Remarks by the President at Nomination of Robert McDonald as Secretary of Veterans Affairs

Department of Veterans Affairs
Washington, D.C.

4:34 P.M. EDT

THE PRESIDENT:  Good afternoon, everybody.  Please be seated.  Let me start by thanking Acting Secretary Gibson for welcoming us here today.  I am pleased to be joined by our Vice President, Joe Biden, from leaders across this department, and our many partners, particularly representatives from our incredible veterans and military family service organizations.

I want to begin by making a basic point:  Those of you who serve here at the VA do absolutely vital work every single day for our veterans and their families.  I know how deeply you care about our veterans.  Many of you are veterans yourselves -- veterans serving veterans.  You help them transition to civilian life, go to college, buy their first home, start a new business.  You have some of the best doctors and nurses in the country and provide some of the best specialized health care.  At our national cemeteries, you lay our veterans to rest with dignity and compassion.  I know that millions of veterans are profoundly grateful for the good work that you do.  And I am grateful, as well.

But we're here today because of problems that have outraged us all.  That includes the inexcusable conduct that we've seen at too many VA health care facilities.  So I’m here for two reasons -- to update you and the American people on how we’re fixing these problems, and to announce my choice for the next Secretary of Veterans Affairs to help move us forward. 

The first thing everyone should know is that those responsible for manipulating or falsifying records at the VA -- and those who tolerated it -- are being held accountable.  Some officials have already been relieved of their duties.  Investigations are continuing.  And as I’ve said, where we find misconduct, it will be punished.  And I’ve made it clear that I expect the VA’s full cooperation with all the ongoing investigations into wrongdoing.

Second, we’ve reached out to 135,000 veterans so far to get them off those wait lists and into clinics.  We’ve added more staff, sent mobile medical units, and we’re making it easier for veterans to use hospitals and clinics outside the VA.  And we’re going to keep at it until every one of our veterans is off a wait list and they receive the care that they have earned.

Third, we’re moving ahead with urgent reforms at the Veterans Health Administration.  That 14-day scheduling goal has been removed from employee evaluations so there is absolutely no incentive to engage in inappropriate behavior.  Providing the highest quality care when our veterans need it -- that’s your incentive.  There will be new measures of patient satisfaction from the veteran’s perspective.  And today’s outdated VA scheduling system is going to be overhauled with the latest technology.  

More broadly, the review that Rob Nabors conducted of the VHA found -- and I’m quoting -- “significant and chronic systemic failures,” including too little responsiveness, transparency and accountability.  And that is totally unacceptable.  It recommends that the VHA be “restructured and reformed” with stronger management, leadership and oversight, as well as more doctors and staff.  And I totally agree, and we’re going to make that happen. 

I’ve asked Rob to remain at the VA for now to help move these reforms forward.  Hiring of new VWA [sic] leaders has been frozen -- VHA leaders has been frozen to make sure the new team we’re putting in place is the right one.  And based on the recommendations of our panel of experts, I will be nominating the next leader of the VHA.  I want to get the best leader on the job and get going on these reforms.  And we’re going to work with Congress to make sure that the VHA has more of the doctors and resources it needs to deliver the care that our veterans deserve.

Fourth, we’re instituting a new culture of accountability.  The very idea that senior VHA executives would receive bonuses this year rightly appalled many Americans.  And those bonuses have already been cancelled.  A review is now underway to make sure that when employees speak up about a problem, action is taken -— not to intimidate or retaliate against the employee, but actually to fix the problem.  Everyone is going to be held accountable for doing better.  And Congress can help by giving the Secretary more authority to remove senior leaders.

Finally, we’re rebuilding our leadership team here at the VA.  I want to thank Sloan and others here who have stepped up to serve in new roles during this critical time.

And I have to say, Sloan, you have been an outstanding driving force behind the reforms that are now underway.  We’ll be relying on your steady hand during this period of transition and through your continued service as Deputy Secretary.  And I know all of you will have an outstanding partner and Secretary in my choice to lead the VA going forward -— one of our nation’s most accomplished business leaders and managers, Robert McDonald. 

Now, I’ve gotten to know Bob a bit over the years.  He’s come to the White House to share his perspectives as we’ve worked through complicated issues.  He’s no-nonsense.  He’s pragmatic.  He does not seek the limelight.  He repeats a Japanese saying -— he worked and lived in Japan for six years while at Procter & Gamble.  The saying goes:  “He who climbs Mount Fuji is a wise man; he who climbs it twice is a fool.”  (Laughter.)  Now, Bob actually climbed Mount Fuji -— once.  (Laughter.)  Bob is a wise man.  (Laughter.)  And if you need any more evidence that he’s wise, you need to meet Diane and his family who are here today, because they are a wonderful family, and obviously they’ve served along with him in the past. 

For Bob and his family, the mission of caring for our veterans is deeply personal.  His father served in the Army Air Corps after World War II.  Diane’s father was a POW.  Her uncle was exposed to Agent Orange in Vietnam and still receives treatment from the VA.  So this is not an abstract mission for them.

Bob is a veteran himself.  He graduated from West Point, where he and Sloan were classmates, so this is a bit of a reunion.  Bob served as an Army Ranger in the 82nd Airborne Division.  Back home in Cincinnati, he and Diane have teamed up with the USO to honor our veterans.  

But what especially makes Bob the right choice to lead the VA now is his three decades of experience in building and managing one of the world’s most recognized companies, Procter & Gamble.  The VA is not a business, but it is one of our largest departments -— some 340,000 employees working in more than 1,700 facilities, serving nearly 9 million veterans.  And the workload at the VHA alone is enormous -— some 85 million appointments a year and some 25 million consultations.  

As CEO of Procter & Gamble, Bob oversaw more than 120,000 employees, with operations around the world, selling products in more than 180 countries, in more than 2 million stores, reaching some 5 billion customers.  In other words, he knows the key to any successful enterprise is staying focused on the people you’re trying to serve.  He’s renowned for his operational excellence.  He started his career out in the field and worked his way up, serving at virtually every level of Procter & Gamble.  He understands that grand plans are not enough.  What matters is the operations that you put in place and getting the job done.

Bob is an expert at making organizations better.  In his career he’s taken over struggling business units.  He knows how to roll up his sleeves and gets to work -— putting an end to what doesn’t work; adopting the best practices that do; restructuring, introducing innovations, making operations more efficient and effective.  In short, he’s about delivering better results.

He also knows the importance of building what he calls a “high-performance team” -— putting the right people in the right jobs, rewarding them when they do well, and holding them accountable when they do not.

And, finally, Bob is known for his integrity.  He’s still guided by that cadet prayer from West Point:  “Choose the harder right instead of the easier wrong.”  He served our country in uniform.  He’s now prepared to answer the call once more.

So let me state the obvious -- this is not going to be an easy assignment.  Bob knows that.  But like any Army Airborne Ranger, Bob has a reputation for being ready, jumping into tough situations, taking charge, and going “all the way.”  So Bob, on behalf of all of us -- to you, to Diane and your family, thank you for your readiness to serve again.

My bottom line is this:  We’ve got to change the way VA does business.  Over the past five years, this agency has done some excellent work in dealing with a whole range of real difficult challenges.  And I don't want people to forget that.  We have had a huge influx of returning Iraq and Afghanistan veterans.  We have had -- I think had to manage what was a good decision to make sure that folks who previously had difficulty accessing VA services were finally admitted, whether it was because they had PTSD, or folks with cases previously of Agent Orange, all of which meant more people coming into the system.  We have had to get up and running, and it’s now -- we’re doing quite effectively work in terms of the Post-9/11 GI Bill to make sure that our young people are able to get the training they need after they leave our military.

So across the board, there’s been some terrific work, but there’s a lot more that has to be done.  We’ve got to fix some things that are broken.  And Sloan has started that process, but we’re going to have to keep in driving until we get it done.

We’ve got to regain the trust of our veterans with a VA that is more effective, more efficient, and that truly puts veterans first.  Bob is the manager we need to help get this done.  So I urge the Senate to confirm him as soon as possible.

I also urge the Senate to finally confirm my nominee for CFO, Helen Tierney; my nominee for Assistant Secretary for Policy, Linda Schwartz; my nominee to lead the Board of Veterans’ Appeals, Constance Tobias.  They have all been waiting and waiting and waiting for a vote -- in Constance’s case, for more than a year.  We need them on the job now, and Congress needs to act and help us do right by our veterans.

And we’ve got to do right by veterans like Corporal Kyle Carpenter.  Some of you may have seen the story of Kyle.  I recently had the privilege of presenting Kyle with the Medal of Honor for his actions in Afghanistan where he used his body to shield his best friend from a grenade blast.  Kyle spent two and half years in the hospital.  He endured nearly 40 surgeries to rebuild his body and his face, and he’s gone through excruciating rehab.  And to see him standing in the White House, strong and proud, receiving his Medal of Honor, was something I will never forget.  It was an inspiration. 

Today, Kyle is medically retired, so part of his journey of recovery has involved the VA.  On the one hand, he’s now in college and with the help of his VA educational benefits.  And it’s an example of the good work that the VA has done.  On the other hand, his experience with VA health care has often been frustrating.  He said it was okay that I share this with you today, so I just want to use Kyle as an example.  He is an American hero -- by any definition.  Sometimes we use that word too loosely.  This guy is a hero and deserves everything we can do.

But like other veterans, Kyle sometimes had trouble just making an appointment, or had to wait a month to see his doctor, only to be referred to another doctor and wait another two months for that appointment.  He often felt like a number, he said, being passed between doctors, who sometimes didn’t know his situation or why he needed a certain medication.  He’s relied on the help of a patient advocate.  But at so many steps along the way, it’s just been a lot harder than it should have been.  As his advocate said, it “shouldn’t be this way.” 

So the VA does many things well -- like delivering Kyle’s educational benefits.  And we need all of you to keep doing that important work, like reducing the disability claims backlog, and improving care for post-traumatic stress and traumatic brain injury, building on the good work that’s already been done in reducing homelessness among our veterans, helping veterans get their education under the Post-9/11 GI Bill, and helping find new civilian jobs so they can enjoy the American Dream they help to defend.  And it’s a good time to mention the great work that the VA has done with Jill Biden and Michelle in partnering with the private sector so that that transition from military to civilian life is a lot easier for our veterans.

But when it comes to delivering timely, quality health care, we have to do better.  We have to do better for Kyle.  We have to do better for all our wounded warriors.  We have to do better for all our veterans, from all our wars.  They’re looking for us to fulfill Lincoln’s pledge -- to care for those who have borne the battle and for their families and survivors.  I’m confident we can do that.  And so long as I am President, we’re going to keep doing everything in our power to uphold what is a sacred obligation.   

With that, I want to invite Bob to say a few words.  Thank you so much, Bob, for taking on this assignment.  (Applause.) 

MR. MCDONALD:  Thank you, Mr. President.  Mr. President, thank you for your confidence in me that this nomination demonstrates.  It would indeed be an honor and a privilege, if confirmed by the Senate, to serve as the Secretary of Veterans Affairs to improve the lives of our country’s veterans and to help change the way the U.S. Department of Veterans Affairs does business.

Mr. President, in your remarks just now, you’ve made it clear what you expect -- a VA that is more effective, more efficient, and that truly puts our veterans first.  If confirmed by the Senate, my priority would be to lead that transformation.

My life’s purpose has been to improve the lives of others.  I went to West Point to be an officer in the Army to try to help free people who were living in non-free societies.  I became an Airborne Ranger Infantry Officer in the 82nd Airborne Division because I wanted to be on the front line in leading that change.  I joined the Procter & Gamble Company 34 years ago because of its purpose, which is to improve the lives of the world’s consumers.

Mr. President, thank you for mentioning my father, Diane’s father and uncle.  Yes, for our family, taking care of our veterans is very personal.  We need to put care for the veteran at the center of everything that we do at Veterans Affairs.  At Procter & Gamble, we always focus on our customer.  At the VA, the veteran is our customer, and we must all focus -- all day, every day -- on getting them the benefits and the care that they’ve so earned.  That’s the only reason we’re here.  I look forward to working with the dedicated men and women of the Veterans Affairs to accomplish this mission. 

I’d like to thank my family for supporting me throughout my life, but especially during this next chapter.  My wife, Diane; my daughter, Jenny; my son-in-law, Scott; and my son, Rob are all here today.  My parents and Diane’s mother could not attend today, but thank you for your love and support.

Thank you again, Mr. President.  I look forward to working with you to transform Veterans Affairs to better serve our country’s veterans. 

Thank you.  (Applause.)

END
4:51 P.M. EDT

Remarks by President Obama and President Michelle Bachelet of Chile Before Bilateral Meeting

Oval Office

11:05 A.M. EDT

PRESIDENT OBAMA:  Well, I want to welcome back to the Oval Office President Bachelet.  She is my second favorite Michelle.  (Laughter.)  And I’m very much pleased to see her again.  We had the opportunity to work together when I first came into office.  Since that time, President Bachelet has been extraordinarily busy doing excellent work at the United Nations, particularly around women -- an issue that the United States has been very supportive of.  And we’re very proud of the work that she did there.

She’s now back in office, and it gives us an opportunity to just strengthen further the outstanding relationship between the United States and Chile.

Let me say, first of all, congratulations to the Chilean National Football Team for an outstanding showing at the World Cup.  I know it was a tough loss, but it also showed the incredible skill and talent of the Chilean team.  This is as well, I think, as it’s ever done against a very tough Brazilian team on their home turf.  And so congratulations to them.  We play -- coming up, we’ve got a tough match as well.  So I want to wish the U.S. team a lot of luck in the game to come.

The basis for Chile’s and the United States’ strong bilateral relationship includes the fact that we have a free trade agreement that has greatly expanded commerce in both countries and has created jobs in both countries. 

We have excellent cooperation when it comes to a wide range of issues -- energy, education, people-to-people relations.  Chile has been a model of democracy in Latin America.  It’s been able to consistently transition from center-left governments to center-right governments, but always respectful of democratic traditions.  Obviously, those traditions were hard-won, and President Bachelet knows as well as anybody how difficult it was to bring about democracy.  And now, the fact that Chile across the political spectrum respects and fights for the democratic process makes it a great model for the entire hemisphere.

Today, we’re going to have an opportunity to discuss how we can deepen those relationships even further.  I know that education, for example, is an issue that is at the top of President Bachelet’s agenda.  It’s something that’s at the top of my agenda here in the United States.  For us to be able to strengthen student exchanges and compare mechanisms and ideas for how we can build skills of young people in both countries is something that we’ll spend some time on.

We’re both very interested in energy and how we can transition to a clean energy economy.  And we’ll be announcing some collaborations, including the facilitation of a construction of a major solar plant inside of Chile that can help meet their energy needs.

We’ll talk about regional issues.  Obviously, we’ve seen great progress in democratization throughout the region, in part because of Chile’s leadership, but there are obviously still some hotspots that we have to try to address, as well as issues of security in areas like Central America and the Caribbean.  And I’ll be very interested in hearing President Bachelet’s views.

And we’ll discuss international issues.  Chile, with its seat on the United Nations Security Council, can serve as a leader on a wide range of issues, from peacekeeping to conflict resolution, to important issues like climate change.  And we have great confidence that in that role Chile will continue to be a positive force for good around the world.

So I just want to say thank you for not only the friendship with President Bachelet, but more broadly, our friendship with the Chilean people.  And President Bachelet’s predecessor, he and I had an excellent relationship; she and I have had an excellent relationship.  I think that indicates that it really goes beyond any particular party.  I’m confident that my replacement after I’m gone will have an excellent relationship, because it’s based on common values and a strong respect in both countries for the value of the U.S.-Chilean relationship.

So, welcome, and I look forward to an excellent conversation.

PRESIDENT BACHELET:  Thank you, President Obama.  I want to, first of all, thank you for the invitation to visit you and your country.  And, of course, we are looking forward to enhance our cooperation in many different areas. 

As you just mentioned, Chile and the U.S. have had a very strong and mature relation for so many years, and we want to make it deeper and to enhance them in different areas.  Of course, this will be a great opportunity, as you said, to discuss some of the regional and international issues, given the fact that we’re also sitting at the Security Council.  But also, we will be able to in the bilateral dimension be able to increase our cooperation in areas that are very sensible, and for the U.S. and for Chile, such as you mentioned, education, energy, science and technology, people-to-people relation. 

We already have, as you know, a very good -- I mean, not only the bilateral way, we also have a very good Chile-California and Chile-Massachusetts programs.  We have been working very strongly and we will continue on that path. 

And we are really interested -- this year, I think we are commemorating 10 years of the free trade agreement from the U.S. and Chile.  And the U.S. is our, I would say, our most important foreign investor.  We want to continue that path, and of course, we will have also the possibility of having activities with the Chamber of Commerce and others because we really want to make our relations in all dimensions -- political, economical, social, et cetera -- stronger and stronger every day.

So I’m very happy to be here with you again, and I’m sure this will be a great meeting.

PRESIDENT OBAMA:  Thank you.

END
11:12 A.M. EDT

Remarks by the President on the Economy -- Minneapolis, MN

Lake Harriet Band Shell
Minneapolis, Minnesota

10:15 A.M. CDT

THE PRESIDENT:  Hello, Minneapolis!  (Applause.)  How is everybody doing today?  You look good.  (Applause.)  It is good to see all of you.  I miss Minneapolis.  I missed you guys.  Go ahead and have a seat, I’m going to be talking for a while.  (Laughter.) 

So we’ve got some wonderful folks here today.  I want to acknowledge a few of them.  First of all, your outstanding Governor, Mark Dayton.  (Applause.)  Your wonderful senators, Al Franken and Amy Klobuchar.  (Applause.)  Congressman Keith Ellison.  (Applause.)  Your Mayor, Betsy Hodges.  (Applause.)  And all of you are here, and that’s special. 

I want to thank Rebekah for not just the introduction and for sharing her story, but for letting me hang out with her and her family for the last couple of days.  I really like her.  (Laughter.)  And her husband is like the husband of the year.  Generally, you don’t want your wife to meet Rebekah’s husband, because she’ll be like, well, why don’t you do that?  (Laughter.)  Why aren’t you like that? 

I’ve been wanting to visit a place where all the women are strong and the men are good-looking, and the children above average.  (Applause.)  And this clearly is an example of what Minnesota produces.  So yesterday, Rebekah and I had lunch at Matt’s Bar, had a “Jucy Lucy” -- (applause) -- which was quite tasty.  We had a town hall at Minnehaha Park, although I did not take a kayak over the falls, which seemed dangerous.  (Laughter.)  We got ice cream at Grand Ole Creamery -- very good, very tasty. 

And then this morning, Al Franken and I and Secretary Tom Perez, our Secretary of Labor who’s here -- Tom, stand up -- (applause) -- we stopped by a community organization that helps with a lot of job programs and job placement programs.  And this program in particular was focused on young moms.  It was really interesting talking to them, because there are teenage mothers, 16 to 18, and it was a great pleasure for me to be able to say to all of them that my mom was a teenage mom, and she was 18 when she had me -- and to be able to say to all of them that here in this country, it is possible for the child of a teenage mom, a single mom, to end up being President of the United States.  (Applause.)  And I think that it maybe gave them something to think about. 

So you guys have been great hosts, Minnesota. 

AUDIENCE MEMBER:  Thank you!

THE PRESIDENT:  You’re welcome.  (Laughter.) 

AUDIENCE MEMBER:  We love you!

THE PRESIDENT:  I love you back.  (Laughter and applause.) 

So I want to give you a sense of how this visit came up.  As some of you know, every day we get tens of thousands of correspondence at the White House.  And we have a big correspondence office, and every night the folks who manage the correspondence office select 10 letters for me to read. 

And the job of these letters is not to just puff me up -- so it’s not like they only send me letters saying, Mr. President, you’re doing great.  (Laughter.)  Sometimes the letters say thank you for something I may have done.  Sometimes the letters say, you are an idiot and the worst President ever.  (Laughter.)  And most of the stories, though, are stories of hardship, or hard-won success, or hopes that haven’t been met yet.  Some appreciate a position that I may have taken; some disagree with what I’m doing.  Some consider policies like the Affordable Care Act to be socialism; some tell stories about the difference that same policy may have made in folks’ lives.

So I’m getting a good sample of what’s happening around the country.  And last month, three young girls wrote to me that boys aren’t fair because they don’t pass the ball in gym class.  (Laughter.)  So there’s a wide spectrum -- and I’m going to prepare an executive order on that. 

But the letter that Rebekah sent stood out -- first of all, because she’s a good writer, and also because she’s a good person.  And the story that she told me reminded Michelle and I of some of our own experiences when we were Rebekah and her husband’s age.  And in many ways, her story for the past five years is our story, it’s the American story. 

In early 2009, Rebekah and Ben, her husband, they were newly married, expecting their first son, Jack.  She was waiting tables, he was in construction.  Like millions of middle-class families who got hammered by the Great Recession -- the worst recession since the Great Depression -- life was about to get pretty hard.  “If only we had known,” she wrote, “what was about to happen to the housing and construction market.” 

Ben’s business dried up.  But as a new husband and dad, he did what he had to, so he took whatever jobs he could, even if it forced him to be away from his family for days at a time.  Rebekah realized she needed to think about how her career would unfold, so she took out student loans and enrolled in St. Paul College, and retrained for a new career as an accountant. 

And it’s been a long, hard road for them.  They had to pay off debt.  They had to sacrifice for their kids and for one another.  But then last year, they were able to buy their first home, and they’ve got a second son.  And they love where they work, and Ben’s new job lets him be home for dinner each night.  (Applause.)  And so what Rebekah wrote was, “It’s amazing what you can bounce back from when you have to.  We’re a strong, tight-knit family who has made it through some very, very hard times.”

And that describes the American people.  We, too, are a strong, tight-knit family who has made it through some very, very hard times.  And today, over the past 51 months, our businesses have created 9.4 million new jobs.  Our housing market is rebounding.  Our auto industry is booming.  Our manufacturing sector is adding jobs for the first time since the 1990s.  We’ve made our tax code fairer.  We’ve cut our deficits by more than half.  More than 8 million Americans have signed up for private insurance plans through the Affordable Care Act.  (Applause.)  So here in Minnesota, you can now say that the women are strong, the men are good-looking, the children are above average, and 95 percent of you are insured.  (Applause.) 

And it’s thanks to the hard work of citizens like Rebekah and Ben and so many of you that we’ve come farther, we’ve recovered faster than just about any other advanced economy on Earth.  More and more companies are deciding that the world’s number-one place to create jobs and invest is once again the United States of America.  (Applause.)  That’s the good news.  And you don’t hear it very often.

By every economic measure, we are better off now than we were when I took office.  (Applause.)  You wouldn’t know it, but we are.  We’ve made some enormous strides.  But that’s not the end of the story.  We have more work to do. 

It wasn’t the end of Rebekah’s story, because she went on to write in her letter, “We did everything right.  The truth is, in America, where two people have done everything they can to succeed and fight back from the brink of financial ruin -– through job loss and retraining, and kids, and credit card debts that are set up to keep you impoverished forever, and the discipline to stop spending any money on yourselves or take a vacation in five years -- it’s virtually impossible to live a simple middle-class life.”  That’s what Rebekah wrote.  Because their income is eaten up by childcare for Jack and Henry that costs more each month than their mortgage.  And as I was telling Rebekah -- Michelle and I, when we were their age, we had good jobs and we still had to deal with childcare issues and couldn’t figure out how to some months make ends meet. 

They forego vacations so they can afford to pay off student loans and save for retirement.  “Our big splurge,” Rebekah wrote, “is cable TV, so we can follow our beloved Minnesota Wild, and watch Team USA in the Olympics!”  (Applause.)  They go out once a week for pizza or a burger.  But they’re not splurging.  And at the end of the month, things are tight.  And this is like this wonderful young couple, with these wonderful kids, who are really working hard.

And the point is, all across this country, there are people just like that, all in this audience.  You’re working hard, you’re doing everything right.  You believe in the American Dream.  You’re not trying to get fabulously wealthy.  You just want a chance to build a decent life for yourselves and your families, but sometimes it feels like the odds are rigged against you.   

And I think sometimes what it takes for somebody like Rebekah to sit down and write one of these letters.  And I believe that even when it’s heartbreaking and it’s hard, every single one of those letters is by definition an act of hope. 
Because it’s a hope that the system can listen, that somebody is going to hear you; that even when Washington sometimes seems tone deaf to what’s going on in people’s lives and around kitchen tables, that there’s going to be somebody who’s going to stand up for you and your family. 

And that’s why I’m here -- because I want to let Rebekah know, and I wanted to let all of you know that -- because you don’t see it on TV sometimes.  It’s not what the press and the pundits talk about.  I’m here to tell you I’m listening, because you’re the reason I ran for President.  (Applause.)  Because those stories are stories I’ve lived.  The same way that when I saw those young teenage moms, I thought of my mother.  And when I see Rebekah and Ben, I think of our struggles when Malia and Sasha were young.  And they’re not distant from me and everything we do.

I ran for President because I believe this country is at its best when we’re all in it together and when everybody has a fair shot, and everybody is doing their fair share.  (Applause.)  And the reason I believe that is because that’s how I came here.  That’s how I got here.  That’s how Michelle and I were able to succeed.  (Applause.)  And I haven’t forgotten. 

And so even though you may not read about it or see it on TV all the time, our agenda, what we’re fighting for every day, is designed not to solve every problem, but to help just a little bit.  To create more good jobs that pay good wages -- jobs in manufacturing and construction; energy and innovation.  That’s why we’re fighting to train more workers to fill those jobs.  That’s why we’re fighting to guarantee every child a world-class education, including early childhood education and better childcare.  (Applause.)  That’s why we’re fighting to make sure hard work pays off with a wage you can live on and savings you can retire on, and making sure that women get paid the same as men for the same job, and folks have flexibility to look after a sick child or a sick parent.  (Applause.) 

That’s what we’re fighting for.  We’re fighting so everybody has a chance.  We’re fighting to vindicate the idea that no matter who you are, or what you look like, or how you grew up, or who you love, or who your parents were, or what your last name is, it doesn’t matter -- America is a place where if you’re doing the right thing, like Ben and Rebekah are, and you’re being responsible and you’re taking care of your family, that you can make it.

And the fact is, we can do that.  If we do some basic things, if we make some basic changes, we can create more jobs and lift more incomes and strengthen the middle class.  And that’s what we should be doing.  And I know it drives you nuts that Washington isn’t doing it.  And it drives me nuts.  (Applause.)  And the reason it’s not getting done is, today, even basic commonsense ideas can’t get through this Congress. 

And sometimes I’m supposed to be politic about how I say things -- (laughter) -- but I’m finding lately that I just want to say what’s on my mind.  (Applause.)  So let me just be clear -- I want you think about this -- so far this year, Republicans in Congress have blocked or voted down every single serious idea to strengthen the middle class.  You may think I’m exaggerating, but let me go through the list.  They’ve said no to raising the minimum wage.  They’ve said no to fair pay.  Some of them have denied that there’s even a problem, despite the fact that women are getting paid 77 cents for every dollar a man is getting paid. 

They’ve said no to extending unemployment insurance for more than three million Americans who are out there looking every single day for a new job, despite the fact that we know it would be good not just for those families who are working hard to try to get back on their feet, but for the economy as a whole.  Rather than invest in working families getting ahead, they actually voted to give another massive tax cut to the wealthiest Americans. 

AUDIENCE:  Booo --

THE PRESIDENT:  Don’t boo, by the way.  I want you to vote.  (Laughter and applause.)  I mean, over and over again, they show that they’ll do anything to keep in place systems that really help folks at the top but don’t help you.  And they don’t seem to mind.  And their obstruction is keeping a system that is rigged against families like Ben’s and Rebekah’s.

Now, I’m not saying these are all bad people; they’re not.  When I’m sitting there just talking to them about family, we get along just fine.  Many of them will acknowledge when I talk to them -- yes, I know, I wish we could do something more, but I can’t -- but they can’t be too friendly towards me because they’d be run out of town by the tea party.  (Laughter.)
 
 But sometimes I get a sense they just don’t know what most folks are going through.  They keep on offering a theory of the economy that time and again failed for the middle class.  They think we should give more tax breaks to those at the top.  They think we should invest less in things like education.  They think we should let big banks, and credit card companies, and polluters, and insurers do only whatever is best for their bottom line without any responsibility to anybody else.  They want to drastically reduce or get rid of the safety net for people trying to work their way into the middle class. 
And if we did all these things, they think the economy will thrive and jobs will prosper, and everything will trickle down.
 
And just because they believe it, it doesn’t mean the rest of us should be believing it -- because we’ve tried what they’re peddling, and it doesn’t work.  We know from our history that our economy does not grow from the top down, it grows from the middle out.  We do better when the middle class does better.  We do better when workers are getting a decent salary.  We do better when they’ve got decent benefits.  (Applause.)  We do better when a young family knows that they can get ahead.  And we do better when people who are working hard know that they can count on decent childcare at an affordable cost, and that if they get sick they’re not going to lose their homes. 

We do better when if somebody is stuck in a job that is not paying well enough, they know they can go get retrained without taking on huge mountains of debt.  That’s when things hum.  And with just a few changes in priorities, we could get a lot of that done right now if Congress would actually just think about you and not about getting reelected, not about the next election, not about some media sound bite, but just focus on you.  (Applause.)

So that’s why I’ve said, look, I want to work with Democrats and Republicans.  My favorite President, by the way, was the first Republican President -- a guy named Abraham Lincoln.  So this is not a statement about partisanship.  This is a statement about America and what we’re fighting for.  And I’m not going to let gridlock and inaction and willful indifference and greed threaten the hard work of families like yours.   And so we can’t afford to wait for Congress right now.  And that’s why I’m going ahead and moving ahead without them wherever I can.  (Applause.) 

That’s why I acted to raise more workers’ wages by requiring federal contractors to pay their employees a fair wage of at least $10.10 an hour.  (Applause.)  That’s why I acted to help nearly five million Americans make student loan payments cap those payments at 10 percent of their income.  That’s why I made sure more women have the protections they need to fight for fair pay in the workplace.  (Applause.)  That’s why we went ahead and launched new hubs to attract more high-tech manufacturing jobs to America.

And, now, some of you may have read -- so we take these actions and then now Republicans are mad at me for taking these actions.  They’re not doing anything, and then they’re mad that I’m doing something.  I’m not sure which of the things I’ve done they find most offensive, but they’ve decided they’re going to sue me for doing my job.  I mean, I might have said in the heat of the moment during one of these debates, “I want to raise the minimum wage, so sue me when I do.”  (Laughter.)  But I didn’t think they were going to take it literally.

But giving more working Americans a fair shot is not about simply what I can do -- it’s about what we can do together.  So when Congress doesn’t act, not only have I acted, I’ve also tried to rally others to help.  I told CEOs, and governors, and mayors, and state legislatures, for example, they don’t have to wait for Congress to raise the minimum wage.  Go ahead and raise your workers’ wages right now.  And since I first asked Congress to raise the minimum wage, 13 states and D.C. have raised theirs, including Minnesota, where more than 450,000 of your neighbors are poised to get a raise.  (Applause.) 

When Gap raised wages for its employees, job applications went up through the roof.  It was good for business.  I even got a letter from a proud mom right here in Minneapolis who just wanted me to know that her son starts his employees at $15 an hour, at Aaron’s Green Cleaning here in town.  (Applause.)  There they are!  (Applause.)  So the letter said, “We are very proud of his people-centered business philosophy!  Three cheers for a decent living wage!” 

So we don’t have to wait for Congress to do some good stuff.  On Monday, we held the first-ever White House Summit on Working Families, and we heard from a lot of other families like Ben and Rebekah.  They count on policies like paid leave and workplace flexibility to juggle everything.  We had business owners who came and told me they became more profitable when they made family life easier for their employees. 

So more companies are deciding that higher wages and workplace flexibility is good for business -- it reduces turnover, more productive workers, more loyal workers.  More cities and states are deciding this is good policy for families.  So the only holdout standing in the way of change for tens of millions of Americans are some Republicans in Congress. 

Because I just want to be real blunt:  If you watch the news, you just see, okay, Washington is a mess, and the basic attitude is everybody is just crazy up there.  But if you actually read the fine print, it turns out that the things you care about right now Democrats are promoting.  (Applause.)  And we’re just not getting enough help. 

And my message to Republicans is:  Join us.  Get on board.  If you’re mad at me for helping people on my own, then why don’t you join me and we’ll do it together?  (Applause.)  We’ll do it together.  I’m happy to share the credit.  You’re mad at me for doing some things to raise the minimum wage, let’s pass a law -- Republicans and Democrats giving America a raise. 

If you’re mad at me for taking executive action to make it easier for women to find out if they’re not getting treated fairly in the workplace, let’s do it together.  You can share the credit.  (Applause.)  You’re worried about me trying to fix a broken immigration system, let’s hold hands and go ahead and make sure that this country continues to be a nation of laws and a nation of immigrants.  I want to work with you, but you’ve got to give me something.  You’ve got to try to deliver something -- anything.  (Applause.) 

They don’t do anything -- (laughter) -- except block me.  And call me names.  It can’t be that much fun.  (Laughter.)  It’d be so much more fun if they said, you know what, let’s do something together.  If they were more interested in growing the economy for you, and the issues that you’re talking about, instead of trying to mess with me -- (laughter) -- then we’d be doing a lot better.  That’s what makes this country great, is when we’re all working together.  That’s the American way. 

Now more than ever, with the 4th of July next week, Team USA moving on down in Brazil -- (applause) -- we should try to rally around some economic patriotism that says we rise or fall as one nation and one people.  Let’s rally around the idea that instead of giving tax breaks for millionaires, let’s give more tax breaks for working families to help pay for childcare or college.  (Applause.) 

Instead of protecting companies that are shifting profits overseas to avoid paying their fair share, let’s put people to work rebuilding our roads and our bridges and our airports.  (Applause.)  Let’s invest in manufacturing startups so that we’re creating good jobs making products here in America, here in Minnesota.  (Applause.)  Rather than stack the deck in favor of those who have already got an awful lot, let’s help folks who have huge talent and potential and ingenuity but just need a little bit of a hand up so that we can tap the potential of every American. 

I mean, this isn’t rocket science.  There are some things that are complicated -- this isn’t one of them.  Let’s make sure every 4-year-old in America has access to high school -- high-quality preschool -- (applause) -- so that moms like Rebekah and dads like Ben know their kids are getting the best quality care and getting a head start on life.  Let’s redesign our high schools to make sure that our kids are better prepared for the 21st century economy.  Let’s follow the lead of Senator Franken and Secretary Perez and give more apprenticeships that connect young people to rewarding careers.  (Applause.)

Let’s tell every American if they’ve lost their job because it was shipped overseas, we’re going to train you for an even better one.  (Applause.)  Let’s rally around the patriotism that says our country is stronger when every American can count on affordable health insurance and Medicare and Social Security, and women earn pay equal to their efforts, and family can make ends meet if their kid get sick, and when nobody who works full-time is living in poverty.  We can do all these things. 

And so let me just -- let me wrap up by saying this.  I know sometimes things get kind of discouraging.  And I know that our politics looks profoundly broken, and Washington looks like it’s never going to deliver for you.  It seems like they’re focused on everything but your concerns.  And I know that when I was elected in 2008 and then reelected in 2012, so many of you were hoping that we could get Washington to work differently, and sometimes when I get stymied you’d think, oh, maybe not; maybe it’s just too tough, maybe things won’t change.  And I get that frustration.  And the critics and the cynics in Washington, they’ve written me off more times than I can count. 

But I’m here to tell you, don’t get cynical.  Despite all of the frustrations, America is making progress.  Despite the unyielding opposition, there are families who have health insurance now who didn’t have it before.  And there are students in college who couldn’t afford it before.  And there are workers on the job who didn’t have jobs before.  And there are troops home with their families after serving tour after tour.  (Applause.)  Don’t think that we’re not making progress. 

So, yes, it’s easy to be cynical; in fact, these days it’s kind of trendy.  Cynicism passes off for wisdom.  But cynicism doesn’t liberate a continent.  Cynicism doesn’t build a transcontinental railroad.  Cynicism doesn’t send a man to the moon.  Cynicism doesn’t invent the Internet.  Cynicism doesn’t give women the right to vote.  Cynicism doesn’t make sure that people are treated equally regardless of race. 

Cynicism is a choice, and hope is a better choice.  And every day I’m lucky to receive thousands of acts of hope -- every time somebody sits down and picks up a pen, and writes to me and shares their story, just like Rebekah did.  And Rebekah said in her letter -- she ended it, she said, “I’m pretty sure this is a silly thing to do to write a letter to the President, but on some level I know that staying silent about what you see and what needs changing, it never makes any difference.  So I’m writing to you to let you know what it’s like for us out here in the middle of the country, and I hope you will listen.” 

And I’m here because Rebekah wrote to me and I want her to know I’m listening.  I’m here as President, because I want you all to know that I’m listening.  (Applause.)  I ran for office to make sure that anybody who is working hard to meet their dreams has somebody in Washington that is listening.  And I’m always going to keep listening.  And I’m always going to keep fighting.  (Applause.) 

And your cares and your concerns are my own, and your hopes for your kids and your grandkids are my own.  And I’m always going to be working to restore the American Dream for everybody who’s willing to work for it.  (Applause.)  And I am not going to get cynical; I’m staying hopeful, and I hope you do too. 

Thank you.  God bless you.  God bless America.  (Applause.) 

END
10:50 A.M. CDT

Remarks by the President in Town Hall

Minnehaha Park
Minneapolis, Minnesota

2:24 P.M. CDT

THE PRESIDENT:  Hello, Minneapolis!  (Applause.)  Good to see you.  Good to see you.  Everybody have a seat.  It is good to be back in Minnesota.  (Applause.)  Last time I was here it was colder.  (Laughter.)  Here’s just a tip for folks who are not from Minnesota -- if you come here and the Minnesotans are complaining about how cold it is it's really cold.  (Laughter.) Because these are some pretty tough folks.  They don't get phased with cold.  But it was cold, so it's nice to be back when it's a little warmer. 

And I have to begin by congratulating our U.S. soccer team, Team USA -- (applause) -- for advancing to the next round of the World Cup.  (Applause.) 

AUDIENCE:  USA!  USA!  USA!

THE PRESIDENT:  USA! 

AUDIENCE:  USA!  USA!  USA! 

THE PRESIDENT:  Absolutely.  We were in what’s called the “Group of Death.”  (Laughter.)  And even though we didn’t win today, we were in the toughest grouping and we got through.  And so we've still got a chance to win the World Cup.  (Applause.)  And we could not be prouder of them.  They are defying the odds and earned a lot of believers in the process.  And I want everybody on the team to know that all of us back home are really proud of them. 

Let me tell you something.  I've been really looking forward to getting out of D.C.  (Laughter.)  But I've also been looking forward to spending a couple days here in the Twin Cities.  Our agenda is still a little loose.  I might pop in for some ice cream, visit a small business.  I don't know.  I'm just going to make it up as I go along.  The Secret Service -- I always tease them.  I'm like a caged bear, and every once in a while I break loose.  And I'm feeling super loose today.  (Applause.)  So you don't know what I might do.  You don't know what I might do.  Who knows?  (Applause.)   

But the main reason I wanted to be here is I just wanted to have a chance to talk to folks about their lives and their hopes and their dreams and what they’re going through.  I want to spend some time listening and answering your questions and just having a conversation about what’s going well in your lives and in your neighborhoods and communities right now, but also what kinds of struggles folks are going through, and what things are helping and what things aren’t.

Now, before I do I just want to mention our Governor, Mark Dayton, is here.  (Applause.)  And Mark gave me an update on the flooding that's been going on all across the state and I know some folks here are probably affected by it as well.  We made sure that FEMA is already on the ground here.  The Army Corps of Engineers is helping to build up a levee up in Warroad.  I told the Governor that we will be there as we get some clarity about the damage and what needs to be done, and you should feel confident that you're going to have a strong partner in FEMA and the federal government in the process of cleaning up. (Applause.)
  
And you can also feel confident because if we didn’t help out, then I'd have Mayor Coleman and Mayor Hodges and Congressman Keith Ellison giving me a hard time.  So they’re going to hold me to it.  They do a great job on behalf of their constituents every day.  (Applause.) 

I also wanted to mention that up the road there’s a memorial service for a person that many of you knew and loved, and that's Jim Oberstar, who served so long in Congress.  I had a chance to know Jim; we overlapped before he came back home.  He was a good man.  He was a good public servant.  He was somebody who never forgot the folks in the Iron Range that he was fighting for.  And in a lot of ways, what he represented was a time when folks went to Washington, but they understood that they were working on behalf of hardworking middle-class families and people who were trying to get into the middle class. 

And that fight continues.  We've made progress.  And the one thing that I always remind people of is by just about every economic measure, we are significantly better off than we were when I came into office.   (Applause.)  Unemployment is down; the deficits have been cut in half; the housing market has improved; 401(k)s have gotten more solid.  The number of people who are uninsured are down.  Our exports are up, our energy production is up.  So, in the aggregate, when you look at the country as a whole, by pretty much every measure, the economy is doing better than it was when I came into office -- and in most cases significantly better.  

We've created now 9.4 million new jobs over the last 51 months.  (Applause.)  The unemployment rate here in Minnesota is the lowest it’s been since 2007.  (Applause.)  But here’s the thing -- and I'm not telling you anything that you don't know.  There are still a lot of folks struggling out there.

We've got an economy that, even when it grows and corporate profits are high and the stock market is doing well, we're still having trouble producing increases in salary and increases in wages for ordinary folks.  So we've seen wages and incomes sort of flat-line, even though the costs of food and housing and other things have gone up.  And so there are a lot of people who work really hard, do the right thing, are responsible, but still find at the end of the month that they’re not getting ahead.  And that is the central challenge that drives me every single day when I think about what kinds of policies would help.

So I’ve put forward an opportunity agenda that is a continuation of things I’ve been talking about since I came into the United States Senate and served with Mark and things that I’ve been working on since I became President -- making sure that hard work pays off; making sure that if you work hard your kid can go to a good school and end up going to college without a huge amount of debt; that you’re not going to go broke if you get sick; that you’re able to have a home of your own; and that you’re able to retire with some dignity and some respect, maybe a vacation once in a while.  That’s what people are looking for.  And that means that we’ve got to reverse this mindset that somehow if everybody at the top does really well then somehow benefits all automatically trickle down -- because that’s not what’s been happening for the last 20, 30 years.

We had -- on Monday we had what we called a White House Working Families Summit.  And we just talked about bread-and-butter issues that everybody talks about around the kitchen table but, unfortunately, don’t make it on the nightly news a lot.  So we talked about childcare and the fact that it’s prohibitive for too many young families.  (Applause.)  We talked about paid family leave, so that if a child was sick or a parent was sick, that you could actually go help and take care of them -- which is, by the way, what every other developed country does.  We’re the only one that doesn’t have it.

We talked about workplace flexibility, so that if you wanted to go to a parent-teacher conference with your family -- or for your kid, or a school play, that you could balance that.  And in fact, those companies we discovered at the summit who provide that kind of flexibility usually have more productive workers, harder-working workers, more loyal workers, lower turnover, and the companies end up being more profitable.

We talked about increasing the minimum wage, which would benefit millions of people all across the country.  (Applause.)  We talked about equal pay for equal work, because I want my daughters getting paid the same as men do.  (Applause.) 

All of these things are achievable, but we’ve got to make Washington work for you -- not for special interests, not for lobbyists.  We don’t need a politics that’s planned to some -- the most fringe elements of politics.  We just need folks who are having a common-sense conversation about what’s happening in your lives and how can we help, and then try to take some concrete actions that makes a difference.

So that’s what I want to talk about.  And I’m hoping that some people in Washington are going to be listening.  Some of them will be and they’ll probably be saying I’m crazy or a socialist or something -- (laughter) -- but hopefully hearing from you, some of this stuff will sink in.  All right?
So with that, I’m just going to take some questions.  I’ve got my little hot tea here to make sure I don’t lose my voice.  And I think we’ve got microphones in the audience and I’m just going to call on folks.  The only rule I’ve got is when I call on you, you’ve got to wait for the microphone, introduce yourself.  If you keep your question relatively short I’ll try to keep my answers relatively short.  And I’m going to go boy, girl, boy, girl to make sure it’s fair, all right?  (Laughter.) 

All right.  Let’s start it off.  All right, who wants to go first?  This young lady right here.  Tell me your name.

Q    Hello, I’m Cheryl Hill.

THE PRESIDENT:  Hey, Cheryl.

Q    And I admire you so much and your office for the support we’ve received.  I’m the founder of ClearCause.  I work to protect our students abroad.  I support hundreds of students who worked their way up through college -- our best and our brightest -- are not well-protected by any surveillance or laws. They are robbed, raped, starved, abandoned and killed.  I’m here because of my son, Tyler Hill.

THE PRESIDENT:  Well, so this is like an exchange programs?

Q    Study abroad.

THE PRESIDENT:  Study abroad program.  Generally, study abroad programs are coordinated by the universities and colleges that sponsor them.  There should be interaction between those educational institutions and the State Department.  There are obviously some countries that are particularly dangerous, and in those cases, I think making sure that everybody has good information going in is important. 

Tragedies happen when folks travel overseas.  Unfortunately, tragedies happen here as well.  But what I’d like to do is -- let me find out more about the nature of the coordination that happens between the State Department and study abroad programs and see if there are some things that we can do to tighten them up.  And it sounds like you’ve been thinking about it, so you may have some ideas.  Excellent. 

Gentleman in the cool sunglasses there. 

Q    Good morning, Mr. President -- or afternoon, Mr. President.  My name is Dan Morette (ph).  And my question is -- you spoke about tragedies at home -- how we can reduce gun violence in this nation and what we can do to team up together and really make a difference.  (Applause.)

THE PRESIDENT:  Well, on my way over here I was talking to a mom that I had lunch with -- who’s wonderful, by the way, and she’s here but I’m not going to embarrass her.  And she’s got a couple of young sons.  And we talked about a whole bunch of issues -- the cost of childcare, the fact that wages don’t go up to meet the cost of living.  But one thing she talked about was Newtown.  And I described how the day that Sandy Hook happened was probably the worst day of my presidency, and meeting those families just a couple of days after they lost these beautiful six-year-olds -- 20 of them -- and then some of the parents -- or some of the teachers and administrators who had been affected as well. 

I was sure after that happened, there’s no way that Congress isn’t going to do some common-sense stuff.  I thought that the issue of gun safety and common-sense legislation has been controversial for some time, but I thought that was going to be a breakthrough moment.  The fact that it wasn’t was probably the most disappointing moment that I’ve had with Congress.

What we’ve done is we’ve developed 24 executive actions, things that were in our power, to really try to tighten tracking where guns go, making sure that we’re sifting through and separating out responsible gun owners from folks who really shouldn’t be having a weapon. 

So we’ve probably made some progress.  We’ve probably saved a few lives.  But I will tell you this is the only advanced country that tolerates something like this.  We have what’s basically a mass shooting, it seems like, happening once every couple weeks -- kids on college campuses, kids at home.  And we’re not going to eliminate all of that violence, and there’s a strong tradition of gun ownership and there are wonderful folks who are sportsman and hunters, and I respect all of that.  But we should be able to take some basic common-sense steps that are, by the way, supported by most responsible gun owners -- like having background checks so you can’t just walk into a store and buy a semiautomatic -- (applause.)

Something I'm going to keep on talking about that I was asked about this a few weeks ago, and I said, honestly, this is not going to change unless the people who want to prevent these kinds of mass shootings from taking place feel at least as passionate and are at least as mobilized and well-funded and organized as the NRS and the gun manufacturers are.  Because the politics in Congress are such where even members of Congress who know better are fearful that if they vote their conscience and support common-sense gun legislation like background checks, they’re worried that they’re going to lose their seat.  And frankly, there’s a number who have because the other side is very well organized.

So I will keep on talking about it.  We're going to continue to work with law enforcement and community groups and others to try to take steps locally and at the state level.  But if we're going to do something nationally, then we're going to have to mobilize ordinary folks -- moms, dads, families, responsible gun owners, law enforcement -- and they’re going to have to get organized and be able to counter the pressure that’s coming from the other side in a sustained way -- not in a one-week or two-week or one-month situation right after a tragedy occurs; it’s going to have to just keep on going for several years before we’re able to make progress.  (Applause.) 

All right.  Young lady right there.  The one in the orange -- got a mic right next to you.

Q    I’m an educator in a public school, and I have a son in college who’s struggling through college with student loans.  I’ve been an educator for 27-plus years.  (Applause.)  And I know you’re into sports and I hear they generate a lot of money.  We generate a lot of minds.  And it really bothers me that I can’t pay for his education.  (Applause.)

THE PRESIDENT:  I’m just curious what your son’s circumstances are.  Is he going to a state school?  Is he going to a private school?

Q    He’s going to a community college.

THE PRESIDENT:  He’s going to a community college.

Q    And wants to go to college in New York, in fashion design. 

THE PRESIDENT:  Okay.  But he’s in community college here in Minnesota right now?

Q    Correct.

THE PRESIDENT:  And is he eligible for the federal student loans programs?  Or is he finding that because of your income or your family’s income that it’s hard to get some of the lower-interest loans?

Q    Both.  He’s kind of both. 

THE PRESIDENT:  Okay.  Well, look, this is something we’ve been spending a lot of time on.  There are a couple components to the problem.  And, by the way, this is something near and dear to my heart because I was not born into a wealthy family.  I’m only here because of my education, but the reason I was able to get that education was because grants, loans, work during the summer -- all of those things allowed me to pay the bills.

But college costs were lower then when I was going to school.  I know you can’t tell from my gray hair, but I’m getting a little older now.  (Laughter.)  And so I started college in 1979, and when I graduated -- I was able to get a four-year college education -- I had some debt, but I could pay it off after one year.  Now, the average student that does have debt is seeing $30,000 worth of debt.  And even if they’re able to take out loans, that’s a burden that they’re carrying with them in their first job; it may prevent them from buying their first home; if they’ve got a business idea, that’s money that is going to take them a while before they’re able to start a business, and, as a consequence, it effects the whole economy.

Now, it is really important just to remind everybody a college education is still a great investment as long as you graduate.  (Applause.)  As long as you graduate.  So when you go into college, you’ve got to be determined, “I’m going to graduate.”  It’s a great investment, but it’s not a great investment if you take out $20,0000 worth of debt and you don’t graduate, you don’t get the degree, which is why we’re spending a lot of time talking to colleges about what are you doing to retain students.

But the things that we need to do are, number one, try to keep costs of student loans down.  We’ve been working with colleges and universities, telling them if the federal government is going to help subsidize your universities essentially with the student loan program, you need to show us that you’re informing students ahead of time how much they’re going to owe; that you are describing for them what their repayment plans would be; that you are keeping tuition low and that you’re graduating folks at a high rate.

So we’ve got to work with the colleges and universities to lower costs.  We’ve got to keep the interest rates on student loans low.  Right now, there’s legislation that was presented in the Senate -- Massachusetts Senator Elizabeth Warren sponsored it -- and what it does is it just allows student loans that you already have to be consolidated, and you can refinance them at a lower rate just like you could your mortgage if the rates go down.  Republicans all voted against it -- I don’t know why.  You will have to ask them.  But that’s an example of a tool we can use.

We’ve also put in place -- this is something that I passed a while back and now I’ve expanded -- a program whereby you never have to pay more than 10 percent of your current income to pay back your student loans, so that if you decide you want to go into teaching or you want to go into social work -- something that may not be a high-paying profession but a satisfying profession -- that the fact that you’ve had some student debt is not going to preclude you from taking that position.

So there are a number of different steps that we’re taking.I will tell you, though, in addition to what we do at the federal level, you’re going to need to talk to your state legislators.  Part of the reason that tuition has gone up is because state legislatures across the country have consistently lowered the support that they provide public universities and community colleges, and then the community colleges and the public universities feel obliged to increase tuition rates.  And that obviously adds the burden to students.

The bottom line is your son is doing the right thing.  The fact that he’s starting at a community college will save him money.  Even if he wants to graduate from a four-year institution eventually, it will still be a good investment.  So he should shop around, get the right information.  We’re going to do everything we can to make sure that we keep it as affordable as possible.  And I’m sure he’s going to do wonderfully, and then he’s going to look after his mom.  (Applause.)

Okay, it’s a guy’s turn.  This gentleman right here.

Q    Mr. President, like you, I’m the father of two beautiful, intelligent girls.

THE PRESIDENT:  Can’t beat daughters.  No offense, sons.  (Laughter.) 

Q    And they’re both in STEM careers.  I’m wondering what we can do to promote and encourage more girls to go into STEM careers.

THE PRESIDENT:  Oh, this is a great question.  (Applause.)  First of all, STEM stands for science, technology, engineering and math. 

America became an economic superpower in large part because we were the most innovative economy.  We are a nation of inventors and tinkerers, and we expand the boundaries of what’s possible through science.  And that continues to be the case.  We still have the most cutting-edge technology, the most patents.  But if we’re not careful, we’ll lose our lead.  And if things aren’t being invented here, then they’re not being produced here. And if they’re not being produced here, that means the jobs aren’t being created here.  And over time, other countries catch up.

So what do we have to do?  Number one, we’ve got to make sure that we’re investing in basic science.  Sometimes people say, I don’t know what the federal government spends the money on; they’re all just wasting it.  You know, one of the things that the federal government does is it invests in basic research that companies won’t invest in.  And if it wasn’t for the investment in basic research, then things like the Internet, things like GPS that everybody uses every day, things that result in cures for diseases that have touched probably every family that’s represented here in some fashion -- that stuff never happens. 

You do the basic research and then you move on to commercialize it, and that’s oftentimes when the private sector gets involved.  But they’re not willing or able a lot of times to finance basic research.  So that’s number one.

Number two, we’ve got to make sure that we’re investing in working with companies who are doing, let’s say, advanced manufacturing, the next phases of manufacturing, linking them up with universities so that once we have a good idea, a good invention -- whether it’s clean energy or a new way to build a car -- that the next phase of production and innovation is done here in the United States.  And we’ve opened up four what we call advanced manufacturing hubs around the country -- I actually want 15 -- where we link private sector and universities so that they become centers of innovation and jobs get created here in the United States.

But the third thing we need is we need more folks in engineering, math, science, technology, computer science.  (Applause.)  And that means we’ve got to have a school system generally that encourages those subjects.  And, by the way, I was a political science and English major, and you need to know how to communicate, and I loved the liberal arts, so this is no offense, but we’ve got enough lawyers like me.  We need more engineers.  (Applause.)  We need more scientists. 

Generally speaking, we’re not doing good enough educating kids and encouraging them into these kinds of careers.  We’re particularly bad when it comes to girls.  And my whole thing is
-- somebody said I was a sports fan.  I am.  And one rule of sports is you don’t play as well if you’ve only got half the team.  We don’t have everybody on the field right now if our young women are not being encouraged the same way to get into these fields.  So this starts at an early age. 

What we’ve done is I’ve used my Office of Science and Technology to partner with elementary schools to, first of all, train teachers better in STEM,’ then to really focus on populations that are under-represented in STEM -- not only young women but also African Americans, Latinos, others -- getting them interested early.  In some cases, for example, we know that young girls -- I know as a father -- they oftentimes do better if they’re in a team and social environment, so making sure that the structure of science classes, for example, have collaboration involved and there’s actual experience doing stuff, as opposed to just it being a classroom exercise.  There are certain things that can end up making it a better experience for them, boosting their confidence, and encouraging them to get into the fields.

So we’re going to continue to really spend a lot of time on this.  I’ll just close by saying every year now I have a science fair at the White House, because my attitude is if I’m bringing the top football and basketball teams to the White House, I should also bring the top scientists.  I want them to feel -- (applause) -- that they get the spotlight just like athletes do. And these kids are amazing -- except they make you feel really stupid.  (Laughter.)   

The first student who I met -- she’s now -- she just graduated.  When she was 12, she was diagnosed with a rare liver cancer.  Fortunately, she had health insurance.  They caught it early enough, she responded to treatment.  Lovely young lady -- it didn’t come back.  But by the time she got into high school and she was taking biology and chemistry, she became interested in why was it that I got this thing at 12 years old?

So she talks to her teachers, and she designs a study where she goes to the surgeon who took out the cancer from her liver, takes samples, identifies the genetic profile and the chromosomes that might have led to this particular kind of cancer, writes up the research in Science Magazine, and now has a scholarship to Harvard to pursue her interest in bio-medicine.  And as you might imagine, her parents are pretty proud of her.  (Laughter.)  I was really proud of her.

But it gives you a sense of the possibilities for young people and young women if somebody is sparking that interest in them, and telling them this is something that they can do and they should pursue their interests.  (Applause.) 

Young lady right here in the yellow.

Q    Hi, my name is Joelle Stangle.  I’m the University of Minnesota student body president.  And so I have a question about higher education.  And I also have a softball question after this hardball question.

THE PRESIDENT:  Okay, I love the softball questions. 

Q    My first question is, the House Republicans recently released their recommendations for the reauthorization of the Higher Education Act, and so I want to know where you think that Republicans and Democrats can work together and what the top priorities should be for reauthorization.  And my softball question is how do you get a President to be your commencement speaker?  Kids want to know.  (Laughter.) 

THE PRESIDENT:  Well, first of all, you have to invite me.  (Laughter.)  So that’s always a good start.  I just did my last commencement at UC Irvine.  I have to say, they had a campus-wide letter-writing campaign; I think we ended up getting, like, 10,000 letters, was it, from -- something like that.  They also have a very cute mascot.  It’s an anteater.  I guess that’s their sign; that’s supposed to be the anteater. 

PARTICIPANT:  We’ve got a gopher.

THE PRESIDENT:  Gophers are cool.  (Laughter.)  Gophers are cool. 

But the invitation is a good place to start, and then we’ll work from there.

In terms of the higher education reauthorization act, that’s a big bill, there’s a lot of complexities to it.  I will just focus on an area that I think should be the focus -- and we’ve already talked about -- and that is student loan costs, and how we can hold schools more accountable for informing young people as they’re starting their education what exactly it’s going to mean for them.

Now, we’ve already started this.  I mentioned a few things. One thing I didn’t mention is the Consumer Finance Protection Board that we set up that, in response to what had happened during the Great Recession, when people were taking out mortgages they couldn’t afford and predatory lenders were getting folks in a whole lot of trouble.  And we said, the same way that you should be protected from a faulty appliance or a faulty car, you should be protected from a faulty financial instrument, make sure it doesn’t explode in your face.  (Applause.)

And one of the goals of CFPB, is what it’s called, was to tackle the student loan issue.  And what we’ve done is created what we call a Know What You Owe program, which pushes colleges and universities not to do the financial counseling on the exit interview where suddenly they hand you a packet and says, here, this is what you’re going to owe -- hand it to folks at the beginning, break it down for them.  And that will allow young people I think to make better decisions, and their parents to work with them to make better decisions about what college expenses are going to be.

But as I said before -- this is true for education generally -- the federal government can help, but states and local governments have to do their part as well.  In public education, the federal government accounts for about 7 percent of total costs.  The rest of it comes from state and local taxes.  And what we’ve tried to do is leverage the little bit of money that the federal government gives to this to modify how -- to incentivize reform, and to get folks to experiment with new ways of learning. 

For example, can we use online classes more effectively to help keep college costs down?  Can we get more high school students to get transferable college credits while they’re in high school so that they can maybe graduate in three years instead of two?  We’re trying to encourage folks to experiment in those ways.

All of that we hope can get embodied in the higher education act.  I will tell you, sometimes if I’m for it, then the other side is against it even if originally it was their idea.  So I can’t guarantee you that we’ll get bipartisan support for these ideas, but there’s nothing that should prevent us from doing it because this is just about making a college education a better value for families.  And that’s something that should transcend party; it shouldn’t be a Democrat or a Republican issue.

All right.  Gentleman right here in the uniform. 

Q    All right, my name is -- well, good afternoon, Mr. President.

THE PRESIDENT:  Good afternoon.

Q    My name is John Martinez.  I’m a recent EMT graduate from the Freedom House EMS Academy in St. Paul.  (Applause.)

THE PRESIDENT:  Okay, there you go. 

Q    Currently I’m teaching at the Academy, and I just got hired at Allina -- I applied for St. Paul Fire.  My question is have you considered starting any other organizations such as the Freedom House for law enforcement or fire or other establishments that could get programs like that going for low-income or minorities?

THE PRESIDENT:  You know, I’ll confess to you I don’t know enough about Freedom House -- so I’m considering it right now.  (Laughter.)  But you’ve got to tell me more about it.  Since you’re an instructor there and a graduate from there, why don’t you tell me how it works?

Q    You go through an interviewing process and the leaders -- there’s fire chiefs that interview the candidates.  You get paid, but it is an interviewing process.  You wear a unifor;, it’s a strict program.  And it’s a 14-week or a 10-week program, depending on what time of the year.  It’s intensive.  Everything is compacted, all the information that we learn.  And you learn skills -- all the skills that you need to be an EMT.  You meet, you network, you meet fire chiefs, police.  I know people that are going into med school.  It started in 1967 in Philadelphia.

THE PRESIDENT:  Well, it sounds like a great program.

Q    Yes.

THE PRESIDENT:  And who’s eligible for it?  Is it young people who have already graduated from high school but haven’t yet gone to college?  If I’m 30 years old and I’m thinking let me try a new career -- who is it that can participate?

Q    Anyone from the ages of 17 to 30 is eligible.  You have to meet the income requirements.  And it’s open to anyone who wants to get into EMS or fire.

THE PRESIDENT:  Well, that’s a great idea.  See, you just gave me a good idea.  (Laughter.)  So now I’m considering expanding it.  (Applause.)

It’s a good example, though, of a broader issues, which is not everybody is going to go to a four-year university, but everybody is going to need some advanced training.  And so the question is how do we set up systems -- whether it’s apprenticeships, whether it’s programs like Freedom House that you just described, whether it’s through the community colleges
-- where whatever stage in your life, if you feel as if you’re stuck in your existing occupation, you want to do better, or you lose your job and you’ve got to transition to a new industry, that you are able to get training that fits you.  Understanding that for a lot of folks they may be working at the same time as they are looking after their kids, and so there’s got to be some flexibility.  The programs have to be more compact.  Most importantly, they have to be job-training programs or technical programs that actually produce the skills you need to get jobs that are there.

And so what we’ve been trying to do is to -- which seems like common sense but, unfortunately, for a long time wasn’t done -- going to the businesses first that are hiring and asking them, well, what exactly are you looking for, and why don’t you work with the community college, or why don’t you work with the nonprofit to help design the actual training program so that you’ll have the benefit of knowing if somebody has gone through the program, they’re prepared for the job.  Conversely, the person who’s gone through the training program, they know if they complete it, that there’s a job at the other end.  And that’s how we’re actually trying to redesign a lot of the job training programs that are out there. 

But as I said before, you’ve also got to make sure that you structure it so that a working mom who can’t afford to just quit her job and go to school -- maybe she’s a waitress right now -- she’s interested in being a nurse’s assistant that has slightly better pay and benefits, and then wants to become a nurse, that she has the opportunity to work around her schedule, make sure that we’ve got the ability to take classes at night, or on weekends, or online. 

That’s how -- in the future, we’re going to have to redesign a lot of this stuff, getting away from thinking that all the training that’s going to take place is just for 18 and 19-year-olds who’ve got all day and are supported by their parents, because that’s not the model that our economy is going to be in for the foreseeable future.

Young lady.  Yes, in the stripes. 

Q    Hi, my name is Erin.  I just left a corporation in Minnesota, a Fortune 500 corporation, where I had my four-year degree, my male counterpart did not, and he was making $3 more an hour than I was.  My question for you is what are we going to do about it so as I grow up and other women grow up we are not experiencing the wage gap anymore?  (Applause.)

THE PRESIDENT:  Well, I’ve got all kinds of opinions on this.  (Laughter.) 

First of all -- I told this story at the Working Families Summit -- my mom was a single mom.  She worked, went to school, raised two kids with the help of my grandparents.  And I remember what it was like for her -- coming home, she’s dead tired, she’s trying to fix a healthy meal for me and my sister, which meant there were only really like five things in the rotation because she didn’t have time to be practicing with a whole bunch of stuff.  And sometimes, because you’re a kid, you’re stupid, so you’re all like, I don’t want to eat that again.  (Laughter.)  And she’s like, really?  (Laughter.)  What did you make?  Eat your food.  (Laughter.) 

But I remember the struggles that she would go through when she did finally get her advanced degree, got a job, and she’d experience on-the-job discrimination because of her gender. 

My grandmother, she was Rosie the Riveter.  When my grandfather went to fight in World War II, part of Patton’s Army, she stayed home because -- my mom was born in Kansas, at Fort Leavenworth, and my grandmother worked at a bomber assembly line. And she was whip smart.  I mean, in another era, she would have ended up running a company.  But at the time, she didn’t even get her college degree -- worked as a secretary.  She was smart enough that she worked her way up to be a vice president at the local bank where we lived -- which is why sometimes when I watch Mad Men, there’s Peggy and Joan, the two women there, I’m always rooting for them because I imagine them -- that’s what it was like for my grandmother, kind of working her way up.

But as smart as she was, she got to a certain point and then she stopped advancing.  And then she would train guys how to do the job and they would end up being her boss.  And it happened three or four times. 

So this is something that I care a lot about not just because of my past, but also because of my future.  I’ve got two daughters.  The idea that they would not be paid the same or not have the same opportunities as somebody’s sons is infuriating.  And even if you’re not a dad, those of you who have partners, spouses -- men -- this is not a women’s issue.  Because if they’re not getting paid, that means they’re not bringing home as much money, which means your family budget is tighter.  (Applause.)  So this is a family issue and not a gender issue.  

So what can we do?  First bill I signed was called the Lily Ledbetter Act, that allowed folks to sue if they found out that they had been discriminated against, like you found out.  Back then, Lilly Ledbetter, this wonderful woman, she had been paid less than her male counterparts for the same job for over a decade.  When she finally finds out, she sues, and the Supreme Court says, well, the statute of limitations has run out; you can’t sue for all of that back pay.  She says, well, I just found out -- well, that doesn’t matter.  So we reversed that law, allowing people to sue based on when you find out. 

Most recently what I did was we made it against the law, at least for federal contractors, to retaliate against employees for sharing job -- or salary information.  Because part of the problem -- part of the reason that it’s hard to enforce equal pay for equal work is most employers don’t let you talk, or discourage talk about what everybody else is getting paid.  And what we’ve said is women have a right to know what the guy sitting next to them who’s doing the exact same job is getting paid.  So that’s something we were able to do.

But ultimately, we’re going to need Congress to act.  There have been repeated efforts by us to get what we call the Paycheck Fairness Act through Congress and Republicans have blocked it.  Some have denied that it's a problem.  What they’ve said is, you know what, women make different choices.  That explains the wage gap.  That's the reason that women on average make 77 cents to every dollar that a man earns -- is because they’re making different choices. 

Well, first of all, that's not true in your case because you were doing the same job.  You didn’t make a different choice; you just were getting paid less.  But let’s even unpack this whole idea of making different choices.  What they’re really saying is, because women have to bear children, and a company doesn’t give them enough maternity leave or doesn’t give them enough flexibility, that they should be punished. 

And our whole point is that this is a family issue and that if we structure the workplace to actually be family-friendly, which everybody always talks about but we don't always actually practice, then women won't have to make different choices.  Then if they’re pregnant and have a child, it's expected that they’re going to have some time off.  By the way, the dads should, too.  They should have some flexibility in the workplace.  (Applause.) They should be able to take care of a sick kid without getting docked for pay. 

And there are some wonderful companies who are doing this.  And as I said before, it turns out that when companies adopt family-friendly policies their productivity goes up, they have lower turnover -- which makes sense.  Look, if you have a family emergency, and you go to your boss and you say, can I have a week off, I've got to take care of a sick child or a dad -- or can I leave early this afternoon because my kid is in a school play and I really think this is important, and they say, of course, nothing is more important than family -- how hard are you going to work for that person when you get back on the job?  You're going to feel invested in them.  You're going to say to yourself, man, these folks care about me, which means I care about you.  And if I have to take some extra time on a weekend, or I've got to do some work late at night when I'm not under an emergency situation, I'm going to do that. 

So this makes good business sense.  But the problem is, is that we haven't done enough to encourage these new models.  And this is part of the reason why we did this Family Summit -- we wanted to lift this stuff up, show companies that are doing the right thing, encourage others to adopt the same practices, and maybe get some legislation that incentivizes better policies.

In the meantime, though, if you're doing the same job you should make the same pay -- period; full stop.  (Applause.)  That should be a basic rule.  That shouldn’t be subject to confusion. (Applause.)

Let’s see -- this young man back here, right there.

Q    Good afternoon, Mr. President.

THE PRESIDENT:  Good afternoon.  What’s your name?

Q    My name is Quinn Graham.  I'm an intern with Right Track.

THE PRESIDENT:  What’s Right Track?  Tell me about it.

Q    It's a youth jobs program through the city of St. Paul.

THE PRESIDENT:  That's great.  Now, what grade are you going into next year?

Q    I'm going to be a senior next year.

THE PRESIDENT:  Fantastic.  How did junior year go?

Q    What?

THE PRESIDENT:  How did junior year go?

Q    Yeah.

THE PRESIDENT:  It was okay?  What do you mean, yeah?  No, how did junior year go?

Q    Oh, it went well.

THE PRESIDENT:  It went well?

Q    Yeah.

THE PRESIDENT:  Okay.  I just wanted -- because Malia is going into her junior year and I hear it's pretty busy your junior year. 

Q    Yeah.

THE PRESIDENT:  Yeah?  Well, you look like you survived it.

Q    Yeah.

THE PRESIDENT:  Okay.  You wanted to get to your question.  Please go ahead.  (Laughter.) 

Q    I was wondering how you would propose to address the growing issue of climate change.  (Applause.) 

THE PRESIDENT:  Well, as it just so happens -- now, this young man was not a plant.  (Laughter.)  But as it just so happens, last year yesterday, I announced my Climate Action Plan. And let me just set the stage by saying that the science here is settled -- (applause) -- carbon dioxide is released by a whole bunch of manmade activities. 

When you release carbon dioxide into the atmosphere it traps heat.  We are seeing the highest levels of carbon dioxide, and as a consequence, some of the warmest temperatures that we've seen in hundreds of thousands of years.  They’re going up.  And this is not just a problem of polar bears -- although I really like polar bears -- and the ice caps melting.  What happens is, is that when temperatures on average go up it throws weather patterns into a whole bunch of different directions. 

So it may mean that snowcaps on mountains diminish.  And out West, entire states get their water from snowcaps.  If you're not getting the same amount of water you now have the potential for more severe drought.  Agriculture is impacted, which means your food bills go up.  California is going through the worst drought it's gone through in a very, very long time.  That raises the price of all the fruits and vegetables that are grown in California, so it hits you in your pocketbook. 

Wildfires may increase.  And in fact, we've seen record wildfires.  We're having to spend more money fighting fires now than we ever have.  It makes hurricanes potentially more frequent and potentially more powerful.  So Hurricane Sandy may not be as unusual as it used to be.  You see higher incidents of flooding. Coastal states like Florida, there are neighborhoods where now every time there’s a high tide there’s a flood in these neighborhoods. 

And the problem is it's getting worse.  Because as folks in China and India and other places decide they want to have cars, too, and they want to have electricity and the things that we've got, they start building more power plants and they start driving more -- all of that adds to more carbon dioxide and it starts compounding.

So this is something we have to deal with.  Now, the good news is there are things we can do.  So we doubled fuel efficiency standards on cars.  By the middle of the next decade, cars and trucks are going to go twice as far on a gallon of gas. That's going to save you money in your pocketbook, but it's also taking carbon dioxide out of the atmosphere.  (Applause.)

We've invested in clean energy.  Since I came into office we're producing three times as much energy through wind power and we're producing about 10 times as much energy through solar power, and we're creating jobs here in the United States -- folks installing wind turbines and solar panels.  So it's good economics and it's also good for the environment.

Most recently, what I've done is I've said -- about 40 percent of the carbon that we emit comes from power plants.  So what we've said is, through the Environmental Protection Agency, we're going to set standards.  We set standards for the amount of mercury and arsenic and sulfur that's pumped out by factories and power plants into our air and our water.  Right now we don't have a cap on the amount of carbon pollution.  So we said we're going to cap it. 

And we're going to let states work with their private sector and local governments to come up with what’s going to be best for them.  Not every state is going to do the same thing.  Nevada might emphasize solar power.  South Dakota might emphasize wind power.  Whatever it is that you're going to do you’ve got to start bringing down your carbon pollution.

Now, this has some controversy.  Oil companies, not wild about it; coal companies, not crazy about it.  These traditional sources of fuel -- fossil fuels -- we're going to use for a while, but we can't just keep on using them forever.  We've got to develop new ways of producing energy so that your generation isn't seeing a planet that is starting to break down, with all the costs associated with it.

Last point I'll make -- one of the benefits of asking power plants to produce energy that's cleaner is that when they control their carbon dioxide they’re also putting less soot in the air.  They’re also putting less particulates in the air.  And what that means is your child is less likely to get asthma and those with respiratory diseases are less likely to be impacted.  So it has a public health effect that is good as well.

We can have an environment that is cleaner, that is healthy for us, and at the same time, develop entire new industries in clean energy.  But we're going to have to get started now.  And that's why, despite some of the pushback from some of the special interests out there, we're going to just keep on going at this, because we don't have a choice.  This is something that we're going to have to tackle during this generation to make sure we're giving a good future for the next generation.  (Applause.)  Great question. 

Last question -- last question.  This young lady in the pink, go ahead. 

Q    Good afternoon, Mr. President.

THE PRESIDENT:  Good afternoon.

Q    My name is Katie Peterson.  And my coworker here and friend, we've been working for the federal government for almost 29 years.  And we feel really privileged that we've been able to serve that way.

THE PRESIDENT:  Where do you work?

Q    For Defense Contract Management Agency.

THE PRESIDENT:  Excellent.

Q    But it's been a great career, we love it, but lately, as you know, there’s been a few rough patches with three years of pay freeze and sequestration and furloughs.  And we're just kind of wondering what you foresee for the next fiscal year for government workers.

THE PRESIDENT:  Well, let me make a couple of points.  First of all, folks in the federal government, the overwhelming majority, they work really hard doing really important stuff.  And I don't know why it is that -- (applause) -- I don't know when it was that somehow working for government -- whether the state or local or federal level -- somehow became not a real job. When you listen to some of the Republican rhetoric sometimes you think, well, this is really important work that we depend on.

We've got floods right here right now.  The federal government is coming in and it's going to be working with local communities that are overwhelmed to try to make sure that people get help rebuilding.  Those are federal workers.  If they weren’t around after a tornado or a hurricane, communities would be in a world of hurt.

When you check the weather, even on your smartphone, that information didn’t just come from some Silicon Valley office.  That came from the National Weather Service.  We put out the data developed by the federal government to our satellites that are paid for, and then it's commercialized.  And people use it to set up things like the Weather Channel and Weather.com and websites.

The folks who help our men and women in uniform make sure that they’ve got proper equipment, those are federal workers.  Fighting fires -- a lot of times those are federal workers in the Forest Service. 

So it frustrates me when I hear people acting as if somebody who’s working for the federal government somehow is less than somebody working on the private sector -- if they’re doing a good job and carrying on an important function, we should praise them. (Applause.)

The same is true, by the way, at the local level.  The same is true at the local level.  I don't know a job more important than teaching.  Those are all government workers.  In fact, one of the biggest problems we had in coming out of this recession, in addition to it being the worst recession since the Great Depression, was that states and local governments were cutting back on their hiring at an unprecedented rate.  We still haven't seen state and local government hiring get back to where it was back in 2007-2008.  If we had, if we hadn’t lost so many teachers and teachers’ aides in a lot of communities, the unemployment rate would be much lower and the economy would be much stronger.
 
So I say all this just to make a general point, which is, historically, it's been the private sector that drove the economy, but it was also a whole bunch of really great work done by agricultural extension workers and engineers at NASA and researchers at our labs that helped to create the platform and the wealth that we enjoy.  And so this whole idea that somehow government is the enemy or the problem is just not true.

Now, are there programs that the government does that are a waste of money or aren’t working as well as they should be?  Of course.  But I tell you, if you work in any company in America, big company, you’ll find some things that they’re doing that aren’t all that efficient either.  Are there some federal workers who do bone-headed things?  Absolutely.  I remember the first week I was on the job I talked to my Defense Secretary, Bob Gates, who’s older and had been there a long time.  I said, do you have advice for me, Bob?  He says, one thing you should know, Mr. President, is that at any given moment, on any given day, somebody in the federal government is screwing up.  (Laughter.)  Which is true, because there are 2 million employees.  Somebody out there -- if 99 percent of the folks are doing the right thing and only 1 percent aren’t, that’s still a lot of people.
 
So my job as President, working with Congress, is to make sure taxpayer dollars are spent wisely and efficiently.  We shouldn’t be wasting a dime.  And where we see waste, where we see things not working the way they should -- like recently, these long waits for folks trying to get in the VA health care program -- we’ve got to crack down and we’ve got to reform it.  But we can’t paint in a broad brush and just say somehow stuff is not working -- because even in the VA health care system, once people get in, the quality of care, the satisfaction rates for customers are actually better than in private sector health care. (Applause.)  So we can’t generalize like this.
 
Now, the last point I’ll make -- going to your question -- federal workers generally have not gotten raises.  And you remember during the government shutdown, they were getting pressed having to pay bills like everybody else, but not having a paycheck coming in.  It’s very disruptive for them.  And what’s called sequestration and furloughs meant that they might only be able to come to work three days a week instead of the full five. And this all put a strain on their budgets.
 
We’ve been able to stabilize it, but when we go into the budget talks with Republicans next year, we may go through some of the same problems, in part because the other side has said they want to cut funding for education; they’ve said that they want to cut support for vulnerable families; they want to cut Medicaid, which would have an impact on the elderly and families that have folks with disabilities.  And I’ve said no.
 
I’ve said why would I -- by the way, the deficit has come down by more than half since I came into office.  (Applause.)  It hasn’t gone up.  Federal spending has not gone up.  The deficit has gone down.  And if we want to do more to reduce the deficit further, why am I going to take it out on the most vulnerable in our society and programs we need to grow when we’ve got a tax system where you’ve got corporations taking advantage of loopholes -- in some cases, they’re paying no taxes, when a teacher or a secretary are paying taxes themselves?  Why wouldn’t I close those loopholes first to generate additional revenues before I started cutting education spending or spending on basic research?  (Applause.)

It will be a tough negotiation just because everything is a tough negotiation in Washington right now -- which I guess brings me just to my last point.  I don’t watch TV news generally, or cable shows, but I suspect if you’re out here and going to work, and picking up your kids and taking them to soccer, or at night sitting there paying the bills, and you just turn on the TV, sometimes it must feel kind of discouraging because it doesn’t feel like what’s being talked about in Washington has anything to do with what’s going on in your lives day to day.  And it must feel as if sometimes you’re just forgotten.
 
And sometimes the news that’s being reported on is really important.  I mean, what’s happening in Iraq is relevant.  We’ve got to pay attention to the threats that are emanating from the chaos in the Middle East.  Although I want to be very clear we’re not sending combat troops into Iraq, because that’s -- (applause) -- we’ve done that and we’ve given them an opportunity.  And they’re going to have to contribute to solving their own problems here, although we’ll protect our people and we’ll make sure that we’re going after terrorists who could do us harm.

But sometimes the news that’s coming off is just -- these are just Washington fights.  They’re fabricated issues.  They’re phony scandals that are generated.  It’s all geared towards the next election or ginning up a base.  It’s not on the level.  And that must feel frustrating, and it makes people cynical and it makes people turned off from the idea that anything can get done. 
And if I’ve got one message today, it’s the same message that I gave to that young mom that I mentioned who I had lunch with before I came here, who wrote me a letter just talking about how she had done everything right, her and her husband, and she’s working hard and raising two beautiful kids and she has a great life, but it’s a struggle and wondering if anybody in Washington knows it.  What I told her is the same thing I want to tell all of you, which is:  I know it.  You’re the reason I ran for office.  You’re -- (applause) -- no, no, I’m not looking for applause.  I want to make this point.  I grew up not in tough circumstances, but I was you guys.  Somebody out here is going through what my mom went through.  Somebody out here is growing through what my grandma went through.  Somebody out here is going through what Michelle and I went through when we were first married and our kids were first born.  It’s not like I forget.

That was just 20 years ago that we were trying to figure out how to buy our first home.  This is 10 years ago when we finished off paying our student loans.
 
You guys are the reason I ran.  You’re who I’m thinking about every single day.  And just because it’s not reported in the news, I don’t want you to think that I’m not fighting for you.  And I’m not always going to get it done as fast as I want, because right now we’ve got a Congress that’s dysfunctional.  And I’ll be honest with you -- you’ve got a party on the other side whose only rationale -- motivation seems to be opposing me.
 
But despite all that, we’re making progress.  Despite all that, some folks have health care that didn’t have it before.  (Applause.)  Despite all that, some students are able to afford their education better.  Despite all that, some folks have jobs that didn’t have it.  Despite all that, the Green Line got built here in Minnesota.  (Applause.)  Despite all that, we can make life a little better for American families who are doing their best, working hard, meeting their responsibilities.
 
And I don’t want you to ever forget that.  And I don’t want you to be cynical.  Cynicism is popular these days, but hope is better.
 
Thanks, everybody.  (Applause.)  Thank you.

END
3:36 P.M. CDT