as those who defend it. [applause] which brings me back too where i began.

those of us who have been sent here to serve can learn a thing or two from the service of our troops. when you put on that uniform, it doesn't matter if you're black or white, asian, at lino, native american, conservative, liberal, rich, poor, gay, straight. when you're marching into battle, you look out for the person next to you. or the mission fails. when you're in the thick of the fight, you rise or fall as one unit. serving one nation. leaving no one behind. one of my proudest possessions is the flag that the seal team took with them on the mission to get bin laden.

on it are each of their names. some may be democrats. some may be republicans. but that doesn't matter. it's like it didn't matter that day in the situation room, when i sat next to bob gates, a man who was george bush's defense secretary, and hillary clinton, a woman who ran against me for president. all that mattered that day was the mission. no one thought about politics. no one thought about themselves. one of the young men involved in the raid later told me he didn't deserve credit for the mission. it only succeeded, he said, because every single member of that unit did their jobs. the pilot who landed the helicopter that spun out of control. the translator who kept others from entering the compound.

the troops who separated the women and children from the fight. the seals who charged up the stairs. more than that, the mission only succeeded because every member of that unit trusted each other. because you can't charge up those stairs into darkness and danger unless you know that there's somebody behind you watching your back. so it is with america. each time i look at that flag, i'm reminded our destiny is stitched together like those 50 stars and those 13 stripes. no one built this country on their own. this nation is great because we built it together. this nation is great because we worked as a team. this nation is great because we get each other's backs.

and if we hold fast to that truth in this moment of trial, there is no challenge too great, no mission too hard, as long as we are joined in common purpose, as long as we maintain our common resolve, our journey moves forward. and our future is hopeful, and the state of our union will always be strong. thank you, god bless you, and god bless the united states of america. [applause]

[inaudible conversations]

[inaudible conversations] about an hour and 15 minutes ago the president began his third state of the union coming and right now we are about 100 feet from the current house of representatives chamber where he spoke, and we are in the old house chamber known as statuary hall. this is where the media has gathered to get reaction from members of congress and in fact, this area served as a house of

representatives meeting area until 1857, when the current chamber came into use. in fact, five presidents have been inaugurated in statuary hall. james monroe, james madison, john quincy adams, and drew jackson and millard fillmore. and now is used as a gallery for the statues from each state. now we are live on c-span2 to get reaction to the president's state of the union address from members of congress, and we are going to begin with a member of texas, democrat eddie bernice johnson. what did you think of the president's speech? >> well i thought it was one of the most bipartisan speeches i've ever heard, and i appreciated the fact that he did make a strong effort to bring us all together. and of course i enjoyed hearing the emphasis on the importance of the faith and technology and the training and education in those areas because that is one

of my strong interests. i also appreciated the fact that he emphasized our infrastructure on the transportation infrastructure we know how important it is to create jobs. so i was very pleased with the speech and the things he called for. i hope the rest of us will be as well. >> converse woman, you represent texas. what about his talk about oriole in his turndown of the xl pipeline? >> well i do think it is time for us to move away from just oil. as he indicated, we've got to look at all of the above when it comes to the energy supply coming and we must separate our fare from foreign oil. i think it is time to be serious about it by the international security, and it's important by the environment and jobs for the future. i really agree with it and i've made no bones about it. >> eddy bernice johnson, a

democrat from texas. thank you for being here on c-span2 get some reaction. we're joined by another democratic member, jan schakowsky, a democrat from illinois who is joining us now in statuary hall. first of all, congresswoman, can you give us an update on your senator, mark kirk? >> obviously we are all just pulling for mark's stifel recovery. we hope will not just be days but will be longer than that. he's getting terrific care. he's strong and is basically a healthy person. so we are hoping he will make a full recovery. >> the president -- our last guest eddie bernice johnson talked but the president's bipartisan speech. do you agree with that? >> what he did is hold a vision of what america is like when we all to work together. he talked about the military and the successful mission when people don't divide along partisan lines or along any lines the just work together for

the benefit of the country. then he outlined a number of specifics, many of which have been supported in the bipartisan way before. who can be against bringing manufacturing back home? it's been a good deal of time talking about how we can create jobs. bye giving incentives to businesses right here at home rather than tax breaks for those who move jobs overseas. about training americans for the jobs of the 21st century. and so i think yes, it was an appeal on simple things, basic things, we can work together and we can do it now. we don't have to wait until after the election. >> representative schakowsky knorr speaker, john boehner of the house, had a guest from illinois representing marathon petroleum in his box with him regarding he was involved with the exfil pipeline. i just wanted to get your reaction to that. >> first of all, the president did say he believed in all of

the above energy strategy. that yes, we should double down on clean energy. but he also talked about how we've expanded the use of oil over the last few years and reduce our reliance on the foreign oil. look, what he did was say that that for now is over, the pipeline is not going to happen now. i don't know if it will be revisited with a new round. but clearly the energy sources of the future or the new technologies that he mentioned that we should develop. sprigg jan schakowsky is a democrat from illinois and a member of the energy and commerce committee. we are live here in such a recall getting reaction from members to the president's state of the union speech. thank you, congresswoman very much. now joining us is glenn thompson, a member of congress from pennsylvania, republican from pennsylvania. congressman thompson, what did

you hear in the president's speech? >> well, i heard the president laid out a vision. and actually much of the vision of a share. what i heard in terms of the pathway he would take a take some disagreement with. let me say first of all i really appreciate how he started his speech thanking our soldiers, our military for the job well done and all of the end of it over the many years in iraq and recognize their sacrifice. i thought that was outstanding. >> where did you disagree specifically with the president when using you didn't necessarily agree with his approach? >> well, many different areas. largely, i mean, it was a lot of -- there was a divide between the speech of word and action in leadership, and i just have seen inconsistencies from the things that he leave out. i'm hoping actually that he will stay true to many of the things he talked about. when it comes to the economy and tax reform, i'm all in favor of tax reform. the way i would just eliminate all deductions and lower the

marginal rates for everyone, but the president really, what he talked about was taking and fostering the culture of the divided country and that isn't how our country is or has become successful. we want to encourage everybody to excel and do well and achieve the american dream. we shouldn't punish them and penalize them once they do. >> congressman thompson, where is your district in pennsylvania? >> the fifth district. it's 22% of the land mass. 22 counties. my home is in the center of the state, but the district goes due north of the line. >> thanks for being with us on c-span in statuary hall. we are pleased to have joining with us now senator ben cardin, long time viewers of c-span will remember him a long time as congressman ben cardin and he's been senator now for several years. but he's a democrat of maryland. senator, what did the president say tonight that perhaps you disagree with? >> welcome you know, i thought

the president's tone he set really challenged us to get the job done. he's taken action, as he can as president. but he pointed out we get more done working together. was clearly focused on creating jobs. that's what we need to do. it was clearly focused on how american -- america can be competitive in manufacturing, treynor workers, dealing with our environmental needs and energy needs. so i thought it was -- the speech tonight fully supported it. i think america will agree. let's get the job done. >> we saw several pairs of senators walking in together, democrats and republicans, making i guess making a statement that they were sitting together. who did use it with? >> i sat with roger wicker a republican from mississippi. and it wasn't just symbolic. the two of us worked together, and we want to work together to get things done for our country. i think it's a clear message that we want to rise to the occasion in 2012. we know it is an election year but there's plenty of time to get the business done karina

>> the economy, energy, education, financial enforcement or some of the things the president called for. in several of those were legislative proposals, including the senate passing a rule 90 days up or down vote on nominees. is that possible? >> i think you will be a challenge for us to get that done. i think the president is absolutely right. i stood up and applauded the action to read the senate has a responsibility to vote on the presidential nominee. you can't routinely denied the advice and consent. i think the president is absolutely right. it's time for us to exercise our responsibility and vote on these issues. a lot of issues he talked about is fairness putative he said the people this well-off need to step up also. i thought he really did try to bring us together and said right and fair and that includes the senate taking up his nominees. >> senator ben cardin is joining us here in statuary hall, following the president's speed of the union address. senator, thank you. >> it's my pleasure. >> we are live about 100 feet

from where the president did his speech in the current house chamber. we are now in the old house chamber known as statuary hall. this is the house of representatives up to 1857 as when this was used. we are getting reaction from the members of congress on the president's speech. now joining from california, democrat judy chu. congresswoman, we saw you stand up when the president started talking about more green energy, right? is that when you stood up, you were the almost only one first one on your feet. >> i was really enthusiastic about it. i think he wants to transform our economy to jobs of the future, and it was really great to hear him talk about the commitment to that. >> when you think about your home state of california and the president had to say and what congress can do, where do you see benefits for your state? >> well, we are a state that certainly could benefit from the investment and clean energy. he talked about being the

innovative -- the innovative economy coming in california has always been on the cutting edge. we certainly could use much more emphasis on that. and of course we need to make sure that our workers get the skills the need so we have a productive work force. >> was there any point in the president's speech where you disagree with him? >> i thought he did a masterful job on hitting the right points. especially the points that have to do with bringing manufacturing back to america. >> your colleague, gabriel giffords was in the audience. did you get a chance to speak with her at all before? >> i unfortunately was fairly far away, but i was so inspired to see her come back here, and i'm going to miss her as a colleague. >> judy chu is a democrat from california. a member of the judiciary committee. thank you for being with us. and now, a well-known missouri

name, well known missouri political family russ carnahan is a democrat from new jersey, and of course he is now a member of congress representing what area, congressman? >> the st. louis area. st. louis, missouri. >> when you think it's and the was and what the president had to say tonight, what did you here? >> the most important thing is what i hear back home from people every day and what i heard from the world war ii veterans group recently that in their great time of challenge that people together is a country and some differences aside. they do great things. i think it is that kind of spirit the president called on tonight. we want to see things happen. he said he's going to work with congress and he's going to work around them. we should work with them and get things done a like investment in the transportation infrastructure. that's huge percent lewis in the middle of the country. and seeing our although industry. those are things that are a big deal for the area in st. louis that i represent.

>> welcome congressman, both of your parents serve as centers. do you think they would have thought that the spirit in washington is like president obama described it, broken? >> it is broken. i think people see every day in the way that this so much division and dysfunction but we have agreed and tough things to get the economy to continue to grow to fix a lot of things in this country. that spirit we need to have right now. >> do you see that spirit in the house of representatives currently? >> not enough. it's the worst i've ever seen it. but there still is some good dialogue back and forth between some democrats and some republicans. the we just need more of it. to get things done in this country. >> ross carnahan member of congress from st. louis a democrat. >> thank you. >> senator frank walton burdick, democrat, new jersey. longtime senator. we are going to put you in place

here in statuary hall we appreciate your joining us. sir, you've spent a lot of time in washington. >> i have. >> would you agree with the president that it's gotten worse? >> - here 27 years and the division between the parties has got him why, deeper and he was called to arms and said let's stop messing around with this. let's get to work. put on my desk. sign these bills, get the money to do these things for the infrastructure, immigration. take care of this. education. that's where we have to invest. be proud of what we do in this country and make products here that we can sell to other countries. i thought that was a good stand up straight and was lying and get on with america. i thought was a good speech. >> when the senate comes into session tomorrow, will the spirit of the president's speech carry over? >> the spirit may.

i hope the boxing gloves will come off. he said something very important about that. don't believe these things. adult obstruct progress because of the party deferences. there is no time for that. we are in a situation now where we have lost power, we've lost opportunity. we are ever more dependent on foreign oil. so it was a good call. it was the leader speaking out and i felt really did a good job. >> so, if you run into senator harry reid tomorrow were senator mitch mcconnell what will you say to them? >> probably i would be more loquacious with harry reid and i would what mitch mcconnell but i would encourage mitch mcconnell. look, i think, you know, they are obeying some of the party discipline. it's the wrong time for that kind of stuff. we have to get on with it. i am a survivor, one of two world war ii veterans, and the g.i. bill meant the world to me and it changed.

two other guys in this place, 40,000 employees come. why? i had a chance to get an education and my folks couldn't pay for it, my father died while i was in the army. and so, get on with it. let's get started. >> do you think you pay enough in taxes? >> no. no i don't. i'm not going to volunteer to be the only one to increase my taxes, the tax bill voluntarily. but i remember a time -- i don't want to go back to the day in history, but we had a tax on excess profits during world war ii. when companies are making lots and lots of money and they were told they had to kick and more. we were at war as we have been. we have lost thousands in the middle east and asked to carry their fair share. they can't stand on the sidelines and say, you know, pay the bill and let the executives, the top take it off and go from

the bottom. >> just to go back, so you, senator lautenberg and daniel inouye are the only to world war ii veterans left in the senate? >> that's right committee and by senior and age by a couple of months and he's a senior of bravery with a congressional medal of honor. >> final question your governor in new jersey, chris chris tecum is getting a lot of complaints politically. it was is your relationship with him with him being a republican? >> i tried to give my phone number two times but i think he loses it. we are not in touch unfortunately. i would like to be. we can do a lot. at one point we had $6 billion reserved. it was going to take 22,000 cars off the road and put 44,000 people at work. and the governor decided to abandon it. not good judgment in my view and these things have a way of

lasting to estimate senator frank lautenberg, democrat of new jersey. we continue our live coverage here on c-span2. from statuary hall where the members of congress come after hearing the president's speech, and representative david scott, democrat of georgia is now with us. congressman scott, listening to the president's speech and thinking about the house of representatives what issues do you think the house could oregon in a bipartisan way in the next month or so to get done? >> well i think first of all was a brilliant speech. just -- just delivered with such feeling and articulate it just right as the kind of speech of the american people not only wanted but really needed going forward.

it shows where we have come from in a difficult time and he laid out a great course. as far as the partisanship and the bipartisanship, i think the first area that we can work with really will be a yearlong extension of the table tax cut of 160 million americans. to be able to fix doc fix and help those who have gotten unemployment and the veterans efforts especially working with the tax break for those companies that would hire veterans. i think those are areas we can work with. the table has been set for that because it was a bipartisan effort as you recall with the senate, the republicans in the senate leading the way that really got us to be able to pass before the christmas holiday that payroll extension. so we can start right there. and i think that the president used a brilliant example to show how we can come together with a by partisanship.

and i am going to use that every time that i talked to remember what the president said about our navy seals. when he pointed out he said some of them republicans and some of them are democrats. but that didn't matter. they were americans doing a job. and they went in and it was team work. and surely as the navy seals vote republican and democrat they come together and to be able to take out osama bin laden, surely we republicans and democrats in the house can work together for the benefit of the american people. >> as a member of the financial services committee, the president talked about several issues that may come under your committee's jurisdiction; helping homeowners, the 3,000-dollar reduction by three financing etc a new fee on banks; what do you think of those proposals? >> critical of those are good. because we've got to really look at the american homeowner with the same urgency, the same

passion in terms of helping as we did with wall street, and as we did with the banks on wall street. that was a big mistake if we move at the same kind of energy but we rescued all street with to do that with the homeowners and it's going one step further for the example. we've got to get into these communities and go out into these hard hit areas in my home state of georgia out in nevada and california where a dhaka home foreclosure deal is so intense and bring all of these actors, bring the bank, during treasury, bling hamp, the problem is many of people don't know the available programs we have a working for them. the of $50 billion they put in the financial services committee into the treasury department with hamp to be able to help struggling homeowners. but in order to get that to work, we have to get and hold seminars and workshops, bring them all under one roof and get

our people in the communities and use the tax to educate on homeowners and help them and have all of that right come have hud and the treasury and the bank and the loan servicer is all under one roof, and that's the way we can get that done and take these workshops out of the country and he's committed to doing that as well. >> and finally, you're fellow georgian, new gingrich running, doing pretty well running for president at the time. what do you think about that? >> well, i think that -- i really to tell you the truth i know newt gingrich from georgia, i've been in politics and the senate and the house for many years. and some of the things i have been seeing in terms of the tactics with newt is not the newt that i know. and i think that my hope is we can look beyond all of this. i'm not so sure what some of the dog whistles that have been going out with the food stamp president, with some of the

things he has been planning to are very healthy for the country going forward. and i think that he has done a marvelous job on where he has come from, but i certainly am anxious to have an opportunity to sit down and talk with him and make sure i can help him to be able to see some of the dangers with some of the direction, some of the things he has been singing to deal and he has appealed to some of the worst elements, and i think that that is not necessarily the newt that i know, and i think there may be some good conversation with that. >> david space, democrat of georgia, thank you for being on c-span cure in statuary hall. we are life talking with members of congress about their reaction to the president's speech. and joining us now is a another member of the new jersey delegation, and this is frank

pallone, democrat of new jersey. congressman pallone, what did you think? >> i thought it was a great speech. i love the scene of building an economy that lasts, because i think that's what my constituents want to hear. they like the idea that we are not only creating jobs but trying to bring back manufacturing, trying to educate young people so they are trained for the jobs in the future. it's exactly the kind of thing my constituents talk about. >> tell us about your district and its current economic situation three >> well, my district is a combination of industrial and tourism. there's a lot of manufacturing that's been lost over the years over the last 20 years, and i think that there's a lot of opportunity for the new manufacturing in my district. so, that is why i say that this is right on the plate in terms of coming you know, people will say to me we have lost jobs overseas. are we ever going to get them back. do you even care whether the airline to come back and i think that the president made it quite clear that he does care and that that is an important part of our

future is the manufacturing base. >> congressman pallone, you've been on washington a wide lead in congress a while both democratic leadership and republican leadership. was the president fair in his assessment of both parties? >> i think that again if you go back to my constituents they really want it to work together and they are worried that ideology gets in the way of the democrats and republicans don't work together for a common goal. i think it's important that he mention that because we are never going to accomplish anything unless we work together. that is an important part of chongging to accomplish the goal of building an economy that lasts. >> to of your fellow new jersey and on having a primary. congressman pascrell and lost. have you taken sides with democrats etc? >> no and i want. i think it's very unfortunate that that is taking place. the map that was adopted was the republican map, and it's

unfortunate because i think that those of them are very good congressman. i would like to see them both here and instead see them running against each other. >> frank pallone, you can see him on the house floor quite often speaking on issues he has been speaking with us here in statuary hall. as we continue to talk with members of congress we are talking next to the representative from toledo ohio, marcy kaptur. she has been the longest serving. >> that is correct in the house and the longest serving democratic woman in history. i hope we don't show too much. >> first of all when you listen to the president's speech, congresswoman, what did you hear that would be good for tolino? >> first of all he mentioned the name and he mentioned cleveland's naim to read the only to communities that he missed were lorain and sandusky in terms of the larger

communities and like what some of the areas in the district. but what was wonderful was his emphasis on reading the american dream for all and focusing on manufacturing. when did you ever hear a president talk about the muscle of america and that resonates another part of the country because that is who we are. people who work with their hand, people who built america forward, people who throw america forward, this is music to our years, talking about turning unemployment into a training and reemployment program, talking about veterans jobs, talking about the department of defense taking the lead on energy which is what i have championed as a member of the defense committee for my career, talking about wall street prostitution and the fraud unit at the department of justice. i shot right out of my seat. i thought finally, finally someone is putting the pieces together. and talking about rewarding investment in america. all these businesses that try so

hard and they see these big global companies take jobs abroad and rewarding innovation and hard work here at home. i thought this president has just hit full stride. >> congresswoman kaptur, jeeps has added jobs recently. has the president come to visit the factory? >> they've added absolutely, and more than one. jeep wrangler, jeep cherokee and liberty now owned by chrysler fiat, they are doing a phenomenal job, and all of the workers of the management in the plant, they are doing -- the orders are twice as much as they can produce right now. and the beautiful trim, the beautiful interior, more energy efficient. america is really catching up. and gm, have to say, and the president mentioned in his speech tonight now, the most productive automotive company in the world. they've just taken a number one on the charts to get into the

cruise build and how you from toledo to the large town is an ohio car. >> now, congressman, you've been around washington for a while. what issues do you work with republicans on closely? >> well, usually on defense matters we have pretty much a meeting of the mind. i would say on agriculture we do all right. on transportation, that is one of my subcommittee is where we've really met with the dispatch on how things we need to be more robust, there's some cooperation there could on the budget is a little more rancorous but i would say that there are many areas in which we can work together. i think that the great lakes members find common ground so you can always find a way to move an agenda for word but you have to keep working at.

spec congress, marcy kaptur knorr next political battle is going to be against the democrats dennis kucinich is also buying for the nomination in your district, correct? >> that is correct. the ninth district remains the ninth district for the five counties i've represented and carried the state legislature drew about 320,000 people in cuyahoga county on the western and like what rocky river based village. half of brooklyn and work park. 13 to 19 in cleveland and you know what, we intend to carry the ninth district. >> when is the primary? >> that primary will be march 6th and early voting starts january 31st. there is very little time as we just ask the people north coast from toledo to sandusky to lorain and sheffield lake, rocky river, lakewood, pay attention. we are coming your way. >> maza captor is the longest serving democratic woman in the

u.s. house history. she has been talking with us here in statuary hall following the president's address. we continue our live coverage with another midwestern are. this is jeff fortenberry who is a republican from alaska nebraska. congressman fortenberry, one of your fellow never oscans was sitting with mrs. obama tonight. warren buffett fiat secretary. >> i didn't see her. i didn't necessarily know who she was. i asked senator nelson, the democratic senator from nebraska, we all sat together as a delegation who she was and he didn't know her either. >> we talked with a lot of democrats tonight who found the president's speech is a very bipartisan. do you agree with that? >> welcome the president gives a strong and poignant speech. that is one of his skill sets. and i thought it was particularly appropriate, the

book ends of the speech was particularly poignant and appropriate as he gave heartfelt tributes to the sacrifice of our military, particularly in iraq but also about the world. i thought that was free strong and very appropriate and showed good command by our commander in chief. i felt his emphasis on the reviving of manufacturing -- american manufacturing and creating a level playing field and trade and ensuring the the of jobs from overseas is strong but we do have a litany of things in the middle of the speech that suggest that all power is going to come from washington versus power being in the individual and in concert with their family and community. invested in small business and entrepreneurial enterprise. that's where the strength of america comes from so there are philosophical differences particularly when he suggested the federal government should basically take over the education. the source of education is found in the local control with parents, of children, partnering with teachers, partnering with

administrators to ensure that they create a good environment in their schools. that is where the source of education comes from, not in the federal government. so there was a clear philosophical difference as well. -- banner -- speaker boehner had some energy industry in his box and some that work on pipeline or would have worked on the xl pipeline that would have affected nebraska is that right? >> that's right. we in nebraska are in a little bit of a difficult and a peculiar situation. many of us have a strategic energy partnership with the comedians, but we need to ensure the environmental integrity of our natural resources. a year-and-a-half ago i began to urge the state department to listen to neraskans. we need to relocate and the sight of this pipe. the pipeline is going over a highly sensitive environmental areas, and it needs to be moved. we were hopeful the president would perhaps find a way to get some sort of transitional approval, temporary approval will be appropriate citing takes place in nebraska, but now we

have a keystone pipeline as a big political pipe. >> what do you see happening in the congress and the next couple of months as far as legislative action? >> will would be my hope that the president proposes a budget they can actually balance over time. he didn't suggest anything like that to light. we started our budgetary season very shortly we will pass probably strong budget again in the house of representatives and it's unclear of the senate will back to the act. they haven't passed a budget in 1,000 days. the province budget never balanced. our state. it took a long time. a lot of tough choices had to be made. but, clearly that's going to be the next round of the discussion in the house. >> congressman fortenberry, republican of nebraska has been speaking with us following the president's m. address. next to nebraska is the state of colorado. we are joined by one of its members and this is scott

tipton, republican of colorado, congressman, thank you for being with us here on c-span. of what did the president say that you agreed with tonight? >> when the president was talking about developing the natural resources like and what we had common ground and we saw the response. we hope it will surely follow through on that and fortunately did not want to talk about the keystone pipeline. 20,000 to 100,000 new jobs we would be able to create requiring no federal spending to be a will to put americans back to work and to be able to create some revenue as the president currently would like to be able to spend. >> where -- when he was talking about the environment as a member of the natural resources committee, where did you find agreement with him? >> i think that there is every american who raises the concept. we all want to have clean water, we all want to be able to have clean air and with the opinion of we can have that, to be able

to get in touch of the tremendous technology this president noted, to be able to develop our resources responsibly right here to be able to create american energy to be able to use american resources and to be able to put americans back to work. >> tell us about your district. >> we have the eighth largest congressional district in the united states based on geography if it's not an entire state 54,000 square miles of the most beautiful part of the country through the rocky mountains to the estimate cities include? >> grand junction, not roads, pueblo, domingo cortez colorado. >> one final question to the and your colleague, doug lamborn from colorado, did not attend the speech tonight. and in a protest. what do you think about that action? >> you know, every member makes their own decision and they will make their choice. i certainly wanted to be here. to me it's important to be able to hear what the president has to say. i think we need to be getting to

the real solutions for this country. >> republican of colorado, congressman tipton. thank you. you're going to continue our westward journey here in statuary hall. joined now by a longtime member from california, in fact he's represented two districts in california and he's also served as the state's attorney general. i hope i got all that right. dan lungren, now republican of course, but now in the sacramento area; correct? congressman, what did you hear from the president? >> welcome as usual he has very good rhetoric. the question is whether the substance matches up with the rhetoric. i'm pleased that he had an ode to the mother trinkle started and mentioned the military in between. the amazing thing is that the only large cut that's taking place in the federal government is to the military. and those two things didn't quite jive. i was hoping that he would talk

about in a serious terms the deficit. that is a huge challenge facing us. and i counted 20 different -- 21 different points that he made it wasn't until number 17 that he talked about the deficit, and not at any length. at third, he didn't think the connection between our necessity for creating jobs in this economy with the negative impact of the deficit on the private economy. so, i was disappointed in that i like this president. he's a nice guy but it's his policies i find very, very difficult to match to the reality that the facts out there. >> to questions,,, number one did you hear anything that would represent or held high tech industry? >> he did make a pass at the fact we have to do something about the students that come from overseas of other countries who get their top degrees in engineering and so forth and

then there are immigration laws that have to go out somewhere else. that is something. the only got a mild response from the audience, but it is a very important thing that i worked on for years and i know he has. one other thing i think is extremely important he mentioned it and has only gotten a little applause which is important his effort on a bipartisan basis to do something about the cybersecurity needs of our country, the threat of cyber terrorism, the threat of cyber threats and intrusions' the are taking place on a daily basis. this administration is moving forward with that. he mentioned it today. i've been working with him on that as have people on both sides of the ogle to read that is a positive that i wish more people would pay attention to. >> and of course, congressman blonden's district is a lot of high-tech companies in it. and finally, how is governor brown doing out in california and in sacramento? >> well, we will see what happens this year. he has suggested that the people of california want to be taxed

higher. he wants to put that on the ballot in november. if that does not succeed in the polls which suggest it will not, then he will probably have the platform to talk about serious spending restraints in the state. the fact of the matter is we are broke in california. we are somewhere between the federal government and greece. so my hope is here in washington, d.c. we don't follow the california direction and rather california understand that frankly at some point in time when you were to have to admit that your vote and do something about it. >> dan lungren, republican of california here in statuary hall following the president's address. now from california to new york city in the upper east side of that city, carolyn maloney, a longtime representative from the upper east side of new york city and the story of queens. congresswoman, how did the president do tonight?

>> i thought he was magnificent. he had a unifying theme calling upon republicans and democrats to work together to build a blueprint for a better economy for america to be a big thing on fairness on hard work being rewarded, responsibility being rewarded and fairness and everyone playing by the same set of rules. he hit everything. a whole host of areas but he called upon all of us to work together and the fact that when we do, nothing is impossible, we can actually achieve all of these goals. >> congresswoman from a lot of your constituents are in the financial services of course. he called for some new regulations, some tweaks to how the financial services are administered and also new financial-services investigative unit as a member of the financial services committee what do you think? >> we need to see the specifics. he als