Title: Stakeout With Vermont Governor Jim Douglas (R), Pennsylvania Governor Ed Rendell (D), And Louisiana Governor Bobby Jindal (R)
Date: 02/23/2009
Location: Washington, DC
Interview
STAKEOUT WITH VERMONT GOVERNOR JIM DOUGLAS (R), PENNSYLVANIA GOVERNOR ED RENDELL (D), AND LOUISIANA GOVERNOR BOBBY JINDAL (R)
SUBJECT: STIMULUS AID TO THE STATES AND THE GOVERNORS' MEETING WITH OBAMA
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GOV. RENDELL: Well, let me start by saying that, look, we understand, first and foremost, we have a responsibility to deal with our own budget problems. Despite the fact that Pennsylvania is one of the top states in the union in what money it gets from the stimulus -- our government and our citizens get over $16 billion -- I announced two weeks ago $1 billion worth of budget cuts, elimination of almost 20 percent of the different lines in our budget, as well as raving -- raising revenues of about a quarter of a billion dollars. Those are steps we had to take. The stimulus doesn't change that.
But I think we have to cooperate in making this all work. We can't keep going back to the federal government and saying, you know, "You gave us a stimulus, but we have bigger budget gaps." We have some responsibility to deal with that ourselves.
And I think every one of us, Republican or Democrat alike, understands that responsibility and is willing to take that responsibility to ourselves.
Do we need another stimulus down the road? Let's see how this one works first. Personally, you know, I would have liked to have seen more direct money in infrastructure, but that's a particular source of interest to me. But I think if this stimulus works, hopefully, we won't need any additional federal dollars.
But understand, we share the responsibility, as the mayors do. All of us have to make the cuts that are necessary, have to do revenue enhancements when they're absolutely needed. So we're going to do it ourselves. Let's wait and see whether we need a second stimulus, and let's hope that we don't.
GOV. DOUGLAS: And remember, Ed, that the Medicaid portion of the package is extended over three different fiscal years, so we'll have the ability to spread that out over some time and to see how it works.
GOV. RENDELL: Right, and the stabilization is two years.
Q I'm sorry, could we hear from Governor Jindal, please? Did he believe the president's comments and perhaps think his statements were fair of saying that he believes that for the most part you agree with 99 percent of the plan and that there's a lot of arguing -- (off mike) -- over probably, you know, a very small portion?
GOV. JINDAL: No. One, let me say this. I do appreciate the president acknowledging that there are legitimate concerns, legitimate issues when it comes to taking temporary federal dollars that could create permanent state spending obligations; for example, the money that we identified in Louisiana on Friday that we will not be accepting.
However, I continue to say, as I've said before, that certainly I think there could have been a very different stimulus bill written. There could have been a stimulus bill that was truly targeted and temporary, focused on infrastructure, focused on the kinds of tax credits that would have gotten investment moving in the private sector. So it is not just limited to those provisions that we identified on Friday; for example, a billion dollars for the census; for example $300 million to buy cars for the federal government; for example, $50 million for the National Endowment for the Arts, and the list goes on and on. There are several -- several spending -- there are several dollars included in the stimulus that it's not apparent to me why they necessarily had to be in this stimulus package, what they have to do with actually stimulating the economy.
But I think what's also important today is the president talked about a couple of other things. He talked about the fact that now going forward, now that the stimulus bill has been written and passed into law, it is important that we ensure those dollars are spent with as much accountability and as transparency as possible.
Secondly, I heard both the president and the Treasury secretary talk about the fact that it is going to be absolutely critical to make sure that our financial markets are working; that if we don't get the financial markets working again, the stimulus will not be effective. And that is absolutely critical.
And I also heard the president today say that he welcomed the debate, welcomed the honest disagreements of philosophy and opinions, but that we also -- I want to echo what the leaders of NGA have said today, that I appreciate the opportunity to come and to listen to the president, to talk with him and his senior administration officials. We had a chance to meet with senior Cabinet officials. And I think that healthy dialogue is very good.
Q Did the president indicate how those funds will be allocated, funds that you are not going to accept for your state? Will they go to other states?
GOV. JINDAL: He did not. No, he did not.
Thank you.
Q Governor Jindal -- Governor Jindal -- (off mike) -- government says there's no more for Katrina, so if you don't take the federal grants from there, how will you -- have you come up with any solutions for -- (off mike)? Thank you.
GOV. JINDAL: Well, one of the things that I was happy to actually see in the stimulus, one of the things that I mentioned to the president and his officials, senior officials in November -- I'm sorry, in December when we met in Philadelphia was that there are actually 4,000 different projects that have been -- the funds have already been provided by Congress but are in some state of protest or appeals with various government -- federal government bureaucracies. The total at stake -- there is $1.4 billion. And again, these are dollars that have already been approved for things like schools, fire, police stations, hospitals.
And one of the things I was pleased to see in the stimulus was that there is a mechanism, an arbitration mechanism that will allow for a speedy resolution. A lot of communities, three years after Katrina and Rita, are simply ready for an answer. They want to know, yes or no, whether they're going to get these disputed dollars so they can rebuild their infrastructure. So I was very pleased to see that included in the stimulus. That was added on the Senate side. It is in the final version of the legislation.
And again, it's not providing -- you're right, it's not providing additional dollars related to Katrina and Rita, but it is -- it is going to make sure that the dollars that have been approved can be spent, can be spent more quickly and can go to building infrastructure.
I also had a very good conversation with the new HUD secretary about the continued housing needs. He'll be coming himself, as you know -- the president has announced -- to come see the needs in our community.
Let me let some other governor -- my fellow governors answer a question.
Q Finally, how do you feel -- (off mike)?
GOV. JINDAL: Look, I think every American is incredibly proud by the president's personal story and what -- the fact that we will be seeing him addressing his first joint session of Congress tomorrow night, even though I've been selected and honored to give the -- I am honored to be giving the Republican response. Let me say that we're certainly, as Americans, very proud of his accomplishments.
And I also want to say this -- and again, I do want my fellow governors to come up and -- let me say this.
We absolutely, Republicans or Democratic governors, we want our president to succeed. When we disagree with him, we will certainly offer alternative ideas and solutions. But we face serious challenges as a country -- economic challenges, international challenges. We're going to look for every opportunity to reach across the party line to work with him. We absolutely want to see him succeed.
But to answer your question, I'm certainly, as an American, very proud of his accomplishment. I'm going to be very proud to watch him address the Congress tomorrow.
GOV./MS. : So we'll take one more question. Then we can break out -- (off mike) -- just one on one -- (off mike).
GOV. RENDELL: Sure. One more general question, anybody?
Q My question is, with regard to Governor Jindal's objections to the strings attached, do the other governors find it acceptable that the stimulus money would require a state to change their laws regarding money --
GOV. RENDELL: Unemployment. Well, understand, there's an option --
Q (Off mike.)
GOV. RENDELL: There's an option to decline that money, and you still get the other unemployment compensation benefits. There's about $30 billion, like the increased stipend. That flows to all states, whether they match the new requirements or not. There's an option to decline those requirements. I think some states will, including some Democratic states, and some states won't.
For me, it is a burden to meet those requirements. But I think I have no choice. Our people are hurting. It doesn't matter whether they're part-time workers or full-time workers. Right now, in this economy, I believe it's my moral duty to bring them as much help as I can.
GOV. LINDA LINGLE (R-HI): Ed, may I offer a comment on that?
GOV. RENDELL: Sure.
GOV. LINGLE: Aloha. I'm Linda Lingle, from Hawaii, and it's very cold here. (Laughter.)
GOV. : (Off mike) -- back home.
GOV. LINGLE: But let me offer a thought about some governors who want to take or not take certain sections of the stimulus bill. That's not unusual. It's like any bill that gets passed by Congress, any grant that becomes available; you need to make a determination, as a governor in your state, does this work in my state, is it consistent with our policies, does it have requirements that we don't agree with. And then you make a decision to take it or not.
I think the idea that some may not take certain money is being seen as something very unusual, but it's really not. Governors have to decide that all the time. And in fact in my state, my departments can't apply for federal money if I don't sign off. And the reason it requires a gubernatorial sign-off is because you want it to be consistent with the administration's policies. You don't want it to create future obligations that you may not be able to pay. So these are all things that you consider on a regular basis -- not unusual, in my opinion.
Thank you.
GOV. : Thank you all very, very much, and we'll be available if any individual groups want to talk to us.
END.
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