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Obama vows to help states

He pledges quick action on plan likely to focus on infrastructure, reform

By Liz Sidoti
Associated Press

PHILADELPHIA: President-elect Barack Obama promised swift action Tuesday on an economic plan ''to solve this crisis and to ease the burden on our states,'' and he cast governors as his partners in crafting a recession-rebound strategy.

''This administration does not intend to delay in getting you the help that we need,'' Obama said as he met with the chief executives of most states and sought to rally bipartisan support for an economic stimulus.

The president-elect has set a goal of saving or creating 2.5 million jobs to boost the economy, which experts say has been in recession for the past year. His aides and congressional leaders have been discussing the outlines of a measure that could exceed $500 billion over two years. Congress wants to have it ready for his signature shortly after his Jan. 20 inauguration.

Incoming White House chief of staff Rahm Emanuel told reporters that in a private portion of the meeting, Obama and Republican and Democratic governors agreed that the measure must focus heavily on money for infrastructure as well as bureaucratic reforms to make it easier to complete programs without having to cut through piles of red tape.

''The top priority is to invest in these areas,'' Emanuel said, listing roads, bridges, high-speed rail, water-treatment systems, schools, medical information technology, broadband networks, transportation systems and ''green'' technology.

''The governors see that as essential to their own economic recovery in their states, and we see it as essential to the economic recovery of the country,'' Emanuel said.

But Emanuel was noncommittal on whether the legislation would contain exactly what the governors seek — some $136 billion more for infrastructure projects and at least $40 billion to temporarily increase the federal government's contribution to the Medicaid program for the poor and disabled.

''We're going to review all that,'' Emanuel said.

The measure is expected to blend money for those priorities with tax cuts, a temporary increase in food stamp payments, as well as investments in renewable energy projects and other ''green jobs'' initiatives.

Obama and Vice President-elect Joe Biden spoke to the bipartisan group of governors at historic Congress Hall.

PHILADELPHIA: President-elect Barack Obama promised swift action Tuesday on an economic plan ''to solve this crisis and to ease the burden on our states,'' and he cast governors as his partners in crafting a recession-rebound strategy.

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