The Price of Politics (57 page)

28
At a ceremony in the East Room:
Carol E. Lee, “Obama Signs Historic Health Care Bill,”
Politico
, March 23, 2010,
http://www.politico.com
.

29
On May 4, 2010, Obama addressed the Business Council:
Eamon Javers, “Obama Lays Out Defense of Record,”
Politico
, May 5, 2010,
http://www.politico.com
.

30
The Business Roundtable and the Business Council:
Ivan G. Seidenberg and James W. Owens, “Letter to Director Orszag on Policy Burdens Inhibiting Economic Growth,” http://businessroundtable.org/news-center/business-roundtable-letter-to-the-white-house-on-policy-burdens-inhibi/.

31
“Fat-cat bankers”:
Brian Montopoli, “Obama Versus the ‘Fat Cats,’ ”
60 Minutes
, CBS, December 13, 2009.

32
On December 8, 2010, Ivan Seidenberg released:
“Business Roundtable’s Roadmap for Growth,” December 8, 2010, http://businessroundtable.org/studies-and-reports/roadmap-for-growth/.

33
Seidenberg said publicly:
Mark Drajem, “Seidenberg Turns from Obama Critic to Advocate on Taxes, Trade,”
Bloomberg
, December 8, 2010,
http://www.bloomberg.com/news/2010-12-08/business-roundtable-urges-cuts-in-u-s-spending-revamped-taxes.html
.

34
Orszag delivered his final speech:
Peter Orszag, “Fiscal Accomplishments and Budget Update,” The Brookings Institution, July 28, 2010,
http://www.bloomberg.com/news/2010-12-08/business-roundtable-urges-cuts-in-u-s-spending-revamped-taxes.html
.

35
He took parts of the Obama memo:
Peter Orszag, “One Nation, Two Deficits,”
The New York Times
, September 6, 2010.

36
At his press briefing:
White House press briefing by press secretary Robert Gibbs, September 7, 2010,
http://www.whitehouse.gov
.

37
Orszag continued his star turn:
Peter Orszag, “Malpractice Methodology,”
The New York Times
, October 20, 2010.

CHAPTER SEVEN

The information in this chapter comes primarily from background interviews with six firsthand sources and contemporaneous notes by a participant.

38
On election night
,
November 2, 2010:
Steve Peoples, “Final House Race Decided; GOP Net Gain: 63 Seats,”
Roll Call
, December 8, 2010,
http://www.rollcall.com/news/-201279-1.html
.

39
“Simply unacceptable”:
Press release, “Pelosi Statement on Proposal Released by Co-Chairs of the Fiscal Commission,” Office of House Minority Leader Nancy Pelosi, November 10, 2010, http://pelosi.house.gov.

40
The Democrats got “shellacked”:
William Branigin, “Obama Reflections on ‘Shellacking’ in Midterm Elections,”
The Washington Post
, November 3, 2010.

41
Polls showed an approval rating of Congress:
Gallup poll, “Congressional Approval at 17% After Elections,” November 11, 2010,
http://www.gallup.com/poll/144419/congressional-approval-elections.aspx
.

42
“Thank you for the pay freeze”:
Peter Baker and Jackie Calmes, “Amid Deficit Fears, Obama Freezes Pay,”
The New York Times
, November 29, 2010.

43
Six weeks earlier he had published the book:
Eric Cantor, Paul Ryan and Kevin McCarthy,
Young Guns: A New Generation of Conservative Leaders
(New York: Threshold Editions, 2010).

44
“The Fiscal Commission has been a success”:
“Statement for the Record from Congressman Paul Ryan,” Member Statements for Final Commission Report, December 3, 2010, p. 27,
http://www.fiscalcommission.gov/sites/fiscalcommission.gov/files/documents/MemberStatements.pdf
.

45
“The commission’s majority report includes”:
Press release, “Statement by the President on the Work of the National Commission on Fiscal Responsibility and Reform,” December 3, 2010,
http://www.whitehouse.gov
.

46
In an interview on July 11, 2012:
On the record author interview with President Barack Obama, July 11, 2012.

47
In his State of the Union address:
Compilation of Presidential Documents, “Address Before a Joint Session of the Congress on the State of the Union,” January 25, 2011,
http://www.gpo.gov/fdsys/browse/collection.action?collectionCode=CPD
.

48
His proposed budget, released in February:
Jackie Calmes, “Obama’s Budget Focuses on Path to Rein in Deficit,”
The New York Times
, February 14, 2011.

CHAPTER EIGHT

The information in this chapter comes primarily from background interviews with six firsthand sources and contemporaneous notes by a participant.

49
On Thursday, December 2, Nancy Pelosi:
Brian Beutler, “House Dems Pass Only Middle Class Tax Cut Bill,”
Talking Points Memo
, December 2, 2010, http://tpmdc.talkingpointsmemo.com/2010/12/house-dems-pass-middle-income-only-tax-cut-bill.php.

50
“I’m trying to catch my breath”:
Jake Sherman, “Boehner: Dem Tax Bill ‘Chicken Crap,’ ”
Politico
, December 2, 2010,
http://www.politico.com
.

51
In an October 2010 interview:
Major Garrett, “Top GOP Priority: Make Obama a One-Term President,”
National Journal
, October 23, 2010.

52
When Obama entered the Roosevelt Room:
Compilation of Presidential Documents, “Remarks at Forsyth Technical Community College in Winston-Salem, North Carolina,” December 6, 2010,
http://www.gpo.gov/fdsys/browse/collection.action?collectionCode=CPD
.

53
He had personally engaged the tax issue:
Abby Phillip, “Schumer: Raise the Tax Cut Limit to $1 Million,”
Politico
, November 14, 2010,
http://www.politico.com
.

54
At 6:30 that night Obama announced:
Compilation of Presidential Documents, “Remarks on Tax Reform and the Extension of Unemployment Insurance Benefits,” December 6, 2010,
http://www.gpo.gov/fdsys/browse/collection.action?collectionCode=CPD
.

55
“There are things in here that I don’t like”:
Ibid.

56
Ohio Senator Sherrod Brown accused the president:
Press release, “Sen. Brown Outlines Efforts to Maintain Unemployment Insurance and Middle Class Tax Cuts,” Office of Senator Sherrod Brown, December 1, 2010,
http://www.brown.senate.gov
.

57
It was in this atmosphere that Obama appeared:
Compilation of Presidential Documents, “The President’s News Conference,” December 7, 2010,
http://www.gpo.gov/fdsys/browse/collection.action?collectionCode=CPD
.

58
Looking back on the negotiation, the president later told me:
On the record author interview with President Barack Obama, July 11, 2012.

59
On Wednesday, December 15, the Senate voted 81–19:
Lori Montgomery and Shailagh Murray, “Congress Votes to Extend Bush-Era Tax Cuts Until ’12,”
The Washington Post
, December 17, 2010, p. A01.

60
Bruce Reed, who had been the staff director:
David M. Herszenhorn, “Congress Sends $801 Billion Tax Cut Bill to Obama,”
The New York Times
, December 16, 2010.

61
On December 15, Don’t Ask, Don’t Tell repeal passed:
Lisa Mascaro and Michael Muskal, “Senate Votes to Repeal ‘Don’t Ask, Don’t Tell,’ ”
Los Angeles Times
, December 18, 2010.

62
On December 22, the START treaty was ratified:
Mary Beth Sheridan and William Branigin, “Senate Ratifies New U.S.-Russia Nuclear Weapons Treaty,”
The Washington Post
, December 22, 2010.

63
On February 11, Biden spoke:
“Country’s Best Days Are Ahead, Biden Tells UofL,” February 11, 2011,
https://louisville.edu/mcconnellcenter/events/past/2011/biden/countrys-best-days-are-ahead-biden-tells-uofl-audience
.

64
“We saw coming that this debt ceiling could end up being”:
On the record author interview with President Barack Obama, July 11, 2012.

CHAPTER NINE

The information in this chapter comes primarily from background interviews with four firsthand sources.

65
Summers resigned as head of the National Economic Council:
Sheryl Gay Stolberg, “Obama’s Economics Chief Is Set to Leave,”
The New York Times
, September 21, 2010.

66
One day, he said, the president would decry:
Brian Montopoli, “Obama Versus the ‘Fat Cats,’ ”
60 Minutes
, CBS, December 13, 2009; Julianna Goldman and Ian Katz, “Obama Doesn’t ‘Begrudge’ Bonuses for Blankfein, Dimon,”
Bloomberg
, February 10, 2010,
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aKGZkktzkAlA
.

67
In 2010, still in the minority, Ryan released:
“A Roadmap for America’s Future,”
http://roadmap.republicans.budget.house.gov
.

68
In a hearing on February 2, 2010:
Walter Alarkon, “Budget Chief Attacks Ryan’s Blueprint,”
The Hill
, February 2, 2010,
http://thehill.com/homenews/house/79421
.

69
Ryan posted a clip from the event:
YouTube video uploaded by Rep. Paul Ryan, “President Obama Highlights Paul Ryan’s Efforts to Save Medicare & Social Security,” January 29, 2010,
http://www.youtube.com/watch?v=ZBT5wnDK7L0&feature
; for a transcript of highlights of the exchange, see
http://paulryan.house.gov/news/DocumentPrint.aspx?DocumentID=190545
.

70
On April 5, 2011, Ryan, now chairman:
“The Path to Prosperity,”
http://budget.house.gov/fy2012budget
/.

71
The CBO largely confirmed Ryan’s claims:
CBO Report, “Long-Term Analysis of a Budget Proposal by Chairman Ryan,” April 5, 2011,
http://www.cbo.gov/publication/25159
.

72
In a January 6 letter to Harry Reid:
Press release, “Secretary Geithner Sends Debt Limit Letter to Congress,” U.S. Department of the Treasury, January 6, 2011,
http://www.treasury.gov/connect/blog/Documents/Letter.pdf
.

73
He was replaced by former Clinton Commerce Secretary William Daley:
Christi Parsons and Rick Pearson, “Obama Names William Daley as Chief of Staff,”
Chicago Tribune
, January 6, 2011.

74
Jack Lew was now head of OMB:
White House press release, “President Obama Announces a New OMB Director: Jacob Lew,” July 13, 2010,
http://www.whitehouse.gov
.

75
After two years of struggling, Gene Sperling:
Lori Montgomery and Brady Dennis, “Obama Names Sperling to Head National Economic Council,”
The Washington Post
, January 7, 2011.

76
Obama appointed Rob Nabors, 39, director:
Mike Allen, “Who Is Rob Nabors?”
Politico
, January 28, 2011,
http://www.politico.com
.

CHAPTER TEN

The information in this chapter comes primarily from background interviews with five firsthand sources.

77
Plouffe, 44, replaced David Axelrod:
Aamer Madhani and James A. Barnes, “Axelrod Says Plouffe to Replace Him at White House Next Year,” November 14, 2010,
http://www.nationaljournal.com/congress/axelrod-says-plouffe-to-replace-him-at-white-house-next-year-20101114
.

78
His 2009 campaign book:
David Plouffe,
The Audacity to Win: The Inside Story and Lessons of Barack Obama’s Historic Victory
(New York: Viking, 2009).

79
“We had just elected”:
Ibid., p. 1.

80
“I’ve been impressed by your judgment”:
Ibid., p. 24.

81
“Very observant, Plouffe”:
Ibid., p. 386.

82
Finally, on April 9, Congress passed:
Anne McGinn, “Obama Signs Continuing Resolution; Administration Says Divided Government Works,” Fox News, April 9, 2011,
http://politics.blogs.foxnews.com/2011/04/09/obama-signs-continuing-resolution-administration-says-divided-government-works
.

83
In an internally circulated six-page chronology:
Author obtained copy of document.

84
The Congressional Budget office, which produces:
David A. Fahrenthold, “Budget Deal: CBO Analysis Shows Initial Spending Cuts Less Than Expected,”
The Washington Post
, April 14, 2011; Naftali Bendavid, “U.S. Budget Analysis Shows Smaller Savings,”
The Wall Street Journal
, April 14, 2011.

85
The battle over the continuing resolution, Obama later recalled:
On the record author interview with President Barack Obama, July 11, 2012.

86
Failure to raise the debt limit in a timely manner:
U.S. Government Printing Office, “Federal Reserve’s First Monetary Policy Report for 2011,” hearing transcript,
http://www.gpo.gov/fdsys/pkg/CHRG-112shrg65824/html/CHRG-112shrg65824.htm
.