Advertisement
YOU ARE HERE: LAT HomeCollections

House OKs economic stimulus package

The 244-188 vote goes along party lines. Republicans are firm on their opposition. One Democratic lawmaker says, 'The time for action is now.'

January 29, 2009|Janet Hook

WASHINGTON — In the first major test of President Obama's ability to push his ambitious agenda through Congress, the House on Wednesday approved the largest attempt since World War II to use the federal budget to redirect the course of the nation's economy.

Obama had worked hard to gain bipartisan support for the $819-billion stimulus package, beginning to negotiate possible compromises with Republicans even before entering the White House. But the measure passed on a strict party-line vote, 244 to 188. Not a single Republican supported the bill, and only 11 out of 255 Democrats opposed it.

The real test is whether the president's plan helps halt what has threatened to become an economic death spiral. The answer to that question will come not from Washington, but in cities, neighborhoods and rural areas across the country as the bill's impact becomes clear among workers, employers, and state and local governments.

Despite Wednesday's partisan outcome, the president praised the House vote and urged quick action in the Senate. "What we can't do is drag our feet or allow the same partisan differences to get in our way," Obama said. "We must move swiftly and boldly to put Americans back to work, and that is exactly what this plan begins to do."

With Obama and Democratic leaders intent on enacting an economic stimulus plan by mid-February, the Senate is expected to vote next week on its version of the bill -- broadly similar to the House plan but more expensive. A House-Senate conference will resolve differences, and Democratic leaders have pledged to have a final bill to the White House before the Presidents Day recess or to keep members in session until they act.

"We don't have a moment to spare," Obama said before the House vote.

Although solidly unified on the final vote, even some Democrats worried that the bill -- which was drafted by House Democrats working closely with Obama's aides and approved just eight days after his inauguration -- might not achieve its enormous goals.

And some lawmakers, especially fiscal conservatives and freshmen, squirmed at having to approve so much deficit spending to attack a problem they blame on former President George W. Bush and the GOP.

What carried the day for these Democrats was heavy political pressure to take some bold action to alleviate the anxiety and misfortune their constituents face.

"There are a million reasons to vote against it, but the problem is there are a million and one reasons to vote for it," said one freshman House Democrat who asked not to be named so he could speak candidly about his ambivalence.

For their part, Republicans showed remarkable unanimity. On major economic issues, typically a few moderate Republicans stray from the party line. This time, they seemed to be concerned chiefly with re-establishing their bona fides as fiscal conservatives, deriding excessive government spending while returning to their pro-tax-cut credo.

"Most House Republicans will oppose this bill tonight for one reason: It won't work," said Rep. Mike Pence (R-Ind.). Republicans unsuccessfully proposed an alternative that focused only on cutting taxes.

Rep. Earl Pomeroy (D-N.D.) dismissed their stance as a "tired old Republican formula."

"We are moving the ship of state in a new direction -- in favor of the many, not the few," said House Speaker Nancy Pelosi (D-San Francisco).

The bill contains an almost-bewildering array of provisions, many of them funded at all-but-unprecedented levels.

For the millions of Americans who have lost their jobs and are feeling the effect of the economic crisis most directly, the measure would provide at least $86 billion for expansion of the social safety net -- including deep subsidies for private health insurance, expanded access to Medicaid and more extensive jobless benefits.

About $275 billion in tax cuts for businesses and individuals, including credits of up to $500 for single workers and $1,000 for couples, are included in the bill. And it would prime the economic pump with $544 billion in direct spending, including aid to fiscally beleaguered states, subsidies for education and energy innovation, and funding for highway construction and other job-creating infrastructure projects.

Congress is moving with unusual dispatch at a time when the economy is shedding jobs at an astonishing pace. About 2.6 million jobs were lost in 2008, and 2 million more are expected to be lost in the next six months.

"The workers who are returning home to tell their husbands and wives and children that they no longer have a job, and all those who live in fear that their job will be next on the cutting blocks, they need help now," Obama said Wednesday after meeting with corporate executives at the White House.

"They are looking to Washington for action, bold and swift."

Advertisement
Los Angeles Times Articles
|
|
|