Changes

There will be $275 billion in tax cuts, including a $800 cash rebate to most families that will be spread out over a year, and an extra $250 quick payment to every person over age 65. The spending provisions cover a very wide variety of projects.<ref>[https://www.nytimes.com/2009/01/29/us/politics/29assess.html?hp David M. Herszenhorn, "Stimulus Package’s Components Vary in Speed and Efficiency," ''New York Times'' Jan. 28, 2009]</ref>

There will be $275 billion in tax cuts, including a $800 cash rebate to most families that will be spread out over a year, and an extra $250 quick payment to every person over age 65. The spending provisions cover a very wide variety of projects.<ref>[https://www.nytimes.com/2009/01/29/us/politics/29assess.html?hp David M. Herszenhorn, "Stimulus Package’s Components Vary in Speed and Efficiency," ''New York Times'' Jan. 28, 2009]</ref>

Responding to public outrage against bankers who paid themselves billions of dollars in bonuses while their banks were collapsing and investors losing 95% of their money, the bill imposes tight restrictions on executive bonuses at financial institutions. The provision, inserted by Senate Democrats over the objections of the Obama administration, affects banks that have received financial [[bailout]] funds. It prohibits cash bonuses and almost all other incentive compensation for the five most senior officers and the 20 highest-paid executives at large companies that receive money under the Treasury’s Troubled Asset Relief Program, or [[TARP]].  Bonuses are limited to one-third of salary and must be in a form that is paid out only after the banks repay their loans from the government.<ref>Edmund L. Andrews and Eric Dash, "Stimulus Plan Sets New Limits on Executive Pay," [https://www.nytimes.com/2009/02/14/business/economy/14pay.html?ref=business ''New York Times'' Feb. 13, 2009]</ref>

Responding to public outrage against bankers who paid themselves billions of dollars in bonuses while their banks were collapsing and investors losing 95% of their money, the bill imposes tight restrictions on executive bonuses at financial institutions. The provision, inserted by Senate Democrats over the objections of the Obama administration, affects banks that have received financial [[bailout]] funds. It prohibits cash bonuses and almost all other incentive compensation for the five most senior officers and the 20 highest-paid executives at large companies that receive money under the Treasury's Troubled Asset Relief Program, or [[TARP]].  Bonuses are limited to one-third of salary and must be in a form that is paid out only after the banks repay their loans from the government.<ref>Edmund L. Andrews and Eric Dash, "Stimulus Plan Sets New Limits on Executive Pay," [https://www.nytimes.com/2009/02/14/business/economy/14pay.html?ref=business ''New York Times'' Feb. 13, 2009]</ref>

===Health Care Provisions===

===Health Care Provisions===

Liberals supporting the measure say it is aimed at preventing the economy from "collapsing" and at "restoring it to normal" by spending money that  the private sector is too frightened to spend. Conservative critics predict it will do little to help the economy recover and is filled with non-essential spending.  

Liberals supporting the measure say it is aimed at preventing the economy from "collapsing" and at "restoring it to normal" by spending money that  the private sector is too frightened to spend. Conservative critics predict it will do little to help the economy recover and is filled with non-essential spending.  

The Heritage Foundation says, "But government spending plans do not stimulate the economy. They are based on the idea that feeding “new” money into the economy will create economic growth.  But the money isn’t new—it’s either taxed or borrowed. It's essentially redistributed from one group of people to another, and no new money is created."<ref>See [http://www.askheritage.org/Issues.aspx?ID=41 Heritage statement]</ref>  

The Heritage Foundation says, "But government spending plans do not stimulate the economy. They are based on the idea that feeding “new” money into the economy will create economic growth.  But the money isn't new—it's either taxed or borrowed. It's essentially redistributed from one group of people to another, and no new money is created."<ref>See [http://www.askheritage.org/Issues.aspx?ID=41 Heritage statement]</ref>  

The [[Congressional Budget Office]] says $347 billion more in interest will be the result, which brings the total plan over 1 trillion dollars.<ref>[http://www.foxnews.com/politics/2009/01/28/special-groups-line-piece-stimulus/ "Special-Interest Groups Line Up for a Piece of Stimulus" Fox News, Jan. 28, 2009]</ref> According to the CBO analysis, timely spending of the money will be hampered by bureaucratic delays of up to two-years and the inability of state and federal agencies to efficiently and effectively spend the massive inflows of new money.<ref>[https://www.cnsnews.com/public/Content/Article.aspx?rsrcid=42725 "Almost Half the Spending in Stimulus Bill Would Not Happen for at Least Two Years, Says CBO Analysis," CNSNews, January 29, 2009]</ref>

The [[Congressional Budget Office]] says $347 billion more in interest will be the result, which brings the total plan over 1 trillion dollars.<ref>[http://www.foxnews.com/politics/2009/01/28/special-groups-line-piece-stimulus/ "Special-Interest Groups Line Up for a Piece of Stimulus" Fox News, Jan. 28, 2009]</ref> According to the CBO analysis, timely spending of the money will be hampered by bureaucratic delays of up to two-years and the inability of state and federal agencies to efficiently and effectively spend the massive inflows of new money.<ref>[https://www.cnsnews.com/public/Content/Article.aspx?rsrcid=42725 "Almost Half the Spending in Stimulus Bill Would Not Happen for at Least Two Years, Says CBO Analysis," CNSNews, January 29, 2009]</ref>

House Republicans proposed a bill tilted more sharply toward tax cuts, which they say will generate the most economic activity the fastest. Their substitute proposed cutting individual and business taxes as well as reducing much of the bill’s spending; it was rejected by a party-line vote of 170-266. The failed GOP measure totaled about $479 billion, a little more than half the total passed by the Democrats.

House Republicans proposed a bill tilted more sharply toward tax cuts, which they say will generate the most economic activity the fastest. Their substitute proposed cutting individual and business taxes as well as reducing much of the bill's spending; it was rejected by a party-line vote of 170-266. The failed GOP measure totaled about $479 billion, a little more than half the total passed by the Democrats.

==Support from state governors==

==Support from state governors==

Most Republican governors have broken with their GOP colleagues in Congress and are pushing for aid that would send billions to states for education, public works and health care.  Since their state treasuries drained by the financial crisis, governors would welcome the money from Capitol Hill, where GOP lawmakers are more skeptical of Obama's spending priorities.  The bipartisan National Governors Association called on Congress to quickly pass the plan, saying:

Most Republican governors have broken with their GOP colleagues in Congress and are pushing for aid that would send billions to states for education, public works and health care.  Since their state treasuries drained by the financial crisis, governors would welcome the money from Capitol Hill, where GOP lawmakers are more skeptical of Obama's spending priorities.  The bipartisan National Governors Association called on Congress to quickly pass the plan, saying: