Stories Making Headlines Right Now

OBAMA-ECONOMY
    House set to vote on stimulus
   
The House is set to push through the $825
billion dollar economic stimulus package.
    The White House appears resigned to a nearly party-line vote in
the House, where many Republicans still think the package is too
pumped up with spending and skimpy on tax cuts.
    Democrats have the numbers. The measure may get just a handful
of GOP votes.
    Yesterday, President Barack Obama urged Republicans to put
politics aside in the interest of creating jobs.
    Obama is hoping for more GOP backing later in the Senate. And
there are signs of movement there.
    The Finance Committee has adopted a suggestion from Iowa’s Chuck
Grassley, the panel’s top Republican, to include an additional $70
billion in tax cuts.

FED-ECONOMY
    Rates seen staying at historic lows

Just last month, the Federal Reserve pushed
its benchmark interest rate to a record low. When policy-makers
make their announcement later today, they are expected to leave
rates where they are, with the economy still seen mired in a steep
recession.
    At its previous meeting in December, the Fed took the
unprecedented action of slashing its key rate from 1 percent to a
new, targeted range of between zero and 0.25 percent. Economists
predict the Fed will leave rates at that range through the rest of
this year.
    Less clear is whether the Fed will unveil any new actions to
deal with the triple-edged problems in the housing, credit and
financial markets.
    Analysts say the options open to the Fed include expansion of a
program aimed at bolstering the availability of consumer loans.
    Under a program, likely starting next month, up to $200 billion
will be made available to spur auto, student and credit card loans
as well as loans to small businesses. To do that, the Fed will buy
securities backed by different types of consumer debt, hoping to
bring down rates on those loans.
    Another option is for the Fed to buy long-term Treasury
securities.

WINTER STORM
    UPDATE: Storm may leave thousands in darkness for days

A winter storm is slamming into the
Northeast today after coating parts of the country from the
southern plains east with ice and leaving at least 19 dead in its
wake.
    Tree limbs caked with ice crashed onto roads and power lines in
Arkansas, Kentucky and Oklahoma, keeping thousands without power.
    More than a foot of snow is forecast in New Hampshire today,
prompting the Legislature to call off a session.
    Utility companies and road crews are preparing for the worst
while officials in already hard-hit areas warn it may be days
before all electricity is back on.
    Utility officials trying to cope with the ice say power lines
are still breaking.
    Winter storm warnings are posted from Arkansas to Maine, while
ice storm warnings continue for parts of Arkansas, Louisiana,
Missouri, Oklahoma, Tennessee and Texas.

FAILING BACKBONE
    US roads, water and basic systems earn ‘D’ grade

According to a new report by top engineers,
the price tag for fixing America’s roads, public transit and
aviation totals $2.2 trillion.
    The report, by the American Society of Civil Engineers, gives a
grade of “D” to the U.S.‘s physical backbone.
    That’s the same overall grade as the last time the group gave a
report, in 2005, but it really is slipping from a “high D” to a
“low D.“
    The report, the first one issued since Hurricane Katrina flooded
New Orleans, added America’s 100,000 miles of levees as a new area
of failing infrastructure.

OBAMA-PENTAGON
    Obama huddling with Joint Chiefs

President Barack Obama heads to the Pentagon
today for a meeting on Iraq.
    A week after speaking with the top Iraq war generals, the
president will have face-to-face talks with the Joint Chiefs of
Staff.
    Obama pledged during his campaign to remove all combat troops
from Iraq by May 2010. However, he has said that he would consult
with military commanders first and adjust his timeline if that
would risk the safety of troops remaining behind—or make Iraq
less stable. The president wants more of a focus on Afghanistan.
    Some military officials are wary of a 16-month timeframe for
pullout.
    Defense Secretary Robert Gates says the Pentagon is preparing
several possible plans for Obama, including but not limited to a
16-month timetable.

HOLDER NOMINATION
    GOP’s Specter says he’ll support Holder for AG

Eric Holder’s confirmation as the first
African-American attorney general seems assured now that he has a
key Republican’s vote of confidence.
    Sen. Arlen Specter, the top Republican on the Senate Judiciary
Committee, says he’ll support confirmation. The committee is
scheduled to vote today to report the nomination to the full
Senate.
    The Pennsylvania senator says Holder will have “significant
Republican backing.“
    No Republican has come out against Holder. However, several
criticized him sharply for his role in some pardons by former
President Bill Clinton. They also disapproved of his failure to
recommend an independent counsel’s investigation of Democratic
fundraising during the Clinton administration.
    Holder served as the No. 2 Justice Department official under
Clinton.

MIDEAST DIPLOMACY
    Mitchell in Egypt

President Barack Obama’s new Mideast envoy
says his visit to the Mideast sends a clear signal that the U.S. is
committed to pursuing peace and stability in the troubled region.
    George Mitchell’s visit is the first for the new Obama
administration. The former U.S. senator met Wednesday with Egyptian
President Hosni Mubarak and was headed to Israel later in the day.
    Mitchell told reporters it is “critical” that the cease-fire
in Gaza between Israel and the Palestinian militant group Hamas be
extended and the U.S. continues to back Egypt’s negotiating
efforts.
    Mitchell plans to meet with Israeli and Palestinian leaders
during his trip. He will also go to Jordan, Turkey and Saudi Arabia
but has no plans to meet with Hamas.

    IRAN-US
    NEW: Iran wants ‘profound changes’ in US policy

Iranian president Mahmoud Ahmadinejad is
calling for “profound changes” in U.S. foreign policy, including
giving up support for Israel.
    The president’s comments came Wednesday during an address to
thousands of people in the western city of Kermanshah.
    The U.S. broke off diplomatic relations with Iran in 1979 after
hard-line students stormed the U.S. Embassy in Tehran.
    The U.S. has criticized Iran over its nuclear program, saying it
is designed to develop nuclear weapons. Iran has denied this.
    President Barack Obama on Tuesday in an interview with Arabic
telelvision called for more dialogue with Iran to express
difference and see “where there are potential avenues for
progress.“

MINNESOTA SENATE
    Voters say they want to be counted

Minnesota voters have waded into the
state’s U.S. Senate election fracas as Republican Norm Coleman
fights for the inclusion of disqualified absentee ballots.
    Six voters told their personal stories to a three-judge panel
yesterday, saying their ballots had been unfairly rejected.
    A statewide recount gives Democrat Al Franken a 225-vote edge.
Coleman thinks he’ll have the edge, and the win, if the additional
votes are counted.
    Yesterday, much of the panel’s time was spent with state
officials, lawyers and court staff working out a plan to get about
11,000 rejected ballots to St. Paul from counties throughout the
state.
    The case is expected to last weeks.

VOLUNTEER EMPLOYEES
    Restaurant workers tell boss: It’s on the house

They’d do this job for free if they
could, so they did—for one shift—to give the boss a break.
    Some workers at a Michigan pancake restaurant came up with the
idea to help out their boss and the workplace they love.
    With customer traffic down a bit at Mr. B’s Pancake House
lately, lead server Mary VanDam asked co-workers if they might be
willing to work one shift without wages to help out owner Dave
Barham.
    The 17 servers, cooks, busboys, dishwashers, cashiers and
hostesses who worked the day shift on Jan. 18 received only tips
for compensation. As it turns out, patrons got wind of the idea and
left bigger tips.
    The shift’s workers divided the tips equally and each took home
$51.
    Barham says it’s not that the business is doing poorly, but
“it’s tight for everyone.“