President Barack Obama gave his first State of the Union address Jan. 27.
Obama focused on economic reform, innovation and bipartisan cooperation.
Obama acknowledged the unpopularity of the bank bailout, but said it was necessary to keep the nation from going further into recession. Obama said his administration had recovered most of the money spent on the banks. To recover the rest, Obama proposed a fee on the biggest banks.
"Now, I know Wall Street isn't keen on this idea," Obama said. "But if these firms can afford to hand out big bonuses again, they can afford a modest fee to pay back the taxpayers who rescued them in their time of need."
Obama praised his administration's tax cuts for middle class families and small businesses. He also acknowledged the success of the Recovery Act.
Obama said the nation had passed through the worst of the economic crisis and is on the way to recovery.
However, he acknowledged that Americans were still facing the effects of the recession.
One in ten Americans still cannot find work, Obama said.
"Jobs must be our number one focus in 2010," he said.
Obama encouraged Congress to pass a job bill as soon as possible.
Congress must be serious about financial reform, Obama said.
The House of Representatives has passed a financial reform bill, and Obama said if the finished product does not meet the test of real reform, he would send it back.
Obama encouraged innovation, including infrastructure improvements, clean energy, clean nuclear power plants, offshore drilling, biofuels and clean coal technologies.
Focusing on education, Obama proposed support for a bill that would give families a $10,000 tax credit for four years of college and an increase in Pell Grants. The bill would also require college students to pay only 10 percent of their income on student loans with debt forgiveness after 20 years of payment.
To address health care, Obama said his administration's approach would reduce costs and premiums, allow patients to keep their doctors and current insurance plans and reduce the national deficit by $1 trillion.
He encouraged Congress to take another look at the current bill.
"There's a reason why many doctors, nurses, and health care experts who know our system best consider this approach a vast improvement over the status quo," Obama said. "But if anyone from either party has a better approach that will bring down premiums, bring down the deficit, cover the uninsured, strengthen Medicare for seniors, and stop insurance company abuses, let me know."
Obama acknowledged that since taking office, the national deficit has increased by $1 trillion. He said he felt he made the right decisions, but that he was not ignoring the deficit.
Because of the deficit, Obama proposed a freeze on government spending for three years beginning in 2011.
Spending related to national security, Medicare, Medicaid, and Social Security would not be affected.
Obama also called for a decrease in lobbyists' influence, earmark reform, transparency and bipartisanship.
National security and the conflict in the Middle East were also addressed.
All combat troops will be out of Iraq by August, and troops would begin to leave Afghanistan in July of 2011, Obama said.
Obama ended his address by reminding Congress that the United States was built on solid values and a spirit of determination.
"We don't quit. I don't quit," Obama said. "Let's seize this moment--to start anew, to carry the dream forward and to strengthen our union once more."
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