Obama: Deficit relief, tax breaks for jobs

by Michael Muskal

President Barack Obama used a jobs bill signing ceremony today to lobby for his healthcare overhaul and to argue that bipartisanship can get things done.

In a Rose Garden ceremony, Obama signed bipartisan legislation that includes about $18 billion in tax breaks for employers and injects about $20 billion into highway and transit programs.

But the president started his remarks by praising his healthcare overhaul, which got a boost this morning with a Congressional Budget Office scoring that put the cost at $940 billion over the next decade.

Obama pressed the deficit-reduction properties of the bill, expected to be considered over the weekend by the House. Like House leaders earlier, Obama stressed that the healthcare bill would cut federal deficits by $1.3 trillion in next 20 years.

"That makes this legislation the most significant effort to reduce deficits since the Balanced Budget Act in the 1990s," Obama said, a lobbying pitch to conservatives as Democrats seek to find the 216 votes needed to pass healthcare overhaul in the House.

But Obama's comments were directed at Republicans as well as he again touted the virtues of bipartisan action. Republicans staunchly oppose the pending healthcare bill, but some voted to pass the jobs bill that the president signed.

"I want to commend all of those members of Congress whose leadership made this bill possible, many of whom are with us today. I'm also gratified that over a dozen Republicans agreed that the need for this jobs bill was urgent, and that they were willing to break out of the partisan morass in Washington to help us take this forward step for the American people," Obama said.

"I hope it is a prelude to further cooperation in the days and months to come, as we continue the work of digging out of this recession and rebuilding our economy in a way that works for all Americans."

(President Barack Obama is pictured above at the West Wing Colonnade as he arrived to sign the "HIRE Act,'' a bill encouraging businesses to hire workers, in the Rose Garden. Photo by by Saul Loeb / AFP / Getty Images)

There has been some question about how significant the jobs bill will be. It could help support some 250,000 jobs this year, small compared to more than 8 million lost in the recession.

But Obama said it was a step toward recovery.

"Now, make no mistake: While this jobs bill is absolutely necessary, it is by no means enough," Obama said.

"There is a lot more we need to do to spur hiring in the private sector and bring about full economic recovery -- from helping creditworthy small businesses get the loans they need to expand, to offering incentives to make homes and businesses more energy-efficient, to investing in infrastructure so we can put Americans to work doing the work America needs done," Obama said.

The jobs bill allows businesses that hire someone who was unemployed to avoid paying the 6.2 percent Social Security payroll tax through December. Employers also would get an additional $1,000 credit if new workers remain on the job a full year.