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Continued Coverage: Alex Rodriguez Press Conference; California Blues; Signing Day in Denver for Stimulus Package
Aired February 17, 2009 - 14:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
ALEX RODRIGUEZ, PROFESSIONAL BASEBALL PLAYER: The fact is that it came out, and I'm here to, you know, share my story. And put it out there and hopefully I can put this behind me. And my teammates don't have to carry the burden of answering all the questions for me. So --
UNIDENTIFIED MALE: Bruce Beck (ph), NBC
QUESTION: Bruce Beck, WNBC-TV: Alex, you talked about the pressure of being the highest paid player of baseball in Texas as a reason for using performance enhancing drugs. When you came to New York in 2004, pretty tough place to play, you discontinued the use. Can you talk about why?
RODRIGUEZ: I think I was curious. Like I said in Peter's interview, I was young, I was 24, 25 years old. I keep going back to, I entered the game when I was 18, you know. For a lot of people, if I had a son, I would definitely recommend going to college and having an opportunity to grow up. And I didn't.
I felt, like I said in my statement, that after my neck injury, and after I realized Major League Baseball was implementing tests, this was serious business and it was time to grow up. Since I've realized I don't need any of it. I've played by best -- my best baseball in my career, and had my best year of all time in '07. So I'm glad it's past me and look forward to playing more baseball.
UNIDENTIFIED MALE: Pete.
QUESTION: Alex, you said you took this substance for three years. What was the benefit of taking it? And when you stopped taking it, did you notice any difference when you did stop?
RODRIGUEZ: You know, I'm not sure what the benefit was. I will say this, when you take any substance, or anything, and especially in baseball, it's half mental and it's half physical. If you take this glass of water and you say I'm going to be a better baseball player, if you believe it, you probably will be. So I certainly felt more energy, but it's hard to say. Hard to say.
UNIDENTIFIED MALE: We're going to go to your right, Alex. To Hal.
QUESTION: Alex, when you took these substances, was it in pill form or were you actually injected?
RODRIGUEZ: Injected. UNIDENTIFIED MALE: We'll go to Bob to your left, Alex.
QUESTION: Alex, since this came out a week and a half ago, there have been a lot of people talking about this being cheating. Do you consider what you did cheating?
RODRIGUEZ: That's not for me to determine. I'm here to say that I'm sorry. I'm here to say that in some ways I wish I went to college and got an opportunity to grow up at my own pace. You know, I guess when you're young and stupid, you're young and stupid. I'm very guilty for both those.
UNIDENTIFIED MALE: Tyler -- if I did not mention this, sorry, in the opening, forgive me, but please identify yourself and your affiliation.
QUESTION: Tyler Kempner (ph) with "The New York Times." Alex, you've obviously had a lot of support from your teammates. But some ex-teammates, Jamie Moyer, has come out with some pretty strong statements about your credibility, and whatnot. Do you feel like you have a lot to repair in that sense? What did you make of those particular comments from Jamie Moyer?
RODRIGUEZ: You want to read Jamie's comments? I'm not aware of what exactly he said.
QUESTION: He talked about why would we believe what he has to say? And his credibility has been seriously damaged, and why would anybody vote for the Hall of Fame for a player who's admitted using steroids?
RODRIGUEZ: I'm sorry Jamie feels that way. He's definitely entitled to his opinion, and the baseball world and all the fans we have, I understand their doubt. I understand their concerns. And, you know, there are certain things I can't control. And there are certain things I could control. I'm going to focus on what I can do. And move forward.
UNIDENTIFIED MALE: Back right, George?
QUESTION: George King, "New York Post." what's your cousin's name and who transported the substance from the Dominican to the United States?
RODRIGUEZ: What was the second part, George?
QUESTION: Who transported the drug from the Dominican to the United States?
RODRIGUEZ: Same person. I'd rather not get into who my cousin is. I mean, I'm here to stand front and center and take the blame, because I'm responsible for this. He basically took an instruction from me. And felt he was doing something that going was going to helpful, not hurtful. So, George, I really don't think that's relevant at this point, his name.
UNIDENTIFIED MALE: Ed, right here in the front.
QUESTION: John Thomas with ABC, here in Tampa. You've touched on the fact that some people, they've referred to this as cheating. How do you address parents now who have to talk to kids about how you profited from this?
RODRIGUEZ: Well, I think -- first thing I say to parents is, I'm sorry. And I feel that this happened for a much bigger reason than baseball. I think God's put me now in a position -- put me in a forum where I can be heard, and my voice can be heard. And I hope that kids would not make the same mistake that I made. And I hope to join Don Houton (ph), who's done some incredible things, who's sitting right over here. He had a son, His son passed away because of steroid abuse. And I know this is not the time or the forum to talk about what I intend or plan to do, but I do plan to -- and I've had several conversations with Don, to join forces with him in Major League Baseball to basically anti-steroid message to kids all over the country.
UNIDENTIFIED MALE: John, to the left, Alex?
QUESTION: John Harper of "The Daily News". Just to be clear, did you know the stuff you were getting from the Dominican was steroids? And if so, did you -- I know you said you were young, did you consider the consequences at the time?
RODRIGUEZ: I didn't think they were steroids. I mean, that's, again, part of being young and stupid. It was over-the-counter. It was pretty basic. And, you know, it was really amateur hour. It was two guys, we couldn't go outside, we couldn't ask anyone, we didn't want to ask anyone. We went outside team doctors, team trainers. It was two guys doing a very amateur and immature thing. We probably didn't even take it right.
Like I said in my statement, we used to do it about two times a month. I don't even know if that's proper. So when this gentleman asked me about how it affected us, I'm not even sure if we did it right to affect us in the right way. So all these years, I never thought I did anything that was wrong. Perhaps, but not wrong. And come to find out, BOLE (ph) triggered a positive test in '03.
UNIDENTIFIED MALE: Steve? Same direction, Alex.
QUESTION: Alex, Steve Politti (ph)from "The Starlight News" (ph), New Jersey. As someone who monitors everything that they put in your body, how could you have not done more research, or been more conscientious about what you were taking?
RODRIGUEZ: I wish I knew. I was 24. I was 25. I was pretty naive and pretty young. And initially I was curious, because he mentioned it a few times. And I just gave it a try.
UNIDENTIFIED MALE: Mark?
QUESTION: Mark Finetan (ph), "The Daily News". Alex, the home run record is obviously something that will come up in a few years here. Obviously, it was something important to you and the Yankees, so much that there are $30 million of incentives in your contract as you approach it. Do you feel like your home run record would be tainted? If your home runs are tainted? And if you should get that money if you get to that point?
RODRIGUEZ: Well, I mean, look, I'm trying to get by today. It's been a very difficult several weeks, and it's been very painful for me and my family. And I'm here to take my medicine. As far as anything that has to do with today, or the past, it's really hard to get myself in that mind frame. But I'm sure there will be a lot of debates and there will be a lot of questions about everything I did in that period.
UNIDENTIFIED MALE: Front to your right, Alex. Mel? Ed?
QUESTION: Alex, Mel Antonin (ph), "USA Today." Do you feel like you'll have to talk to your teammates and rebuild your credibility with your teammates, given that you had denied using steroids, you know, these performance enhancing drugs in other interviews?
RODRIGUEZ: Boy, not only with my teammates. I mean, look, at the end of the day, these 25 guys, we're a family. And I really hope that through this crisis; that we are going to become so close, closer than ever. And I think that that's going to happen. But I owe an apology not only to my teammates, the whole organization, but every fan all over the world, that's a fan of baseball. I mean, yeah, all of the above.
QUESTION: Alex , Candace Stormy (ph), ESPN. Did you ever experiment with anything else during the course of your career such as humane growth hormone or amphetamines?
RODRIGUEZ: No, on the human growth hormone. What I used to take a lot in -- especially in the Seattle days, was something called Ridfield (ph). Since it's been banned from Major League Baseball, I believe. And also, it's been banned -- it's been removed from the shelves at GNC. I used to dabble with that some.
QUESTION: Alex, Scott Clark, WABC-TV.
UNIDENTIFIED MALE: The back, right, Alex.
QUESTION: You were caught up with emotion earlier when you wanted to address your teammates. Now that you've gathered yourself a bit, can you tell us what you had to say to your teammates?
RODRIGUEZ: Thank you for that opportunity. You know, for the guys, I thank you for being here. Like I said earlier, this has been a very difficult two weeks, and a difficult day to try get through. And without you guys being here, it would have been impossible. So I thank you. I love you. And I look forward to putting this day behind us and having an amazing season. Because it will be the best season of our lives.
UNIDENTIFIED MALE: Mike? QUESTION: Mike Ducarti (ph), "New York Post." Alex, you mentioned earlier you didn't think, at the time, that what you and your cousin were doing was wrong. But if you didn't think it was wrong, why were you so secretive and so reluctant to ask for assistance with what you were doing?
RODRIGUEZ: That's a good question. I know we weren't taking Tic Tacs. You know? I knew that. It was potentially could be something that was perhaps wrong. But I really didn't get into the investigation, perhaps like I would have. I mean, I wouldn't imagine think of doing something like that today obviously. It's a different world. It's a different culture.
But again, when you're 24 and you're 25, and you're curious, and you're ignorant, there's a lot of things you don't tell a lot of people. Not just that. I mean, you don't want to share everything you do with the public, or whatnot. That was just one of those things that I really decided not to share with anyone.
UNIDENTIFIED MALE: Alex, we're going to go all the way back to the left. Gordon, if you'd stand up.
QUESTION: Gordon Eates from Yahoo! Roy Oswald, a fellow player and a fellow union member said that last week in an interview that A- Rod's numbers shouldn't count for anything. I feel like he cheated me out of the game. I wonder if you think his position has any validity, and is his apparent anger warranted?
RODRIGUEZ: Well, again, I'm sorry Roy feels that way. Look, everyone has their opinions and their beliefs. And I'm sorry he feels that way.
UNIDENTIFIED MALE: To the right, Ken. If you would stand up, please.
QUESTION: Alex, Ken Dave off of "Newsday". You made serious allegations against Salina Roberts (ph) in your interview with Peter Gammons (ph). Do you stand by those? And is it accurate that you spoke with Salina Roberts (ph) since that interview?
RODRIGUEZ: Yes, it is. I actually reached out to Salina last week, and we had a very good conversation. After talking to the Miami Beach police, they wrote a -- police report? That I thought was a citation. So it was definitely a misunderstanding of the facts. I reached out to her. And it went well. We both decided to put it behind us.
UNIDENTIFIED MALE: Let's go to the center here. Raquel?
QUESTION: Raquel Julick (ph), Foreign Radio Spanish language. Alex, I'm going to ask my question in Spanish. It needs no translation.
(SPEAKING IN SPANISH)
RODRIGUEZ: (SPEAKING IN SPANISH) UNIDENTIFIED MALE: Where's the mic, to my left? Go to Jack Curry, right in front of you.
QUESTION: Jack Curry, "New York Times." Alex, because of your status in the game, and how you keep saying you want people to forget about this and forgive you, have you given any consideration to submitting to even more testing than players normally get? To say, test me every week, test me twice a month? I'm that anxious to prove that what I'm doing now, I'm clean?
RODRIGUEZ: Well, my style is never to challenge anything. I think the system in place is really good. I think Major League Baseball has made some incredible strides. I think it's a different game today than it was 10 or 15 years ago, even seven years ago. And I think numbers across the board prove that.
I will say '06 was a blood test. And next week is another blood test. If I'm not correct, I believe the WBC's a blood test. Check on that. I'm checking facts now, because that's what I think it is, next week. So that's as good as it gets.
UNIDENTIFIED MALE: Alex, we're going to take two to your right. We have Cat and Joel.
QUESTION: Cat O'Brien with "Newsday". Alex, you talked about in Texas it kind of being a loosey-goosey atmosphere. Did you see other players taking steroids? Were people talking about taking some type of performance enhancing drugs? And if so, what?
RODRIGUEZ: I meant, by that statement that overall, it was a different culture. It was a different situation. There weren't as many questions asked. Any product today that is presented to you, the first thing you do is send it to your team trainer and he will fax it back, or the union, and those type of procedures are not what I think occurred back then.
Certainly I didn't practice that, obviously. But what my mistake has nothing to do with where I played. My mistake was because I was immature and I was stupid. It wasn't because the Rangers, or anything to do with Texas. I blame myself. And look, for a week here I've been looking at people to blame. And I keep looking at myself at the end of the day. I never saw any other player do it. And I really didn't get involved in any other conversations, or heard anything. This is about me. I'm the one that screwed up and no one else.
UNIDENTIFIED MALE: Joel?
QUESTION: Joel Sherman, "New York Post". Alex, if I understand the story you're telling today, it's that you didn't know what it did, you weren't sure you were administering it right, and you're not sure what the effects were, if it was having a positive effect. But you said you took it two times a month for three years. Basic math would make that 36 times. Why would someone inject something into their body a minimum of 36 times, who is a professional athlete, wants to have a long career, if you don't know what it does, if you're doing it right? I just wonder if you could explain that. RODRIGUEZ: Instead of saying, a general, I can try to bring it in a box for you. Now, that may be once a month, it may be three times a month, I want to clarify that. OK. You're asking me why I would do that?
QUESTION: OFF MIC.
RODRIGUEZ: Yeah, again, it goes back to being young, and being curious, and when it started, it was probably in the middle of '01, and when it ended it was '03. Thank god I realized after my neck injury, that I was being silly and irresponsible. And I decided to stop. And I was a young guy.
UNIDENTIFIED MALE: Scott, to your left, Alex, front row. Stand up. Scott, stand up.
QUESTION: Alex, Scott Mallor (ph),CBSSports.com. Last week "USA Today" Gallup poll, 46 percent of the respondents said they didn't believe you just took steroids from '01 to '03, they believe you took it other times. I wonder what you think that says about you? And secondly, Commissioner Selig, last week, said that you shamed the game and I wonder if you agree?
RODRIGUEZ: I certainly made a mistake. And I feel poorly for that. I know the commissioner has his position. And I respected Bud a lot. And I feel poorly for what I did.
As far as other allegations, people are always going to say things. When I was a junior in high school, I bench pressed 310 pounds. Today I probably bench about 240 or 250. You know, funny enough, I did it because I played football, and I was a quarterback. And the big challenge was if you bench pressed 300 pounds, you get to get this letterman jacket with white sleeves. And I was poor. And I thought, what a great way to get a free jacket. And I got up to 300 pounds. I got up to 310 pounds, bench press. Some of these guys know this, because I play with some of them, and they will attest to that.
The best year of my career, arguable was when I was 19, 20 years old in Seattle. And my other best year was in '07, just a year and a half ago, two years ago. So I hope that after my career is over, the evidence, you know, falls in my favor. But if it doesn't, I also understand that, too.
UNIDENTIFIED MALE: We're going in the back right. Ed, if you could work your way around behind Joel, Bob Clampish (ph).
While he's walking over there. Folks, obviously I realize there's a lot of hands here, a lot. Just so you guys understand. I know there's been some people raising their hands for awhile now. I am trying to get to some of the people that cover this team on a regular basis, just so you understand.
Bob?
QUESTION: Yes, Bob Clampish (ph), "Burgeon (ph) Record". Alex, I'm just curious, last week when you had your interview with Peter Gammons, why you did not disclose at that time about how you started using this drug with your cousin. This was an interview that you arranged and yet you didn't tell him about it, and you're only revealing it now.
RODRIGUEZ: Good question, Bob. The thing is, when a reporter came into the gym, this -- maybe 38 hours before, 48 hours, I thought it was important to come out and get the truth out there, early, and - and be forthright. As far as all the details, I didn't want to speak from a position of nonfactual. I felt that was putting myself out there already with saying the truth.
Over the last nine days, I've sat down with my cousin and we've had several conversations. And here are the facts, nine days later. I wasn't prepared to say that, Bob, when I sat down with Peter. Because I really didn't remember. It was a long, long time ago.
UNIDENTIFIED MALE: Sweeney, standing in the back. We'll take a few more.
QUESTION: Alex, you were a little over a year ago in a "60 minutes" interview, you said you had never taken anything. Last week in the ESPN interview, you said what you said. Now you're clarifying even more. You're telling us even more. There have been progressively the stories have been different. What assurances can you give us that everything you're saying today is the whole truth and there's not going to be something more that's going to come out that you're going to have to answer for several months, or years from now?
RODRIGUEZ: Yeah, I mean, look, I may have to answer them for the rested of my career. That's the position I've put myself in. As far as Katie (ph), I reached out to her about 10 days ago. And look, when you're in denial, when you're not being honest with yourself, it's hard to be honest with Katie (ph). There was a part of me, like I answered, I think John's question earlier, I thought that since I didn't hear about it for five years, that there was a chance that it was OK. There was a lot of that stuff going on. I'm here to say my story and this is it.
UNIDENTIFIED MALE: We'll go to Ron Blum in the back. Then we'll take one or two more.
QUESTION: Ron Blum, A.P. Alex, describe the first time you were injected, where you were. Did you have any doubts at the last minute? Were you full cog without doubt? Did the injection hurt afterwards, the next day or two? Did you feel anything? Did you have any regrets?
RODRIGUEZ: You know, at the time I had no regrets. I just -- it was injected. To what degree it helped, I'm not sure. I hope that answers your question.
UNIDENTIFIED MALE: We'll go here to the front left, Mike?
QUESTION: Alex, Paul Holingsworth (ph), GSN, in Canada. 2001, 2002, 2003, should your stats and everything you accomplished during that period of time still count? Or is it appropriate explore wiping those numbers and those accomplishments from your record? RODRIGUEZ: That's not for me to decide. The one thing that I can lay on my pillow at night is, I entered this game when I was 18, I had my best year when I was 20, and then I had my other best year when I was -- in 2007. So that's -- foul pole to foul pole is pretty good. I understand the questions, and the doubt. And I lay in my bed and I'm going to have to sit on it. I'm here to take my medicine. But one thing I will say, after today, I hope to put this behind me and start focusing on baseball. We have a very special team here.
And, you know, for me personally -I'll be honest with you, the last 15 months have been very, very tough. I mean, I've been through divorce. I've been through tabloids. You name it. And I miss playing baseball. And I miss simply being a baseball player. I think there's a tremendous opportunity for me to look in the mirror and be a better teammate to my guys over there, be a better player to my fans, a better human being, and start hooking up with Don and start making the world a better place. I think that's my opportunity. I screwed up, big-time. But I think the only thing I ask from this group today, and the American people, is to judge me from this day forward. That's all I can ask for.
UNIDENTIFIED MALE: I think with that, folks, obviously we could stand here for another three hours. But I think that we will end with that. As I mentioned before...
KYRA PHILLIPS, CNN ANCHOR, CNN NEWSROOM: Well, A-Rod said, I was young and stupid. You think? He said was guilty of both.
Ladies, this just proves our theory, hard to find a gorgeous man who's rich, and smart. Here's what he said he did. His cousin brought a little something over from the Dominican Republic, Bole (ph), an energy enhancer he says. His cousin injected it about twice a month, between 2001 and 2003. Didn't have any type of consultation. Nobody knows apparently. They were just doing it, he and his cousin. No other players took it, he says. Now he says I'm sorry. I didn't think it was steroids.
We're going to push forward now.
Forty minutes and $787 billion. This is the hour. And that's the price of the president's plan to jump-start the economy. The mortgage meltdown can wait. But just one day, we're pushing forward to a foreclosure fix, unveiled tomorrow in Phoenix, Arizona.
Hello, everyone. I'm Kyra Phillips in the CNN NEWSROOM.
We're going to get right to it, right now. It's a California nightmare. Lawmakers, one vote short on a budget, and if they can't find it today, 10,000 state workers may hit the unemployment line tomorrow. Governor Arnold Schwarzenegger facing massive real-life terminations.
And justify my loans, GM and Chrysler, careening toward a government deadline to hand over their restructuring plans. The clock is ticking, only hours to go now. The stimulus starts today, just minutes from now. That's when President Obama signs the American Recovery & Reinvestment Act at the Museum of Nature and Science in Denver. The reinvestment will happen over two years. The recovery? Well, anybody's guess.
The price tag, $787 billion, breaks down like this; $267 billion in direct aid, such as jobless benefits, $212 billion in tax re breaks, and $308 billion in discretionary spending, projects designed to pay off, or down the road. The tax breaks include a $400 credit for most workers, a patch in the alternative dreaded minimum patch, a temporary expansion of the child tax credit, and new incentives for home buyers and car buyers, and a boost in the higher education credit.
I hope you're tracking all this with us, folks. Here's a live look at Denver's Nature and Science Museum where President Obama will be stepping up to the table and signing that stimulus bill. We'll take it live as soon as it happens.
Now, today is the deadline for General Motors and Chrysler to tell the government how they plan to survive and pay back the billions of dollars that they're getting from taxpayers. Here's what the government wants both companies to do. Show the ability to ensure long-term viability. Ensure that stakeholders share equally in the industry turn-around and show a commitment to protect health and pension benefits. Now the government also wants to see a commitment to restructure debt and protect taxpayers' interest, and as conditions improve, assure that taxpayers benefit. There's also a demand that GM and Chrysler achieve, or exceed, fuel efficiency requirements.
Well, Chrysler is taking some drastic steps to save money. "The Detroit Free Press" says the company has taken down most of the clocks from the walls at its Michigan headquarters. That move will save $20,000 a year on batteries, and also labor to reset the clocks when there's a time change. Also, the company has removed half of the $80,000 light bulbs in the building to save $400,000 a year. And turn down the thermostat this winter from 72 degrees to 68 degrees. Apparently that will save $70,000 a year.
And here's another move that it's taking. No more snowplowing on the parking deck. That apparently will save $350,000 this winter. Now Chrysler is also selling 32 pieces of art worth more than $2 million.
Layoff notices could start going out today to 20,000 state workers in California. That's because lawmakers are still at an impasse over the state budget.
CNN's Dan Simon in San Francisco for us with more - Dan.
DAN SIMON, CNN CORRESPONDENT: Hi, Kyra.
We were just told that Republicans in Sacramento, right now, State Senate Republicans are holding a caucus trying to figure out what their next move is going to be. Because, after all, they are the ones holding up this entire budget. All you need right now is basically one Republican in the state senate to say yes, and this whole problem, this whole budget mess will go away.
Right now, the state is facing a $42 billion deficit. They've been meeting for the last three months trying to figure out how they're going to bridge that gap. Today - today, 20,000 letters were sent to state employees basically warning them that the state is running out of money, and there is the potential, there is the possibility, that they could lose their jobs.
So, there has really been, obviously, a huge problem here in California. The state facing this enormous deficit. And right now, the Senate has reconvened in Sacramento trying to figure out what's going to happen.
Obviously things have been ratcheting up in California. First thing you saw was all these infrastructure projects that were put on hold. Then tax refunds were delayed. Then, all of a sudden, the governor, Governor Schwarzenegger, told the state employees that they had to take two unpaid days off each month. And now another ripple, the fact that you might see huge layoffs in the state.
PHILLIPS: All right, Dan Simon. We'll be tracking it, of course. It's all about the economy right now. both
And the stimulus is upon us. Joining us now to set the stage for President Obama's momentous bill signing in Denver, CNN's Ed Henry and Candy Crowley in our D.C. bureau waiting for the president to step up to the podium, guys, and sign that bill.
Ed, why don't we go ahead and start with you and talk about the significance of Denver. I've had a chance to talk to a number of lawmakers throughout the day about this state, a state that's been very pro-green, energy production. The president - one of his babies, I guess you should say. He's also returning to a state that supported him tremendously during conventions time. It's where he made his big speech.
ED HENRY, CNN SENIOR WHITE HOUSE CORRESPONDENT: Absolutely, Kyra. I mean, obviously, you can't underestimate both the policy and the political here. The substance of it is that green energy, renewable energy projects, a big part of the stimulus package, but also a big part of this president's agenda moving forward. His top aides have made clear that this is just the first bite of the apple. They plan to keep coming back and dealing with energy reform again and again.
Why Denver? As well, sort of politically, obviously the mountain west was a big target for Barack Obama. He did very well there. Better than many democrats had in recent cycles. And obviously, he's already thinking about 2012. He has to be thinking about the next few years. He just last week said that he realizes if his economic plan does not work, there's going to be a new president in four years. So he understands the political clock as well as anyone.
But when you look at the substance of it, the reason why the White House sees this as a big victory early on is that it did happen so quick. And it is something that he certainly wanted to get done so soon in the first 100 days. And he got a large part of what he wanted. I mean, White House aides are boasting that it's about 90 percent of what he wanted. When you look at the tax cut of some $300 billion, the infrastructure spending and the renewable energy projects as well, not to mention education funding. So, they feel that they've got a pretty good amount of what they wanted.
But on the other side of it, they certainly did not get as many Republican votes as the president wanted at the beginning. And I think they learned some lessons there they're going to try to take to some of the future fights. Because the stimulus package is, as the president says, only one leg of the stool. They've got the housing crisis, the auto bailout you mentioned. There's a lot more to be done, Kyra.
PHILLIPS: And we'll push it forward a second and talk about housing and auto. Obviously, his big speech in Phoenix, Arizona, tomorrow with regard to the Housing Rescue Plan.
Candy Crowley, you know, a lot of economists are saying, OK, let's have a reality check here. He can sign the bill, we can talk about money and divvying it out certain amounts to local and state governments. But really, when will we see the effects? A lot of analysts saying not until 2010.
CANDY CROWELY, CNN SENIOR POLITICAL CORRESPONDENT: Well, it could take up to two years for all of this money to get into the system and start producing jobs. For those who have really been crunched, the unemployed, the unemployed and now uninsured, they should sort of immediately see the effects, because unemployment checks will go up $25 a week. Those who are drawing unemployment will have access to Medicaid. Or, if they wish to keep their company's healthcare, they can have what's called COBRA. Generally, you have to pick up 100 percent of that. The government will pay 65 percent of it. So for those who are really hurting at this point, increase in food stamps, those are pretty quick things.
But when you look at those so-called infrastructure projects that have to go out there, first of all, the states have to pick which projects, which highway, which bridge, which school is going to get that money. And there has to be a system. And already you're seeing out there some state legislatures arguing with their governors about where it's going to go. I wanted to point out that the California problem, the administration hopes to address in this stimulus package, because there is money for states. It just goes to states to meet their payroll, be it police or state workers dealing in social services. So they hope to kind of with this package give some relief to states who, most of them by law have to balance their budgets and they're all sort of severely out of whack at this point. So there is money in this for states so that they can shore up both their employee base as well as their law enforcement and try to keep those social services running. So those sorts of things will be fairly quick. But the real jobs producing things could take up to two years.
PHILLIPS: And Ed, I guess so maybe we really need to keep this in perspective. You know, obviously there's a lot of pomp and circumstance about what's going to happen today, but this is not going to solve the economic disaster. But it's hopefully just going to help reduce the damage. Would that be a fair way to put it?
HENRY: Well, that's certainly one way that the president hopes it plays out. I mean you heard him as he was trying to sell this package over the last couple weeks saying we can't have a crisis become a catastrophe. The White House could see it as a short-term victory to sort of stop the bleeding, if you will. I mean that, obviously, is very important, but also the psychology of it, to try to pump some money into the system so people feel it literally but also figuratively. So this psychology of it that people feel, maybe this is going to start turning around, maybe we're getting close to the bottom. That is something, obviously, that has not happened yet.
And so the president does see this as just step one. You mentioned with Candy the housing crisis needs to be dealt with. We know the Treasury secretary, Timothy Geithner, has started putting the outlines of a plan out there to deal with sort of the second round of the so-called TARP money, the bailout money. Dealing with the bad debts that banks have and trying to figure out what to do there. As you know, a lot of criticism on Wall Street and Main Street that the Treasury secretary didn't come up with a lot of details. That there were a lot of blanks to be filled in.
But clearly, while this was a big victory for the president, his aides acknowledge that the battles ahead on the banking bailout, on the housing crisis, they're going to make this whole stimulus fight sort of be child's play almost. Because over the long run, he's got a lot, a lot of big battles to come. You mentioned energy. There's got to be a lot more fights about that down the road. And healthcare reform, which is obviously very important when you look at the economic puzzle. He's lost his health secretary, Tom Daschle. There has been some momentum lost there because of that. And how he gets that back on track, which he promised the American people it would be a key agenda item. Getting that back on track is going to take a lot of work as well, Kyra.
PHILLIPS: You know, you bring up an interesting point when you start talking about housing and also the auto industry. And Candy, you and I have talked about just the enterprising that has taken place to tackle a lot of these issues. And the Obama Administration going in ways that the government has not necessarily gone before. I'm just thinking in particular the auto industry and that bailout plan that Ed just mentioned. It's pretty interesting, you know, Wall Street and big labor usually don't mix. And for the first time right now, we're actually seeing investment bankers advising union members as they're trying to come to these deals on how to negotiate the best way to get out of this disaster, in particular the auto industry.
So it's interesting to see the creative ways, from Obama developing new positions, even to other parts of the industry trying to figure out way to enterprise new ideas.
CROWLEY: Absolutely. I mean, with the auto industry in particular, I mean, Ed's talking about the psychology of it. Imagine if one of these sort of - a founding industry in the U.S. I mean, you think of the big three, you think of, you know, the backbone of the country - and even if that may not be literally true anymore, no president, and in fact this president has said, you know, you can't let these industries go down because there are all these other ancillary industries. You know, the people that make the widgets and tires and all of that, those factories would also close.
So, even though these companies, GM, has to step forward and say, here's our plans and all the things you listed earlier, Kyra, it is very hard to imagine that this president would let an auto industry fail, even if the plan they're going to see is not exactly what they wanted because there is so much at stake here. And I think that's why you see workers listening to investment bankers, and these auto industries really trying to change the way - I mean, for heaven's sakes, they're changing the light bulbs in corporate headquarters. I mean, you know, there's - this is just kind of anything-that-will-work time, because this is an industry that, you know, cannot be allowed to go under, as at least two consecutive presidents, George Bush and Barack Obama when he was a candidate, have said.
PHILLIPS: And Ed, you mentioned the housing issue. And as the president leaves Colorado and heads to Phoenix, Arizona, tomorrow to talk about the big foreclosure rescue plan, I mean the bill that he's signing today touches on housing, when you're talking about if you're a new home buyer or you want to buy a new car, there'll be certain tax breaks. But tomorrow is the folks that we hear from every day saying, look, I had a great job. I had a great mortgage. I lost my job. I just want to be able to keep my home. So, it's going to be taking another step and talking about ways to lower interest rates, make loans longer for folks so they can try and keep those mortgages that they already have.
HENRY: You're right. There's the first bit of it in the stimulus package, it's just an $8,000 tax credit for first-time home buyers. So that's in that. Our viewers should know that. And that could help some people. But you're right, that's not going to get at the real foreclosure crisis and trying to keep people in their homes, thousands of them who are being kicked out of their homes every single day.
And Candy and I were talking about this before the show, in terms of how you actually do this, the details of it are going to be fascinating. And I'll tell you, in talking to the top administration officials in recent days, they are still sort of debating this out over the last 48 hours. They haven't had a clear handle on exactly what they want to do going forward. Because once you start saying, OK, we're going to start lowering the principal on some mortgages out there for people to try to stay in their homes, that sets, obviously, a very interesting precedent in the mortgage industry; number one.
Number two, all of a sudden there's a lot of talk in the real estate industry itself about, if you start bailing some people out, they might not be able to survive even if you give them a little bailout and reduce their principal. If they're also struggling trying to stay afloat with high credit card bills and the like, even if you give them some help now, that doesn't guarantee they will not be foreclosed on, three, six months from now. So are you delaying the inevitable problem of, again, the core of this, which is getting the bad debt off the books of a lot of these banks. So it's going to be very interesting how the president tries to thread that needle, because there's no easy solution here, Kyra.
PHILLIPS: Ed Henry, Candy Crowley, please stay with us. We just want to take a quick break as we gear up for the President of the United States stepping up to the desk there to actually and finally sign that stimulus bill. We'll talk more of how it's going to affect all of us in just a second.
(COMMERCIAL BREAK)
PHILLIPS: President of the United States stepping up to the table to sign the bill that we've been talking about - that $787 billion stimulus package - right there at the Denver Museum of Nature and Science in Denver, Colorado. We'll listen in and talk about it. What it means for all of us, for the United States of America, with our Candy Crowley, Ed Henry, also Personal Finance Editor Gerri Willis is going to join us, too, talk about the effects on housing as well.
Let's listen in.
GOV. BILL RITTER, COLORADO: Thank you.
Good afternoon. I'm Bill Ritter, governor of the great State of Colorado.
(APPLAUSE)
It is my distinct honor and privilege to welcome the President and the Vice President of the United States to Denver, Colorado, for this historic bill signing.
(APPLAUSE)
Two months ago, I joined governors from all across America at a meeting in Philadelphia with then President-Elect Obama and Vice President-Elect Biden. They wanted to hear from the nation's governors about how the economy was hurting people in our states, how families were struggling, how children were being impacted. For governors, this was encouraging. New leaders solving problems by building new partnerships and coming up with new solutions. They asked, they listened, and they included our ideas for short-term job creation and long-term economic growth in the American Recovery and Reinvestment Act.
(APPLAUSE)
Mr. President, thank you. Thank you for the millions of jobs that will be created by investing in transportation, energy, and other infrastructure projects. Thank you for investing in vital safety net services, like healthcare and unemployment insurance. Thank you for investing in education, research and innovation. And thank you for believing in the promise of Colorado to help lead our nation forward.
(APPLAUSE) There is no better place for this signing ceremony than right here in Colorado, the home of the new energy economy.
(APPLAUSE)
Two years ago, Colorado started building a new energy economy, creating new jobs, building new wind farms and wheat fields, and making our universities' research leaders in renewable and alternative energy. The new energy economy is very much about creating a new energy future, but it's also about creating new economic opportunities. It's about creating sustainable jobs, so parents can keep food on the table, so they can send their kids to college, so they can afford healthcare. It's about creating a new economic future for all Americans.
Companies like Namaste Solar are at the heart of the energy economy. When Colorado voters became the first in the country to pass a Renewable Energy Standard in 2004, Namaste did not exist. Today, Namaste has 55 employees. They built the solar array on top of this museum. They installed solar at the governor's residence. There are hundreds of new energy economy businesses like Namaste employing thousands of people all across Colorado.
(APPLAUSE)
Mr. President, your recovery package will drive the new energy economy forward, not just in this state, but all across America, creating jobs, reducing the cost of energy for families, and moving our nation closer to energy independence. This is how we rebuild America. This is how President Obama's recovery package will get the economy moving again. This is the promise of a better tomorrow.
(APPLAUSE)
And it is now my privilege to introduce a great friend to the State of Colorado, someone I have long admired for his commitment and his dedication to public service, the Vice President of the United States, Mr. Joe Biden.
(APPLAUSE)
JOSEPH BIDEN, VICE PRESIDENT OF THE UNITED STATES: Governor, thank you.
(APPLAUSE)
Governor, thank you very much.
(APPLAUSE)
It's a genuine honor. It's an honor to be here with the president. And my name is Joe Biden, I used to work for Ken Salazar...
(LAUGHTER) ... in the United States Senate. And it's good to see you here, Ken. I guess you're going to hitch a ride home with me, right? He rode out on the big plane, he's going back on the little one.
(LAUGHTER)
And I also want to acknowledge Senator Michael Bennet, who I had an opportunity to meet.
(APPLAUSE)
With (INAUDIBLE) is here as well.
(APPLAUSE)
(INAUDIBLE).
And Mayor Hickenlooper, I want you to know how much we appreciate the hospitality.
And also, I believe Congressman Perlmutter was at the - there you are, Congressman. I wasn't sure you were...
(LAUGHTER)
He greeted us when we got off the plane.
And Mr. President, it's a slight diversion, but I think we've got to be nice to them.
The chairman of the Finance Committee, Max Baucus is here. So we've got to make sure, Max, just remember, when we call - when I call, just say, "yes, Joe."
(LAUGHTER)
All kidding aside, thanks for your great help in this, Max.
You know, you don't need to be an economist to know that the jobs are the engine of our economy. And without jobs, people can't earn. And if people can't earn, they can't spend. And if they don't spend, it means more jobs get lost. It's a vicious cycle. And that's the vicious cycle we're in today. And it's one of the reasons that this bill is so desperately needed. We have to reverse that cycle.
But everyone knows that jobs are more than just about a job. They're about dignity. They're about respect. They're about being able to get up in the morning and look your child in the eye and say, everything's going to be OK. Everything's going to be OK.
Last year, last year our economy lost three million jobs; 600,000 more just this last month. There are a awful lot of mothers and fathers who had to walk up the stairs to the bedroom of their children and tell them that I'm out of work, honey. We may not be able to stay here. We may not be able to stay in school. It's a tough, tough conversation. And many, too many times it's already occurred in this country.
We're here today, we're here today to start to turn that around.
(APPLAUSE)
And folks...
(APPLAUSE)
... we're not just - we're not just going to help the economy recover, we're going to start building the economy for the future.
I'm particularly pleased that this bill includes investments in areas I've worked my whole political career. Thanks to the Recovery Act, thousands of additional police officers will go on the streets of America and hundreds and hundreds of fire stations will be built, making the people of Denver and every other city in America safer.
Thanks to this act, we're going to see an unprecedented investment in improving America's rail system, coast to coast.
(APPLAUSE)
In Denver, right here - right here in Denver, your light rail will be affected all the way to the northeast corridor where I come from. We should have the best transportation system in the world. And we don't.
But ladies and gentlemen, it's not only that this will help create jobs in the rail system - in the rail sector, it's also good for the environment. So there's a double bang for the buck in a number of the investments we're making in this legislation.
Starting today, our administration will be working day and night to provide more aid for the unemployed, create immediate jobs, building our roads and our bridges, make long-term investments in the smarter energy grid, and so much more. And as we turn the economy around, we've got to make sure of one more thing. Last time when economic recovery occurred after a deep recession, the middle class got left behind. The middle class got left behind. And that's why the president set up a White House Council on the Task Force on the Middle Class, which he's asked me to chair. So as we go through this process, we're also going to make sure that America - as we recover, that American middle class is not left behind. But before we start on the way, there is much more to be done in the weeks to come.
I want to say something about what got us to this point. I remember having the meetings of the transition team with President- Elect Obama and Vice President-Elect Biden in Chicago, and meeting in those offices knowing that we're about to inherit a very, very bad economic situation. And we started to put together the president's leadership, the blueprint for our recovery. Faced with the swirl of options and uncertainties, then President-Elect Obama was as clear and as firm then as he is today about what is need. He said, and I quote, "We have to be bold, we have to act fast, and we have to think of the future that we wish to build." Well, I believe that's what the president delivered. He never lost sight of those goals that he set back in November and December of last year. Over the weeks that followed, I watched him reach out asking Senator and Congressmen from both parties to put the good of the nation above the disagreement over one particular part of this significant package. The president showed a willingness to compromise on specifics, but he never compromised in the principles he set out in that room in Chicago back in November. And so, folks, he showed a willingness to work with others to get things done, but he never bent in his determination to put us on a road to recovery and reinvestment.
So today, less than a month - think of this - less than a month into his presidency, the president is about to sign into law what is, I believe, a landmark achievement. Because of what he did, America can take a first, very strong step leading us out of this very difficult road to recovery we find ourselves on.
So on behalf of our country and its people, Mr. President, let me presume to say, thank you. We owe you a great deal.
(APPLAUSE)
To introduce the president, it's my pleasure to introduce Blake Jones, president of now Namaste. I told him, if I didn't say it right, he could call my "Bidden." But Namaste Solar. In four years, this company has grown from three people to 60 owner-employees and become one of the leading installers of photoelectric panels here in the State of Colorado. And I expect their ambitions to go beyond that, and I hope they succeed.
In fact, Bill Ritter isn't just a governor, he's a customer. Namaste installed, as he mentioned, the solar panels on the governor's mansion. And despite Namaste's success, without the Recovery and Reinvestment Bill that the president's about to sign, I think your president would tell you he was a little worried he might have to take other action in spite of all the progress that had been made, that may have included layoffs. But with this bill, with this bill, he's going to be looking to hire; not fire, hire. And that's the difference between that this investment is going to make and why we're so happy to be here today.
So please join me in welcoming Blake Jones.
(APPLAUSE)
BLAKE JONES, PRESIDENT & CEO, NAMASTE SOLAR ELECTRIC: Thank you, Vice President "Bidden."
(LAUGHTER)
Again, my name is Blake Jones and I'm the president and CEO of Namaste Solar. We're a small business, based here in Colorado, and we design and install solar electric systems for homes, businesses, nonprofits and government entities. We also specialize in designing systems for museums that have good rooftops for presidential tours.
(LAUGHTER)
So we can't get to Arizona or whatever's next fast enough, but maybe next time we'll get him to come back.
As the governor and the vice president said, our company has grown very quickly. We've grown from three to 55 employees in just the past three years. And in this fast growth, we're not alone. This fast growth is representative of what thousands of other small businesses throughout the country have experienced in the solar industry and in other green industries.
But despite this past success, we're very concerned about our future. And over the past few months, our company has been preparing for a drastic downturn in our business this year. It started with a hiring freeze, then we slashed budgets, then we cut work for our subcontractors, then we slashed the budgets again. And then we were faced with difficult challenging conversations about laying people off.
But now, because of the stimulus bill that the president will sign today, our pessimistic outlook has been injected with new hope and optimism.
(APPLAUSE)
...this whole budget mess will go away. Right now, the state is facing a $42 billion deficit. They've been meeting for the last three months trying to figure out how they're going to bridge that gap. Today - today, 20,000 letters were sent to state employees basically warning them that the state is running out of money, and there is the potential, there is the possibility, that they could lose their jobs.
So, there has really been, obviously, a huge problem here in California. The state facing this enormous deficit. And right now, the Senate has reconvened in Sacramento trying to figure out what's going to happen.
Obviously things have been ratcheting up in California. First thing you saw was all these infrastructure projects that were put on hold. Then tax refunds were delayed. Then, all of a sudden, the governor, Governor Schwarzenegger, told the state employees that they had to take two unpaid days off each month. And now another ripple, the fact that you might see huge layoffs in the state.
PHILLIPS: All right, Dan Simon. We'll be tracking it, of course. It's all about the economy right now. both
And the stimulus is upon us. Joining us now to set the stage for President Obama's momentous bill signing in Denver, CNN's Ed Henry and Candy Crowley in our D.C. bureau waiting for the president to step up to the podium, guys, and sign that bill.
Ed, why don't we go ahead and start with you and talk about the significance of Denver. I've had a chance to talk to a number of lawmakers throughout the day about this state, a state that's been very pro-green, energy production. The president - one of his babies, I guess you should say. He's also returning to a state that supported him tremendously during conventions time. It's where he made his big speech.
ED HENRY, CNN SENIOR WHITE HOUSE CORRESPONDENT: Absolutely, Kyra. I mean, obviously, you can't underestimate both the policy and the political here. The substance of it is that green energy, renewable energy projects, a big part of the stimulus package, but also a big part of this president's agenda moving forward. His top aides have made clear that this is just the first bite of the apple. They plan to keep coming back and dealing with energy reform again and again.
Why Denver? As well, sort of politically, obviously the mountain west was a big target for Barack Obama. He did very well there. Better than many democrats had in recent cycles. And obviously, he's already thinking about 2012. He has to be thinking about the next few years. He just last week said that he realizes if his economic plan does not work, there's going to be a new president in four years. So he understands the political clock as well as anyone.
But when you look at the substance of it, the reason why the White House sees this as a big victory early on is that it did happen so quick. And it is something that he certainly wanted to get done so soon in the first 100 days. And he got a large part of what he wanted. I mean, White House aides are boasting that it's about 90 percent of what he wanted. When you look at the tax cut of some $300 billion, the infrastructure spending and the renewable energy projects as well, not to mention education funding. So, they feel that they've got a pretty good amount of what they wanted.
But on the other side of it, they certainly did not get as many Republican votes as the president wanted at the beginning. And I think they learned some lessons there they're going to try to take to some of the future fights. Because the stimulus package is, as the president says, only one leg of the stool. They've got the housing crisis, the auto bailout you mentioned. There's a lot more to be done, Kyra.
PHILLIPS: And we'll push it forward a second and talk about housing and auto. Obviously, his big speech in Phoenix, Arizona, tomorrow with regard to the Housing Rescue Plan.
Candy Crowley, you know, a lot of economists are saying, OK, let's have a reality check here. He can sign the bill, we can talk about money and divvying it out certain amounts to local and state governments. But really, when will we see the effects? A lot of analysts saying not until 2010.
CANDY CROWELY, CNN SENIOR POLITICAL CORRESPONDENT: Well, it could take up to two years for all of this money to get into the system and start producing jobs. For those who have really been crunched, the unemployed, the unemployed and now uninsured, they should sort of immediately see the effects, because unemployment checks will go up $25 a week. Those who are drawing unemployment will have access to Medicaid. Or, if they wish to keep their company's healthcare, they can have what's called COBRA. Generally, you have to pick up 100 percent of that. The government will pay 65 percent of it. So for those who are really hurting at this point, increase in food stamps, those are pretty quick things.
But when you look at those so-called infrastructure projects that have to go out there, first of all, the states have to pick which projects, which highway, which bridge, which school is going to get that money. And there has to be a system. And already you're seeing out there some state legislatures arguing with their governors about where it's going to go. I wanted to point out that the California problem, the administration hopes to address in this stimulus package, because there is money for states. It just goes to states to meet their payroll, be it police or state workers dealing in social services. So they hope to kind of with this package give some relief to states who, most of them by law have to balance their budgets and they're all sort of severely out of whack at this point. So there is money in this for states so that they can shore up both their employee base as well as their law enforcement and try to keep those social services running. So those sorts of things will be fairly quick. But the real jobs producing things could take up to two years.
PHILLIPS: And Ed, I guess so maybe we really need to keep this in perspective. You know, obviously there's a lot of pomp and circumstance about what's going to happen today, but this is not going to solve the economic disaster. But it's hopefully just going to help reduce the damage. Would that be a fair way to put it?
HENRY: Well, that's certainly one way that the president hopes it plays out. I mean you heard him as he was trying to sell this package over the last couple weeks saying we can't have a crisis become a catastrophe. The White House could see it as a short-term victory to sort of stop the bleeding, if you will. I mean that, obviously, is very important, but also the psychology of it, to try to pump some money into the system so people feel it literally but also figuratively. So this psychology of it that people feel, maybe this is going to start turning around, maybe we're getting close to the bottom. That is something, obviously, that has not happened yet.
And so the president does see this as just step one. You mentioned with Candy the housing crisis needs to be dealt with. We know the Treasury secretary, Timothy Geithner, has started putting the outlines of a plan out there to deal with sort of the second round of the so-called TARP money, the bailout money. Dealing with the bad debts that banks have and trying to figure out what to do there. As you know, a lot of criticism on Wall Street and Main Street that the Treasury secretary didn't come up with a lot of details. That there were a lot of blanks to be filled in.
But clearly, while this was a big victory for the president, his aides acknowledge that the battles ahead on the banking bailout, on the housing crisis, they're going to make this whole stimulus fight sort of be child's play almost. Because over the long run, he's got a lot, a lot of big battles to come. You mentioned energy. There's got to be a lot more fights about that down the road. And healthcare reform, which is obviously very important when you look at the economic puzzle. He's lost his health secretary, Tom Daschle. There has been some momentum lost there because of that. And how he gets that back on track, which he promised the American people it would be a key agenda item. Getting that back on track is going to take a lot of work as well, Kyra.
PHILLIPS: You know, you bring up an interesting point when you start talking about housing and also the auto industry. And Candy, you and I have talked about just the enterprising that has taken place to tackle a lot of these issues. And the Obama Administration going in ways that the government has not necessarily gone before. I'm just thinking in particular the auto industry and that bailout plan that Ed just mentioned. It's pretty interesting, you know, Wall Street and big labor usually don't mix. And for the first time right now, we're actually seeing investment bankers advising union members as they're trying to come to these deals on how to negotiate the best way to get out of this disaster, in particular the auto industry.
So it's interesting to see the creative ways, from Obama developing new positions, even to other parts of the industry trying to figure out way to enterprise new ideas.
CROWLEY: Absolutely. I mean, with the auto industry in particular, I mean, Ed's talking about the psychology of it. Imagine if one of these sort of - a founding industry in the U.S. I mean, you think of the big three, you think of, you know, the backbone of the country - and even if that may not be literally true anymore, no president, and in fact this president has said, you know, you can't let these industries go down because there are all these other ancillary industries. You know, the people that make the widgets and tires and all of that, those factories would also close.
So, even though these companies, GM, has to step forward and say, here's our plans and all the things you listed earlier, Kyra, it is very hard to imagine that this president would let an auto industry fail, even if the plan they're going to see is not exactly what they wanted because there is so much at stake here. And I think that's why you see workers listening to investment bankers, and these auto industries really trying to change the way - I mean, for heaven's sakes, they're changing the light bulbs in corporate headquarters. I mean, you know, there's - this is just kind of anything-that-will-work time, because this is an industry that, you know, cannot be allowed to go under, as at least two consecutive presidents, George Bush and Barack Obama when he was a candidate, have said.
PHILLIPS: And Ed, you mentioned the housing issue. And as the president leaves Colorado and heads to Phoenix, Arizona, tomorrow to talk about the big foreclosure rescue plan, I mean the bill that he's signing today touches on housing, when you're talking about if you're a new home buyer or you want to buy a new car, there'll be certain tax breaks. But tomorrow is the folks that we hear from every day saying, look, I had a great job. I had a great mortgage. I lost my job. I just want to be able to keep my home. So, it's going to be taking another step and talking about ways to lower interest rates, make loans longer for folks so they can try and keep those mortgages that they already have.
HENRY: You're right. There's the first bit of it in the stimulus package, it's just an $8,000 tax credit for first-time home buyers. So that's in that. Our viewers should know that. And that could help some people. But you're right, that's not going to get at the real foreclosure crisis and trying to keep people in their homes, thousands of them who are being kicked out of their homes every single day.
And Candy and I were talking about this before the show, in terms of how you actually do this, the details of it are going to be fascinating. And I'll tell you, in talking to the top administration officials in recent days, they are still sort of debating this out over the last 48 hours. They haven't had a clear handle on exactly what they want to do going forward. Because once you start saying, OK, we're going to start lowering the principal on some mortgages out there for people to try to stay in their homes, that sets, obviously, a very interesting precedent in the mortgage industry; number one.
Number two, all of a sudden there's a lot of talk in the real estate industry itself about, if you start bailing some people out, they might not be able to survive even if you give them a little bailout and reduce their principal. If they're also struggling trying to stay afloat with high credit card bills and the like, even if you give them some help now, that doesn't guarantee they will not be foreclosed on, three, six months from now. So are you delaying the inevitable problem of, again, the core of this, which is getting the bad debt off the books of a lot of these banks. So it's going to be very interesting how the president tries to thread that needle, because there's no easy solution here, Kyra.
PHILLIPS: Ed Henry, Candy Crowley, please stay with us. We just want to take a quick break as we gear up for the President of the United States stepping up to the desk there to actually and finally sign that stimulus bill. We'll talk more of how it's going to affect all of us in just a second.
(COMMERCIAL BREAK)
PHILLIPS: President of the United States stepping up to the table to sign the bill that we've been talking about - that $787 billion stimulus package - right there at the Denver Museum of Nature and Science in Denver, Colorado. We'll listen in and talk about it. What it means for all of us, for the United States of America, with our Candy Crowley, Ed Henry, also Personal Finance Editor Gerri Willis is going to join us, too, talk about the effects on housing as well.
Let's listen in.
GOV. BILL RITTER, COLORADO: Thank you.
Good afternoon. I'm Bill Ritter, governor of the great State of Colorado.
(APPLAUSE)
It is my distinct honor and privilege to welcome the President and the Vice President of the United States to Denver, Colorado, for this historic bill signing. (APPLAUSE)
Two months ago, I joined governors from all across America at a meeting in Philadelphia with then President-Elect Obama and Vice President-Elect Biden. They wanted to hear from the nation's governors about how the economy was hurting people in our states, how families were struggling, how children were being impacted. For governors, this was encouraging. New leaders solving problems by building new partnerships and coming up with new solutions. They asked, they listened, and they included our ideas for short-term job creation and long-term economic growth in the American Recovery and Reinvestment Act.
(APPLAUSE)
Mr. President, thank you. Thank you for the millions of jobs that will be created by investing in transportation, energy, and other infrastructure projects. Thank you for investing in vital safety net services, like healthcare and unemployment insurance. Thank you for investing in education, research and innovation. And thank you for believing in the promise of Colorado to help lead our nation forward.
(APPLAUSE)
There is no better place for this signing ceremony than right here in Colorado, the home of the new energy economy.
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Two years ago, Colorado started building a new energy economy, creating new jobs, building new wind farms and wheat fields, and making our universities' research leaders in renewable and alternative energy. The new energy economy is very much about creating a new energy future, but it's also about creating new economic opportunities. It's about creating sustainable jobs, so parents can keep food on the table, so they can send their kids to college, so they can afford healthcare. It's about creating a new economic future for all Americans.
Companies like Namaste Solar are at the heart of the energy economy. When Colorado voters became the first in the country to pass a Renewable Energy Standard in 2004, Namaste did not exist. Today, Namaste has 55 employees. They built the solar array on top of this museum. They installed solar at the governor's residence. There are hundreds of new energy economy businesses like Namaste employing thousands of people all across Colorado.
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Mr. President, your recovery package will drive the new energy economy forward, not just in this state, but all across America, creating jobs, reducing the cost of energy for families, and moving our nation closer to energy independence. This is how we rebuild America. This is how President Obama's recovery package will get the economy moving again. This is the promise of a better tomorrow.
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And it is now my privilege to introduce a great friend to the State of Colorado, someone I have long admired for his commitment and his dedication to public service, the Vice President of the United States, Mr. Joe Biden.
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JOSEPH BIDEN, VICE PRESIDENT OF THE UNITED STATES: Governor, thank you.
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Governor, thank you very much.
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It's a genuine honor. It's an honor to be here with the president. And my name is Joe Biden, I used to work for Ken Salazar...
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... in the United States Senate. And it's good to see you here, Ken. I guess you're going to hitch a ride home with me, right? He rode out on the big plane, he's going back on the little one.
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And I also want to acknowledge Senator Michael Bennet, who I had an opportunity to meet.
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With (INAUDIBLE) is here as well.
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(INAUDIBLE).
And Mayor Hickenlooper, I want you to know how much we appreciate the hospitality.
And also, I believe Congressman Perlmutter was at the - there you are, Congressman. I wasn't sure you were...
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He greeted us when we got off the plane.
And Mr. President, it's a slight diversion, but I think we've got to be nice to them.
The chairman of the Finance Committee, Max Baucus is here. So we've got to make sure, Max, just remember, when we call - when I call, just say, "yes, Joe." (LAUGHTER)
All kidding aside, thanks for your great help in this, Max.
You know, you don't need to be an economist to know that the jobs are the engine of our economy. And without jobs, people can't earn. And if people can't earn, they can't spend. And if they don't spend, it means more jobs get lost. It's a vicious cycle. And that's the vicious cycle we're in today. And it's one of the reasons that this bill is so desperately needed. We have to reverse that cycle.
But everyone knows that jobs are more than just about a job. They're about dignity. They're about respect. They're about being able to get up in the morning and look your child in the eye and say, everything's going to be OK. Everything's going to be OK.
Last year, last year our economy lost three million jobs; 600,000 more just this last month. There are a awful lot of mothers and fathers who had to walk up the stairs to the bedroom of their children and tell them that I'm out of work, honey. We may not be able to stay here. We may not be able to stay in school. It's a tough, tough conversation. And many, too many times it's already occurred in this country.
We're here today, we're here today to start to turn that around.
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And folks...
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... we're not just - we're not just going to help the economy recover, we're going to start building the economy for the future.
I'm particularly pleased that this bill includes investments in areas I've worked my whole political career. Thanks to the Recovery Act, thousands of additional police officers will go on the streets of America and hundreds and hundreds of fire stations will be built, making the people of Denver and every other city in America safer.
Thanks to this act, we're going to see an unprecedented investment in improving America's rail system, coast to coast.
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In Denver, right here - right here in Denver, your light rail will be affected all the way to the northeast corridor where I come from. We should have the best transportation system in the world. And we don't.
But ladies and gentlemen, it's not only that this will help create jobs in the rail system - in the rail sector, it's also good for the environment. So there's a double bang for the buck in a number of the investments we're making in this legislation. Starting today, our administration will be working day and night to provide more aid for the unemployed, create immediate jobs, building our roads and our bridges, make long-term investments in the smarter energy grid, and so much more. And as we turn the economy around, we've got to make sure of one more thing. Last time when economic recovery occurred after a deep recession, the middle class got left behind. The middle class got left behind. And that's why the president set up a White House Council on the Task Force on the Middle Class, which he's asked me to chair. So as we go through this process, we're also going to make sure that America - as we recover, that American middle class is not left behind. But before we start on the way, there is much more to be done in the weeks to come.
I want to say something about what got us to this point. I remember having the meetings of the transition team with President- Elect Obama and Vice President-Elect Biden in Chicago, and meeting in those offices knowing that we're about to inherit a very, very bad economic situation. And we started to put together the president's leadership, the blueprint for our recovery. Faced with the swirl of options and uncertainties, then President-Elect Obama was as clear and as firm then as he is today about what is need. He said, and I quote, "We have to be bold, we have to act fast, and we have to think of the future that we wish to build."
Well, I believe that's what the president delivered. He never lost sight of those goals that he set back in November and December of last year. Over the weeks that followed, I watched him reach out asking Senator and Congressmen from both parties to put the good of the nation above the disagreement over one particular part of this significant package. The president showed a willingness to compromise on specifics, but he never compromised in the principles he set out in that room in Chicago back in November. And so, folks, he showed a willingness to work with others to get things done, but he never bent in his determination to put us on a road to recovery and reinvestment.
So today, less than a month - think of this - less than a month into his presidency, the president is about to sign into law what is, I believe, a landmark achievement. Because of what he did, America can take a first, very strong step leading us out of this very difficult road to recovery we find ourselves on.
So on behalf of our country and its people, Mr. President, let me presume to say, thank you. We owe you a great deal.
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To introduce the president, it's my pleasure to introduce Blake Jones, president of now Namaste. I told him, if I didn't say it right, he could call my "Bidden." But Namaste Solar. In four years, this company has grown from three people to 60 owner-employees and become one of the leading installers of photoelectric panels here in the State of Colorado. And I expect their ambitions to go beyond that, and I hope they succeed.
In fact, Bill Ritter isn't just a governor, he's a customer. Namaste installed, as he mentioned, the solar panels on the governor's mansion. And despite Namaste's success, without the Recovery and Reinvestment Bill that the president's about to sign, I think your president would tell you he was a little worried he might have to take other action in spite of all the progress that had been made, that may have included layoffs. But with this bill, with this bill, he's going to be looking to hire; not fire, hire. And that's the difference between that this investment is going to make and why we're so happy to be here today.
So please join me in welcoming Blake Jones.
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BLAKE JONES, PRESIDENT & CEO, NAMASTE SOLAR ELECTRIC: Thank you, Vice President "Bidden."
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Again, my name is Blake Jones and I'm the president and CEO of Namaste Solar. We're a small business, based here in Colorado, and we design and install solar electric systems for homes, businesses, nonprofits and government entities. We also specialize in designing systems for museums that have good rooftops for presidential tours.
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So we can't get to Arizona or whatever's next fast enough, but maybe next time we'll get him to come back.
As the governor and the vice president said, our company has grown very quickly. We've grown from three to 55 employees in just the past three years. And in this fast growth, we're not alone. This fast growth is representative of what thousands of other small businesses throughout the country have experienced in the solar industry and in other green industries.
But despite this past success, we're very concerned about our future. And over the past few months, our company has been preparing for a drastic downturn in our business this year. It started with a hiring freeze, then we slashed budgets, then we cut work for our subcontractors, then we slashed the budgets again. And then we were faced with difficult challenging conversations about laying people off.
But now, because of the stimulus bill that the president will sign today, our pessimistic outlook has been injected with new hope and optimism.
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