largest investment in basic research funding in history, an investment
that could lead to the world's cheapest solar cells or treatment that
kills cancer cells, but leaves healthy ones untouched. And no area is
more ripe for such innovation than energy. You can see the results of
last year's investments in clean energy in the North Carolina company
that will create 1,200 jobs nationwide helping to make advanced
batteries or in the California business that will put a thousand people
to work making solar panels.
But to create more of these clean energy jobs, we need more production,
more efficiency, more incentives. And that means building a new
generation of safe, clean nuclear power plants in this country. It
means making tough decisions about opening new offshore areas for oil
and gas development. It means continued investment in advanced biofuels
and clean coal technologies. And yes, it means passing a comprehensive
energy and climate bill with incentives that will finally make clean
energy the profitable kind of energy in America. Now, I am grateful to
the House for passing such a bill last year. And this year, I'm eager
to help advance the bipartisan effort in the Senate.
I know there have been questions about whether we can afford such
changes in a tough economy. I know that there are those who disagree
with the overwhelming scientific evidence on climate change. But here's
the thing: Even if you doubt the evidence, providing incentives for
energy efficiency and clean energy are the right thing to do for our
future, because the nation that leads the clean energy economy will be
the nation that leads the global economy. And America must be that
nation.
Third, we need to export more of our goods, because the more products
we make and sell to other countries, the more jobs we support right
here in America. So tonight we set a new goal: We will double our
exports over the next 5 years, an increase that will support 2 million
jobs in America. To help meet this goal, we're launching a National
Export Initiative that will help farmers and small businesses increase
their exports and reform export controls consistent with national
security.
We have to seek new markets aggressively, just as our competitors are.
If America sits on the sidelines while other nations sign trade deals,
we will lose the chance to create jobs on our shores. But realizing
those benefits also means enforcing those agreements so our trading
partners play by the rules. And that's why we'll continue to shape a
Doha trade agreement that opens global markets and why we will
strengthen our trade relations in Asia and with key partners like South
Korea and Panama and Colombia.
Fourth, we need to invest in the skills and education of our people.
Now, this year, we've broken through the stalemate between left and
right by launching a national competition to improve our schools. And
the idea here is simple: Instead of rewarding failure, we only reward
success. Instead of funding the status quo, we only invest in reform,
reform that raises student achievement, inspires students to excel in
math and science, and turns around failing schools that steal the
future of too many young Americans, from rural communities to the inner
city. In the 21st century, the best antipoverty program around is a
world-class education. And in this country, the success of our children
cannot depend more on where they live than on their potential. When we
renew the Elementary and Secondary Education Act, we will work with
Congress to expand these reforms to all 50 States.
Still, in this economy, a high school diploma no longer guarantees a
good job. That's why I urge the Senate to follow the House and pass a
bill that will revitalize our community colleges, which are a career
pathway to the children of so many working families.
To make college more affordable, this bill will finally end the
unwarranted taxpayer subsidies that go to banks for student loans.
Instead, let's take that money and give families a $10,000 tax credit
for 4 years of college and increase Pell grants. And let's tell another
1 million students that when they graduate, they will be required to
pay only 10 percent of their income on student loans and all of their
debt will be forgiven after 20 years and forgiven after 10 years if
they choose a career in public service, because in the United States of
America, no one should go broke because they chose to go to college.
And by the way, it's time for colleges and universities to get serious
about cutting their own costs, because they too have a responsibility
to help solve this problem.
Now, the price of college tuition is just one of the burdens facing the
middle class. That's why last year, I asked Vice President Biden to
chair a task force on middle class families. That's why we're nearly
doubling the childcare tax credit and making it easier to save for
retirement by giving access to every worker a retirement account and
expanding the tax credit for those who start a nest egg. That's why
we're working to lift the value of a family's single largest investment,
their home. The steps we took last year to shore up the housing market
have allowed millions of Americans to take out new loans and save an
average of $1,500 on mortgage payments. This year, we will step up
refinancing so that homeowners can move into more affordable mortgages.
And it is precisely to relieve the burden on middle class families that
we still need health insurance reform. Yes, we do.
Now, let's clear a few things up. I didn't choose to tackle this issue
to get some legislative victory under my belt. And by now it should be
fairly obvious that I didn't take on health care because it was good
politics. [Laughter] I took on health care because of the stories I've
heard from Americans with preexisting conditions whose lives depend on
getting coverage, patients who've been denied coverage, families, even
those with insurance, who are just one illness away from financial ruin.
After nearly a century of trying--Democratic administrations,
Republican administrations--we are closer than ever to bringing more
security to the lives of so many Americans. The approach we've taken
would protect every American from the worst practices of the insurance
industry. It would give small businesses and uninsured Americans a
chance to choose an affordable health care plan in a competitive market.
It would require every insurance plan to cover preventive care.
And by the way, I want to acknowledge our First Lady, Michelle Obama,
who this year is creating a national movement to tackle the epidemic of
childhood obesity and make kids healthier. [Applause] Thank you, honey.
She gets embarrassed. [Laughter]
Our approach would preserve the right of Americans who have insurance
to keep their doctor and their plan. It would reduce costs and premiums
for millions of families and businesses. And according to the
Congressional Budget Office, the independent organization that both
parties have cited as the official scorekeeper for Congress, our
approach would bring down the deficit by as much as $1 trillion over
the next two decades.
Still, this is a complex issue, and the longer it was debated, the more
skeptical people became. I take my share of the blame for not
explaining it more clearly to the American people. And I know that with
all the lobbying and horse-trading, the process left most Americans
wondering, "What's in it for me?"
But I also know this problem is not going away. By the time I'm
finished speaking tonight, more Americans will have lost their health
insurance. Millions will lose it this year. Our deficit will grow.
Premiums will go up. Patients will be denied the care they need. Small-
business owners will continue to drop coverage altogether. I will not
walk away from these Americans, and neither should the people in this
Chamber.
So as temperatures cool, I want everyone to take another look at the
plan we've proposed. There's a reason why many doctors, nurses, and
health care experts who know our system best consider this approach a
vast improvement over the status quo. But if anyone from either party
has a better approach that will bring down premiums, bring down the
deficit, cover the uninsured, strengthen Medicare for seniors, and stop
insurance company abuses, let me know. Let me know. Let me know. I'm
eager to see it.
Here's what I ask Congress, though: Don't walk away from reform. Not
now. Not when we are so close. Let us find a way to come together and
finish the job for the American people. Let's get it done. Let's get it
done.
Now, even as health care reform would reduce our deficit, it's not
enough to dig us out of a massive fiscal hole in which we find
ourselves. It's a challenge that makes all others that much harder to
solve and one that's been subject to a lot of political posturing. So
let me start the discussion of Government spending by setting the
record straight.
At the beginning of the last decade, the year 2000, America had a
budget surplus of over $200 billion. By the time I took office, we had
a 1-year deficit of over $1 trillion and projected deficits of $8
trillion over the next decade. Most of this was the result of not
paying for two wars, two tax cuts, and an expensive prescription drug
program. On top of that, the effects of the recession put a $3 trillion
hole in our budget. All this was before I walked in the door. [Laughter]
Now--[applause]--just stating the facts. Now, if we had taken office in
ordinary times, I would have liked nothing more than to start bringing
down the deficit. But we took office amid a crisis. And our efforts to
prevent a second depression have added another $1 trillion to our
national debt. That too is a fact.
I'm absolutely convinced that was the right thing to do. But families
across the country are tightening their belts and making tough
decisions. The Federal Government should do the same. So tonight I'm
proposing specific steps to pay for the trillion dollars that it took
to rescue the economy last year.
Starting in 2011, we are prepared to freeze Government spending for 3
years. Spending related to our national security, Medicare, Medicaid,
and Social Security will not be affected. But all other discretionary
Government programs will. Like any cash-strapped family, we will work
within a budget to invest in what we need and sacrifice what we don't.
And if I have to enforce this discipline by veto, I will.
We will continue to go through the budget, line by line, page by page,
to eliminate programs that we can't afford and don't work. We've
already identified $20 billion in savings for next year. To help
working families, we'll extend our middle class tax cuts. But at a time
of record deficits, we will not continue tax cuts for oil companies,
for investment fund managers, and for those making over $250,000 a year.
We just can't afford it.
Now, even after paying for what we spent on my watch, we'll still face
the massive deficit we had when I took office. More importantly, the
cost of Medicare, Medicaid, and Social Security will continue to
skyrocket. That's why I've called for a bipartisan fiscal commission,
modeled on a proposal by Republican Judd Gregg and Democrat Kent Conrad.
This can't be one of those Washington gimmicks that lets us pretend we
solve a problem. The commission will have to provide a specific set of
solutions by a certain deadline.
Now, yesterday the Senate blocked a bill that would have created this
commission, so I'll issue an Executive order that will allow us to go
forward, because I refuse to pass this problem on to another generation
of Americans. And when the vote comes tomorrow, the Senate should
restore the pay-as-you-go law that was a big reason for why we had
record surpluses in the 1990s.
Now, I know that some in my own party will argue that we can't address
the deficit or freeze Government spending when so many are still
hurting. And I agree, which is why this freeze won't take effect until
next year, when the economy is stronger. That's how budgeting works.
[Laughter] But understand, if we don't take meaningful steps to rein in
our debt, it could damage our markets, increase the cost of borrowing,
and jeopardize our recovery, all of which would have an even worse
effect on our job growth and family incomes.
From some on the right, I expect we'll hear a different argument, that
if we just make fewer investments in our people, extend tax cuts,
including those for the wealthier Americans, eliminate more regulations,
maintain the status quo on health care, our deficits will go away. The
problem is, that's what we did for 8 years. That's what helped us into
this crisis. It's what helped lead to these deficits. We can't do it
again.
Rather than fight the same tired battles that have dominated Washington
for decades, it's time to try something new. Let's invest in our people
without leaving them a mountain of debt. Let's meet our responsibility
to the citizens who sent us here. Let's try common sense--[Laughter]--a
novel concept.
Now, to do that, we have to recognize that we face more than a deficit
of dollars right now. We face a deficit of trust, deep and corrosive
doubts about how Washington works that have been growing for years. To
close that credibility gap, we have to take action on both ends of
Pennsylvania Avenue to end the outsized influence of lobbyists, to do
our work openly, to give our people the Government they deserve.
Now, that's what I came to Washington to do. That's why, for the first
time in history, my administration posts on--our White House visitors
online. That's why we've excluded lobbyists from policymaking jobs or
seats on Federal boards and commissions. But we can't stop there. It's
time to require lobbyists to disclose each contact they make on behalf
of a client, with my administration or with Congress. It's time to put
strict limits on the contributions that lobbyists give to candidates
for Federal office.
With all due deference to separation of powers, last week, the Supreme
Court reversed a century of law that I believe will open the floodgates
for special interests, including foreign corporations, to spend without
limit in our elections. I don't think American elections should be
bankrolled by America's most powerful interests, or worse, by foreign
entities. They should be decided by the American people. And I'd urge
Democrats and Republicans to pass a bill that helps correct some of
these problems.
I'm also calling on Congress to continue down the path of earmark
reform, Democrats and Republicans--Democrats and Republicans. Look,
you've trimmed some of this spending, you've embraced some meaningful
change, but restoring the public trust demands more. For example, some
Members of Congress post some earmark requests online. Tonight I'm
calling on Congress to publish all earmark requests on a single web
site before there's a vote so that the American people can see how
their money is being spent.
Of course, none of these reforms will even happen if we don't also
reform how we work with one another. Now, I'm not naive. I never
thought that the mere fact of my election would usher in peace and
harmony and--[Laughter]--some postpartisan era. I knew that both
parties have fed divisions that are deeply entrenched. And on some
issues, there are simply philosophical differences that will always
cause us to part ways. These disagreements, about the role of
government in our lives, about our national priorities and our national
security, they've been taking place for over 200 years. They're the
very essence of our democracy.
But what frustrates the American people is a Washington where every day
is election day. We can't wage a perpetual campaign where the only goal
is to see who can get the most embarrassing headlines about the other
side, a belief that if you lose, I win. Neither party should delay or
obstruct every single bill just because they can. The confirmation of--
I'm speaking to both parties now--the confirmation of well-qualified
public servants shouldn't be held hostage to the pet projects or
grudges of a few individual Senators.
Washington may think that saying anything about the other side, no
matter how false, no matter how malicious, is just part of the game.
But it's precisely such politics that has stopped either party from
helping the American people. Worse yet, it's sowing further division
among our citizens, further distrust in our Government. So no, I will
not give up on trying to change the tone of our politics. I know it's
an election year. And after last week, it's clear that campaign fever
has come even earlier than usual. But we still need to govern.
To Democrats, I would remind you that we still have the largest
majority in decades and the people expect us to solve problems, not run
for the hills. And if the Republican leadership is going to insist that
60 votes in the Senate are required to do any business at all in this
town--a supermajority--then the responsibility to govern is now yours
as well. Just saying no to everything may be good short-term politics,
but it's not leadership. We were sent here to serve our citizens, not
our ambitions. So let's show the American people that we can do it
together.
This week, I'll be addressing a meeting of the House Republicans. I'd
like to begin monthly meetings with both Democratic and Republican
leadership. I know you can't wait. [Laughter]
Now, throughout our history, no issue has united this country more than
our security. Sadly, some of the unity we felt after 9/11 has
dissipated. And we can argue all we want about who's to blame for this,
but I'm not interested in relitigating the past. I know that all of us
love this country. All of us are committed to its defense. So let's put
aside the schoolyard taunts about who's tough. Let's reject the false
choice between protecting our people and upholding our values. Let's
leave behind the fear and division and do what it takes to defend our
Nation and forge a more hopeful future for America and for the world.
That's the work we began last year. Since the day I took office, we've
renewed our focus on the terrorists who threaten our Nation. We've made
substantial investments in our homeland security and disrupted plots
that threatened to take American lives. We are filling unacceptable
gaps revealed by the failed Christmas attack, with better airline
security and swifter action on our intelligence. We've prohibited
torture and strengthened partnerships from the Pacific to South Asia to
the Arabian Peninsula. And in the last year, hundreds of Al Qaida's
fighters and affiliates, including many senior leaders, have been
captured or killed, far more than in 2008.
And in Afghanistan, we're increasing our troops and training Afghan
security forces so they can begin to take the lead in July of 2011 and
our troops can begin to come home. We will reward good governance, work
to reduce corruption, and support the rights of all Afghans, men and
women alike. We're joined by allies and partners who have increased
their own commitments and who will come together tomorrow in London to
reaffirm our common purpose. There will be difficult days ahead, but I
am absolutely confident we will succeed.
As we take the fight to Al Qaida, we are responsibly leaving Iraq to
its people. As a candidate, I promised that I would end this war, and
that is what I am doing as President. We will have all of our combat
troops out of Iraq by the end of this August. We will support the Iraqi
Government as they hold elections, and we will continue to partner with
the Iraqi people to promote regional peace and prosperity. But make no
mistake: This war is ending, and all of our troops are coming home.
Tonight all of our men and women in uniform, in Iraq, in Afghanistan,
and around the world, they have to know that we--that they have our
respect, our gratitude, our full support. And just as they must have
the resources they need in war, we all have a responsibility to support
them when they come home. That's why we made the largest increase in
investments for veterans in decades last year. That's why we're
building a 21st-century VA. And that's why Michelle has joined with
Jill Biden to forge a national commitment to support military families.
Now, even as we prosecute two wars, we're also confronting perhaps the
greatest danger to the American people, the threat of nuclear weapons.
I've embraced the vision of John F. Kennedy and Ronald Reagan through a
strategy that reverses the spread of these weapons and seeks a world
without them. To reduce our stockpiles and launchers, while ensuring
our deterrent, the United States and Russia are completing negotiations
on the farthest reaching arms control treaty in nearly two decades. And
at April's Nuclear Security Summit, we will bring 44 nations together
here in Washington, DC, behind a clear goal: securing all vulnerable
nuclear materials around the world in 4 years so that they never fall
into the hands of terrorists.
Now, these diplomatic efforts have also strengthened our hand in
dealing with those nations that insist on violating international
agreements in pursuit of nuclear weapons. That's why North Korea now
faces increased isolation and stronger sanctions, sanctions that are
being vigorously enforced. That's why the international community is
more united and the Islamic Republic of Iran is more isolated. And as
Iran's leaders continue to ignore their obligations, there should be no
doubt: They too will face growing consequences. That is a promise.
That's the leadership we are providing: engagement that advances the
common security and prosperity of all people. We're working through the
G-20 to sustain a lasting global recovery. We're working with Muslim
communities around the world to promote science and education and
innovation. We have gone from a bystander to a leader in the fight
against climate change. We're helping developing countries to feed
themselves and continuing the fight against HIV/AIDS. And we are
launching a new initiative that will give us the capacity to respond
faster and more effectively to bioterrorism or an infectious disease, a
plan that will counter threats at home and strengthen public health
abroad.
As we have for over 60 years, America takes these actions because our
destiny is connected to those beyond our shores. But we also do it
because it is right. That's why, as we meet here tonight, over 10,000
Americans are working with many nations to help the people of Haiti
recover and rebuild. That's why we stand with the girl who yearns to go
to school in Afghanistan, why we support the human rights of the women
marching through the streets of Iran, why we advocate for the young man
denied a job by corruption in Guinea. For America must always stand on
the side of freedom and human dignity--always.
Abroad, America's greatest source of strength has always been our
ideals. The same is true at home. We find unity in our incredible
diversity, drawing on the promise enshrined in our Constitution: The
notion that we're all created equal; that no matter who you are or what
you look like, if you abide by the law, you should be protected by it;
if you adhere to our common values, you should be treated no different
than anyone else.
We must continually renew this promise. My administration has a
Division that is once again prosecuting violations and employment
discrimination. We finally strengthened our laws to protect against
crimes driven by hate. This year, I will work with Congress and our
military to finally repeal the law that denies gay Americans the right
to serve the country they love because of who they are. It's the right
thing to do.
We're going to crack down on violations of equal pay laws so that women
get equal pay for an equal day's work. And we should continue the work
of fixing our broken immigration system, to secure our borders and
enforce our laws and ensure that everyone who plays by the rules can
contribute to our economy and enrich our Nation.