Working closely with President-elect Barack Obama, House of Representatives Democrats on Thursday called for $825 billion in federal spending and tax cuts to revive the shrinking economy, with strong emphasis on energy, education, health care, and jobs-producing highway construction. The legislation contains spending of about $550 billion and tax cuts costing $275 billion over the next two years. The two totals are likely to rise as the legislation moves through Congress. “Immediate job creation and continuing job creation” are the legislation's two goals, House of Representatives Speaker Nancy Pelosi (Democrat from California) told a Washington news conference. Unemployment has risen sharply in recent months, and Obama has warned it could surpass 10 percent unless urgent action is taken to revive the economy. At $825 billion, the legislation would be one of the biggest bills ever to move through Congress, and by traditional standards, lawmakers were moving with unusual speed. Pelosi and Senate Majority Leader Harry Reid (Democrat from Nevada) have said it would be ready for Obama's signature by mid-February.
