mr. schwartz's comments just now? >> he is correct that there will be problems with respect to errors in the database. for 90%-90% -- 90%-95% which means they will rely on fraud. we ought to solve the big problem first. the secondary problem could be addressed by simply picking up the phone when you have a problem and saying to the state, can you tell us whether this bursar to begin is good or not? -- can you tell us whether this birth certificate is a good or not? that allows us to take care of notations on the certificate. it does mean that you again have to find a way to make the adjustments to the database. we should be so lucky to have that problem. >> senator collins? >> thank you, mr. chairman. sheriff, we talked a lot today about the issue of terrorists using drivers licenses. more secure drivers' licenses also have applications for prohibiting or making it more difficult for counterfeiting to take place. could you talk more about the benefits of more secure authentic driver's licenses to you as someone who is

schwartz. >> thank you, mr. chairman, and thank you for the hearing, and i was going to say welcome to dr. elmendorf, but -- and you are welcome, but it is, i think, both good news and bad news. i appreciate your comments on where we stand right now and some of the actions that we've taken in the last year that have helped stabilize the financial situation and is beginning to turn the economy around. that is good news to the american people, although as all of us know until we start to see new jobs, expansion of the economy here at home they are really just numbers to people, and we can be more hopeful that we are beginning to regrow this economy, and that is good news. but it is daunting. the numbers that you present in terms of the deficit. again, i think some of this is good news on our part because we're taking it seriously, and i want to just ask a couple questions about, one, you know, how we got here. i think that we, we don't want to go over a lot of history, but i think it does help for us to understand what we inherited in the situation and how we got here. you did -- and we know

schwartz. >> thank you, mr. chairman, and thank you for the hearing, and i was going to say welcome to dr.elmendorf, but -- and you are welcome, but it is, i think, both good news and bad news. i appreciate your comments on where we stand right now and some of the actions that we've taken in the last year that have helped stabilize the financial situation and is beginning to turn the economy around. that is good news to the american people, although as all of us know until we start to see new jobs, expansion of the economy here at home they are really just numbers to people, and we can be more hopeful that we are beginning to regrow this economy, and that is good news. but it is daunting. the numbers that you present in terms of the deficit. again, i think some of this is good news on our part because we're taking it seriously, and i want to just ask a couple questions about, one, you know, how we got here. i think that we, we don't want to go over a lot of history, but i think it does help for us to understand what we inherited in the situation and how we got here. you did -- and we know

schwartz. >> thank you, mr. chairman, and thank you for the hearing, and i was going to say welcome to dr.ink, both good news and bad news. i appreciate your comments on where we stand right now and some of the actions that we've taken in the last year that have helped stabilize the financial situation and is beginning to turn the economy around. that is good news to the american people, although as all of us know until we start to see new jobs, expansion of the economy here at home they are really just numbers to people, and we can be more hopeful that we are beginning to regrow this economy, and that is good news. but it is daunting. the numbers that you present in terms of the deficit. again, i think some of this is good news on our part because we're taking it seriously, and i want to just ask a couple questions about, one, you know, how we got here. i think that we, we don't want to go over a lot of history, but i think it does help for us to understand what we inherited in the situation and how we got here. you did -- and we know that president obama inherited a $1.3 trillion deficit

mr. speaker, yesterday i addressed the demand of governor schwartz nager for federal aid -- federal aid thatfornia's brutal economy and cost $10 billion in lost revenues in just nine months. california's revenue problem isn't the only thing that was made in sacramento. her spending problem is also self-inflicted. when the governor took office, california was spending $78 billion a year. instead of hitting the brakes, he hit the accelerator, and in just 4 1/2 years increased spending by a stunning 40%. when state revenues peaked at their all-time high in july of 2008 and $97 billion, california was already running a $9 billion deficit. mr. speaker, budget deficits that are made in california need to stay in california. and that goes for the 49 other states as well. the speaker pro tempore: the gentleman yields back. are there any additional one-minute requests? for what purpose does the gentlewoman from california rise? ms. watson: to address the house for one minute. the speaker pro tempore: the gentlelady from california is recognized for one minute. ms. watson: mr. speaker, democrats in co

mrs. schwartz. what's the problem here?i mean, what's the difference between what i ask you and what professor levitin responds? does he understand this program clearly? >> we have talked several times and i think what's important here, sir, is a know, you're right in that if 30% or 40% go back into default and you try another modification, for instance, maybe the hamp modification, you know, that's another bite at the apple before you go to foreclosure. and what i would say with my numbers that are accurate is we count every foreclosure. so they would flow through our pipelines and show you what happened and clearly millions of people are not in the final stage of foreclosure every the effort, that's clear. two out of three don't go to foreclosure and that's historic in the years through these efforts. it used to be one out of two go to foreclosure. more works needs to be done, i totally agree. but every loan should be reviewed for a workout alternative. that is the prescriptive agreement for what hamp is. after they have