FACTSHEET: Making Student Loans More Affordable

President Obama declared 2014 a year of action – vowing to use the power of his pen and phone to help ensure that hardworking Americans have the opportunity to succeed. And this week will be no different. With a focus on supporting hardworking Americans and upholding our country’s commitment to provide a quality education for all of our students, the President is again taking action. Today, he will deliver remarks at the White House, announcing new executive actions to further lift the burden of crushing student loan debt, including a Presidential Memorandum that will allow an additional 5 million borrowers with federal student loans to cap their monthly payments at just 10 percent of their income. A fact sheet detailing these new steps is below.

Tomorrow the President will do a live Q and A with Tumblr, answering questions directly from consumers across the country about this crucial issue. At both of those events, and throughout this week ahead of their upcoming vote, the President will use every opportunity to urge Congress to do their part by passing Senate Democrats’ bill to help more young people save money by refinancing their federal student loans.

From reforming the student loan system and increasing Pell Grants to offering millions of students the opportunity to cap their monthly student loan payments at 10 percent of their income, making a degree more affordable and accessible has been a longtime priority for the President. But he knows there is much more work to do and that’s what this week is all about.

FACTSHEET: Making Student Loans More Affordable

A postsecondary education is the single most important investment that Americans can make in their futures. Higher education results in higher earnings and a lower risk of unemployment, but for too many low- and middle-income families this essential rung on the ladder to opportunity and advancement is slipping out of reach.  Over the past three decades, the average tuition at a public four-year college has more than tripled, while a typical family's income has barely budged.  More students than ever are relying on loans to pay for college.  Today, 71 percent of those earning a bachelor’s degree graduate with debt, which averages $29,400.  While most students are able to repay their loans, many feel burdened by debt, especially as they seek to start a family, buy a home, launch a business, or save for retirement.

The President and his Administration have a long track record of taking steps to make college more affordable and accessible for families. And as part of his year of action to expand opportunity for all Americans, the President is committed to building on these efforts by using his pen and his phone to make student debt more affordable and more manageable to repay.  

Today the President will use the power of his pen to help millions of borrowers afford their student loan payments. He will sign a new Presidential Memorandum directing the Secretary of Education to propose regulations that would allow nearly 5 million additional federal direct student loan borrowers the opportunity to cap their student loan payments at 10 percent of their income.  The Presidential Memorandum also outlines a series of new executive actions aimed to support federal student loan borrowers, especially for vulnerable borrowers who may be at greater risk of defaulting on their loans.

Today the President will also reiterate his call for the Senate to pass legislation that could help an estimated 25 million Americans refinance outstanding student loans at lower interest rates, the same as those available to federal student loan borrowers taking out loans this year.  This move could save a typical student $2,000 over the life of his or her loans. 

The Challenge of Student Debt:  The challenges of managing student loan debt can lead some borrowers to fall behind on their loan payments and in some cases even default on their debt obligation, with such consequences as a damaged credit rating, losing their tax refund, or garnished wages. Because credit ratings are increasingly scrutinized in making employment offers, financing a home, or even opening a bank account, a damaged credit rating can further reduce borrowers’ ability to repay their loans.   Today’s actions build on the Administration’s significant progress in creating flexible repayment options for borrowers and raising awareness about the steps borrowers can take to responsibly manage their debt. 

Capping Student Loan Payments at 10 Percent of Income: Today, the President will direct the Secretary of Education to ensure that student loans remain affordable for all who borrowed federal direct loans as students by allowing them cap their payments at 10 percent of their monthly incomes.  The Department will begin the process to amend its regulations this fall with a goal of making the new plan available to borrowers by December 2015.

With legislation passed by Congress and signed by the President in 2010 and regulations adopted by the Administration in 2012, most students taking out loans today can already cap their loan payments at 10 percent of their incomes.  Monthly payments will be set on a sliding scale based upon income.  Any remaining balance is forgiven after 20 years of payments, or 10 years for those in public service jobs. However, this Pay As You Earn (PAYE) option is not available to students with older loans (those who borrowed before October 2007 or who have not borrowed since October 2011), although they can access similar, less generous options.  No existing repayment options will be affected, and the new repayment proposal will also aim to include new features to target the plan to struggling borrowers.

This executive action is expected to help up to 5 million borrowers who may be struggling with student loans today.  For students that need to borrow to finance college, PAYE provides an important assurance that student loan debt will remain manageable.  Because the PAYE plan is based in part on a borrower’s income after leaving school, it shares with students the risk of taking on debt to invest in higher education.

Many student loan borrowers are working and trying to responsibly make their monthly payments, but are nonetheless struggling with burdensome debt.  For example, a 2009 graduate earning about $39,000 a year as a fourth year teacher, with student loan debt of $26,500, would have his or her initial monthly payments reduced by $126 under the President’s Pay As You Earn plan compared with monthly payments under the standard repayment plan and would see a reduction in annual loan payments of over $1,500.

Doing All We Can to Help Students Repay their Loans: The President today will also direct the Secretaries of Education and the Treasury to work together to do all they can to help borrowers manage their student loan debts. Specifically, the Departments will:

1. Strengthen Incentives for Loan Contractors to Serve Students Well: The Department of Education administers the federal student loan program through performance-based contracts with private companies awarded through a competitive process.  Rather than specifying every step of the servicing process, as was done in the guaranteed loan program that ended in 2010, these contracts provide companies with incentives to find new and innovative ways to best serve students and taxpayers and to ensure that borrowers are repaying their loans.  Today, the Department announced that it will renegotiate its contracts with federal loan servicers to strengthen financial incentives to help borrowers repay their loans on time, lower payments for servicers when loans enter delinquency or default, and increase the value of borrowers’ customer satisfaction when allocating new loan volume.  These changes will improve the way that servicers are compensated to better ensure high-quality servicing for student loan borrowers.   
2.  Ensure Active-Duty Military Get the Relief They Are Entitled to: The Servicemember Civil Relief Act requires all lenders to cap interest rates on student loans – including federal student loans -- at 6 percent for eligible servicemembers.  The Department of Education already directs its loan servicers to match their student borrower portfolios against the Department of Defense’s database to identify eligible active-duty servicemembers.  Now, the Department of Education will reduce those interest rates automatically for those eligible without the need for additional paperwork. It will also provide additional guidance to Federal Family Education Loan program servicers to provide for a similar streamlined process.  
3. Work with the Private Sector to Promote Awareness of Repayment Options: The Secretary of the Treasury and the Secretary of Education will work with Intuit, Inc. and H&R Block, two of the U.S.’s largest tax preparation firms, to communicate information about federal student loan repayment options with millions of borrowers during the tax filing process — a time when people are thinking about their finances. The Administration is continuing its partnership with Intuit. through its TurboTax product, which serves around 28 million tax filers.  The Administration will also form a new partnership with H&R Block, serving approximately 15 million tax filers through its 11,000 retail locations, and an additional 7 million tax filers through its digital tax products. Partnerships like these will give us the opportunity to provide information about federal student loan repayment, building upon our work during the most recent tax season by exploring different messages and the timing of information to best help borrowers in evaluating their federal loan repayment options.
4. In addition, the Administration will work with Intuit to explore ways to communicate with federal student loan borrowers through Intuit’s free personal financial management product, Mint.com. Mint is used by 15 million people for financial management and advice, and partnering with Mint provides the opportunity to communicate with their 15 million users about income-driven repayment options. Mint includes the capability to provide personalized information about federal loan repayment options, based upon the information that a user has already provided to Mint.
5. Use Innovative Communication Strategies to Help Vulnerable Borrowers: Too many borrowers are still unaware of the flexible repayment options currently available to them, especially when they run into difficulties in managing their payments.  The Department of Education is redoubling its efforts to identify borrowers who may be struggling to repay and provide them with timely information about their options supporting them through the repayment process and helping them avoid or get out of default.  Last year, the Department’s efforts led to more than 124,000 borrowers enrolling in an income-driven repayment plan like Income-Based Repayment or the Pay As You Earn plan Moving forward, the Department of Education will test new ways to reach 2.5 million borrowers with the greatest risk of encountering payment difficulty, such as borrowers who have left college without completing their education, missed their first loan payment, and those who have defaulted on low balances loans to get them back on track with their loan payments.  The Department will also evaluate these strategies to identify which can be used on a larger scale and which are the most effective.
6. Promote Stronger Collaborations to Improve Information for Students and Families: All student borrowers are required to receive loan counseling when they first borrow federal student loans and when they leave school, but little is known about the effectiveness of these programs.  Working with student debt researchers and student advocates, the Department of Education and the Department of Treasury will also develop and launch a pilot project to test the effectiveness of loan counseling resources, including the Department of Education’s Financial Awareness Counseling Tool.  The lessons learned will be considered for future actions by the Department and shared with outside partners like the National Association of Student Financial Aid Administrators to improve loan counseling activities at colleges and universities throughout the country.  Another way to reach student borrowers is by working with professional associations to provide customized information about repayment options.  Today, the Administration is announcing its commitment to work with the American Federation of Teachers, National Education Association, American Association of Colleges of Nursing, American Association of Nurse Practitioners, American Nurses Association, American Association of Physician Assistants, Business Forward, City Year, National Association of Social Workers, Physician Assistants Education Association, SEIU and the YMCA of the USA to provide comprehensive information about repayment options and federal student aid resources that are available to them. Moving forward, the Administration will continue to engage organizations, institutions of higher education, and others to ensure that all borrowers have access to the resources and information they need to responsibly manage the repayment of their student loans.

Additional Actions to Reduce Indebtedness and Promote College Affordability: Helping Students and Families Access Education Tax Benefits. In addition to helping borrowers manage their student loan debt, the Department of Education and the Department of Treasury will also work together to educate students, families, financial aid administrators, and tax preparers to ensure that all students and families understand what education tax benefits they are eligible for and receive the benefits for which they qualify.  In 2009, the President created the American Opportunity Tax Credit (AOTC), which provides up to $2,500 to help pay for each year of college. But the process of claiming education tax credits like the AOTC can be complex for many students, including for the 9 million students who receive Pell Grants, and hundreds of millions of dollars of education credits go unclaimed each year.  To help address this complexity, the Department of Treasury will release a fact sheet clarifying how Pell Grant recipients may claim the AOTC. 

FACT SHEET: U.S. Assistance to Moldova

Moldova has worked hard to build democratic institutions and a prosperous economy, as well as to ensure its sovereignty and security. The United States has provided assistance to Moldova in these efforts. As Moldova prepares to sign an Association Agreement and Deep and Comprehensive Free Trade Agreement with the European Union on June 27, 2014, the United States has targeted programs to help Moldova advance its European aspirations.

Vice President Joe Biden announced during his meeting with Moldovan President Nicolae Timofti on June 7 an additional $8 million in assistance to Moldova, pending consultations with the U.S. Congress. This assistance will support Moldova's European choice and mitigate vulnerabilities to external pressure.

This package will build upon $2.7 million in U.S. assistance announced on March 3, which is helping Moldovan businesses to increase productivity and competiveness, and ensuring that they are better positioned to take advantage of European markets, as Moldova and the EU develop closer economic ties. When added to funds previously budgeted, the United States is providing approximately $31 million in assistance to Moldova this year.

Since 1992, the United States has provided approximately $1.2 billion in assistance to Moldova, including a five-year, $262 million Millennium Challenge Corporation (MCC) Compact launched in 2010.

U.S. assistance to Moldova:

• Improves governance, increases transparency and accountability, strengthens the rule of law, combats corruption, facilitates informed citizen participation, strengthens independent media and supports the implementation of anti-discrimination legislation;
• Promotes economic growth by reducing barriers to trade, improves the business environment, and increases productivity and competitiveness;
• Supports municipalities with energy efficiency plans; and supports Moldova as a member of the Energy Community;
• Enhances civic and economic ties between citizens in Transnistria and the rest of Moldova, underscoring the U.S. commitment to peaceful reintegration;
• Builds the capacity of Moldovan law enforcement;
• Supports Moldova's capacity to effectively participate in international peacekeeping operations and promotes the professionalization of Moldova's armed forces; and
• Encourages reforms necessary for European integration.

Vice President Biden Travels to Ukraine

The Vice President has departed for Kyiv, Ukraine, for the inauguration of President-elect Petro Poroshenko. While in Kyiv, the Vice President will attend the inauguration ceremonies together with the other members of the President’s delegation: Senators John McCain, Ron Johnson, and Chris Murphy; Representative Marcy Kaptur; Assistant Secretary of State Victoria Nuland; and Ambassadors Dan Baer and Geoff Pyatt. The Vice President will have separate meetings with President-elect Poroshenko and Prime Minister Arseniy Yatsenyuk to discuss the Ukrainian government’s agenda for democratic reform, economic development, and de-escalation of the crisis in the eastern part of the country. He will also meet with Moldovan President Nicolae Timofti to discuss developments in the region.

Please note all times are approximate and are subject to change.

Saturday, June 7 – Kyiv, Ukraine

At 9:00 AM LOCAL TIME/2:00 AM ET, the Vice President will arrive in Kyiv at Boryspil International Airport. The Vice President’s arrival is open press.

At 10:00 AM LOCAL TIME/3:00 AM ET, the Vice President will attend the inauguration of President-elect Petro Poroshenko at the Rada.

In the afternoon, the Vice President will travel to St. Sophia of Kyiv National Preserve to attend a reception in honor of President-elect Poroshenko. The Vice President’s arrival at 12:30 PM LOCAL TIME/5:30 AM ET is open press. The reception is closed press.

At 2:15 PM LOCAL TIME/7:15 AM ET, the Vice President will hold a bilateral meet with President Nicolae Timofti of the Republic of Moldova at the Hyatt Regency Hotel. There will be a pool spray at the top of this meeting.

Afterwards, the Vice President will hold a restricted meeting with Prime Minister Arseniy Yatsenyuk at the Cabinet of Ministers Club. This meeting is closed press. At 3:30 PM LOCAL TIME /8:30 AM ET, an expanded meeting will follow with the Vice President and Prime Minister Yatsenyuk. There will be a pool spray at the top of this meeting.

At 4:15 PM LOCAL TIME/9:15 AM ET, the Vice President will hold a bilateral meeting with President-elect Poroshenko at the Presidential Administrative Building. There will be a pool spray at the top of this meeting.

Afterwards, the Vice President will depart Kyiv, Ukraine, en route Wilmington, Delaware, where he will remain through the weekend.

Commencement Address By Vice President Joe Biden

The University of Delaware
Newark, Delaware

9:16 A.M. EDT

THE VICE PRESIDENT:  Hello, Delaware!  (Applause.)  It’s good to be home.  It’s good to be home.  Thank you, thank you, thank you.  It really is good to be home.

Dr. Grasso, thank you for that kind introduction -- and, Mr. President, Chairman of the Board and members of the board, distinguished faculty, alumni, elected officials that are here.

Moms, dads, grandparents, brothers, sisters, husbands, wives -- you all look happier today than the graduates do.  (Laughter.)  And I want you to know there’s a good reason for that, graduates.  All your parents get a pay raise today.  (Laughter.)  No tuition.  (Laughter and applause.)  Congratulations.

Class of 2014, we keep saying we stand to recognize you.  But I think it’s about time you all get out of your chairs and thank your parents.  (Applause.) 

And I want to say congratulations to all the veterans who are graduating today and all those who are going to be commissioned in the United States military.  (Applause.)  Will you join -- would all of you, please stand?  All those veterans and all those joining, please stand.  (Applause.)  You’re about the join the finest group of warriors the world has ever seen.  And that is not hyperbole.  That's a fact.

So, ladies and gentlemen, as I said, it’s a delight to be here to congratulate the Class of 2014.  I’m so proud of you.  We’re all so proud of you.  And as I said, it’s great to be home, back at my alma mater.  My sister received her degree from here.  My wife, Jill, received her undergraduate and doctorate degree from here.  And an awful lot of Bidens and an awful lot of my wife’s family also went to the university.

But the reason I’m so excited to be here, particularly standing exactly where I am, Coach Raymond, where are you?  Coach, stand up.  Will you please?  (Applause.)  Now, Coach Raymond -- I came to Delaware to play football.  I didn't do much of it.  (Laughter.)  But I came to play.

Coach, I want you to observe -- he was my backfield coach.  I want you to know I finally made it into the end zone.  (Laughter and applause.)  That's the reason I’m most happy to be here.  (Laughter.)

Coach once said to me in spring practice.  I was a defensive halfback, and we had these drills.  And those of you who played or watched defensive halfbacks, we run backwards as much as we run forwards.  And we had these drills racing back and forth.  And it was all over.  And Tubby in his totally understated way gave a little -- got us all the backs together, and went, well, Biden, you run faster backwards than anybody I’ve ever seen.  (Laughter.)  A lot of my political opposition thinks that as well.  (Laughter.) 

Look, over the last four years, the Blue Hen athletic department has built on a great tradition, breaking records, playing for championships, and bringing pride to this great university.  From football to men’s and women’s basketball, you’ve done an incredible job.  You represent our alma mater well, my alma mater well.

And now, I have been around long enough to know that -- and gained enough wisdom that I’m not going to offer you any advice.  I just want to make one basic point to you today.  No graduating class gets to choose the world into which they graduate.

Every class enters the history of the nation up to that point has been written by others.  But very few classes, once every couple generations, a class enters a point in our history where they actually have a chance to change the trajectory of the country -- an inflection point where change is taking place regardless of what you do.  But because it’s in motion, you have a chance to get your hands around it, a chance to alter the trajectory, a chance -- just a chance -- to bend history a little bit.

That’s the moment into which you are graduating, and that’s the moment into which I graduated in the ‘60s.  Like many of you here today, some of the most transformative events of my life took place on this campus.  Between the time I entered the University of Delaware and graduated, the world had changed significantly:  The nuclear arms race was in full swing with the Soviet Union; the Civil Rights Movement that got me engaged in public life to being with had turned even more violent; the war in Vietnam was beginning -- by the time I graduated and got to law school, it had divided America like nothing since the Civil War; and even more damaging, it created a generational gulf that has not been seen before or since.

On November 22, 1963, on a brilliant sunny day, I stood on the steps of Hullihen Hall and learned that John F. Kennedy had just been assassinated.  In the spring in which I graduated from law school, the only two heroes I ever had in public life, Dr. King and Robert Kennedy, were murdered.  The Vietnam War was still in raging.  And my hometown of Wilmington, Delaware was in flames and the National Guard stationed on every corner.

But like you, while I was here at this great university, I had the good fortune to have professors who helped me put this chaos that surrounded us in perspective.  Dr. Dolan, Dr. Igersoll, Dr. Munroe, Dr. Bennett, Dr. Bolinski and so many others -- they not only taught me, they advised me.  They challenged me.  They helped me understand the change that was happening.  But most importantly they argued that it was within our power to fix America -— because of the incredible foundation upon which this nation was built.

They reinforced what my parents taught me that while America’s -— what Americans value most is equity, fairness and justice.  And it will -- it will -- prevail.  They also reminded me that intolerance for the abuse of power and the arrogance that flows from it is stamped into the DNA of Americans; and that the related values of personal integrity, respect for individual autonomy, family, community, and a country formed a sense of purpose for most of us.

They gave me confidence in myself and confidence in the resiliency of the United States of America.  And only several years after I walked off this campus, they once again stood with me as I announced my candidacy for the United States Senate as a 29-year-old kid determined to be part of the change; determined to end the war in Vietnam; determined to make permanent the Voting Rights Act; determined to bring nuclear escalation into nuclear reduction; and determined to demand that my sister, who did better than I did here -- (laughter) -- my sister and all the women of her generation would have every single opportunity I had.  (Applause.)

And our generation did that or started that.  And now it’s your chance -— you’re graduating into a world that is changing just as profoundly -- different dangers, but also incredible possibilities.  And you have significantly more tools.

The dangers are abundant:  fear of international terrorism and stateless actors possibly possessing weapons of mass destruction; pandemic disease; climate change; global inequity; rising powers and failing states.

But each of these challenges, each of these alternations that are taking place also present great opportunity.  The poet William Butler Yeats wrote about his Ireland in 1916, the First Rising.  It was called, Easter Sunday 1916.  And there was a line in that poem that I think better characterizes the world into which you are graduating than even it did his Ireland in 1916.  He said, “All’s changed, changed utterly.  A terrible beauty has been born.”  All has changed utterly since you stepped into your first class in high school through today.

Today, stateless actors not only create a threat, but an opportunity.  They're bringing together civilized nations in a common cause to wipe them out.  The effects of climate change are real and must be acted on, they're generating phenomenal breakthroughs and rapid growth in renewable energy -- electric vehicles that will travel 300 miles, filling up with electrons cheaper than gas; solar energy and natural gas -- solar energy as cheap as natural gas and coal.

The fear of pandemic disease is real, but it’s also propelled an entire generation of scientists and doctors to find the tools not only to prevent disease, but to cure diseases that once were viewed as impossible to cure.

Within the next 15 years, as Chairman Coleman can tell you, the majority of hunger in the world will be vanquished as a consequence of crops that don’t need as much soil, water or fertilizer, or any pesticides in which to thrive. 

Consider the progress we’ve made just since you’ve been here in civil rights:  the right to marry the person you love.  (Applause.)  The right of a woman to make her own health care decisions.  (Applause.)  The right of millions of people living in the shadows to earn a pathway to citizenship.  (Applause.)

We’re in the midst of incredible technological breakthroughs as frighteningly laid out by your president.  (Laughter.)  Just consider how much has changed just since you got to this point:  3D printers restoring tissue after traumatic injury, restoring skin damaged by fire to unblemished skin; hospitals testing the printing of organs for organ transplants.  We’re on the verge of regenerating organs and limbs that have been damaged and lost, saving tens of thousands of life and restoring wounded soldiers to their full capacities; speech recognition on your iPhone that has gone mainstream; software that translates in real-time conversations into multiple languages.

Let me tell you what we’re on the cusp of:  engineering white blood cells to attack cancer tumors -— allowing cancer patients to live with chronic disease without depending on difficult and painful chemotherapy, as well as radiation; sequencing the entire human genome within an hour, delivering rapid personalized medicine.

Investments in the public and private sector in innovation are astounding:  supercomputers performing 100 times faster than the fastest computer on Earth today -— transforming, revolutionizing science, medicine, and applied technology; strong, lightweight materials that are used by NASA that are now cheap enough to be used in automobiles, trucks, wind turbines.

Before you are in your mid 30s, you’ll be getting in an automobile if you live in suburbia programming it, driving to work while reading all you need to do to prepare for that day, and there will be 80 percent fewer accidents while you’re on that commute, vastly improving productivity.

Now, I could go on, but some of you will say maybe I’m a little too optimistic.  I’m always referred to as the White House Optimist, like I’m the new guy on the team.  I’ve been around unfortunately longer than all of them.  (Laughter.)

The reason I’m optimistic is I know the history of the journey of this country, and it is always, always, always forward.  Always better.  (Applause.)

And you, you are citizens of a nation that is better positioned than any country in the world to lead the 21st century, economically, politically and socially.  We’ve ended one war in Iraq, and we’re about to end the second war in Afghanistan, thank God.  (Applause.)  And our security is guaranteed by the most powerful military in the history of the world.  But we’re becoming known just not for the power -- the example of our power, but for the power of our example.  That's why today we’re the most respected nation in the world according to the Pew Foundation in every area of the world.

Our economy that you’re graduating into is two and half times bigger than the next biggest economy in the world.  Our workers are three times as productive as Chinese workers.  Our energy is cheaper and more plentiful than in Asia and Europe.  And by 2020, North America will be the epicenter of energy for the world.

We have the world’s best research universities, the best legal system.  It’s fair, open, and dependable.  We have the most agile venture capital system in the world, and we lead the world in innovation and technology.  And we have you.   You are the best educated, most engaged class that has ever graduated from this university.  (Applause.)

You are better prepared to handle the complexities of a global economy -— fully one third of you studied abroad, preparing you for an ever more interconnected world.  More than half of this graduating class -- more than half -- are women, a powerful statement -- (applause) -- a powerful statement to the rest of the world where the rights of women are denied, ignored and trampled on.  And we see it every day from Nigeria to Pakistan.

I have traveled almost 920,000 miles just since being Vice President.  I have known virtually every major leader in the world for the bulk of my career.  And the one -- the one -- thing they wonder aloud about the most, and the one thing the women in their country desire the most is why can't they be more like women in America.  And that's a fact.  (Applause.)

All of you represent what makes this country exceptional.  But there is one thing that I ask you to take on faith:  Neither optimism nor pessimism enables you to predict your future.  But I am absolutely confident that only confidence and an optimistic attitude will enable you to take a hand in shaping your future.  Because whenever the American people have been given a chance, they have never, ever, ever let their country down.  And ultimately, they’ve always answered to their better angels.

Let me close with a story.  I said I started as a young man on this campus seized with the Civil Rights Movement in the country.  I came back to Wilmington as a young lawyer, and not figuratively, literally, Wilmington was ablaze.  I went to work for a really fine law firm.  But after a few months I realized in the midst of the chaos and the city I loved occupied by the National Guard, I should do something else.  So I quit and became a public defender.  And part of my job as a public defender when there was chaos in the city was to go down to the Wilmington train station, where the National Guard bivouacked overlooking the Third Street Bridge in the east side of Wilmington to interview some of my clients who were in trouble.  And I wondered then whether things would ever, ever heal.

And it struck me that almost 40 years to the day that I stood on that platform as a young public defender, I was standing there again.  It was January 18, 2009.  I was standing with my family and thousands upon thousands of Delawareans waiting for a young black man who was leaving Philadelphia on an Amtrak train to pick me up to ride the 124 miles where we would both be sworn in as President and Vice President of the United States of America.  (Applause.)

So my hope and optimism is based on the trajectory of this country.  And you have the most incredible, incredible opportunity that you’re about to step into.  Folks, it’s never been a good bet to bet against America.  And never bet against your generation.

Class of 2014, the possibilities are unlimited, and so are America’s.  So please, don't listen to the cynics, don't let those who tell you our best days are behind us.  We’re just starting, and you’re going to change the world for us for the better.

God bless you all.  Class of ’14, go get ‘em.  (Applause.)

END
9:39 A.M. EDT