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Vice President Biden, Cabinet Highlight New Competitive Programs Based on Success of Race to the Top

New Report from Vice President Details Recovery Act Lessons Learned to Make Government More Transparent, Effective

WASHINGTON, DC– At today’s Recovery Act Cabinet Meeting, Vice President Joe Biden and Members of the Cabinet will discuss ways the Administration plans to build on the success of the Recovery Act’s Race to the Top program by applying the competitive-based model to new education, infrastructure and energy initiatives to spur innovation and reform.  The importance of competitive programs was one of the key findings of a new report the Vice President delivered to President Obama earlier today, “A New Way of Doing Business: How the Recovery Act Is Leading the Way To 21st Century Government.”  The full report can be viewed HERE.

The Department of Education’s Race to the Top program began under the Recovery Act and is a key element of the Administration’s effort to win the future by out-educating the rest of the world.  Using less than 1 percent of the nation’s education spending, this competition-based model has now generated more education reform in the last two years than the country has seen in a generation by encouraging political and education leaders in 46 states and the District of Columbia to build comprehensive education reform plans. 

The success of competition-based programs from the Recovery Act like Race to the Top is now being applied to new initiatives in not only education, but also clean energy and infrastructure.  At the meeting, Director of the Domestic Policy Council Melody Barnes will discuss the new  $1.4 billion investment in education competitions in the budget, including a new Early Learning Challenge Fund for states that are ready to take dramatic steps to improve the quality of their early childhood programs, a new round of Race to the Top grant funds that will encourage school districts to pursue similar reforms that are happening on the state level and a new “First in the World” competition to test, invest in and scale up effective approaches to improving college access.  Secretary of Transportation Ray LaHood will detail his agency’s new Transportation Leadership Awards program which will invest nearly $32 billion in competitive state infrastructure funds that reward projects that adopt critical reforms in safety, livability and demand management.  AndSecretary of Energy Steven Chu will discuss his agency’s new $200 million program, the Plug-In Challenge, which is modeled after Race to the Top and provides an incentive for communities to invest in electric vehicle infrastructure and purchases.

Secretary of Housing and Urban Development Shaun Donovanwill also speak at the meeting about the importance of inter-agency collaboration to cut through red tape and deliver for the American people—another key lesson learned through the Recovery Act.  He will detail how his agency worked directly with the Department of Energy to rapidly and efficiently weatherize low-income households by eliminating the need for separate income verifications for people whose incomes have already been verified by HUD.  For years DOE did one set of verifications while HUD did its own.  This simple collaboration has helped projects move faster, saved the government the costs of duplicative verifications and accounts for a growing share of the more than the 300,000 homes DOE has weatherized under the Recovery Act so far.

At the meeting, which is being held two years to the day since President Obama signed the Recovery Act into law, the Vice President will hand off day-to-day management of the Recovery Act to Office of Management and Budget Director Jacob Lew.  Since the Recovery Act began, Vice President Biden has convened 22 Recovery Act Cabinet Meetings, held 57 implementation calls with Governors and Mayors and traveled to more than 40 Recovery Act project sites.  Under the leadership of Director Lew, the Office of Management and Budget plans to continue the unprecedented accountability and transparency of the program first enforced by Vice President Biden.

 

THE RECOVERY ACT

By the Numbers

Since the Recovery Act was signed into law by President Obama two years ago today:

Recovery Act and the Economy

  • Recovery Act Jobs: According to the non-partisan Congressional Budget Office, the Recovery Act is responsible for as many as 3.6 million jobs nationwide and reducing the unemployment rate by as much as 2 percent.

 

  • Overall Job Growth: In the year leading up to the Recovery Act, the economy lost 5 million private sector jobs.  In 2010, the private sector gained over 1 million jobs.

 

  • GDP/Economic Growth: In the quarter before the Recovery Act was passed, our economy was shrinking by almost 7 percent.  Today, it has grown for six straight quarters at an average rate of 3 percent – in large part due to the Recovery Act.
    • In fact, the Congressional Budget Office says the Recovery Act alone is responsible for expanding our economy by as much as 4.5 percent.

 

Recovery Act Projects

 

  • Overall Projects: More than 75,000 Recovery Act projects have been started across the country.

 

  • Transportation ProjectsMore than 15,000 Recovery Act transportation projects have been started across the country. 

 

  • Military Base ProjectsMore than 4,000 Recovery Act DOD construction and improvement projects have been started at over 350 military facilities nationwide.  This includes:
    • Construction of two Warrior-in-Transition Complexes to assist in the recovery of wounded soldiers. 
    • Construction oftwo new military hospitals and major alterations to a third hospital. 
    • Construction or improvements to 25 child development centers at military sites around the country that will be able to provide care to more than 4,400 additional military children.
    • Over 70 military family housing improvement or construction projects
    • Over 150 maintenance projects at military medical facilities. 

 

  • Superfund Projects: Recovery Act resources supported 61 Superfund cleanup projects at 51 sites across the U.S.

 

  • National Parks Projects: Over 800 Recovery Act improvement projects have been started at 260 National Parks nationwide. 

 

  • Homes Weatherized: More than 300,000 families nationwide have had home improvements made to reduce their energy use and cut their utility bills thanks to the Recovery Act weatherization program and over 600,000 families will have benefited by spring 2012. 

 

  • Over 15,000 workers have been hired to make these home improvements which save homeowners an average of over $400 on their first-year heating and cooling bills.

 

  • Housing: The Department of Housing and Urban Development has rehabilitated over 409,000 homes, built 5,700 new homes, and completed over 38,000 new energy efficient homes or retrofits.

 

  • Bonds: The Build America Bonds program issued more than $181 billion in bonds, representingover 23 percent of the overall municipal bond market between April 2009 and December 2010.

 

  • Water and Waste Disposal: More than 850 water and waste disposal projects, benefiting more than 1.7 million people.

 

  • Federal Buildings: More than700 companies in construction and related fields have been put to work on green construction projects at Federal buildings nationwide.
    • Tens of thousands of solar panels are being installed on and around Federal buildings to cut utility costs and save taxpayer dollars.

 

Innovation and Technology

 

  • Electric Drive Vehicles: 70 private companies and researchersin over 30 states have received grants to help build the American advanced battery and electric vehicle manufacturing industry from the ground up.
    • Thirtynew advanced battery and electric vehicle component plants are opening across the country as a result of these investments.
    • All of the recipients of this seed money matched the government investment at least dollar for dollar.
    • Before the Recovery Act, a 100 mile range electric vehicle battery was $33,000.  Because of the high-volume manufacturing the Recovery Act is spurring, those batteries could cost about $16,000 by the end of 2013 and $10,000 by the end of 2015.
    • Before the Recovery Act, there were less than 500 electric vehicle charging stations in the U.S.  Because of the Recovery Act, there will be over 20,000 by 2012.

 

  • Renewable Energy: Because of the Recovery Act’s $90 billion investment in clean energy, the Administration is on-track to meetits target ofdoubling U.S. renewable energy generation capacity by 2012 and to dramatically increase domestic clean energy manufacturing.
    • Clean energy tax incentives were provided to more than 4,700 business nationwide to support clean energy projects and create jobs in 48 states and Puerto Rico, including more than 4,200 solar projects and250 wind projects.
    • Recovery Act loan programs are helping jump-start:
      • The world’s largest photovoltaic solar plant.
      • Two of the world’s largest solar thermal projects that will double the amount of solar thermal power in the U.S.
      • The world’s largest wind farm to date.
      • A biodiesel project that will nearly triple the amount of renewable diesel produced domestically.

 

  • Smart Energy Grid: Recovery Act seed money for smart grid projects in 46 states is helping build a more stable, secure nationwide electrical grid that facilitates access to renewable energy sources and allows consumers to better manage their energy bills.
    • Already, more than 3 million smart meters have been installed in homes and businesses nationwide to help consumers better manage and reduce their energy use and lower their utility bills– and 15 million meters will be installed overall as a result of the Recovery Act.

 

  • Carbon Capture: Recovery Act funding is supporting nearly 100 projects in 33 states to accelerate and meet the goal of having 5-10 commercial Carbon Capture and Storage demonstration projects online by 2016, and to train the next generation of scientists and engineers.

 

  • Health IT: Recovery Act seed money is helping make health information technology available to over 100,000 hospitals and primary care physicians by 2015 and grow an emerging industry expected to support tens of thousands of jobs.

 

  • Leverage: Recovery Act projects that leverage outside funding – many of which are innovation and technology-related – are drawing nearly $300 billion in outside capital off the sidelines, or an average of $3 of outside capital for every $1 of government investment.

 

  • Clean Cars: More than 17,000 cars and trucks in Federal service were replaced with more fuel-efficient models, including alternative-fuel and hybrid cars, saving nearly 17 million gallons of gas and $40 million in fuel costs.

 

Infrastructure

 

  • Broadband: Recovery Act seed money is being put to work on over 500 projects nationwide to bring broadband access to underserved communities – a critical step in local economic growth and development.
    • From USDA’s program alone, more than 7 million rural Americans and 360,000 rural businesses stand to benefit from investments in broadband.

 

  • Roads: Overall, the Recovery Act is improving more than 40,000 miles of roads across the country – the equivalent of 13 cross-country trips.

 

  • High Speed Rail: Recovery Act seed money is being put to work on projects in 31 states to help lay a foundation for a high-speed rail network here in the U.S. – including down-payments on 13 new, large-scale high speed rail corridors.

 

  • Levees: The Recovery Act is modernizingover 236 miles of aging flood control levees to meet FEMA standards. 

 

  • Water: The Recovery Act has made improvements to 346 drinking water systems across the nation to bring them in compliance with Safe Drinking Water Act standards. These systems serve over 23 million Americans. In addition, rural water projects will provide 400,000 individuals with new access to clean water by expanding or constructing 17 water treatment plans.

 

  • Brownfields: Recovery Act Brownfields cleanup investments have supported the assessment of nearly 500 properties, the commencement of 22 property cleanups and the revitalization of 50 properties to spur economic development. 

 

Relief for Hard-Hit Families and Businesses

 

  • Middle Class Tax Cut: More than 110 million – or 95 percent of – working families have been receiving a boost in their paychecks each week through the Making Work Pay Tax Credit.

 

  • Home Ownership: The First-time Homebuyer Tax Credit helped nearly 2.5 million Americans buy their first home.  The Recovery Act also made or guaranteed home loans for more than 90,000 rural families.

 

  • Unemployment Benefits: More than 24 million Americans have received unemployment benefits through the Recovery Act.

 

  • Nutritional Assistance:Provide food assistance formore than 43 million Americansduring tough economic times.

 

  • Higher Education AssistanceMore than 9 million Americans have taken advantage of the American Opportunity Tax Credit, the Recovery Act’s $2,500 tax credit for each year of higher education.

 

  • Small BusinessesOver 60,000 small businesses nationwide have received over $30 billion in loan assistance through the Recovery Act. More than 2,800 loans to farmers and rancherswere guaranteed through the Act.

 

  • Business Tax Cuts: Overall, business have received over $30 billion in tax relief through the Recovery Act to spur job creation and drive growth. 

The White House

Office of the Vice President

Readout of the Vice President's Meeting with Prime Minister Gruevski of Macedonia

The Vice President met today with Macedonian Prime Minister Nikola Gruevski to further the Administration’s efforts to promote peace, stability, and prosperity in Europe.  The two leaders discussed the political and economic relationship between the United States and Macedonia, and the Vice President noted the importance the United States attaches to rule of law, freedom of independent media, and good inter-ethnic relations in Macedonia.  The Vice President thanked the Prime Minister for Macedonia’s contributions to the International Security Assistance Force in Afghanistan, where it is one of the highest per capita troop contributors.  The Vice President expressed the hope that Macedonia and Greece resolve together the longstanding "name issue" so that Macedonia can move forward on seeking NATO membership and fulfilling its Euro-Atlantic aspirations.

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Office of the Vice President

Vice President Biden, Dr. Jill Biden to Travel to Finland, Russia and Moldova

Vice President Joe Biden and Dr. Jill Biden will travel to Finland, Russia, and Moldova during the week of March 7, 2011. In each country, the Vice President will meet with key leaders to discuss the full range of bilateral and regional issues.  In Helsinki, he looks forward to consulting with our Finnish partners on our shared regional and global priorities.  In Moscow, he will seek to build on the reset in U.S.-Russian relations, with a focus on ways to further the prosperity of our two countries.  In Chisinau, he will signal our support for ongoing democratic and economic reforms and for Moldova's aspirations for European integration.

Additional details about the Vice President and Dr. Biden's trip will be released at a later date.

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Office of the Vice President

Readout of Vice President Biden's Call to Iraqi Prime Minister Nouri al-Maliki

As part of his outreach to U.S. allies and partners, the Vice President spoke with Iraqi Prime Minister Nouri al-Maliki today to consult on developments in Egypt.  Both leaders welcomed the peaceful change in Egypt and commended the Egyptian army for respecting the wishes of the Egyptian people.  The Vice President also congratulated the Prime Minister on the recent approval by the Council of Representatives of several key ministers, including the Minister of Electricity.  The Vice President commended the Prime Minister for his role in consolidating Iraq's democratic progress, and encouraged the prompt completion of the final steps for government formation, including the appointment of security ministers and the establishment of the National Council for Higher Policies.

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Office of the Vice President

Readout of the President and Vice President’s Meeting with Prime Minister Pahor of Slovenia

The Vice President met today with Slovene Prime Minister Borut Pahor as part of the Administration’s frequent consultations with our European allies on our shared agenda to promote peace, stability, and prosperity in Europe and beyond.  The Vice President expressed his appreciation for the Prime Minister’s leadership in the region of Southeastern Europe, and the two leaders discussed ways in which the United States and Europe could work together to advance the integration of all of Slovenia’s neighbors into Euro-Atlantic structures; in that context, the Vice President noted the United States’ and Slovenia’s shared interest in and support for Croatia’s European Union candidacy.  They also discussed trade and investment opportunities, and the Vice President welcomed the Prime Minister’s efforts to improve the investment climate in Slovenia.

 

The Vice President took the opportunity to wish the Prime Minister and all Slovenians congratulations on the occasion of the 20th anniversary of the country’s independence later this year.

 

The President joined part of the meeting to acknowledge our strong bilateral relationship and to thank the Prime Minister for Slovenia’s strong support for the people of Afghanistan and its contributions to NATO’s International Security Assistance Force (ISAF).  The leaders also reviewed the current situation in Southeastern Europe.

The White House

Office of the Vice President

Readout of the Vice President's Call with Egyptian Vice President Omar Soliman

Vice President Biden spoke today to Egyptian Vice President Omar Soliman to reiterate the United States’ support for an orderly transition in Egypt that is prompt, meaningful, peaceful, and legitimate.  Vice President Biden urged that the transition produce immediate, irreversible progress that responds to the aspirations of the Egyptian people.
 
The Vice President reaffirmed that the future of Egypt will be determined by the Egyptian people. The Vice President took note of steps the government of Egypt has pledged to take in response to the opposition and urged the government to take immediate action to follow through on its commitments.  
 
Based on our nation’s fundamental belief in the importance of universal rights and representative governments, as well as on consultations with Egypt’s opposition and a broad cross section of civil society, Vice President Biden and Vice President Soliman discussed additional steps that the United States supports, including:

  • Restraining the Ministry of Interior’s conduct by immediately ending the arrests, harassment, beating, and detention of journalists, and political and civil society activists, and by allowing freedom of assembly and expression;
  • immediately rescinding the emergency law;
  • broadening participation in the national dialogue to include a wide range of opposition members; and
  • inviting the opposition as a partner in jointly developing a roadmap and timetable for transition.

These steps, and a clear policy of no reprisals, are what the broad opposition is calling for and what the government is saying it is prepared to accept.  Vice President Biden expressed the belief that the demands of the broad opposition can be met through meaningful negotiations with the government.

The White House

Office of the Vice President

Vice President Biden Announces Six Year Plan to Build National High-Speed Rail Network

Plan Lays Out Vision for Long Term Infrastructure Investments Needed to Win the Future

Philadelphia, PA - Vice President Joe Biden today announced a comprehensive plan that will help the nation reach President Obama’s goal of giving 80 percent of Americans access to high-speed rail within 25 years, as outlined in his State of the Union address. The proposal will place high-speed rail on equal footing with other surface transportation programs and revitalize America’s domestic rail manufacturing industry by dedicating $53 billion over six years to continue construction of a national high-speed and intercity passenger rail network.  As a part of President Obama’s commitment to winning the future by rebuilding America’s roadways, railways and runways, the plan will lay a new foundation for the nation’s economic opportunity, job creation, and competitiveness.
 
The Vice President made the announcement with Transportation Secretary Ray LaHood during a visit to Philadelphia’s historic 30th Street Station, where passengers traveling from Pittsburgh and Harrisburg on Amtrak’s Keystone Corridor connect to high-speed Acela service to Boston, New York City, and Washington, D.C.  Since track improvements raised speeds between Harrisburg and Philadelphia to 110 mph in 2006, the Keystone Corridor has seen rail ridership rise by 57 percent.  In fact, more passengers now travel from Harrisburg to Philadelphia – and from Philadelphia to New York City and Washington D.C. – by rail than by plane.
 
“As President Obama said in his State of the Union, there are key places where we cannot afford to sacrifice as a nation – one of which is infrastructure,” said Vice President Biden.  “As a long time Amtrak rider and advocate, I understand the need to invest in a modern rail system that will help connect communities, reduce congestion and create quality, skilled manufacturing jobs that cannot be outsourced. This plan will help us to do that, while also increasing access to convenient high speed rail for more Americans.”
 
As the first step in this comprehensive, six-year plan, the President’s Budget for the coming fiscal year would invest $8 billion in expanding Americans’ access to high-speed passenger rail service.  In order to achieve a truly national system, these investments will focus on developing or improving three types of interconnected corridors:
 

  • Core Express:  These corridors will form the backbone of the national high-speed rail system, with electrified trains traveling on dedicated tracks at speeds of 125-250 mph or higher.
  • Regional:  Crucial regional corridors with train speeds of 90-125 mph will see increases in trips and reductions in travel times, laying the foundation for future high-speed service.
  • Emerging:  Trains traveling at up to 90 mph will provide travelers in emerging rail corridors with access to the larger national high-speed and intercity passenger rail network.

This system will allow the Department – in partnership with states, freight rail, and private companies – to identify corridors for the construction of world-class high-speed rail, while raising speeds on existing rail lines and providing crucial planning and resources to communities who want to join the national high-speed rail network. With rail ridership reaching all-time highs in many areas of the country during 2010, these investments will ensure that more Americans have the option of taking a train to reach their destination.
 
"In America, we pride ourselves on dreaming big and building big," said Secretary of Transportation Ray LaHood.  "This historic investment in America’s high-speed rail network keeps us on track toward economic opportunity and competitiveness in the 21st century.  It’s an investment in tomorrow that will create manufacturing, construction, and operations jobs today.”
 
This long term commitment builds on the $10.5 billion down payment the Obama Administration already devoted to a national high-speed rail system – including $8 billion of Recovery Act funds and $2.5 billion from the 2010 budget.  These investments are already paying economic dividends in places like Brunswick, Maine, where construction workers are laying track that will provide the first rail service since the 1940s from Brunswick to Portland to Boston.  Private dollars are also gravitating toward Brunswick’s station neighborhood, as investors have financed a number of businesses and residential condos, a new movie theatre, a new 60 room hotel, and a 21st century health clinic.  Similar high-speed and intercity passenger rail projects across the country will create jobs not only in our manufacturing sector, but also in the small businesses that open near modernized train stations.  They will connect large metropolitan communities and economies through a safe, convenient, and reliable transportation alternative.  They will ease congestion on our roads and at our airports.  And they will reduce our reliance on oil as well as our carbon emissions.
 
By clarifying the long-term federal role in passenger rail, this six-year program will provide states and cities with the certainty they need to make long-term transportation plans for their communities.  It will provide businesses the confidence they need to hire American workers.  Strong Buy American requirements will create tens of thousands of middle-class jobs in construction, manufacturing, and rail operations.   And the proposal will open the door to new public-private partnerships, and attract significant private investment in developing and operating passenger rail corridors.
 
The proposal announced today by the Vice President also streamlines the Department of Transportation’s rail programs, making it simpler for states, cities, and private companies to apply for grants and loans.  For the first time, all high speed and intercity passenger rail programs will be consolidated into two new accounts:  a $4 billion account for network development, focused on building new infrastructure, stations, and equipment; and a $4 billion account for system preservation and renewal, which will maintain state of good repair on Amtrak and other publicly-owned assets, bring stations into Americans with Disabilities Act compliance, and provide temporary operating support to crucial state corridors while the full system is being built and developed.

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Office of the Vice President

Readout of the Vice President's Call with Egyptian Vice President Omar Soliman

The Vice President spoke by phone today with Egyptian Vice President Omar Soliman.  Vice President Biden asked about progress in beginning credible, inclusive negotiations for Egypt’s transition to a democratic government to address the aspirations of the Egyptian people.  He stressed the need for a concrete reform agenda, a clear timeline, and immediate steps that demonstrate to the public and the opposition that the Egyptian government is committed to reform.  Vice President Biden expressed concern about continued raids on civil society and called for the immediate release of journalists, activists, and human rights advocates who have been detained without cause.

The White House

Office of the Vice President

Readout of the Vice President's Call to Indian Prime Minister Singh

Vice President Biden spoke today with Indian Prime Minister Manmohan Singh to discuss regional and global issues of mutual concern.  The Vice President reaffirmed the U.S. commitment to building a global, strategic partnership with India.

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Office of the Vice President

Readout of the Vice President's Call with Egyptian Vice President Omar Soliman

The Vice President today spoke by phone with Egyptian Vice President Omar Soliman, reiterating President Obama’s condemnation of the recent violence in Egypt and calling for restraint by all sides. He also restated the President’s support for universal rights, including the right to peaceful assembly, association, and speech.  Vice President Biden urged that credible, inclusive negotiations begin immediately in order for Egypt to transition to a democratic government that addresses the aspirations of the Egyptian people.  He stressed that the Egyptian government is responsible for ensuring that peaceful demonstrations don’t lead to violence and intimidation and for allowing journalists and human rights advocates to conduct their important work, including immediately releasing those who have been detained.