i think is healthy for the party to have the primaries. it is healthy to get people out and excited. this is where we have to focus our energy in the primaries to make sure that we elect a conservative candidates in the republican primary. i agree with you 100%. [applause] >> [unintelligible] [laughter] >> should the rnc get involved in local primaries? >> all i can say is to prove them wrong. that is the best way to send a message to washington. prove them wrong and go out and let folks. we are at a consequential time. . .

in 1940, as france fell, as all of europe was a dark, the united states did nothing. as the pacific was being overrun by the japanese, the united states did nothing. winston churchill pleaded with the united states and we did nothing. the bombs dropped on our closest allies. we sat and we did nothing.

it is because we like to think that things will be ok. we just need to live our lives. we need to take care of ourselves. there is a movement within our party to do the same thing. just focus on us, do not worry about anything else. we can not do that. i remind everybody that in the summer of 1941, the congress came within one vote of appealing to the draft. as unprepared as we working -- of a retailing and the draft. -- opposed repealing the draft. as unprepared as we were in 1941, we would have been a more unprepared without that. we having -- we have bigger -- this is one of those times we cannot afford to do that. this is one of those times we have to step up, and engage, not just in your own community, but

all across this country where there are traces. we need to focus on november, and we will change the course of this country. god bless you. [applause] [applause] >> and thank you, senator, that was a great. louisiana is a really honored to be the host of this conference. we would like to acknowledge the other southern states that are a big part of this. i would like to go ahead and

name them. alabama, arkansas -- [applause] florida, georgia, kentucky, mississippi, north carolina, oklahoma, south carolina, tennessee, texas, virginia, and west virginia. [applause] i would like to give it a big applause to all of these states because of their health is what made this possible. -- their help is what made this possible. [applause] some of you may have seen our next honored guest on line in

his gut c. youtube and videos. -- his gutsy youtube videos. he called nancy pelosi and barack obama on the carpet [no audio]. this man was first elected by a special election, and overwhelmingly reelected in 2008, and things to his dedication to conservatism. he has championed ethical reforms andraditional family values. he vigorously served the people of his district on the north and south shores of lake pontchartrain, keeping communication lines open with them, holding a town hall meetings, a lead of them within his first three months of office.

please give a warm welcome to congressman steven sculley -- steve scalisi. >> i wanted to welcome you all to new orleans, not just those of you from this region, but all around the south. you are seeing the re-emergence of a one of the great cities of the world here in new orleans after katrina. as you get around, you will see that there is still a lot of work to do, but also that there has already been a lot of progress made, and i appreciate the things you are doing to help. [inaudible] you are here, participating in

the reemergence of the republican party as the dominant party once again, this november. [applause] now, of course, one year and a half ago, they were writing us off as dead. after the november elections and all this talk about change, and everything was utopia, and what you thought this president was going to do it for you, and it just a year and a half later, people finally realize what that change really means. you are seeing a shift in this country that is not just happening right now. it didn't just happen a few weeks ago right after the health-care bill. it started a month ago. you had the elections in new jersey. the american people said we are looking at all of these policies, and this is not the change we bought into. and then, the miraculous event an election history was the

election of scott brown in massachusetts. [applause] even the people of massachusetts said, "this is way too liberal, even for us. we are going to send a republican to the seat held by ted kennedy because he will be the 41st vote against health care zippor." it started with the stimulus bill. the president said we had to pass through hundreds of billions of dollars of money we did not have. we had to pass it or unemployment would go above 8%. of course, now we have 10% unemployment. we have more debt. we hardly sought any stimulus. the only place in the country seeing economic growth is washington, d.c. growing in the government is not a stimulus to this economy, but that is what we got from that

bill. then they came with the cap and trade energy bill. it will increase energy costs for every family in this country by an average of $1,200 per year. that is the estimate from the president's on office. it will run at 3 million more jobs out of this country and make us more dependent on middle eastern oil. here in louisiana, we know about energy production. we are the largest supplier of offshore oil and gas in the country. we are proud of our role in contributing to the country oppose the energy supply. we want to do more -- to the country's energy supply. we want to do more. we want to create high-paying

jobs here in america and reduce our dependence on middle eastern oil. but that is not the policy we have. the president has the epa out there trying to bully the country. we are turning the other way and saying, c none saying dispositionap and trade energy -- we are turning the other way and saying, none of this past and trade energy tax -- cap and trade energy tax. the president followed that up with a $1.9 trillion increase in the national debt. increased the credit card of the country. we had already maxed out the credit card, but the president said that was not enough. he wanted to double down. he created a government takeover of health care.

the bill grew and grew and grew. there were backroom deals analyzed a -- and lies. before they passed it, they had to have a reconciliation bill to fix the problems of the first bill before it was even signed into law. the health care czar has the authority to take your health care away from you even if you like it. what are we doing with all of these czars? get rid of them in. [applause] you have literally got a shot of government running around. you have cabinet secretaries who went through the normal confirmation process of the senate, and then you have this other government with people who

are completely unaccountable. when you read about their backgrounds, you want to get rid of them. that is why i filed a bill to czsrars, and we have 80 co- sponsors of the bill. we also have a bill that reforms health care, lowers the cost of health care. hours at lower and cost by 10%, without the taxes and the mandates and the other things, including the federal funding of abortion and that they've got. if you read the first page, you do not need to even get to page 2300, the first page is to amend the internal revenue code. this is not about health care. you would think they would be

giving money to hire doctors and nurses. instead, they're hiring over 16,000 irs agents. i do not know about you. stimulus to me it means letting our small businesses create jobs. to this president, it means hiring more irs agent in washington. this is not a stimulus, but this is what is in the bill. this is a joke somebody told me, so feel free to laugh if you think it is a pup -- it is funny. somebody said, a recession is when your neighbor loses their job, a depression is when you lose your spirited recovery is when the nancy pelosi loses her job. [applause]

i think we are looking for a recovery this november. that is where it is going to start, and it starts in this room. i want to thank you all for coming. it is not just people in this room, people all across this country, democrats, independents and republicans recognize that we are at a critical crossroads in our country. we are still the greatest country in at the history of the world a it, but we know that is in in jeopardy. i think everyone here would recognize that. our parents' generation, every generation that has followed, each generation in america's history has had better opportunities than of the one that came before. how many people in in this room think that the next generation will have a better opportunities than we do based upon the path we are on it? it is sad to see that not one

person is raising their hand, because we know how fragile this republic is right now. we know what is at stake. that is why it is so important for you to continue what you are doing, what the people in the tea party are doing. we have to make real change in november by throwing out the folks that are trying to run this country into the ground. let me tell you about what house republicans are doing in that fight. that leads me to the man a in i am honored to be introducing right now. every house republican voted against the stimulus bill. [applause] we all voted against this government takeover of health care. but we did not just opposed to those bills. house republicans have had alternatives, better solutions on the table on all of these issues, on economic issues, on

health care, true reform, on all of the issues facing our country. clearly the liberals in congress do not want those ideas brought forward. but that communication and does not just happen on its common. it happens because we had -- on exports own. -- on its own. it happens because we had a real leadership in congress. that is mike pence from indiana. let me tell you a little bit about him. he graduated from hanover college. he got his doctorate from indiana university school of law. he was elected to congress and 2000, perry served on the house foreign affairs committee. -- where he serves on the house foreign affairs committee.

he was elected in 2008 unanimously, to be the chairman of the house republican conference. he is a staunch fighter for conservative and values. i am proud to call him not only a colleague but a friend. let me introduce to you a man who does not need a teleprompter to tell you what he believes in, congressman mike pence. [applause] >> thank you for that wonderful introduction and you're wonderful remarks. it is great to be back in your lens. my last time here was almost -- back in new orleans.

my last time here was almost one year today, back in that heartbreaking year of 2005. i am talking about katrina. i walked the streets and saw a recovery. i am is so proud to see that because of the resilience of these people and the generosity of americans, new orleans is coming back. steve knows we hoosiers like a lot of things that come out of this city, the food, mardi gras, peyton manning. other than the outcome of the most recent super bowl, there is nothing we do not like about new orleans. [applause]

all right. see you next year. [laughter] you know, i am really honored and humbled to address the largest ever gathering of the southern republican leadership conference. thank you for making that a reality. [applause] to be honest with you, i am a little nervous. it is not used to addressing crowds of this size. i was running late to a meeting the other day. i was about 20 minutes late. i came running up the steps of the auditorium and the fellow organizing it was standing there nervously. i looked down, and there were about five people sitting in the seat waiting for me. i said, "there are only five people in there?" he said, "yes sir."

i said, "didn't you tell them i was the speaker? " he said, "no sir, but i am going to find out who did." [laughter] thank you for coming anyway. all you really need to know about me is that i am the father of three teenagers, and the white hair. i am married to a proud graduate of a butler university preposterous depicted -- butler university. and the most important thing is this, i am is a christian, a conservative, and a republican, in that order. [applause] what a difference a year makes. following our election losses,

most republicans were pretty certain about our principles, but we were a little uncertain about the future. only a year ago, people were allowed by the glamour and appeal of the american left. barack obama had a 120% approval rating according to msnbc. [laughter] seriously, though. his approval was over 65% in all 67 states. [laughter] [applause] unprecedented democrat majorities in both houses. unchallenged liberal dominance in the media, our courts, our public schools, our universities, extraordinary. it was a forced that seemed

indomitable to everybody but you. and look at what we have done. historic elections for republicans in virginia, in new jersey, and the state formerly known as taxachussettes has a republican member of the united states senate. [applause] look at what you have begun appearing as we say where i have come from, who would have thunk it? your enthusiasm is contagious. even republicans in congress are returning to their commitment to disappear -- to a fiscal discipline and a reform.

let's be honest. three years ago, republicans in congress and did not just lose their majority, they lost their way. when i chose topp child left behd and the wall street bailout, i kw thatttop actingico with the professionaand th is what they did. wet our way, ane american people walked away from us. but after a year, we saw every single house republican vote against that failed stimulus bill, that the budget busting the budget, that a government takeover of health care. let me tell you here in the south, republicans are back in the fight, and they are back in a fight on the right! [applause]

especially when it comes to obama-care. i know that democrats think that is over. they passed their bill and it is time to move on. let me be clear about one thing. democrats may have had their way on the third sunday in march, but the american people are going to have their say on the first tuesday in november. [applause] i pledged to use this -- to you this. house republicans will not rest until we have a repealed that a government takeover of health

care and lock, stock, and there'llbarrell! [applause] i know the president does not think we can. [laughter] on his first stop for the obama-care world tour 2010, the president actually said to advocate of a repeal, "go for it." well, mr. president, i count on it. [applause]

we cannot repeal and replaced obama-care with a lot that grows health insurance without growing government. we can allow americans to purchase assurance -- insurance across state lines. we can have lawsuit reform to encourage the end of a junk lawsuits once and for all. for those who say it will be too hard, i say this. we will repeal the pelosi congress in 2010, and we will replace the obama administration in 2012. [applause]

we have made great strides in the past year. the men and women of the southern republican leadership conference have a lot more to do. it is only half time in this locker room. we are ahead on the freedom's scoreboard, but there is a lot of time left on at the clock. as the hoosiers assault on a monday night, you can fight them -- as hoosiers saw on monday night, you can fight them all night long, but when the clock runs down, you have to be ahead. we cannot rest until we win back the american congress and for the american people. [applause] so, how do we do it? a couple of thoughts. first, we have to stay focused. destruction is the enemy of

success -- a distraction is the enemy of success. the politics and the airwaves are always filled with speculation, who is up, who is down, who is perfect, who is next? we have to look past the temptation to look past the next election. as the coach said right before the championship game, we have to focus on the the next possession. the next possession for the republicans and the american people is election day 2010. men and women, we have got to take that hill. [applause] secondly, to win back america,

to win back the american congress for the american people, we needq)4 to campaign s conservatives. [applause] to face the enormous challenges ahead, we do not just need a majority of republicans on capitol hill, we need a conservative majority on capitol hill. [applause] we need men and women committed to fight for a strong defense, for limited government, and for traditional american values without apology and without acrimony. i am conservative, but i am not in a bad mood about it. kfqwe need to find happy warrio, men and women who will take our message to every community and every neighborhood, regardless of race and creed and color.

our ideas know no boundaries in america. jack kemp taught me that. [applause] lastly, we have got to show the american people that we know what is at stake in this election. we must offer a compelling vision for a better america, grounded in at the time is principles of the declaration of independence and the constitution of the united states of america. [applause] despite the political gains of the past year, america is changing. she is not changing for the better. a nation conceived in liberty has come of age in the bond it to big government. we have lost respect in the world. we are going broke, and our social and cultural fabric is

unraveling. you know, i am told that officials in this administration will actually admit in private that debate see their job as " managing america's decline." let me say this from my heart. as a student of the history of this great land, the job of the american president is not to manage american decline, the job of the american president is to reverse it. [applause] in the face of their failed leadership, our party must produce a vision for a better america that will return our government to the common sense and common values of the american people. what will that look like? first and foremost, it means rededicating ourselves to doing what is necessary to defend this

nation at tom and abroad, giving the american at -- at home and abroad, giving the american soldier everything they need to come home safe. [applause] defending the nation means keeping all of our options on the table to deter our enemies and protect our friends, including nuclear weapons. [applause] history teaches that week this arouses people. telling our enemies but we will never do with our most powerful weapons makes no sense at all. it means giving our intelligent communities in the tools they need to fight our war on the

terror of like a war. we must ended the era of putting a public relations ahead of terrorists should not be tried in our civilian courts. they should be tried in the guantanamo bay where they belong. [applause] you know, it also means being good to our friends and tough on our enemies, not the other way around. you know, the recent controversy over israel's construction of apartment buildings in jerusalem was an appalling thing. i never thought i would live to see the day when an american

administration would denounces the jewish state of israel for building on its land. let the world know this if it knows of nothing else, america stands with israel. [applause] [applause] >> usa! usa!

usa! >> closer to home, we also have to offer a better vision for america. the vision for a better america begins with offering the american people and effective at pathway to restore true fiscal discipline to our national government. since world war ii, our government has operated on an average of 20% of our national economy. but after a runaway spending by both parties, federal spending is nearing 25% of gdp. in the years ahead, without any new spending or programs, we will reach 40% of our gross domestic product by the middle of this century. yesterday, the director of the congressional budget office and put it well. he saidzk5 that in the nation's

fiscal path is an unsustainable, and the problem cannot be solved by minor changes. well, we have done a minor tinkering in the past. we tried a line item vetoes, and we tried other things. they all failed prepared the time has come to limit federal -- they all failed. the time has come to limit federal spending to 20% in the constitution of the united states of america. [applause] only a spending limit amendment will be powerful enough to curb this explosive deficit that is facing our children and grandchildren. if god can get by on a 5%, the

federal government ought to be able to get by on a 20%. [applause] while we must and in this era of a runaway spending, fiscal discipline enough. we also need to renew incentives in america, the incentive to create, to build, to achieve, to excel. permitting people to enjoy the fruits of their labor build our cities, conquered our frontiers, and it is what made america the most powerful economy in the history of the world. we must renew incentives in our american policy. [applause] but you know, that is not the president's approach. i was with him in baltimore on a state like this at the republican retreat. i had to ask him twice whether he would support a across-the- board tax cut the way john kennedy did, the way ronald

reagan did. as near as i could tell, he said he would, as long as they were not across the board. [laughter] you know, they have a phobia on that side of the aisle about tax cuts for the rich. it reminds me of a story of a ronald reagan when he was campaigning in 1980 in ohio. a man walked up to him and said, "i heard you have a been getting a lot of trouble over your tax cut for the rich. i want you to go ahead and do those tax cuts, because i have never been hired by a poor man." [laughter] [applause] to reverse economic decline in this country, we need a fiscal discipline in washington. we need tax relief for working

families, small businesses, and farms. get government under control and out of the way, and america will come roaring back. i promise you. [applause] finally, to win back america we must recognize that our present crisis is not merely economic and political, but moral in nature. at the root of these times should be a realization. people in positions of authority have walked away from the time- honored principles of honesty, integrity, an honest day's work for an honest day's pay, and the old-fashioned notion that you ought to treat the other guy the way you would like to be treated.

the truth is we have to get back to basics. we will not restore this nation with public policy alone. it will require public virtue, and that emanates straight out of the traditional values of the life and family of faith. we must renew our commitment to that. [applause] i believe that ending an innocent human life is morally wrong, but it is also morally wrong to take the taxpayer dollars of millions of a pro- life americans and use them to promote abortion at home and abroad. [applause] this administration has opened the floodgate to providing and promoting support for abortion

overseas. let me say from my heart, the largest abortion provider in america should not be the largest recipient of federal funding. the time has come to deny any and all federal funding to planned parenthood of america. [applause] if you are taking notes, that is how we win back america. stay focused. elect a conservative congress. win back the right to govern for the better vision of america. this is our moment. now is the time. it is time for us to do all we

can to preserve of what makes this country great. i say to all of you gathered here in new orleans, if you can give palm give. if you can give, give. if you can speak, speak. if you can right, right. and if you can run, run it. now is the time to do all that we can to win this country back. as you take to that field in the next seven months to freedom of's work -- to do freedom's work, you will not fight alone. engraved on a delivery fell are the words, "proclaim liberty throughout the land and to all the inhabitants thereof."

that is from a book that also says, "where the spirit of the lord is, there is liberty." when we proclaim liberty, when we do freedom's work, we have truly made his work on earth our own. you will not fight alone. [applause] men and women of the southern republican leadership conference, we must not be afraid. we must fight for what has always been the source of american greatness, our faith in god and our freedom. if we hold that banner high, i believe with all my heart that the good and great people of this land will rally to our cause. we will take this congress back

in 2010, and we will take this country back in 2012, so help us and got it. -- so help us god. [applause] thank you. thank you for being here. [applause] ♪ [captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2010] >> thank you, congressman. one of the amazing things about

louisiana is its overwhelming republican representation in washington. our next introduction will be from a man currently serving his fourth term in the u.s. house of representatives, representing nearly a third of the families living in louisiana parishes. he has consistently fought to make tax cut permanent, protect the lives of the unborn, and defend our second amendment rights as a lifetime member of the national right -- national rifle association. he has a track record of working for the best interests of his fifth district constituents. let us welcome congressman rodney alexander. [applause] >> thank you. thank you. good afternoon. i have a one a question for you.

look, now, the ladies do not have to answer this out loud, but how old are you? a few months ago, during one of our town hall meetings that we have had in the fifth congressional district, a lady raised her hand. she said, "will you tell me what the conservatives mean when they say if we want our country back?" and i said, "how old are you?" i asked you here now, how old are you? are you old enough to remember when a government worker for you? are you old enough to remember when you were not afraid to let your children go out and play? are you old enough to remember that when cupid -- to remember when your government called on

you, their duty was to protect you. are you old enough to remember when it was a duty to pledged the flag and salute the flag? [applause] c, i am old enough to remember all of that stuff. i am even old enough to remember when one had to work to get a check. [laughter] [applause] are you old enough to remember when free health care was not a right? look, i do not have anything to complain about. life has been a good to me. i have a wonderful wife, three good children, seven of the

sweetest grandchildren and that god ever gave anybody, but i am deeply concerned. i am is frustrated. i want to live to be better for them. so, my next question is this. are we too old to do something about it? >> and no! >> are we too old to encourage our neighbors to vote? >> no! >> if we are not too old to take america back, then i encourage you to get it done. [applause] it is with a great deal of pleasure that i have the job of introducing the next speaker. this gentleman was once a

chairman of the nrc -- of the rnc, a great conservative voice for this nation, a friend, a neighbor, from the state of mississippi, governor haley barbour. [applause] ♪ >> this alert to the left is unlike any we have ever seen in america's history. >> everything else that we enjoy in the united states will not survive. >> of the american people are scared of all of this spending.

>> they are sitting right here laughing about some of these problems. >> you have awakened a sleeping and giant. >> if you cannot get 60 votes, the bill goes away. >> we have to pass the bill so that the american people can find out what is in it. >> we do not want what you are trying to ram down our throats. >> yes, we can. >> president barack obama, are you listening? >> america, we can do better. ♪ >> i have seen, in many parts of the country, a resurgence of a republican governors. >> children for 25 years have had the courage to do the

unthinkable. >> do you believe in miracles? >> they are building a new majority to transform, to renew. >> we went back today to preserve democracy. >> move america forward. >> please welcome mississippi governor, haley barbour, chairman of the republican governor's association. [applause] ♪ ♪ >> thank you.

i am does going to tell the truth. -- i am just going to tell the truth. for me, the governor of mississippi, to be back in new orleans this weekend is a bittersweet occasion, as it reminds me of what we and our neighbors in a louisiana shared in th20052005. -- in 2005. i want to say to all of you, our sister states or great partners to us. we want to thank you for all that you did. i want to say thank you to the federal government. a federal government gets a very

bad rap about what happened after hurricane katrina. the federal government was very generous to us after the storm. i want to say thank you for that. there is something to be learned from that. one of the problems we have got in our country is that people do not think there is any need for it stewardship with the public money. i am proud to tell you that in mississippi, where we received $ 27 billion of your money, the error rate in spending is less than 1%. wouldn't it be nice if the federal government did something where the error rate was less than 1%? i apologize for it taking the time to talk about the natural disaster, but let's face it. we are here today because we need to talk about a man-made

disaster. the policies of this administration and the pelosi- read congress and are a disaster for our country. everyone here recognizes it. you are concerned for your children and grandchildren. you may not note that the first southern republican leadership conference ever held and was held here in new orleans in 1969. you would be interested to know that there are three times more people registered today than there were then, because you understand what the stakes are for our country. you know this is the place to start to take our country back. [applause] if i only get one thing across to you today in my brief time, it is that we have to stay focused on the election of 2010.

do not worry about 2012. the election we have to be focused on is the election of 2010. we cannot wait until 2012 to start taking our country back. [applause] probably most of you all are not old enough to remember "the ed sullivan show," but to be here in the hilton hotel in in your lens -- in in your lens -- in new orleans remind me about when conrad hilton was on that show. he was the bill gates of that today. he had created a new business of a luxury hotel chain. ed sullivan had him on in the show and turned to him and said, "mr. helton, if you could tell the american people only one

thing, what would you tell them ." conrad hilton never blinked. he said, "put your show or curtain inside of the tub -- your shower curtain inside the tupb." [laughter] there is a man who knew how to keep his eye on the ball. one thing matters to us in the next six months, and that is winning the critical 2010 elections. do not take your eye off the ball. [applause] of big part of this of course, for me, as chairman of the republican governor's association, is the fact that there are 37 and governor's races this year. i will tell you, as somebody who

was chairman of our party the last time we were similarly situated, in 1994. governor races matter. more of you see your governor, and get organized with your governor's people, then any other politician in that you have to deal with. governors matter. governors deal with real problems. while the obama administration is on a spending spree that is out of control, so much that it gives an drunken sailors a bad name, what are governors doing? i can tell you that i became governor with david massive deficit. -- with a massive deficit. we balanced the budget without

raising anybody's's taxes. [applause] we did it by controlling spending. this year, since our legislature passed our budget, i have had to cut the budget 9%. you can do it. businesses do it. families and do it. the government can do it. bobby jindal has cut his budget. mark sanford, charlie chris, and others have cut the budget by more than $10 billion. the governors and step up to the plate and make tough decisions. at the same time, in washington, the idea that you could cut spending it drives cold chills up their spines, those of them that have spines. [laughter] [applause]

think about, isn't this administration has been in the, stimulus reported think about it, since this administration has been in -- think about it. since this administration has been in, every month they were spending trillions of dollars. now the president has produced a new budget for this coming year. it has a $1.6 trillion dollar deficit. do you know that when newt gingrich was speaker of the house, the entire federal budget was 1.6 trillion dollars?

now these people are proposing that as a deficit. our children, our grandchildren, and our grand children's children will have to pay it. it is going to make our debt harder to sell to the chinese or to anybody else. some people say this is just the kind of inflation we had under jimmy carter. the american people know it is wrong, and they want to put a stop to this. [applause] they want to put a stop to this, and the place to put a stop starts here. we have a tremendous candidate. you are going to see around the country, obviously the

gubernatorial candidates. there are people with outstanding records, the kind of people you can be proud of, the kind of people that will step up to the plate and bite the bullet the way they have done in new jersey and virginia. they got elected to control spending. they made the cut. they are getting their states back on the right track. of course come up many of us still have health care reform on our -- of course, many of us still have health care reform on our minds, because it is another gigantic spending bill. they used gimmicks to act like it is only a trillion dollars spending bill. it will be twice that. but more importantly, it is

going to drive up to the cost of health care. it is going to make your premiums go up. . . >> they are going to spend at more than they take in than was predicted several years ago. they will have to take $15 billion in losses because of the health care reform bill.

caterpillar just announced that they are going to have to cut back health insurance spending for their company because=ç of e wasp -- because of the losses they are going to take because of the health care reform bill. you know, the democrats keep telling us -- the more people learn about the health bill, the more they will like it. i think just the opposite is true. no, when they meet at 16,000 new irs agents to enforce the health care bill, how could that be the case if the american people are going to like it? [laughter] [applause] my hat is off to our friends in congress -- mike pence. is he not great? is he not just great? [applause]

john boehner, mitch mcconnell, jon kyl, lamar alexander -- that we're going to keep focused. ron paul, sure. [applause] the ones in congress who are replace this law with good policy that need to have our support. i hope you will support us governors who are litigating this in the federal -- in the federal courts. [applause] any of you that have the opportunity to study history and the history of our constitution understand that, in our constitution, we have limited government. the constitution, which comes from the people, through the states, gives whatever powers the federal government has and no more -- and no more.

it is a matter of limited government. i believe, as do a number of my colleagues, that there is nowhere in the united states constitution, including the commerce clause, that says that the federal government has the power or authority to force every citizen to buy certain products, whether it is health insurance or any other product. [applause] and we are going to litigate that in the united states supreme court. and no matter what new liberal the president appoints to take justice stevens place, i like our chances in the united -- in the united states supreme court, that we have a constitution that requires limited government, that our government is a people with the government, not a government with a people. [applause] that the power comes from the people in america.

we're going to keep working hard on this. the good news is much of it does not taking effect four years. -- for years. the bad news is that it got past. i did not get your congressman's to back's announced that he was not going to -- congressmen stupak's announcement that he was not going to run, but i will be set i am sorry. the energy policy is predicated on the idea that we ought to drive up the cost of energy so that americans will use less. every time that has ever happened in the american economy has been because of a recession or depression we use less energy than we used to -- depression. we use less energy than we used to, but we still have an economy that runs on energy, particularly manufacturing. yet barack obama said during his

campaign in 2008 to the san francisco chronicle -- i guess he knew who he was talking to -- he said, under my cap and trade plan, electricity rates will necessarily skyrocket. the secretary said in 2008 -- the new secretary of energy -- what we really need in america is to get the price of gasoline up to where it is in europe. well, we do not need that in mississippi. i can tell you that. for dollar gasoline brought us to our knees -- $4 gasoline brought us to our knees. these are predicated on government spending and no concern about what it costs. what energy -- what energy costs you, what health care costs you -- it is all about more government power, more government spending. for myself, i believe that the

right energy policy is more american energy. [applause] that will make america work. let me close by reiterating what i said to you. i hope nobody here at spends one with the time -- one whit of time thinking about the 2012 presidential election. we can take care of that after the november, 2010 elections. [applause] the critical issues i have touched on tiptoe -- i have touched on, tiptoed on -- we have to start fighting those now. we have to win this election. what ought @ @ @ @ being from mississippi, i am -- being from mississippi, one

mississippian i am proud of is fred smith, the founder and ceo of fed ex. fred has an expression i want to share with you. the main thing is to keep the main thing the main thing. [laughter] [applause] the main thing is to keep the main thing of the main thing. it did not get distracted by 2012 is what he is saying. do not take your eye off the ball. remember what matters. how do we win in 2010? we stick together. [applause] we werork, we work, we work.

we organize. we give it. we campaign. some of you will run for public office. we welcome every single one of you. that conservative unity has to be part of the conservative energy. i can tell you -- [applause] the democrat's fondest hope is to see tea party or other conservatives split off and have a third party to split the conservative bas upe. barack obama -- a split the conservative base. barack obama has been down on his knees praying for the conservative vote to be split in 2010. we cannot let that happen. we cannot let that happen. we have to stay unified. [applause]

we have a tremendous opportunity. as you know, i was chairman of the party the last time we were here in 1994. and i am very proud, and i think republicans have our right to be proud of newt gingrich and all the people involved in 1994. i will tell you about this fact of which i have no fear of contradiction. the political environment in america of april 2010 -- april, 2010, is better for republicans than it was in april, 1994. [applause] i say that to you -- and i will tell you, that has been primarily driven by policy -- bad policy. it has been driven by what the obama administration in nancy pelosi and harry reid and the democratic majority -- by the

policies they have tried to cram down the country's throat. people are energized people up -- people are energize your people are agitated. -- people are energized. people are agitated. people are also scared. are there children and want -- are their children and grandchildren going to inherit the same opportunities that we have benefited from so greatly? that energy -- the wind at our back is far greater today than it was in spring, 1994. but the election is not today. the election is nearly seven months away. how are we going to keep the environment like this? how are we going -- this wind that is at our backs -- how are we going to make sure it fills up our sails?

first of all, we have to work. we have to work. we have to work together. we have to welcome everybody that wants to work with us. we have to recognize sometimes somebody that has never been involved before may run in the primary and beat the incumbent republican. when they do, they become our candidate. they become our candidate. [applause] we got to -- we got to say to people in the tea party or any other group of independents or people who have never been republicans, or four republicans, or democrats, for that matter -- people that think like us at, who believed in what we believe in -- we have to welcome them, and not just make them feel welcome. they have to be welcome. they have to have an opportunity to participate at. they need the same time in the

batter's box that i get in the batter's box. [applause] that is what it takes. it takes unity. now, in a two-party system, both parties are necessarily coalitions. not everybody in the republican party is as conservative as haley barbour. i will tell you something else. you cannot elect haley barbour governor of vermont. [laughter] we have to understand that every state is not as conservative as mine. if you're going to put together a majority, if we are going to put together a majority, we need to be sure that people -- as ronald reagan used to say, a fellow who agrees with you 80 percent of the time is your friend and ally. [applause]

we, as a party, need to welcome the people who want to get rid of the folks who are in office now. we need to make them feel welcome and we need to make them be welcome. give them something to do. give them a chance to participate. and with what they are doing. i can tell you, in my state that tea party has tremendous energy and have been great partners for republicans in putting a ballot initiative on with conservative ideas. [applause] i am here today more as a former party chairman then as governor, because i am so focused on winning. if we did not win, we cannot fix

things. [applause] you cannot be a statement until you hold an office of state, we used to say. [laughter] and we all need to, yes, we have to stand up for what we believe in. we have to let the things that unite us be the things that we emphasize. with conservative unity, we will start taking this country back, with there were majority of republican governors in november -- with a majority of republican governors, a majority in the house of representatives in november, a majority in the u.s. senate in november. this is within our grasp. [applause] this is within our grasp. but this message of unity is so

important, and we cannot let it -- we cannot let ourselves be torn apart by the idea of purity. in a two-party system, both parties are necessarily coalitions. we want our coalition to drive our policies of conservative spending, borrowing, debt -- go down the list, from national security to the social issues that mike was talking about -- we have to get more than 50% of the vote for our policies to become the policies that will save the this great nation -- will save this great nation for our grandchildren. please leave here unified and stay that way through november and beyond. if you do, we will celebrate a

great victory in november. thank you. [applause] ♪ >> thank you, governor. that was a great, great speech. first of all, it has been an honor to be your master of ceremonies for the first portion of this great conference. and now i would like to bring on our republican chairman for louisiana's republican party. [applause]

>> thank you. it is great to be here. thank you for being here this weekend. we have just had a fantastic weekend. what i would like to do at this time, i would like to call up some of my fellow rnc members. we have a number of state chairmen, the minutemen, committee women -- committee men, committee women. we a people from over 40 states and a number of foreign countries here -- we have people from over 40 states and a number of foreign countries here. i would like to just recognize all of our rnc members from all over the country that are here with us today. ♪ [applause]

we have a number of former members. i would like to thank them if they are in the crowd. we just appreciate everybody being here with us and our leadership and our chairman and co-chairman who are with us this weekend. these are the leaders of the republican party nationally, for our southern states, and a number of other states. let's give them our round of applause -- a round of applause. [applause] thank you all so much. i just wanted to get you all recognize. at this time, our next guest is a brilliant conservative. he is arabia show host and is from the peach -- he is a radio show host and is from the peach state. he has done a great job and hard work throughout his career. he graduated with a degree in mathematics, followed by a

master's degree in computer science from purdue university. while working as a mathematician for the department of the navy. he is a successful businessman. he worked for coca-cola and pills vbury. today, he champions conservative causes through is radio talk show -- through his radio talk show and as a fox news commentator. welcome. [applause] >> thank you. good afternoon. y'all can do better than that. good afternoon. that that sounds like we're going to win in november, 2010.

that's what i am talking about. we hold these truths to be self- evident -- that all men and women are created equal, that they are endowed by their creator with certain inalienable rights, that among these are life, liberty, and the pursuit of happiness. it did not say anything about a guarantee. [laughter] and i do not know and i have not been able to find anywhere in the constitution where it says, in washington, d.c., we are supposed to have a department of happy. [cheers and applause] it is not there. life, liberty, and the pursuit of happiness. i love when i get callers who say, the pursuit of happiness

is under attack. the american dream is under attack. i say, you're absolutely right. they say, what can we do about it? i say, you take that same document and keep reading. because if you keep reading, you will find out that it says, when any form of government becomes destructive of these ends, it is the right of the people to alter or abolish it. we have some altering and abolishing to do. [cheers and applause] we have some altering and abolishing to do. and did you notice that i said that second paragraph without a teleprompter? maybe somebody else carshould

read the declaration of independence and the constitution. [cheers and applause] as we say on my radio show, if they read the constitution and the declaration, they just might learn something. [cheers and applause] this country was founded upon the american dream. my dad was the greatest example of that. that is where i got my passion. he walked off the farm at the age of 18, with the clothes on his back. he and my mom and dad a settlement in atlanta, georgia, where they raised my brother and i. dad used to work three jobs -- barber, a janitor, and chauffeur -- all at the same time. he knew that in order to pursue his american dream, he had to

use the only kind of equity that he had, which was sweat equity. and he did achieve his american dream. [cheers and applause] now, we have a president and an administration and congress who want us to expend our sweat equity more and more for the government instead of for ourselves. and we have got to alter that scenario. [applause] and so i believe that even though the american dream is under attack, the american dream is not dead. and we have got to defend it. that is why many of you all are here and that is why i am here. that is why we do what we do. that is to defend the american dream. how do we do that? i am going to give you three

suggestions -- three simple ideas. as we look toward november, 2010, i could not agree with my friend haley barbour more -- our focus has to be on november, 2010. we have to change the balance of power in washington, d.c. that is job number one. [applause] now, three things we have to do. we have to stay connected. stay connected. we have to stay together. that is what the liberals and dems want us to do. they want to pick the rubble of an party against the tea party -- they want to get the republican party against the tea party. you have a right wing constituency, a left-wing constituency -- the are trying to put a face on conservatism in america. if that does not work, they try to find another face the book on it. they are trying to divide us and

we have to stay connected in order to win. stay connected. [applause] secondly, we have got to stay informed. you see, if you do not stay informed on the issues, you just might be tempted to bring some liberal kool-aid by accident. you just might be tempted drink some liberal kool-aid by accident. we have got to stay informed. i could not believe what i heard nancy pelosi say about the health care deform legislation before it was passed. we have got to pass it, so we can then tell you what is in it. [laughter] i wrote a book titled, "and they

think you are stupid." i need to rename it. nancy believes we are all stupid. this is why we have to stay informed. their strategy is to take in vantage -- take advantage of the misinformed and under-informed, and people who do not have a clue who can connect the dots. we have to stay informed. [applause] when people have the right information, thomas jefferson said, they will make the right decisions. that is our job. that is our job. i am glad that i am a radio talk-show host and had the opportunity to follow the health care bill ever since they introduced it in all of the -- ever since the introduced at and all the different modifications. you have the house version, the

senate version, the reconciliation bill. because i am on the radio five nights a week out atlanta, i needed to follow it to help people understand. many people are busy trying to run their lives. they are busy trying to take care of raising their children and pay for their education. we have to stay informed as to what is going on. i am glad that i did. when they were passing this health care deform legislation, one reason i am so passionate about this -- not only about the health care deform legislation, but also about the cap and trade and tax and kill bill that they passed on a party-line vote -- is i have personal experience. if obama care had been in place, if you would be listening to somebody else in this time slot. [laughter] back in 2006, i was diagnosed

with stage for cancer -- stage four cnceancer in my colon and liver. my first surgeon said that was as bad as it gets. i got another surgeon to give me a second opinion. [laughter] the second surgeon at least said, you have a 5% chance of even being alive in three years from now. i said, doc, what is the game plan? that is the business dna kicking in. how do we solve the problem? he said, we want to give you chemotherapy and see how that works to make sure we have isolated the right one. then we will do surgery. we will take out 30% of your colon, 70% of your liver. you'll recuperate and then we will give you more chemotherapy.

and then, if you are blessed, you might have a chance to be around for awhile. you see, as of january the first, 2010 -- 2007, for three years, three months, and 10 days, i have been totally cancer-free. [cheers and applause] there are two reasons for that. two reasons that i am standing here today. . the number one reason is god said, not yet, herman. you got some work to do. not yet. and number two, we do not have a

health care crisis in america. we have a health care cost crisis in america, and obama care would have killed me. i would be dead. [applause] we have got to stay informed so we can fight the battle. you know, one thing when you are dealing with fighting liberals, they love to shift the subject, ignored the facts, and call names. uc get all the time. i call it -- you see it all the time. i call it sin tactics. janine rafah low -- garofalo. when she accused the tea baggers and conservatives of being racist, redneck, tea baggers.

i had to go look in the mirror to see if i missed something. [laughter] they name call. they cannot defend this bad legislation on fact, because to paraphrase jack nicholson, the cannot handle the facts. so they name call and shift the subject. first, stay connected. second, stay informed so that you do not drink the kool-aid. third, state inspired -- stay inspired. they want you to believe that we cannot take back control of congress. we have to stay inspired and believe that we can take it back. when my dad walked off of that part at the age of 18, he believed that he could achieve his american dream. one of his dreams was to give

his sons a little bit better start in life than he had. and he did. that is one of my dreams -- to give my kids and grandkids little bit better start in life. that is what you are fighting for, to be able to protect and defend the american dream, so that you can give your kids and grandkids a little bit better start in life in the greatest country in the world. [cheers and applause] so, we have to stay inspired. state inspired. the way we stay inspired -- we have to have bumblebee power. when i was a student at morehouse college, i majored in mathematics and minor in physiced in physics. ability is not supposed to fly -- a bumblebee is not supposed to fly. but we see them fly all the

time. physics and mathematics students have been trying to prove that of a bumblebee can fly, even though we know that it can. they will take equations of motion, the same equations that designed of those airplanes you flew here on and will fly back on, so they take those equations and take bumblebees and put them on a wind tunnel and get their critical measurements. the measurements of their wings and their aerodynamic properties. they put them into the equations of motion and run the program. the program says, the sucker can't fly. [laughter] so they think they made a mistake. then the next year, a professor would find another ph.d. student who said to another student to do the same thing.

they do it again. they put it in a bigger and faster computer. the bigger and faster computer comes back with another message -- the sucker still cannot fly. there is only one reason that the ball being -- the bumble bee flies. the bumblebee believes he can fly. [applause] he believes he can fly. i believe we have the greatest country in the world. and i believe that in november, 2010, we're going to take back our government and i believe that america is not going down -- not now, not ever. and i believe in the deaths of

my heart -- depths of my heart into the bottom of my soul, that the american people -- some people call it the tea party movement, some call it the intelligent thinkers movement, the americans for prosperity movement -- the american people are sending a very clear message to the people who are controlling our house of representatives, controlling our united states senate. the message is clear. we're going to send it today. we're going to send it in april, march, june, july, august -- all the way up to november. we, the people, are still in charge of this country. [cheers and applause]

i forgot one thing. we have a lot of things to do and i agree with haley barbour. stay focused on 2010. you have a lot of great speakers. we have a lot of great people who are going to try to help us take back the white house in 2012. but we do not need to focus on that. keep one thing in mind when you get to 2011. there are a lot of people that might be interested in seeking the republican nomination, but i want you to remember one thing --kzñ there might also be a dark horse candidate you do not know about. [cheers and applause]

>> are we all fired up? thank you, mr. cain. wow. [inaudible] all right. there are few people that you can trust more than your doctor. our next honored congressional speaker is able to use that inherent trust and confidence to represent the people in his district in an extraordinary manner. as a professor of minute -- as a professor of medicine at louisiana state university, he has taught doctors in training for the past 20 years. he is a dedicated conservative and he was a very vocal opponent of the obama health care plan. >> yes, he was. >> he has the experience to back

up those criticisms. it is my pleasure to welcome, without further ado, our congressman. ♪ [applause] >> you know, i am a physician -- a gastroenterologist. i tell people that it prepares you very well for washington, d.c. [applause] looks ask me why i ran. -- folks asked me why i ran. i have taught students entreated the uninsured. my life's work has been health care reform to bring insurance to those who could otherwise not afford it. one reason i ran was because i was frustrated with the fact that government, when it came

to health care, consistently over-promised and under-funded. that raises expectations. when you under-fund, the only way the government can manage that is to lengthen the line and decrease the quality. as a doctor for 20 years, i cannot understand that when it comes to your health care, if you link the and lower the quality, it is your health that is at stake -- if you and then -- if you lengthen the line and lower the quality, it is your health care and that is at stake. we're told, no, do not worry, it is different. as they said this was different, both parties use the same rhetoric. the president described his plan as -- i am struck by the

bureaucracies and commissions. the new taxes -- 16,000 irs agents to look through the books and collect those taxes. and not as patient-centered -- and that is patient-centered. republicans have a different idea of what is patient- centered. with a been talking about health savings accounts, a republican -- we have been talking about health savings accounts, a republican idea. clearly some of you have them and what they are. for a family of four, throughout the year, they can put $12,000 to purchase insurance. at the end of the year, if you do not use it, you put up another $12,000 and purchase insurance for the next year. with the health savings account, you divide that money, put it into a banking account, and if you do not spend it, you keep it. if you do not spend it, it rolls over to the next year and lower your health care cost for the next year.

the impact of this is powerful. if you put a patient in control of her dollar and her health, not only is the pocketbook of year, but so is the patient. i mentioned this to a friend of mine, not my patient, but a friend. he said, i have a health savings account. he wrote me a prescription for a pill that i knew from experience cost $159. he did not say $160. he said $159. he said $159, can you write me something generic instead? i said, no. he writes another for a generic that cost $20. they give the same clinical effects. the patient in the system saves $139. now, that is limited government which lower taxes, builds upon free enterprise, republican principles, to put the patient in the middle. [applause]

do you know that, under the plan the president just had passed, which ms. pelosi forced through, you cannot use your health savings account to pay for generic drugs? in the future, this man cannot pay $20 instead of $159. he must buy name-brand. no wonder big pharma endorsed. give me our basic -- give me our version any time over their version. [applause] at our ideas are of more liberty. our ideas are of you keeping your money. our ideas are the creativity in genius of the american people. their ideas are higher mandates and more bureaucracy. on the other hand, our ideas did not prevail. there's a did. it was not because our ideas

were not better. -- theirs did. it was not because our ideas were not better. it was because they have the numbers. this is where you come in. i was one of three republicans that one over democrat incumbents last cycle. it was not because of something special about me. it was because of what is special about you -- the republican activists in my district, with their idealism, enthusiasm, and efforts. [applause] oh, yes. é@i applaud you. 40 years from now, they're going to write the history of the november, 2010, elections. the real story will be about you. whether or not when we leave this conference is our enthusiasm, our donations, our idealism, are activism, which flows out across our country to

elect more people who advocate and implement these republican patient-centered ideas. that is the challenge before us. i thank you for coming to this conference. i thank you for sacrificing in caring for this country. i look forward to reading that history. i hope it is the correct history. if it is, you will be the subject. thank you very much. [applause] ♪ >> let me do one more thing. it is now my privilege to introduce governor pawlenty on video. hey, they're i am. i just saw that. -- hey, there i am. i just saw that.

since going to congress, my hair has gotten more break. my wife says there is a way to fix that, but that is for a later discussion. tim pawlenty is a good man. he often says people's politics are rooted in where they come from. for him, it is minnesota, a blue-collar, working-class neighborhood that was home to the largest stockyards and meat packing plants in america when he was growing up. he was one of five children. his father was a truck driver when he was young. he worked hard. tim was one of the first in his family to graduate from college, despite the fact that his father died -- his mother died when he was a child. while tim went to law school, his siblings worked as teachers, homemakers, and grocers, and remain at the center of the world, at -- a center of his world, even though they were democrats. at least until he became the governor and then they became

republicans. i share with you his background, because his leadership is centered in the values he learned at the dinner table with his family -- values of hard work, family, and the promise of opportunity. tim's values have guided him as governor where he has worked to reform schools, cut health care costs, and keep a lid on taxes. it is not easy in a liberal states like minnesota. tim has gone toe to toe with democrats and special interests. minnesota has flourished. it has the highest high school test scores. it has an economy doing significantly better than most. while being a conservative and fighting the liberal minnesota establishment can be lonely, he has been married for 22 years. they met in law school. his wife also has a career, serving as a district judge and raising their teenage daughters.

after discussing this with his family, last summer he announced he would not seek a third term as governor. since then, he has created the freedom first act which is helping candidates across the country. he was elected the chair of the republican governors association and has played a vital role in new jersey and virginia. it will be important in the 37 governor races next year. the top priority continues to be to finish the term strong. his proposed landmark health care reform, including the first to make minnesota to allow citizens to buy health insurance across state lines. the new constitutional amendment that would tie future spending increases to revenue. he wants to ensure that his hard work to rein in spending is not undone by future governors. it is my honor to introduce the governor of minnesota, tim pawlenty. thank you very much. [applause]

>> greetings from minnesota. thank you for giving me a chance to say hello. being southern republican leadership conference -- the southern republican leadership conference is a great gathering. you have a wonderful lineup of speakers, including three of my terrific friends -- sarah palin, haley barbour, and bobby jindal. they represent the best of what our party has offered. i am working hard at the republican governors association. we are optimistic that voters of new jersey and virginia's lead and elect more republican governors this fall. contrary to what you might have hurt, i did not cancel my trip because the saints beat the vikings on the way to the super bowl of the months ago. although, that does remain a sore spot between bobby and me. i am in minnesota today to welcome home the 34th red bull infantry division of the minnesota national guard. [applause] every soldier returning w fromar deserves ourthanks -- returning

from war deserves our thanks. 1200 soldiers are returning from an extraordinary mission. they were among the first national guard units to ever leave active duty troops in the war. they led about 14,000 u.s. troops and thousands more iraqi troops, helping to ensure stability in a critical part of the country. our nation is facing a lot of challenges -- high unemployment, rising deficits, failing schools. when i meet the brave young men and women in our armed forces, i have great confidence in the future of our country. while i regret i will not be able to join with you in person today, i know you will agree that our soldiers always come first. [applause] i have enjoyed meeting many of you during my recent trips to texas, louisiana, alabama, arkansas, georgia, and florida. it seeing so many republicans is certainly a nice and welcome

break, coming from the land of mondale, humphrey, and now, united states and theal franken. -- united states senator al franken. to create jobs and grow this economy, we need to empower entrepreneurs and families, balance the federal budget, and use market-based reports to fix things like health care and schools. americans understand this. the work that you are doing now at the southern republican leadership conference will pay off with republicans winning up and down the ballot this november. thanks for all you do for our cause. best of luck at your conference. and i will see you down the trail. [applause] ♪ >> wow. it has been a great day so far. we have a whole bunch of great

speakers coming. our next speaker is one of the most outspoken critics of big government. helping to provide comfort -- inspiration for the tea party movement that is for a sweeping louisiana and the nation. he enjoys a national reputation for being a premier advocate for liberty in america and promoting ltd., a constitutional government. he promotes lower taxes, free markets, and a return to a sound, monetary policy. [applause] he is known for his consistent voting record in the house of representatives. dr. pual -- paul never vote for legislation unless the proposed measure is expressly authorized by the constitution. novel idea. ladies and gentlemen, our constitution is worth defending, and dr. paul wants us to defend

it. please join me in welcoming a true champion for limited government, dr. ron paul. [cheers and applause] ♪ >> thank you. thank you. thank you very much. thank you. thank you. >> ron paul! ron paul! ron paul! >> thank you. [cheers and applause] thank you. it sounds like a freedom rally. thank you very much. [cheers and applause] well, it is great to see so much

enthusiasm for the freedom movement and limited government. i want thank the host of the convention for and by now. i'm delighted to be here among friends. my wife is here today and i'm very pleased with that, too. [applause] you know, this last week, our report came out on friday -- a report came out on friday from the treasury. it shocked even me, even having been concerned about deficits 35 years ago. yesterday, it was reported by the treasury that this last week, our national debt went up $106 billion in one day. i would say it is time to it end that kind of spending and get rid of the deficits. [cheers and applause]

getting rid of the deficits is easily said. i guess everybody wants to get rid of the deficits. there is an effort in washington today, and our side of the aisle, which is well-intended, might do some good, but i think it comes up with too shorts. that is dwelling on earmarked -- but i think it comes up too short. that is willing on your marks. -- dwelling on earmarks. you end up giving the money to the executive branch who will wasted even more than congress will -- who will waste it even more than congress will. earmarks are the responsibility of the congress. we're supposed to designate every single penny that we spend. we're not supposed to let the president do this. i do not like a strong executive

branch. i want a strong congress that exerts its prerogative. [cheers and applause] what we need is not to tinker with earmarks, but to vote against the entire package, the of preparation bills, until we get the budget under control -- the appropriation bills, until we get the budget under control. also, the definition of an era armark is very important. it is when your congressman says, why do we not get some of our highway funds back and spend it in our district. when it comes to earmark for building an embassy, which we are now doing in london, which is a fortress, it is going to cost as $1 billion. what are we doing that? it makes no sense whatsoever.

we're tinkering around with some spending bills here and trying to build a highway. we have spent $1 billion on an embassy in baghdad. we're spending and another $1 billion on an embassy in kabul, which does not make sense unless you think we have unlimited funds. we do not. this is the message that is coming today. [cheers and applause] the reason why the american people have awoken and are so upset and annoyed and are acting outside the party system is because the country b isroke and the people in washington -- is because the country is broke and the people in washington will not admit it. we have two good choices, if you think we should have a balanced budget. one, we raise taxes. i have not met republican that wants to raise taxes, then goodness. the other side of the coin is, cut spending.

now, if we were so good at cutting spending, where were we when we had that chance? we have created -- [applause] as republicans, we have created a credibility gap. we talked a good game. but when we get the chance to do something, we have not done the job that we should have. i will tell you what, though, we are doing a better job now, in opposition. the credibility is -- when we get the chance again, which i believe we will, how credible are we going to be? how well are we going to stick to our guns? how significant are we going to -- are we going to take our oaths of office seriously? if we did nothing else but to let individuals who you could

trust that what all obey the constitution, -- that would always obey the constitution, we would get out of this mess in no time. [cheers and applause] the question has been raised as to whether or not our president is a socialist. i am sure that some people here believed it. i know that this concord -- this conference has talked about that already. he deserves a lot of criticism. in the technical sense, in the economic definition of what a socialist is -- he is not the socialists. what he is is a corporatist. we have corporatists in the republican party, meaning you take care of corporations and a

takeover and run the country. we see that in the financial institutions and the military- industrial complex. [cheers and applause] and now, we see it in the medical-industrial complex, who runs maedicine. think of how corporations gap between the doctor and the patient -- got between the doctor and patient. .

the simple answer would have been to reject it. the next thing would be to throw it out. that is not going to happen. there is going to be one piece of legislation i will introduce. it will probably be only one page long. [ears and applause] it will be to remove the mandate that you have to participate if you do not want to. [applause] i have a belief that if we always retain the option to get

out, no matter how bad the government bears down on us, we can survive. have you noticed education is a mess since the federal government got involved in it? do you remember the old days of the republican party when our platform said to get rid of the department of education? [cheers and applause] fortunately, we have had the private auction protected. you still have the right to opt out, educate your own kids, or send them to private school. [applause] in medicine, we need that same option. you need to be able to opt out of the system. they talk about the public

option. everyone knew that was a term for a total socialized medicine. they did not win that fight. the corporations won the fight and benefited. if we allowed the people to get out of the system, this means you could have medical savings accounts and deducted from your taxes. this would be so much better. they talked about the public option semi-times. how many times did they talk about protecting the private option? [applause] if we are going to get back to a balance, the constitution would get us there. we have to decide where to cut. when have we cut anything over the last 34 years? -- would have to cut anything over the last 30 or 40 years? we have accepted the notion that

government should be doing all of these things. government really does reflect the prevailing attitude of the people. if a politician wants to run for congress and says i am going to vote against all of the spending, traditionally, that guy lost. something is stirring now. in this election this year, that does not hurt your chances of being reelected or elected. [applause] we only have two problems in washington with spending. we have conservatives and liberals. they both like to spend. they spend money on different things. they like embassies, occupation, the empire. they like to be in 135 countries and 700 places. did you hear the news?

just this weekend, there was a revolution in kurdistan -- kyrgistan. we have bases over there. we are running out of money. no matter how badly you like to have them, all empires anend for financial reasons. that is what things are telling us today. [applause] if you want a strong national defense, it should be designed for defense and not to support preventative wars. it should not be to support wars better undeclared. it is rather conservative to say that it is good to follow the

constitution except for war. let the president to work anytime he wants. if you want to the war, only congress can declare the war. the fight it. when it and get out of there. -- go fight it, whenin it, and get out of there. [cheers and applause] ron paul, ron paul! >> politically, it is much easier and makes more sense to cut the militarism and the bases overseas than to cut child welfare here at home.

i do not hesitate for a minute. i know we would be stronger for it. when we went to korea, i was in high school. that was 60 years ago. we're still there. it costs us a lot of money. what we have to have troops there? we do not have troops in vietnam. we came back to vietnam. people were embarrassed about that. the imam, in our feet, are better friends and more capitalistic the north korea. north korea is not our friend. 20 years of the french and american trying to tell the vietnamese have to be westernized failed at a horrible cost to us. we have won more in peace than in war. they are our trading partners now. we can do better with peace and with war -- thank wit with war.

if there is a need to go to war, it should be done properly. the rules would be quite different. if you are an advocate of personal liberty, we are advocates for limited government, small government. small government is one thing. it is easy to say that we want less taxes and regulation. that is fine and dandy. but do we want to make sure that every individual has a right to life and liberty? i would say yes, everyone has a right to life and liberty. [applause] when we talk about protection of all life, i mean, the protection of all life, not just life designated by liberals. i believe premature life is just

as valuable and should be protected. [cheers and applause] it also means that if you are going to protect liberty, you will protect personal choices. we have no trouble protecting personal choices when it comes to our churches and intellectual interests. people are allowed to read, study, and what they want. as soon as it comes to something that we want to put in our bodies, all the sudden the government has to tell us what to do. i would say that we do not need the government to tell us whether or not you are allowed to drink raw milk or not. i would say that should be your own decision. all smoking and drinking are dangerous and harmful to your help. but those decisions are made by the individuals in a free

society and not by the nanny state. [cheers and applause] it has gotten to the point where they designate your diet, how much fat you are allowed to have, and whether you are allowed to have salt. those are problems. but why have we lost our confidence in ourselves that we can deal with this? dangerous things for our children should be handled by the parents, just as education is. [applause] we have a long way to go. we are in a very difficult situation. the reason we face the crisis is because we are bankrupt. no one can come up with a solution. everyone is arguing.

the fact that so many people consider themselves conservatives and champions of limited government -- they are not acting within the party system. they are frustrated. they want to see the credibility regained. it will involve cutting spending. you cannot pick and choose. you need to cut spending every place and get back to a balanced budget. [applause] more specifically, why are we in the financial crisis? is this something that just popped up and there is nobody to blame? we have this commission in washington studying it. they have this whole commission with a bunch of guys. they had a bunch of witnesses come in. not one single person who is a member of the commission and not a single witness endorses free market economics.

that is where you will find the economic answers. [applause] the free-market economists understand the business cycle. they predicted the breakdown in 1971. they predicted all of the events since 1971 with the destruction of the dollar. we are rapidly moving into an inflationary stage. we are not over the financial bubble and problems. it just started. i hope i am wrong on this. but as time goes on, we are going to work our way into a situation that is going to combine the vicious downturn of the 1930's with the vicious upturn of prices and inflation of 1970. that will be very devastating. that will be a threat to all of our liberties and institutions. medicare and medicaid are bankrupt. you cannot save medicare and

medicaid by creating another $1 trillion medical program. [applause] in the 1930's, they have a similar commission. they came to the conclusion that the problem was that the fall of the gold standard, which they did not. they also did not have enough regulations. we already have too many then. what did they do in the 1930's? they got rid of the gold standard and piled on all of these other programs and prolonged depression. that is what we're doing. the conclusion looks like it will be a lot more regulation. i am for a regulations. the number one regulation is to regulate the federal reserve system. that is what we need to regulate.

[cheers and applause] the beginning of the tea party movement came a year or two ago during the financial crisis. they knew about the tarp funds. those were appropriated by republicans and democrats. the money was wasted to bail out friends. nobody knew where the money was going. this upset a lot of people, rightfully so. when they found out the federal reserve created to dollars trillion out of thin air -- created $2 trillion and passed it on to friends, that created a lot of outrage. the federal reserve can loan money to other central banks and government.

creating money out of thin air and making deals like that, it can be involved in foreign policy and who knows what. i will tell you what they cannot control. they can think that they are improving things and get some gp numbers to come up, but they cannot protect the value of the dollar. that is what you need to watch. that will be the consequence of excessive government. that is what destroys nations and republics. it is up to us as the party right now of limited government. you cannot be for limited government halfway and rejected on the other way. the whole way has to be limited government. [applause] that is the only way we can regain our credibility. that is what is necessary. what we do as a party will not

suffice. what we do between now and november will make the difference. they have to believe that we believe in what we're saying. we can say it, but are we going to do it? that is why we have people drifting outside the party. if you want the people back agaiin and if you want the young people, you had better look at these viewpoints. about 100 years ago, freedom was divided into two pieces, economic liberty and personal liberty. personal civil liberties or the same as economic liberties for the town fathers. if you believe in civil liberties for personal choices, you ought to believe it for economic choices as well. we need to put that back together. in makes sense to the young people i talk to. there is a revolution on college campuses right now.

[cheers and applause] they are not looking for handouts. they are looking for freedom so that they can get a job and take care of themselves. [applause] the ultimate goal of all our political action should be to strive for liberty. that is what i am dedicated to. i have been doing it for a lot of years. there is a lot more interest right now, mainly because the country is in trouble. our goal should be for seeking liberty. why do we seek liberty? the purpose of a free society is so that individuals can be responsible for ourselves and take care of ourselves and our families. it is also there to seek excellence and virtue. that should be the ultimate goal of what we are as individuals. if you have an authoritarian

government, that is what we are approaching. we do not have our privacy. we have intrusion from government on everything we do. if we allow the government to take over this role, if we allow the government to promote economic equality like the liberal do-gooder's want -- they say it will make the economy better and fairer for everybody. we know that socialism fails. it might make them equal, but they will all be equally poor. [applause] the same argument can be made for those who say that will make you a better person by writing a lot of rules. the only person you have

endangered by making mistakes is yourself. governments cannot do that. governments cannot protect you from yourself. that is what we're trying to do. i would say to give up on it. why not look to the rules and regulations we have been given? they have been written down. it was the best document ever written. is just too bad that we don't ever follow it. i have a lot of young people come to my office. i am delighted to see them. frequently, the college and high-school students come in. they've gotten wind of the freedom philosophy. the command and their parents readily admit it. i will ask to discovered the freedom philosophy first. it is usually the teenager. they have made the parents listen to it. that really pleases me. when the young people come, i

have a habit of passing out constitutions. the constitution is pretty thin. there are not a lot of words in there. everybody in this room could read it. i could not understand a lot of what was in the 2000 page medical government -- document. it only took one page for me to discover i did not like it. the constitution is understandable. it is so great. the tragedy is that we do not follow it. i hand a copy to the youngsters and tell them i hope that they will read it. they will get a chance. a crisis is coming. your generation will make a decision on what the role of government ought to be. should the role of government be there to protect your liberty? should be there to run the economy, run your life, and police the world? the reason and give it to you is because i have not been able to get anybody around this place to read it. [applause]

i know a lot of people in here do a lot of thinking for themselves. h.l. mencken said the most dangerous man to government is the man who thinks things out for himself herself. that is what really counts. that is why a free society is so important. you have this privilege and access to the material. in the 1950's when i got interested in studying the freedom philosophy, i could not find the literature. it was not in my schools. it was not on tv or on the radio. it was not with politicians. you could find some books about economics and the foundation of economic education. the miracle for the freedom movement is the internet. the internet, the information is

spread. they will never put it back in a jar. you cannot do it. people know about it. this movement is demanding liberty and limited government. it is growing by leaps and bounds. let's hope and pray it changes the country. right now, we're in deep need of change. i thank you very much for the opportunity to visit with you today. [cheers and applause] ♪ >> thank you, congressman paul. be careful, watch the edge of the stage. a couple of housekeeping items.

the voting will go on until 5:00. do not forget to go vote. if people want to sit down, there are more seats on this side. you can sit down on this side a little bit. let's give him a round of applause. [applause] thank you. wow. we have heard from some great speakers. we have heard from a number of medical doctors. we're blessed in louisiana to have free medical doctors and our delegation. i think we are the only delegation to have three medical doctors. we're going to hear from another one right now. our next speaker is a member of the louisiana congressional delegation.

like our other delegation members, he is a strong voice in our discussion surrounding health care. he is about health care reform. his background is in family medicine. dr. john flemming represents the fourth district of louisiana. he has represented the interests by fighting for sound, economic policy, jobs, and a sensible health care reform. he wants a solid energy policy. he is for traditional family values. dr. fleming is a member of two house committees, the armed services committee and natural resources. his experience in the navy lead to the foundation for his medical practice. it has been an award-winning success. at this time, i would like to welcome dr. john flemming.

[applause] >> good afternoon. what kind of energy do we have in this room this afternoon? we will get started. it is great to be among friends today. after serving in washington for a year-and-a-half, i am tired of being outnumbered by the liberals in washington. these liberals are hell bent on putting our economy, the free economy, the economy of free people under a socialistic model. they want the western european socialist model. let me tell you that i am a lifelong. -done -- lifelong pro-gun, pro- life, pro-business and conservative. you may think that washington

has been dysfunctional lately. is that true? you have no idea. first, congress authorized $700 billion bailouts for poorly managed companies that were allegedly too big to fail. then it brought most of the american automotive industry under the oval office. with unemployment at 7.2%, congress implemented and $860 billion so-called stimulus bill that provided for thousands of pet projects. that included $3.4 million for a pathway for turtles to pass under the highway. $390,000 to pay students at a new york college to study them drinking malt liquor and smoking

marijuana. i think they would have done it for free. [laughter] a year later after passing this monstrosity, we've only spent 40% of it. where are american jobs today? we are at an unemployment rate of 9.7%. the promise was that if we passed this crazy bill, it would never be above 8.5%. then came cap and tax, a $646 billion boondoggle with the express purpose of putting our energy under federal government control. has this ever been tried before? believe it or not, spain implemented this 10 years ago. where is spain today? their unemployment rate is 20%. their manufacturing has shrunk to nothing. their utility bills are 40% higher. do you think that is something

we need for this country? as a physician and small- business owner, i campaigned on the need for health care reform. americans currently have access to the best health care on the face of the earth. absolutely. [applause] if you do not believe that, where do the wealthy, the heads of state, and celebrities from all around the world go when they need excellent health care? america, absolutely. just the other day, the premier of newfoundland in canada crossed the border to get heart surgery instead of getting it in his own country. if canada is good enough for his citizens, why is it not good enough for the premier of canada? [applause]

we know the system is not perfect. we have problems with cost and coverage. i believe americans want congress to work to solve these problems with common sense solutions. however, i believe the solution does not include taking a wrecking ball to our current system and rebuilding it in the image of castro, chavez, and karl marx. a complete takeover of 1/6 of our economy, the most important and intimate part of our economy. universal health coverage does not mean universal access. remember that. universal health care coverage does not mean universal access. we need look no further than england, canada, and other countries with socialized health care to understand this.

these countries routinely delay or rationed needed care to the detriment of the sick. surely, a health care delayed is health care denied. we can accomplish to reform by tackling each and every problem like pre-existing illness and the need for competition. you have heard through the health care debate that the republican party is the party of no. i think some of us want it to be the party of "hell, no." believe it or not, republicans and submitted several bills that would address the problems i have mentioned like pre-existing illness, cost, and competition. i pledge today that if you give us back control of the house of representatives, my republican colleagues and i will work to

repeal and replace this crazy takeover of health care of our country by the government. my friends, in the end, this is not about building cars. it is not about health care reform. it is not even about the environment. this is about the liberal leftist vision of bringing the entire economy under the control of the federal government. in short, socialisms. make no mistake about it. i have a vision as well. though we have a congress that ignores the will of the people as well as the constitution, i have a vision of a constitutional -- of a congress that legislates according to the will of the people.

i have a vision of a congress that follows the constitution, the same constitution we are sworn to protect and defend. though we have a government that believes it can regulate and micromanaging life your life, ia vision of a government that promotes individual freedom and meritocracy where you can accomplish anything if you are willing to work for it. though we have a congress that votes itself raises, i have a vision in which elected officials are subject to the same rules and regulations as the people they rule over. [applause] though we have a government that demonizes the private sector in order to implement its government takeover of our economy, i have a vision of a

government that lets small businesses and the private sector to do what it does best -- invent, innovate, and provide more consumer choices. [applause] finally, though we have a president who reaches out to our enemies and turns his back on our friends, i have a vision of a president who like ronald reagan stands up to our enemies and stands with our friends. [applause] in conclusion, if there is anything i can leave you with today, that is that when it comes to liberals in congress, you cannot change minds. you can only change the people that represent us in washington. thank you very much. god bless. [applause]

>> it is my pleasure to introduce someone who speaks twice as fast as i do. the good friend of mine from michigan. a lifelong resident of southeast michigan, congressman thaddeus mcartor was first elected in 2002 to represent the citizens of western oakland and wayne counties. he has focused his efforts on promoting manufacturing and small businesses because he knows that they form the backbone of our communities and economy. he steadfastly supported winning the war for freedom and increasing homeland security. he thought to reduce taxes and the size and scope of government. most importantly, congressman mccotter has dedicated every

effort to listen to and serve his constituents. he was elected by his colleagues november of 2006 to serve as the chairman of the republican house policy committee. it was a leadership position was held by vice president dick cheney. he is a member of the house financial services committee where he serves on the capital markets markets, enterprises, economic opportunities sub- committees. he is a graduate of catholic central high, a university of detroit, and the university of detroit law school. he is a bar-admitted attorney by profession. his wife is a registered nurse. he and his wife have three young children, george, timothy, and ophelia. the family lives in his hometown. he travels to and from our

capital every single week to serve his community. i want you to give it up for my good friend thaddeus mccotter. [applause] >> thank you. before i begin, i would like to join you in extending our prayers' to our free and faithful friends in poland for the loss of the president in '96 of their fellow citizens with the plane crashed in russia. may god comfort them as they endure this time of anguish and remembrance. i am honored to be here with you. i admit it is an ongoing experience -- it is humbling experience because after all, i

am but a simple lawyer from detroit. [laughter] in many ways, it is appropriate that i be here with you fellow republicans because i live in southeastern michigan. [laughter] i will take what i can get. [laughter] red eye, yes. it is a difficult time in the life of our nation. we're called upon to once again define "freedom." i am optimistic that we will. i know that optimism is not always the treat those associated with irish catholics. if you do not believe me, strike it to my being a contrarian. we hear a apocalyptic cries the the best days of america are behind her. we have heard such cries in the past and they've always been proven wrong.

when i am back home in livonia at a supermarket or in my long- suffering detroit lions jersey, people come up and asked if i am him. i say that it depends on whether you like him or not. [laughter] in a whisper -- then they whisper, "you are him. i am also a republican." the city of one fundamental question for me. "dude, what is going on?" in the middle of a grocery store or drug store, i try to explain what is going on. i try to do it quickly. in that instance at home, i of the same 10 minutes to solve all the world's problems that i do

here today. [laughter] i explain to my constituent that the person who employs me and the person that i work for -- i explained to my constituent, the person who employs me and the person that i work for -- [applause] that the united states faces four great challenges. social, political, and economic upheavals of globalization, a world war against an evil terrorist enemy. we face the rise of the communist chinese superstate. we face the question of whether a nation built upon self-evident truths can withstand the erosion of them through moral relativism. [applause] my constituent looks at me and says, "i appreciate that. what do the republicans stand

for any more? water we going to do?" i say that the republican party continues to have core goals. we expand self liberty. we conserve our cherished institutions of faith, family, community, and country. we empower the american people for a necessary and constructive change. we defend america from her enemies. we support her allies. [applause] in pursuing these goals, we have five fundamental principles. our liberty is from god and not the government. [applause] our sovereignty is in our souls and parts, not in the soil or a sectceptre.

our security is from strength and not surrender or appeasement. [applause] our prosperity is from the private sector and not the public sector. [applause] our truths are self-evident and not relative. [applause] my constituent asks about applying those to the challenges facing america. i will say that we can and that as house republicans, we have. when we saw a $1 trillion government stimulus bill that would drive us further in debt and do nothing to create sustainable jobs, we all said no. more importantly, we said the better way was to let the american people keep the money that they earn. through their genius and

industrialists, we will allow them to grow the economy. -- through their genius and industry, we will allow them to grow the economy. [applause] when it came to cap and tax, we again said know. we said we won and all of the above energy strategy that maximizes energy production, that goes for common sense conservation, and promotes free- market innovations to have a responsible transition to a secure energy future. [applause] on the issue of health care, when blair house came up, we had nothing to talk about. we had a fundamental difference with this administration. we had two. the first is that we opposed government run health care because we believe the sovereign citizens of the united states

deserve to make those decisions themselves and are best in power to do that through patient- centered wellness and free- market reform. more importantly, the crux of the matter to us was this. no administration and no congress has the right to divide and defies the american people's judgment about their own health care. [applause] mike constituents said that he appreciated that. -- my constituents said that he appreciated that, he appreciated that we were trying. i said that we were not just trying. you do not get that ouof that ey if you are my constituent. fundamentally, we of the difference in the republican party that will have to be settled in november.

the measure progress by the expansion of big much government -- of big government and bureaucracy. we measure it by the expansion of self-government and liberty. [applause] i believe that the people will be heard in november. [applause] as we go forward, we will one day look back on the day that we had to have our voices heard and made our stand as republicans. that is often happened in the history of our party. we will then have fulfilled our duty. we have inherited the greatest nation on earth. there will be no doubt that we will bequeath it to our children and future freed citizens. we will do all within our power to ensure that america remains a

blessed land of liberty, inspired and guided by the virtuous genius of her free people, and the internally blessed by the unfathomable grace of god. [applause] with that, my constituent looked at me and said that he might vote for me. [laughter] i think my brother dennis and went home. [laughter] [applause] to know him is to love him. ladies and gentlemen, is been a pleasure to brin-- it has been a pleasure to be in your presence. build the party come to trust the people, save the country. -- build the party, trust the people, save the country. [applause]

>> we still have some more great speakers. it is my pleasure to introduce the national committeewoman from louisiana. ruth has been a great partner working with our national committee over the last few years. she is been working with ross little and myself, the state chairman in louisiana. without further ado, ruth. >> can chairman villere throw a conference or what? he has done a wonderful job. i am going to give a shout out to my special friends, the louisiana republican women and whitehall club with president edna hayden.

together, they are setting the way in showing us how we need to work for our candidates. we have a wonderful job set out ahead of us. just like the governmengovernore have to have conservative energy. we have to put on the tennis shoes. we have to pick the doors. we have to ring the phones, send e-mail, do whatever it takes so that everyone knows the conservative message. we can return the congress of the united states to a conservative congress. [applause] our final speaker for the day was elected chairman of the republican national committee in january of 2009. his sense engaged americans in local communities and empowered state and local republican organizations to do the same. as the former lieutenant governor of maryland, he is an

expert on political strategy and election reform. he recently served as the chairman of gopac and held posts on the national federal election reform committee. his ability as a communicator and political analyst have been showcased throughout his role as a contributor on the fox news network and regular post of the salem network show, of " morning in america." his columns have appeared in "the wall street journal," "the washington times," "the politico,"and others. please join me in welcoming the chairman of the national republic committee, chairman michael steele.

[applause] >> thank you very much. how is everybody doing? are there any workers in the house? we need workers. we need you out there working. god bless you. it is great to be here. congratulations to our host. thank you for the great effort. this is been a wonderful opportunity for republicans, conservatives, and like-minded souls to come together and get ready for the fight ahead. are you ready? let's get busy. i am going to bring it on. before i bring it on, i must share with you one thought. this is one lesson i want everyone to take when you leave here today. in life, you realize very

quickly that you cannot please everyone. you can certainly make them all mad at you the same time. [laughter] that is a lesson well learned. it is an opportunity as well. folks have been added us in the past -- have been mad at us in the past. we have learned from that. we're ready to move on into a brighter future as leaders, as republicans, as conservatives. you are on the front line of this new surge to take back our country. [applause] you cannot go wrong in an election year to start off with a quotation from the founders. it was thomas jefferson who said that the issue today is the same as it has been through out of history, whether man shall be allowed to govern himself or be

ruled by a small elite. i guess some things have not changed. republicans accused by the other side of having a message based on fear. they are right. but the founding fathers were fearful first. they were afraid of unchecked power in government and so are we. they drafted the constitution for the sole purpose of taming that beast. today, we can see why. we've watched that beast sink its teeth deeper into the pocketbooks of every american citizen. the sad fact is that we live in a time when the constitution has lost its wsway over those who would govern us. there is a small elite in washington who views the years between elections not as a time to earn the trust of the public,

but rather as their opportunity for unchallenged social experimentation. as i meet with you, the grassroots of america, i had never seen the kind of anger growing right now. [applause] smart people who study this kind of thing tallis that anger -- tell us that anger is usually a mask for fear. why do the citizens of the greatest nation on earth have reason to be fearful? it is because we love our country. we love the first principles of liberty and opportunity. we love the american dream. we want it for ourselves and for our children. this is the promised land. this is the place that people

have always come to buy land, by sea, by hook or by crook. when people living under tyrants are secretly planning their escape, this land is the preferred destination. [applause] why is that? is it because our soil grows better corn? is it something in the water? are we just nicer here? if you have spent any time in rush hour traffic, you know that is not necessarily the case. america is supposed to be the place that you come to so that the tentacles of big government no longer reach you. this is the place where as long as you do not hurt anyone else, you can pretty much do we want. you are free to work hard, saves

mark, and pass on the left -- your free to work hard, save smart, and pass on a legacy. prosperity is not something we punish. this is the one place where prosperity is a real possibility every single day for anyone who wants it. in america, no one weeks up in the morning and looks in the mirror -- no one gets up in the morning and looks in the mirror and says all i want to be today is poor. that does not happen in america. no matter where you come from, no matter who your parents are or where they came from, folks of all stripes and struggles have made it here. that is the point of america. our enemies have never been the wealthy or the strong.

our only enemies are those who would threaten our lives and liberties. the whole point of the constitution was to keep the government from becoming an enemy of the people. that is why our constitution- shredding president and his accomplices scared the pants off the american people. at a time when americans are losing jobs with no end in sight, when great american companies are under siege, congress should be focused on nothing else but restoring economic growth and stability for our job-creating sector. instead, every single piece of legislation the democrats in washington have past have been a job-killer. from cap-and-trade to the so- called stimulus. with the government takeover of health care, democrats are committing the worst kind of malpractice.

americans are fed up and ready to throw the bums out in november. [applause] let me ask you a question. are you inspired by america? are you inspired by america? are you moved by her story? you should be. that inspiration comes from you. her story is yours. they do not understand it that way in washington. we all want to be inspired. we want to be inspired in the right way for the right reasons. barack obama inspired america last year, but he did it the

wrong way. he talked about hope without an action plan, change without telling us what it was he wanted to change. now we know. america says, "no way, no how." [applause] america says no to government- run health care, government- owned car companies, and no to bigger government. no, no, no. [applause] let me just offer this little warning to our friends in washington. when america says no, you had better listen. just ask art stupack.

when we say that it is a new day of accountability, we mean it. mr. stupack is trying to claim he is not the first casualty of americans saying no to bigger government. well, sorry. you are. there are many more to follow. [applause] bye bye, stupack. you need to understand something here. we're not in a nanny-state induced, like europe and canada. -- we're not in a nanny-state in duduced coma like europe and

canada. we organized. when they passed the bill to tax energy consumption, we raised of principled, conservative candidates to run to defeat them. [applause] when democrats saddled us with controlling shares of car companies that union bosses had driven into financial ruin, we did not complain. we drove ourselves to a tea party. [applause] when democrats started counting down to the end of the bush tax cuts with glee, we did not give up. we started counting down to this november with glee. . .

that is what you get for putting your trust in democrats. [laughter] we saw the switchboard meltdowns and the outcry and we thought it would require it -- we thought it would remind the democrats who they work for. instead, they passed the most radical power grab in this country's history. at a time when our country's leadership should have been focused on creating jobs and kick starting growth, they

passed out joggling government takeover of 1/6 of our economy. at every level, democrats in power have proven to be the greatest hazard to our national health [applause] -- greatest hazard to our national health. [applause] april has been declared national financial literacy month. i bet you did not know that, did you? i bet you did not know how literate you were. they seem to think you are. they have called on americans -- that would be you and our neighbors -- did not laugh at this. this is the serious part -- and do not laugh about this. this is the serious part. educate themselves about basic concepts, how to balance a checkbook, save for a child's education, steer clear of

deceptive financial products and practices, a plan for retirement -- and i like this one -- avoid accumulating excessive debt. [laughter] get -- i ask you all not to laugh at that. there are serious. -- they are serious. the president who broke a world record by raising the debt ceiling a few short months ago by $1.90 trillion tells us he wants to educate us on how not to create excessive debt. now, all i want to know is, what part of the $14.30 trillion debt he has created does he not think is excessive? [laughter] we clearly have a lot more to learn. [applause]

you've got to write this stuff down. you cannot follow it. you have to write it down. in place of this administration's wrong priorities and economic ignorance -- and this is the serious part -- the american people are asking, how do we get our country back? how do we stop this craziness? >> vote. >> i love the people. i will tell you how we get our country back. fired nancy pelosi -- fire nancy pelosi. [cheers and applause] fire her. i will tell you how to repealed

and replaced the government-run health care system they just tried to put on us -- replace harry reid. [cheers and applause] it will take your help, your leadership, you're activism -- your activism, in order for us to take back our country from the brink of financial and social chaos, to take it back from the brink of economic rigidity. we can write her course, ladies and gentlemen, and prevent the cradle of future generations from being rocked by the hand of an opportunistic and materialistic government. washington cynicism needs to be replaced by the people's aspirations. that will only happen when you replace the people in washington. [applause]

now, the electoral march is already on. for massachusetts, new jersey, virginia, the freedom agenda is winning the day with a winning message -- shrink government, lower taxes, give people back their freedom, their choices, for their families and their future. empower the job creators, instead of the political class. let's tap into that competitive spirit. let's tap into the confidence that is found in the entrepreneurial sector, not in government. that is what makes america great -- more choice, less control from washington, more jobs, fewer bureaucrats. more entrepreneurs, your career politicians -- fewer career

politicians. but we cannot coast into a new majority, nor would -- nor can we assume it is a sure thing. the liberal media are looking for any possible alternative narrative's to tell. any other headline will do. here is one headline americans know to be the truth. democrats trust government more than they trust the american people. that is a headline that is straining all across this land. it is a headline that families are confronting at their kitchen tables every night. that is the headline small business owners are opening their doors to every day. that is the headline you and i will change by empower america to take their government back. [applause] d that are looking for those distractions -- they are looking

for those distractions. lord knows, i have provided a few. i understand the difficulty sometimes of balancing all of these challenges. but democrats also know they have some explaining to do. they would love nothing more for us to keep pointing fingers at me and others, instead of their radical, and american agenda -- unamerican agenda. we should not fall for that trap. and the first year to unmet i have made mistakes. it is incumbent on me to take responsibility, shoulder that burden, make the necessary changes, and move on. we have all had to do that from time to time. [applause] but the one mistake -- the one mistake we cannot make this

november is to lose. the one mistake we cannot afford to make is to lose. [applause] i also know that some in our movement are questioning whether our nation has what it takes to recover from the burdens of this congress and this administration, whether to much damage has been done to the american character. they worry that the enemies of liberty and of american exceptional aism have had the last word. as we watched the assault on our countries, we wonder if we will come out of it on the other side with our freedoms intact, with the american spirit and brounbr. i know that the american soul as been through some dark nights. the city on the hill is still

shining brightly and you can see it by the ferocity. sometimes, it is only by the lights of the rockets bursting around you that you can see the banner still waiting, still flying. every time we have had the stfaith, the sun rises on liberty once again. this is the morning of america. i assure you that, through the light of this coming dawn, our flag, our freedoms are still there. [applause] that is why we fight. that is why we fight. that is why we fight. that is why we fight. that is why we fight. every single day. [applause]

we do not want america to be confused right now. we want to speak with clarity. we want to speak with understanding. we want to speak with hope. we do not want america to be confused. so, let's tune out all the background noise and go on offense. let's take it to them. let's take it to the streets. let's take it to the neighborhoods. let's stick it to the workplaces. let's take it to communities we of never been in before. let's take it to the back alleys and upfront alleys, the corner drugstore, the board rooms, and share a message of empowerment and opportunity. let's tell america we are alive because we are free and we're free belly -- free because we believe in the principles grounded in the constitution that protect us every single day. we are free because we fight for that freedom. [applause]

it is going to take a lot of work, a lot of support, a lot of time, money, late work, and phone calls coming yard signs, facebook, twitter -- you all tweet, don't you? if you don't, learn how. serious. call me, i'll help you. we have to talk to america. we have to spend time with america. we have to help the fog be removed from their eyes. we have to drain the kool-aid from their veins. we have to help them understand what freedom is all about and that they already have it in their hands -- they build their businesses, they educate their kids, they create an america for tomorrow. [applause] if you leave this conference with nothing else, take this

with you -- it is never too late in america. it is never too late in america. president obama talked about "yes, we can." we're going to go talk to america about what we will do. there is a big difference. [applause] what we will do. what we will do is rely on the ingenuity and the commitment of the people of this country, not the programs and the bureaucracies of government. what we will do is engage america anew. we will speak to her with truth, speak to her with vision, speak to her through action.

ronald reagan noted famously, when asked about his strategy for the cold war, "we win, they lose." [applause] with your help, with your support, we can restore the strength, the growth, the birthright of liberty and prosperity that generations of americans have always passed on to their children. that is the legacy we leave. that is the legacy of the greatest generation has passed on to us. that is the legacy we must now fight to pass on to our kids and our grandkids. it is worth the fight, f olks. we will be the generation to keep that promise. come november, we win, they

lose. thank you. [cheers and applause] ♪ >> i have an apology to make. i need to apologize to president obama, because we do not have a teleprompter here. [laughter] so, i made my own. tonight, those of you are on level three and above are going to be able to go to the gala at 7:00 tonight at generations hall. if you have below level 3, you

may purchase tickets if you would like to attend. we hope everyone will join as. and now, we would like to bring back to the stage, the chairman of the louisiana republican party, roger villere. [applause] ♪ >> we have had such a great time today. before you leave, i would like to bring up some of the people who helped make this happen. it has been a spectacular conference. first of all, i would like to call up charlie davis, president and ceo of the southern republican leadership conference. charlie davis.

[applause] thank you, great job. >> ladies and judgment, we hope you have had as mitch -- ladies and gentlemen, we hope you have had as much fun at the conference as we have had putting it on. people have worked very hard to make this possible. we want to take a moment before you go home or to the next party to thank everybody was worked hard to make this a reality. first of all, let's bring all of our co-chairman on the stage -- co-chairmen on the stage. senator conrad apple. i also want to invite up a number of other people, including ruth ulrich. [applause]

a great deal of planning, 14 or 15 months have gone into this conference. i know from the accolades you have shared with us that you have had an amazing time. this staff has worked not just above and beyond the call of duty, but then some. i want to bring up the deputy director who has done more to make this conference the success that it is than probably anybody else on the stage, including myself. ladies and gentlemen, the deputy director. [cheers and applause] >> there are too many staff members to think them all by name. you have probably seen them running probably-- to thank them all by name. you probably seen them running around. let's bring them up on stage as well.

[applause] i should mention this does not include paid staff. most of these people are volunteers who have donated their time, talents, and in some cases their treasure to make this happen. [applause] of course, we would be remiss if we did not the thank the volunteers to of worked tirelessly -- who have worked tirelessly to make this a reality. let's bring them up on stage. [applause] thank y'all very much.

the theme of this conference has been "the road to victory." the road to victory begins here in new orleans. when you go home, i hope you'll take the ideas, the passions, tell your friends -- the republican party, the party of ideas, is back and we're here to win in november. thank you very much. [applause] ♪ >> we will see everybody tonight. let's go and have a good time. thank you. [captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2010]

>> that is the end of our three- day coverage of the southern republican leadership conference. we heard remarks from several members of congress, including david vitter, texas congressman ron paul, and rnc chairman michael steele. if you miss any of these, we will research some of these later on. check our web site for details -- we will re-error some of these later on. check our web site for details. yesterday, justice john paul stevens announced he will retire at the end of this term. today, on america & the courts, all look at a life and career of john paul stevens. he talks about his life after being nominated by gerald ford. it airs at 7:00 p.m. eastern on c-span. tonight, we'll show first lady michelle obama meeting with

students to talk about preventing childhood obesity. she is joined by c-span studentcam winner matthew shimura, whose documentary focused on obesity and children in america. she talks about reading healthy and -- eating healthy and reading food labels. that is tonight at 9:00 eastern on c-span. tomorrow on "newsmakers." congressman brad shares -- congressman brad sherman discusses the status of nuclear weapons in the world, the chairman of the subcommittee on nonproliferation. he talks about u.s. nuclear weapons policy after president obama signed an agreement to reduce nuclear arsenals. see that sunday at 10:00 a.m. and 6:00 p.m. eastern on c-span. >> this week and, on c-span2's "booktv" -- what has happened to the sunnis following the fall of

saddam hussein? the war on terror, democracy in india, an india-pakistan relations -- her book is called "field notes on democracy." we also talked to a fox news correspondent who looks at u.s. foreign policy in his latest collection of articles. find the schedule at our web site and follow us on twitter. ♪ >> what in the world is more ridiculous right now that american politics? >> for the past year, using clips from various media outlets, including c-span, the gregory brothers have become hit makers. we will talk to them on sunday night on c-span's "q&a." >> at the deadline for filing federal income tax returns approach, president obama used

his weekly online address to talk about how americans and -- can benefit from the tax credits offered in the economic stimulus package. taxes are also the topic of the republican address delivered by jon kyl, who warns about tax increases at the end of the year for families and small businesses. >> all across america are good, decent folks who meet their obligations each and every day. they work hard. they support their families. they tried to make an honest living the best they can. this weekend, many are sitting down to pay the taxes paid owe. not because it is fun, but because it is a fundamental responsibility of our citizenship. in tough times, when many families are having trouble just make will it all work, tax day cacan seem even more daunting. this year, however, many americans are seeing some welcome relief. so far, american to have filed their taxes have discovered that the average refund is up nearly 10% this year, to an all-time

high of about $3,000. this is due in large part to the recovery act. once last three of the recovery act was made up of tax cuts -- 1/3 of the recovery act was made up of tax cuts for businesses and families. nearly $100 million goes directly into the pocket -- into the pockets of working americans. no one is looking for a handout and that is not what these are. they are relieved to help middle-class families weather the storm, jump-start our economy, and bring the fundamentals of the american dream -- making an honest living, earning an education, owning a home are raising a family, back within reach for millions of americans. first, because people who work hard should be able to make a decent living, i kept a promise i made when i campaigned for this office, and cut taxes to 95% of working americans. for most americans, this making work pay tax credit began showing up last april.

it continues this year for a total of $400 per individual and $800 per couple, per year. second, because college education is critical to the success of our workers and our economy, we are helping to make it more affordable for millions of americans. millions of students, and parents, paying for college tuition are now eligible for up to $2,500 and the american opportunity credit all along with a host of other steps which will help us reach our goal of having the highest proportion of college graduates in the world by 2020. third, we are restoring the whole and resource stability, and anger of the -- an anchor of the american dream. you're a eligible for up to $8,000 if you bought a new home. if you bought a new car last year, you can deduct the state and local taxes that you paid on it. if you have owned a point for a long time, if you invested in making it more energy-efficient with improvements like new

insulation or windows, or you plan to this year, you are eligible for up to $59 in new tax credits. it does more than put money back -- up to $1,500 in new tax credits. it helps with manufacturing jobs and small businesses across the country. this will help working families through difficult times. we increased the earned income tax credit and allowed more families to buy it -- to qualify for the child tax credit. for those who offered jobs and get help -- for those who lost their jobs, which provided a 65% tax credit to help cover the cost of health care. we major the first $24 of unemployment benefits are tax free. these are among the tax breaks -- the first $2,400 of unemployment but it's our tax- free. these are among the tax breaks which include the largest middle-class tax cuts in history. millions of americans will be able to purchase quality, affordable care, and the

security and peace of mind that comes with it. one thing we have not done is raise income taxes on families making less than $250,000 a year. it is another promise we have kept. we have made it easier to find out what is owed it to you and your family. the big guys know how to find their tax breaks. it is time that you do too. just visit whitehouse.gov and click on the "taxs savings" tool. if you of our defiled your taxes and missed some of the available savings, you can still -- if you have already filed your taxes and missed some of the available savings, you can still amend your taxes. we expect our businesses and our government to meet their responsibilities in turn. i have asked congress to close some of the biggest tax loopholes exploited by some of our most profitable corporations who avoid paying their fair share, or in some cases any

taxes at all. we're cutting programs that do not work. , contracts that are not fair, and spending that we do not need. i have proposed a freeze on discretionary spending. we need to create a bipartisan, independent commission to help solve our fiscal crisis, closed the deficits that have been growing for a decade. i refuse to leave our problem to the next generation. it has been a tough couple of years for america. but the economy is growing again. companies are beginning to hire again. we're rewarding work and helping more people reach for the american dream again. while there is no doubt that the still face a long journey together, with more steps to take, or obstacles to overcome, and more challenges to face along the way, if there is one thing on which the people of this great country have convinced me, it is that the united states of america will recover stronger than before. crosses for listening. have a great weekend.

>> hello, i am senate republican whip jon kyl of arizona. the effects of the ongoing economic slump have been severe and have touched all americans. too many people have lost jobs. others are working reduced hours or for lower pay. the latest reports show that unemployment has stubbornly stayed just below 10%. nearly 4 million workers have lost their jobs since president obama took office. the american people have been telling washington at promoting job growth must be the first priority. but for more than a year, congress and the president have focused instead on a controversial health spending bill, which the americans said they did not want. recognizing that their $1.20 trillion stimulus has failed, and enough credit election-year push, -- and of frantic -- a frantic election-year push, they

have led to higher debt and few jobs. republicans have a better plan. we believe the best course is to encourage job creation by private companies. the way to do that is to limit intrusion by washington and to keep taxes at unmanageable level. the federal government has been growing at an astonishing rate. just last year, the government borrowed $1.40 trillion. the american economy cannot grow and create good jobs if washington spending takes more resources out of the private economy. second, we must not raise taxes. under current law, unless congress acts, taxes will rise dramatically on december 31. taxes will increase on families with children, married couples, income, capital gains and dividends, and even after death. it comes to a total of $2 trillion in new taxes over the next 10 years.

and that does not include the more than $500 billion in new taxes in the health-spending clause. since most small businesses pay taxes as individuals, the increase in marginal income-tax rates will hit job creators hard. businesses are reluctant to hire because they are unsure about their future tax costs. congress and the president should act to prevent the coming tax increase. that would provide job creators with some much-needed certainty so they can begin hiring again. unfortunately, and democrats in congress have yet to say whether they will prevent this massive tax hike. they have proposed new taxes like the cap and trade bill. republicans believe we need to act now. we have thought of some ways to head off these talks creases tax increases. it will show job creators -- some ways to head off these tax increases.

it will show dog readers that we're serious. we need to rein in spending and keep taxes at a reasonable level. private businesses and american families will be able to save, invest, and plan for the future. together, which can help put americans back to work. -- we can help put americans back to work. >> this year's c-span's studentcam competition asked students to create a video to address one of the challenges our country is facing. here is one of the third-place winners. >> climate change -- >> they do not care. >> i do not want anything -- [all talking at once]

>> in america, it seems we are always facing new challenges our recent challenges seem more complicated than ever. sometimes finding an answer that makes everyone happy can be difficult. is there a way to make finding the solutions easier? time and time again, i see and feel the tension between the different sides of issues. not sure what to think about this, i started asking questions like, are the opposing sides really as divided as they seem? more importantly, do people know how to resolve the conflicts between opposing viewpoints? >> if you take the vast majority of people, they do not know. it is because they get their news from tv. it is kind of a passive look at what is going on -- news, sports, and wheather. what is to like about that?

and what they want to hear something that has a perspective they can react to and want something they can agree with. that is kind of sad. >> people need the information from a good journalist. >> i wish that people would watch things just to be informed, not to be spoonfed a point of view. i am not a fan of that. >> if people would have some knowledge about things, most people would listen. >> i do not agree with president obama on a lot of things either, but i'm certainly not going to shy away from watching his speeches. i want to know what is on his mind, what direction he is taking the country. i know some people who disagree with him and as soon as the state of the union address comes on of one of his televised speeches -- they will just shut him off. they just do not want to know. to me, that just does not make sense.

>> there is an exchange a monologue that fails to define issues. there is a real aerated phrase "i think that." it seems knowledge is most important when it comes to solving conflict. what can we do to resolve our differences? >> how can we resolve our differences when we disagree? we absolutely have to have dialogue. >> somebody says, wait a minute, you have some good points and you have some good points. what if we take them and put them together? that is crazy. >> a dialogue -- the west has been called the civilization of the dialogue. it is proper to resolve differences by discussion. >> when attempting to resolve differences through composition,

it is important to understand the differences. there is a debate aren't at winning, rather than reaching of the truth. -- there is a debate aimed at winning, rather than teaching the truth. >> there is that on tv about the role of journalism and the search for truth. they lament the strong journalist's role in really digging into issues, as opposed to just reporting what is going on. >> it relates to this fundamental, philosophical question of belief and truth. in other words, if you have to be parties and either believes in truth, then what you're gauged in is a procedure or a technique to see who wins the debate. winning is not defined -- winning is not defined in relation to truth, but simply as who is sharper or whittier, more

intelligent, -- wittier, more intelligent. to the extent that america has lost its grip on true, it has lost the ability to resolve differences. >> perhaps by moving farther from having conversations about winning and closer to having conversations to find true, we can reach a satisfactory solutions. >> logic is essential as a study of reasoning. it is a tool for distinguishing between what is true and false. the dialectic relates to two or more people having a discussion and finding out what is true and what is not. i think the skills of logic and dialectic have been lost, in large measure. >> there are seven liberal arts.

one embraces grammar, logic, and the dialectic. the ancient greeks were the first to practice free speech and had a strong love of learning that made them eager to listen and understand the ideas of others. greece also gave birth to the first philosophers. of philosophers loyalty was to the truth, no matter where it resided. america's founding fathers were greatly influenced by these people who are at the core of our democracy. >> aristotle said it is natural to love learning. education can take place whether or not you are in a formal setting. in fact, all of us, ideally, learned our entire lives. the older we are, again, ideally, we should be learning more. >> jefferson justify spending public money for education so that citizens would be educated as citizens. we have given that up. if you go to the high school and

say, do you teach sixth, government? not very much. >> we have a lot of conflicts going on, a lot of issues. there is too much competition instead of collaboration. but it is imperative to the well-being of our nation that we learn to solve our differences -- but it is imperative to the well-being of our nation that we learn to solve our differences between dialogue. relearning these bills will be challenging. by taking responsibility for our own -- we learn these skills will be challenging. by taking responsibility, solving our differences will be more likely. but can conquer this challenge, we will be adhering to our greatest strength. >> that is what i will strive to do today -- to speak the truth as best i can. humbled by the task before us, firm in my belief that the interest we share as human beings is far more powerful than

the forces that drive us apart. >> to see all of the winning entries in this year's competition, visit studentcam.org. >> yesterday, supreme court justice john paul stevens announced he will retire at the end of this year's term. today, and "america & the courts," a look at the life and career of justice stevens. he talked about his 35 years on the high court after being nominated by president ford in 1975. "america & the courts" heirs at 7:00 eastern on c-span. first lady michelle obama meets with students at the white house to talk about preventing childhood obesity. she is joined by c-span's studentcam where matthew shim -- winner matthew shimura.

she answered students' questions. c is a night at 9:00 eastern on c-span -- see it tonight at 9:00 eastern on c-span. next, a discussion from this morning's "washington journal." this is 45 minutes. as promised, we are going to give you some last-minute advice on filling out federal taxes. there is a story in the paper today about concerns or maybe confusion about something called the make work pay credit. could you tell our viewers what that is and how it might affect them? guest: it was a big part of the stimulus bill. in 2008 they sent us checksor $500 to stimulate the economy. last year they told all of our employers to take a little less out of each paycheck and wraoused withholding. every person who works was supposed to get a $400

withholding. married couples $800. when you file the return you have to take the making work pay credit. file schedule m with the return and the i.r.s. discovered millions are not taking it. it is new. they know they got the benefit through the reduced withholding. the key is they have to reduce the tax bill by claim being the credit by that $400 or $800. otherwise a higher tax bill will pull back the benefit. the i.r.s. is reprogramming the computers because it can figure out if you report income from a job or self-employment you deserve the credit unless the income is too high. so the i.r.s. is automatically adding $400 or $800 to a the lot of refunds. if you forgot to file the schedule m wait until you get the refund to see if you get the extra money. if you get it and it is not more than you expected or if you owed money you need to file a 1040-x amended federal return and claim

this credit and the i.r.s. will send you $400 or $800 but i'm getting people saying it is too good. >> that is available on line. >> irs.gov. host: just fill it out. guest: you need to file the 1040-x amended federal return. that is a pretty easy schedule. you report with taxable income you showed on on the original 140 and clam this credit it will take awhile. if you always it -- if you already filed and forgotten, see if the irs sends you more money than you expect. host: are there any other credits that we should take note of before they send their envelopes? guest: the toughest thing about taxes is there are more breaks and one of the begawan -- one of the big ones is the

college credit. everybody who had kids in college since bill clinton was president knows there is the hope credit. that is not true for 2009, it has been renamed the american opportunity credit and it is good for all four years. parents who had seniors and juniors last year should be claiming that credit which is $2,500 per child. if your son or daughter goes to college and one of seven midwestern states, the list is in the instructions, instead of the american opportunity credit worth $2,500, you get a hold credit on steroids worth $36 -- i hope -- a hope credit on steroids worth $3,600. do not assume that what you did last year is what you should do this year. you probably have more money coming. host: with computer programs and things, do they know this? guest: computer programs are

terrific on the spirit they plug all this stuff in. if you just use a program, you will get at making work pay credit. as soon as you and your wages or self employment income, the programs will automatically figure that credit for you and give it to you. automatically figure it out. most taxpayers can actually use tax software for free if they go to irs.gov. if your income is below $57,000 there is a free program online and prepare the return and it will catch the credits if you answer the questions correctly. be patient. go through the interview system. if you tell the computer the right information you will get the right answer. host: with wilmington, north carolina. john. caller: i have a question about gift taxes. we are trying to purchase a house and qualifying for a loan, and my spouse wants -- we are

buying the house as my spouse invitationly and want to know how -- individually and want to know how we declare income that i deposit in my spouse's individual account to account for qualifying for a higher mortgage amount using the gift tax? guest: first of all, the gift tax almost never comes into play. when if is owed it is owed by the giver, not the recipient and between spouses there is no gift tax. you can give any amount without ever worrying about that. i think your issue probably is with the mortgage lender, not with the federal government. they want to see that she has income in her account and you may have to sign a gift heard. lenders often require that this is a gift because they are concerned about her having enough income to pay back the north. don't worry about the federal tkpwoeuft tax.

host: new york city. maurice. go ahead. are you there? caller: hello. tkpwhr go ahead, sir. caller: yes. i fill my tax out and i get pwaback -- they charged me $250. i don't know why. i have been calling and calling and can't get no response from nobody to explain the situation to me. guest: who charged you $250 the people who prepared your return? caller: yes, sir. i go to the tax people and to fill it out, but i.r.s. never accepted me a letter or anything that anything is wrong. they just withhold $250. so, i don't know how to get in touch with them because the number i get to call nobody

answers. guest: a couple of things i suggest. first i suggest you go back to whoever prepared the return and ask them to explain the problem. if you paid for that, they should do that as part of the service. what often happens we a taxpayer requests a refund, the i.r.s. will run the numbers. there might have been a mathematical error. you should have gotten a letter saying you asked for $1,000 and we gave you $750 because of an error. if you had a tax debt you owed or old student loans or child support this are programs that the federal government will reduce your refund to pay some of the old debts like florida the first step is to go back to whoever prepared the return, explain that you got less than you expected and ask them to pla explain it. host: jonesboro, arkansas, lee. caller: good morning. i had a question about health insurance related to taxes. i was wondering if i was to not

get health insurance and go ahead and do taxes, what kind of fines are they going to levy against me? i have heard something about if you keep letting this happen year after year that you could go to jail and i want to know what the truth behind that was. i thought you could tell me what the i.r.s. thugs might be doing knocking at my door. guest: that has to do with the healthcare reform just passed. i believe it is 2014 or 2017, pretty far before the individual mandate would come into effect to require everybody to have insurance and if they didn't they would have to pay a tax fine and they are still working this out. i believe one of the numbers i have seen is $750 a year for a single person could be fined if he or she didn't have insurance. one problem that the policy makers have is insurance is

probably going to cost you more than $750 so there is a worry the fine is not high enough to encourage people to get insurance. this will be sorted out the next few years. keep an eye on it but don't worry about it this year. that won't would go into effect three to four years. the only tax that goes in effect right away is on tanning booths. if you go to an indoor tanning salon starting in july there is a 10% ex-don't size -- excise tax. host: credits for buying a home and upgrading your house, how do they factor in? >> huge. first-time home buyers credit a lot of confusion and questions. there was a credit of 2008 for 7,500. first-time home buyer it means anybody who didn't own a home in the three years prior to the time they bought the new home. 2008 credit was $7,500 based on

10% of the home. that has to paid back by claim in wait. they have to add $500 starting next year. the 2009 credit $8,000 and never has to be paid back. the credit in effect right now anybody to signs a contract by april 30 and closes on the home by june 30 can get this $8,000 credit. if you buy a house this week, next week you can claim the credit on your 2009 return even if you have already filed. you can file the 100-x. if you file an amended return the i.r.s. will send you $8,000. it is huge. higher income levels it is phased out but the home buyer credit is great. adding energy efficient appliances -- not appliances -- yes, air conditioners, furnaces, new windows, a 30% credit up to $1,500 that you claim on the 2009 return. that same credit is in effect

for 2010. so if you make the improvements this year you can claim it on the 2010 return next spring. but if you made them in 2009 make sure you claim the credit dollar for dollar reduction in taxes. there is the $1,500 limit on furnaces, air contingent canner. if you put in a solar or geothermal. i have a person who is putting in a geothermal system, 30% no limit the taxpayer will pay 30%. so, solar, geothermal, wind and that is in effect. host: huntington, new york. go ahead. caller: yes. i have -- i have a court suit pending where i'm supposed to get a large sum of money in an accident that i recently had about six years ago.

i went national hospital, two months in the hospital and i'm still paying for the bill that i had which is 10% out of my paycheck off the top of my paycheck. and brought in a lawyer and they put a lawsuit against the property owner whose property i fell on. and now from what i understand the case went to court and it was settled but i'm still waiting for the money that is supposed to be paid into that. that is a very large sum of money. guest: the question is, is the taxability of the award and it depends on the cause of the accident but anything that goes toward paying the health bills would be tax free.

there is a big change in the way this works. in the past the your lawyer will take of the settlement which is probably between a third and half of the money, in the fast you had to deduct that as a miscellaneous itemized deduction and there are complications so people really end up paying tax on more than she shouthey shoul. but whatever portion the lawyer takes will reduce the taxable portion you have to pay. but be careful. some of it might be taxable and some tax free. you owe nothing for 2009 since you don't have the money. we you get that settlement it is time to sit down with the lawyer and if he is not a tax specialist get a tax specialist. host: tallahassee, florida. kim, good morning. caller: good morning. i have three questions. i'm a student at f.s.u. and i was wopbgd -- wonder iing, i bu an r.v. if i get a tax credit. guest: no, if it is a motorized

r.f. you can't. if it is a mobile home attached to the ground it is available but motorized properties the answer is no. question two. host: also, when i get the rebate from last year i was in iraq, i was out of the country. so i want to know how -- because you don't pay income tax when you are out of the country. how would i get that money and i want to know if i have to pay capital gains on the money that i received on my investments we i was out of the country. guest: the question on the reba rebate, i'm not sure how you get that money. i can't recall -- i believe you could claim that rebate on your tax return. you may need to file an amended 2008 return to get last year's rebate. on the question of capital gains it depend on your income. for 2009 people with income below a certain level the capital gains rate is zero

percent. that is about $35,000 on a single return and if you had combat pay that will be tax free so that will hold down your tackable income. anybody who has capital gains, if you have capital gains which is investment profit, long term mean you owned it more than a year you don't figure the tax bill using the tax tables. there is a special worksheet in the schedule d instructions where you apply either the 15% for long-term or zero. you don't go to the regular tax tables. so this caller i think when she works through the worksheet a good chance she will find there are no taxes on the capital gains. host: sinclair, michigan. maria. you are next. caller: good morning. how are you, pedro. i enjoy listening and watching you. and i have a quick question for kevin. i watched a little bit late this morning and i just called the

first few minutes of what the gentleman was saying about 10 minutes ago before the phone calls. it was about the tax credit and i have already filed. what was he talking about? guest: the making work pay credit is the one worth $400 if you are single, $800 if you are married filing jointly and you had to have earned income from a job or self employment this. is on schedule m. probably millions are overlooking this credit. it is new. first time it has applied. if you missed it my suggestion succeed wait until you get the refund from the i.r.s. there is a good chance the i.r.s. will automatically add $400 or 800 to the refund. if you owed taxes when you filed you will need to file a 140 140. but don't file another return until the first one is settled. that can foul things up. so, be patient, see what you get back from the i.r.s. if you don't get the credit and

deserve it you should file an amended return and get the $400 or $800 refund. collar >> i have one question. i have already filed and i will break -- caller: i have one question. i have already filed. i got a $10,000 gift from my aunt out of her will. do i found that as income? guest: that is tax-free inheritance. if it is a gift, if it is an inheritance from anybody, whether a relative or not, that's is -- that is tax-free and not reported on your tax return. host: what is your penalty for filing separate returns if you're married and living together? guest: married, filing separately -- there is no penalty. most people save money by filing jointly.

the only people who can benefit by filing separately is if one of the spouses has huge medical bills. medical costs are deductible only to the extent that they exceed 7.5% of your income. if one spouse has huge bills with low-income, they might get a deduction there. most people should file jointly. if you have tax program -- either one that you -- either of 31 or one that you bought, you can figure it out. -- either a free one or the one that you bought, you can figure it out. host: i just added collecting social security, do i need to file this year? there are $6,400 of social security income. guest: that would be tax-free. social security is tax-free as long as your income is under $25,000. it would not be taxable. if you do not have any income from a job, either of you, you cannot reserve the world making

work pay credit, and you do not have to file to get athat. in a situation, it does not sound like there are earnings, so there is no earned income credit involved. . cecilia from kentucky. marian. caller: yes, i have a question about the first time home buyer. i inherited half my haas from my mother and my brother got the other half. i purchased his half. guest: you really have to buy a new house to do that. the fact that you bought half the house from your bother you don't qualify. don't qualify. that doesn't we have a series of questions on the new home buyer credit on our website. i think we probably answered a couple hundred questions like this. if you have a computer you can go there. any of the viewers can see all

of these permutations of the credit. a lot of questions. if you bought before november 7, for example, you could buy from an in-law and get the credit. after november 6 you can't buy from an in-law. there is a huge opportunity here we you have an $8,000. most new home buyers qualify but there are a few when congress said no. host: kiplinger.com the website if you want to check out those questions and more you mentioned it early but irs.gov is where you get more information on forms and things of that nature. buffalo, new york. joseph. caller: sir, i would like to ask two questions. one is, i will be 70 1/2 a year from now and have to -- i will be not penalized but i have to take money out of my thrift

savings from the equivalent to an i.r.a. from the government. do i personally have to inform the investor where i have that money invested that i will be 70 1/2 and they then send me the money? the second question is, what might i reinvest that money in to sort of offset the tax liability on that withdrawal? guest: this is called a required minimum distribution based on your life expectancy and you are correct, you must start taking money out of an i.r.a. or 401-k the year you turn 70 1/2. the plan knows how old you are and you need to tell them how much to take because they won't automatically give you the minute. you need to contact the savings plan. they can figure out what your minimum distribution is from the rules but you have to realize if you have other money someplace

like an i.r.a. a minimum amount has to come out of that as well so you need to figure this out. there is an i.r.s. publication 590 that has a table in the back, i think appendix 3 that has the percentage you have to take out to meet the minimum distribution requirements. whatever you take out will be taxed as income in that year. if you are 70 1/2 in 2010, you don't have to take moan out -- i'm sorry, you said 2011. the first distribution can be as late as april 1 of the following year so you can go until 2012 before you have to take anything out so be careful about that. as to where you reinvest it, it depends on where your other investments are. if you are trying to avoid taxation on it, an annuity maybe an idea if you need to defer the tacks more the capital gains property has low tax rates. zero percent for some. but that depends on other investments an i you need to sit

down and look at the entire financial picture. host: because of the economic situation in the united states people had to cash in 401-k's and i.r.a.'s, what is the penalty? guest: nothing is simple. from an i.r.a. before 59 1/2 there's a 10% penalty and it is taxable. if you lost or quit the job and tack it out of a 401-k 55 is the money age that the penalty disa's. i.r.a. is 59 1/2. everything you take out is penalized, tax and peoplized. some exceptions to the penalty for example if you weren employed for more than 12 weeks and used the i.r.a. or 401-k to buy medical insurance that part of the distribution no penalty. still taxed. taken out early to buy a first home, tax bud not penalized up to $10,000. if you took money out of the plans don't assume you owe the penalty. host: roseville, michigan. good morning.

amanda. guest: i heard you say a little while ago as far as the tax credit goes on first home buyers, you said -- my right when you said that it doesn't necessarily have to mean your very first house, it just means that within the last three years you had bought a house? because my point is that right before everything broke down we closed on a house september right before it happened on september 5 and purchased a hoehome with inheritance money. would we qualify for that in guest: september 5 of what year, 2009? host: 2008, i believe. right before everything melted do down. .

you qualify for the $7,500 credit. that is credit that you have to pay back. if he did not claim it on your 2008 return, you can file an amended return and claim the credit now. the irs will send you 7 $500. you have to start paying it back $500 every year. host: i understand that person's -- in general, how is the taxable portion of the distribution determine the term -- indicates that the taxable has not been calculated? guestit is pretty easy for most people. it is 100% taxable.

a traditional ira is what we are talking about. if you have a $5,000 of after- tax money and $100,000 was the total amount. 5% of any distribution would be tax-free. if a portion of the distribution is tax-free. the ira sponsor does not know how much money is tax free or if you got some somewhere else. when you take ira distributions, you have to look at every one your own, put it together and determine what is tax free. host: how many questions measure publication get on this? guest: hundreds.

from december to next week, we get hundreds of questions from our readers. they are very inquisitive people. i enjoy of problems like this because it forces me to stay on my toes. i am not an accountant. i am a journalist. i have learned a as to these questions as a result. host: what did they have to do to file by next week? guest: the vast majority of people get refunds. the average is $3,000 for 2009. if you have a refund coming,f cn ignore the the one with a penalty. the penalty is a percentage of the tax that you go with your return. if you owe money, you need to file form 4868 a 6 month extension. it pushes the deadline to

october 15. if you file that by midnight april 15, you cannot be hit with the failure to file penalty. you will still be charged interest on any tax euro after april 15. the interest as 4%. the penalty rate is 3%. it is not that bad. if you are thinking about borrowing money to pay your taxes, you may want to ask the irs for an installment plan. if you cannot get it done but a 15, if you are sure you are having money coming back, take a few days. do not run into -- rushed into making a mistake. -- rush into making a mistake.

host: nevada, go ahead. caller: i have a subscriber of kipling yoger. i have had no earned income for several years. last year, i subscribed to five daily newspapers with a total coast -- cost of $2,600. $900 for financial magazines. for financial advisory services, $2,600. i go to investment conferences, the total cost $6,000. can i deduct that? guest: some people would say yes. i think that is a lot that would have a red flag on a return.

you have to itemize first. you only get the deduction to the extent of 2% of exceeding your income. probably no tax benefit for you because of that 2% limit. some of ours is personal information. some of it is investment information. "the wall street journal", a lot of people to deduct that. i think the irs forbids irs - investment conferences as a deduction.

deadlock, but i think you have a tough time -- good luck, but i think you will have a tough time getting this deduction. laess than 1% get an audit. most of them you do not have to sit down face to face with the irs. you get a letter. most of these are handled by mail called correspondence audits. investment expense deduction probably will not get audited. there is so little money involved. the irs has to decide if it is worth their while. next week, you will see all sorts of stories in the paper with a few entertainers going to jail because of tax fraud. it always happens.

samuel jackson was 1 years ago. he did not go to jail, but he got down. be honest, pay your taxes, but to do not worry about an audit. host: tampa, florida. susan. caller: i have a quick question. i think it is philosophical, so bear with me. i have worked for the federal government for the last few years as a school teacher. i am trying to understand the need of this right now. i added it up on paper, my salary as a schoolteacher, a public servant. after 36 years of teaching, $60,000 a year. i multiplied by federal income- tax taken out on an annual basis. if i am not