Obama says he'll give govs role in bailout

President-elect Barack Obama opened an unprecedented meeting with 48 governors inside Congress Hall this morning with a promise to to give them a role in creating a multi-billion dollar economic stimulus package that he wants to sign as his first order of business after inauguration next month.

"The partnership we begin here cannot – and will not – end here," Obama said, in brief remarks. "I will not simply ask you to help implement our economic recovery plan. I am asking you to draft and shape that plan. If we listen to our governors, we will not only be doing what is right for our states, we'll be doing what is right for our country."

To Republicans in the room, Obama offered "the same hand of friendship and cooperation that I offer my Democratic colleagues." Vice President-elect Joe Biden, who also attended, noted the presence of Alaska Gov. Sarah Palin, the GOP running mate to John McCain, and said.

"Your being here sends a powerful message – I hope the whole country can see that this election is is over," Biden said. "We're all here together dealing with a common problem."

Straying from prepared remarks, Obama said "I'm not going to allow Joe and myself to get infected with Washington-itis."

"We are not going to be hampered by ideology," he added, discussing working with GOP governors. "Let's have a conversation," he said.

When Obama entered the room, coming up the center aisle beneath the watchful gaze of a bust of uber-American Ben Franklin, he said, "I've got to shake everybody's hand – please be patient." The governors laughed.

At one point, Obama asked Louisiana Gov. Bobby Jindal, a Republican, the ages of his daughters.

"Six, four and two," Jindal said.

"You've got three of them," the President elect exclaimed, smiling.

Fifty-nine governors and governors-elect, including from U.S. territories, were invited to the gathering, according to the National Governors Association.

Facing huge budget deficits, the nation's governors are seeking extensions of unemployment, Medicaid and food stamps benefits as well as federal money for ready-to-go infrastructure projects in order to help them weather the recession and stimulate the economy.

Gov. Rendell, the chairman of the NGA, welcomed Obama. "Nothing could lift Americans' spirits more than having an economic recovery plan enacted on your fist day," he said.

After the meeting New Jersey Gov. Corzine said he envisioned a package that could top $700 billion over two years. He said a $400 billion infrastructure plan would be "not unreasonable," along with federal support for safety net programs such as unemployment insurance, Medicaid, special education and food stamps and Obama's planned tax cuts.

"There are a number of us that believe whatever large is, make it larger," Corzine said of a potential aid plan. He cautioned, however, that the governors did not discuss specific dollar amounts with Obama.

Corzine said that with businesses and consumers cutting back on spending, it's up to the federal government to fill the gap in the nation's economy.

After the nearly two-hour meeting, several governors described the session as productive during a news conference held as Obama's plane was preparing to take off for Chicago from Philadelphia International Airport.

"We didn't talk specific numbers" about the size of the stimulus proposal, Rendell said. "But we're very confident we're going to get help – what the amount is, what final shape it's going to take, I don't think anybody knows," he said.

Some Republican governors said that they were concerned that new spending, particularly on infrastructure projects, would prove harmful because it would add to the national debt.

Since personal and business debt was at the root of many of the economy's woes, "solving people's problems will not come from incurring more debt," Alaska Gov. Sarah Palin, the former Republican vice-presidential candidate, said.

"We've been told over a number of months that this stimulus or that stimulus will turn the economy around, and they haven't worked," said South Carolina Gov. Mark Sanford, a Republican. "The ultimate stimulus package for the United States of America is an entrepreneur working on his dream."

Contact staff writer Thomas Fitzgerald at 215-854-2718 or tfitzgerald@phillynews.com.