CSPAN/NEWSMAKERS

Host: Steve Scully

Guest: Rep. Hilda Solis, Labor Secretary

Reporters: Jim Puzzanghera, Stephen Koff

STEVE SCULLY, HOST : To CSPAN’s Newsmakers program we welcome Hilda Solis, the Labor Secretary. And joining us for the questioning is Jim Puzzanghera, from the Los Angeles Times, and Steve Koff, of the Cleveland Plain Dealer.

Let me begin by asking you about the numbers released last Friday, 9.4 percent. But many would argue that the numbers are actually in the low double-digits. Are they?

HILDA SOLIS, LABOR SECRETARY: Well, I would – I wouldn't necessarily say that. I mean, you know, this is still not acceptable. It’s a very high unemployment rate. And it has increased over last month’s. And what I see in the number, too, is that there are more jobs seekers, more people out there looking for work.

SCULLY: But when you see that the highest percent of unemployment in 25 years, what’s your reaction?

SOLIS: I don't like it. I don't think it’s acceptable. And I think that we still have to be very vigilant and focusing in on regions of the country that really need help and assistance. And that’s what I’ve been doing, touring some of the states that have been hardest hit, you know, particularly in Ohio and in Michigan and other parts of the country that have very high unacceptable unemployment rates that are even higher than this figure nationally.

SCULLY: We have two reporters here from different parts of the country, the Cleveland Plain Dealer, but we’ll begin with the Los Angeles Times.

JIM PUZZANGHERA, LOS ANGELES TIMES: As you know, Madam Secretary, your home state is one of those places that has been hard hit. It’s 11 percent unemployment rate. There are four other states that are over 11 percent. Michigan has 12.9 percent. What is the administration doing particularly for those states that are hard hit and when it comes to the long-term unemployed and the under-employed in those areas?

SOLIS: Well, in the recovery program that the President signed in February there was different types of funding made available to the states. And many of the states that achieved this outline are (ph) – are benefiting from an extension of unemployment benefits. First of all, that went out and that gave a $25 increase for anyone who’s drawing down unemployment insurance. Additionally, some states that have gone as far as to change and modify their laws so they could receive what we call funding on our – under the UI modernization act will now be able to get monies to help provide coverage for part-time workers, and in many cases women and people that have had to move on because a spouse has moved to another location or they were a victim of domestic violence. This is an additional source of funding. And I would say to you that in two weeks I’ll be able to announce a money for creation of job training programs that will address green collar and renewable energy sectors that we believe will show a good potential of growth if we many kind those investments now.

PUZZANGHERA: Are you – what evidence are you seeing that the stimulus money – I'm assuming that some of that green retraining money is coming from the stimulus. What evidence are you seeing that the stimulus money is having an impact on the unemployment rate, in those states and nationwide?

SOLIS: Well, I would phrase it in this – in this manner. The recovery program had different aspects to impact our communities. One was to allow for a one-time augmentation in Social Security for seniors, $250. The fact that you also saw a $25 increase in UI benefits weekly also was more disposable income. And then with people taking advantage of tax credits and what have you, many of those filers are seeing their returns coming in now and in the last three weeks. So I know that all of that has helped to couple – to create more consumer confidence. And people are actually helping the retail industry, which is – which is what I saw in the figures that I reviewed on Friday, that there was a little – you know, a little increase there. Not as much as I would like to see, but certainly there is something happening out there in the community.

SCULLY: Steve Koff.

STEVE KOFF, CLEVELAND PLAIN DEALER: Madam Secretary, let’s go back to the green jobs, since you brought that up. And you and I talked about this briefly on the telephone the other day during a conference call. You visited Ohio and you visited Michigan. And one of the places you went was a company called GlassTech in Perrysburg, Ohio, which is making some promising advancements in solar energy and manufacturing. But GlassTech employs maybe a couple hundred jobs, a couple hundred employees. There’s another company called Xunlight Corporation, out of Toledo, that a number of members of Congress have talked about. But Xunlight employees 100 people. How can these small but promising companies possibly absorb the tens of thousands of jobs that are being lost in the auto industry?

SOLIS: Well, certainly it won’t be a silver bullet. But I will say to you that we are encouraged that there will be funding available from, say, the Department of Energy to help expand those kinds of manufacturing jobs. And I think the beauty of the plant that I visited, the GlassTech Corporation, was that they are already installing windshields on cars, foreign and domestic. With the same type of equipment that they are using that they develop is state of the art will also help to manufacture solar panels. And I was – I was privileged to go and see the plant and actually see the process that occurs. And they would like to be able to sell more of their equipment world-wide.

I guess my answer to you is that we definitely need to see some investment, more research dollars put in that way. And I believe that members of the cabinet have had their attention drawn to places like that and would be encouraged to help support those kinds of activities.

KOFF: Does it concern you at all that while they want to sell their product world-wide, they also have facilities world-wide, in India and in China. So as they add jobs, those jobs might not be American jobs.

SOLIS: I would tell you that if they were to expand, I'm certain that there would be other opportunities in other surrounding states and perhaps other parts of that region. I mean, that’s where – I guess that’s where my perspective comes in, where I believe that the jobs that we create first and foremost should be helping American workers. And my – I guess in my opinion I would say that I'm going to do everything I can to make sure that we retool, we provide education and training opportunities, so that the most people that were recently laid off and dislocated in those regions of the country have an opportunity to either get into a health care career or an IT career or, say, in an entirely different area. But to make sure that there are capabilities that they will achieve, that they'll be able to grasp once they get the education and training, and then be able to – if they have to be mobile, and in some cases they may, that they will have that opportunity, that there will be a job at the end of the day.

PUZZANGHERA: Getting back to the auto industry. General Motors, has just filed for bankruptcy, Chrysler is in bankruptcy. One area where there is potential large job losses is the cutbacks in the dealerships that Chrysler and GM have announced. I was at a hearing last week with a number of senators really grilling executives from Chrysler and GM about the dealership closings. They’re planning to close about 2000 dealers, terminate their franchise agreements. And that could result in 100,000 job losses. Will the administration, which has ownership stakes in these two companies, push them to ease back on these dealership closings or at least extend the timetable for these dealers to get rid of their inventory?

SOLIS: Well, I know it is – it’s a very pressing situation, no doubt about it. People are losing their jobs. I would say to you that those kinds of decisions are going to have to be made between Chrysler and the UAW, because those are contractual agreements that they reached. And I'm not – I'm not privy to those kinds of discussions that have gone on. I would hope, though, that we would be able to help those people that are – that are now being told that their plants – for example, I'm just saying the automobile industry – that their plants that are going to be closing, that they have some advantage or some preparation to be able to at least know how to get into the unemployment insurance area so they're covered there, but also be able to get into a training program. We did that in Ohio recently working with Senator Sherry Brown. So I think that kind of rapid response you have not seen before, and I really think that it is – it is important to talk about those kinds of things.

PUZZANGHERA: But when it comes to the dealers in particular, there’s a real point of contention between the companies and the dealers as to how much money these dealerships actually cost them. And the government now is in a position where it has clout with these companies. And if dealers are saying we’ve got lots of inventory that the companies forced us to take on that we’re now not going to be able to get rid of, we’re going to be stuck with these cars, isn’t there an obligation for the administration to try to intervene in situations like that and mitigate the potential job loss and the problems that might take place there?

SOLIS: Well, I'm certain that other cabinet members that are more closely involved in those discussions are probably looking at that issue. But I will say that the President has made an effort to say that we want to encourage people to turn in their old car and use that as a down payment to acquire another vehicle. We also want to beef up our ability to bring in more fleets and be able to put those orders in as well. So that’s something I think that is – is an incentive as well. Certainly it’s not everything, but I think it is a good start.

KOFF: Speaking of trading and cars, do you expect cash for clunkers to pass soon?

SOLIS: Well, I think it’s something that certainly is interesting to think about. And I think it will be an incentive for people. I think the – you know, the public is interested I believe and it’s something that – I know is used in other – in other countries. I just met with the foreign labor minister from Germany who told me they have a very similar program for about the equal amount of money that they're using right now. And they typically sell more efficient, smaller cars. So I think that the concept isn’t really new, but it’s certainly something that we should possibly look at.

SCULLY: On Friday the Vice President announced plans that the President will outline in greater detail in the week ahead in trying to encourage a faster stimulus spending plan to create more jobs. Can you preview what we’re going to hear this week?

SOLIS: I would just say to you that in my department in about two weeks we’ll be issuing our grant solicitation for the green jobs that we’ve been talking about for the – for the training and planning and preparation that has to take place out in the (INAUDIBLE)

SCULLY: Which will mean what?

SOLIS: Which will mean $500 million that will be – that will be available for different states and locales to be able to come in partnership with different organizations, public and private, and hopefully draw down the money to target the kinds of jobs that are really going to last, that are really going to have meaning for different parts of the country. So that’s 500 million, and 250 million that will also be issued in health care careers and also in IT.

PUZZANGHERA: Why is it taking so long to get stimulus money out? You mentioned grant solicitation. Is there a way to get this money out quicker as it’s – as this progresses? What are some of the complications in getting this money out there now?

SOLIS: Well, a lot of it has to do with making sure that the appropriate guidance and guidelines are followed and that states are notified. In many ways it’s working out contractual agreements with the different states, too, to make sure that they understand what our guidelines are. And just two weeks ago we issued our guidelines. So it does take time. But I would say that this the first time I’ve seen the amount of money coming out so quickly – it will be coming out quickly in terms of – you've got to remember. We – he just signed this piece of legislation and recovery act in February. So this is kind of a rapid response I would say according to what you've seen in the past, at least in terms of what I've seen in the last eight years.

KOFF: Twinsburg , Ohio, has a Chrysler stamping plant that’s going to lose roughly 1200 jobs. And you announced some money for it the other day as part of one of – part of your announcement in Ohio. I was talking to the mayor of Twinsburg asking her about that response and she said they're grateful for that money for the workers and that will help the workers, but she still wants to know why about the community, what about our loss of tax revenue, what about our loss of tax producing infrastructure, what the hit we’re going to take the city services and the fact that we may have to even lay off employees as a result of that. Because she says that the recovery act has money that’s really based on building new infrastructure to create new jobs. That’s not their problem in Twinsburg. They've got infrastructure, but they're losing their jobs.

So what’s your response on behalf of the administration?

SOLIS: Well, I would say to you that the monies that we did provide for that particular plant will be useful because it will help those people get into training programs immediately, but it will also help to provide what we call wrap-around services so they can be eligible for some form of health care, education and training, and UI benefits. So it is – it is something that we’re – that we’re starting to do with folks that we know are going to be – going to be terminated. And I think that, again, what we want to try to do is make sure that our other agencies are working with us hand-in-hand and we’re focusing in on where the job creation will be. So that we have the capital. As you know, part of the struggle that I heard visiting the two states that I was at in Ohio, Michigan, was that businesses need to have more capital. And so I think that some of the movement that the administration has made by allowing for more lending to occur through the Department of Energy and through SBA , those kinds of incentives I think are going to be good. And it takes a while, keep in mind, just to make sure that all of the, you know, Ts are crossed and Is are dotted and what have you. But I do believe that there will be – there will be some relief for people that do want to expand into these industries, where we could put auto workers into or anyone else that may be attracted into these new jobs.

KOFF And I'm sure that’s appreciated, but I'm not hearing anything that goes directly to the immediate needs of Twinsburg , Ohio, which, again, not long ago had 1200 employees and then at some point next year is not going to have 1200 employees. And that’s a heck of a lot of tax revenue to live without. What’s your advice to the city of Twinsburg , not to the workers who are going to hopefully go off and find new jobs somewhere.

SOLIS: I think it’s something that we’re all very concerned about. I know that in my own state of California we’re also faced with many of our cities having to cut back on a lot of their services. I think part of it is localities and state government have to also readjust their budgets. I mean, many may have spent more than they should have in times when things were good and we have to think differently now with the revenue that we do have. I know it’s going to be hard, but I think that this administration is one that’s really listening to what is going on. And when I went out to visit the communities out in Ohio, it was very clear to me that the workers there – well, many have lost their jobs or will. I could see the tenacity in – and their body language, that they were very much concerned, invested in wanting to keep the manufacturing base here in America. And I believe that our government and our President is very committed to that, and certainly I am.

PUZZANGHERA: Madam Secretary, speaking of readjusting budgets, your home state of California is under – trying to undergo a major budget readjustment. There’s a huge budget crisis there. The state has had trouble – or anticipates trouble borrowing money and has asked the federal government for guarantees for short-term borrowing. Will the administration do anything for California and for other states, states are major employers, the money funnels down to local governments and there’s a lot of jobs at stake. Will the administration do anything to try to help these states deal with short-term cash flow issues, credit issues, in terms of federal guarantees or other federal assistance?

SOLIS: Well, I can’t tell you that I am directly and intimately involved in those discussions. But I do know that there has been reaching out, so to speak, from the governor and the state of California and the treasurer and talking to people in the White House. And I know that California is of great concern because if that economy collapses it could have very profound impact across, you know, the globe. So I know that I and others, given the opportunity, will try and do as much as we can with our discretionary money and funds that we have to try to focus in on those hard pressed areas. I know that we have a tremendous foreclosure problem. There’s been some I think leveling off a bit where people are now getting into, you know, first-time home buyers are utilizing those incentives that the government has put out and people are able to draw down on some credit. There was a little – a little encouragement there with people purchasing autos in this particular survey that we just saw for this – for this past month. But certainly not where it needs to be. But then again, I mean, every state in the union is struggling from this economic crisis

SCULLY: You represent California. Let me just follow up on one point. Is the state’s economy collapsing?

SOLIS: I would say that it is – it is in very dire, dire situation and it does – it does need attention. But I would – I believe that the state law makers, and as a former law maker myself, that sometimes you have to make some hard decision. And pain has to be spread out. So I understand that there’s negotiations going on now. I know the governor has his plan and there’s some resistance. I think part of the problem I see in California is that you have such a high standard you have to meet to change anything to raise taxes and revenue. You have to have a two thirds vote. And – which is very high and somewhat unrealistic in many cases to reach.

PUZZANGHERA: We’ve seen – we’ve seen banks that are too big too fail and get federal assistance, we’ve seen automakers that are too big to fail get federal assistance. Isn’t California too big to fail? Shouldn't there be some – if we’re extending aid to these other entities, private entities, shouldn't the government have a responsibility to make sure that a state the size of California doesn't run into the type of problem that’s going to result in thousands of additional job losses?

SOLIS: Well, I would agree that we’ve already begun to address some issues with respect to government. Because we did make monies available in health care through Medicaid and also – I believe we helped to postpone some of the layoffs that were occurring in the state because of unemployment insurance, that whole structure. They also received some money to be able to put in so we could administer the program, which you know expanded tremendously because of what happened in the unemployment crisis here. But we also saw money going into our schools, department of education. I don't have the exact figure before me. But I do know that that was – that helped at least for a short time here to keep people at their jobs.

KOFF: Madam Secretary, your predecessor, Elaine Chao, bragged in a speech last year that the Department of Labor had about 15 percent less money than a decade ago. And she thought that was a good thing because she had said that proved that you can do more with less. And in fact OSHA had downsized with about 30 percent fewer employees than in 1980. Mine Safety and Health Administration had about a 42 percent reduction in its work force. I examined some of this in a story I did last year on the government safety net. And the GAL also found that there were fewer wage and hour enforcement actions. Now, the department countered that it was working on higher profile cases rather than going after everything, because that would have a bigger impact. And the Bush administration said, look, factory, office, and mine injuries and deaths have all gone down, so they must be doing something right.

I have a feeling you might not agree with that. So are you doing anything to change that focus?

SOLIS: Well, I would hope – I would hope so. Because I know that some of the reports issued by the JAO and members of Congress have brought to our attention and to the public that the Department of Labor has not kept up to pace with respect to investigations that should be done by OSHA and also by wage and hour. And I do believe that now’s the time to make that shift. And we did get some additional help to do that in this – in the recovery program. And I hope in the following year we’ll be able to do that as well. I think that’s what our role is. Our goal is to help people find employment, but also provide safety and protection in the workplace. So if you go into your job in the morning, you should be able to come home at night and go back to your family.

KOFF: Could you be a little more specific perhaps about some of the staffing levels? And also about perhaps any changes in rule makings. Because there was some last minute rule making by the Bush administration.

SOLIS: I would just say that we are taking a review, examination of many of the – what they call midnight rules that were passed by the previous administration. And we have suspended some of those and are taking a look and we’ll go out again and talk to the different stakeholders and then we’ll come back and make whatever necessary changes we deem appropriate.

KOFF: Anything specific so far, though, that you've done already?

SOLIS: I would – I would just say that right now we’re looking at a rule regarding H2A visas, and that deals with the farm workers. The rule that was put in place three days before President Barack Obama was actually inaugurated would have lowered the wages and really I think put it – put more farm workers in harm’s way lowering their wages, and they would have had to incur more personal costs. I don't think that levels the playing field for other farm workers who are already in the country and other farmers that were abiding by, you know, some good practices.

PUZZANGHERA: How high do you think the unemployment rate is going to go? And what do you say to people who keep hearing that there are signs that the economy is improving, that the recession is ending, and yet the unemployment rate continues to rise. How do you explain to people that dynamic and how do you think it’s going to go before it does start to go down?

SOLIS: I couldn't give you a particular figure as to how high that’s going to go, and I wouldn't want to. I guess my message to you and to the public is that in time – in hard economic times like this that we – that are unprecedented, we always see the lagging figures for workers to get – you know, dislocated workers to get back into the work force. So that’s going to lag and that may continue to contract. And my hope is that, however, we’ll start to see at least some other changes that we – that we saw this last month where you're actually seeing, say, fewer people who are actually getting in the lines of unemployment and people that are now at least stabilized in their – in their workplace for the time being until we see more growth. So, I mean, I don't have a quick answer for you except to say that I would hope that, again, the resilience of the American work force is very important. And I do see hope. I see hope in the eyes of people that I saw struggling in Cleveland, Ohio, and in Chicago, places that I’ve been, Miami, Los Angeles. And looking at the future down the line I know that many young people who have a lot of a hope who I’ve met who are working right now in construction jobs for the first time and maybe have had – not had all the opportunities that other people have had, they're now beginning to see that there’s hope for them, that they could get into a career and actually help provide for their families. It’s amazing what the American spirit is like when you go out into the different communities and neighborhoods to see what’s really happening on the ground.

PUZZANGHERA: But should people expect more pain, more job losses at least through the end of the year or beyond? Is it unrealistic for people to think that this is going to turn around relatively quickly as some of the other indicators are suggesting?

SOLIS: I would – I would say that it’s not going to turn around as quick as you and I would like to see it. We’ve been in this situation now since December of 2007, and the communities where I – where I lived in Los Angeles County, we saw upwards of unemployment at nine percent in the city of El Monte (ph). And that was – that was almost a year and a half ago. So there are a lot of people hurting. And as I said earlier, there’s a lot of cities that have even higher rates of unemployment that I found in Ohio and Michigan and other parts of the – around the country that need our attention and help. And that’s what we’re going to do, deploy our resources and try to help those people out on the ground.

KOFF: The President has talked quite a bit about the need to do a better job preparing high school students for college. I'm wondering whether we’re sending too many kids to college right now. Like everybody else, college graduates are having a tough time finding work. Sometime like 20 percent of this year’s crop of college graduates have found jobs so far. Now, I know it’s a little bit early on that. But I'm wondering should we be doing more to maybe prepare people for the trades, more plumbers, more carpenters. Do we need to change our thinking about this? We’re putting out an awful lot of college graduates who don't know what to do, they're working at restaurants, they're working at bars.

SOLIS: Well, I’ll be honest with you. My feeling is that part of what we need to do is make sure when we retool, we’re retooling for good jobs that are actually going to pay well. So I would – I would think that, for example, we certainly still need more people in math and science, we need more people in engineering, we need people to get into these new renewal energy industries that I think are really going to pay off. So many other countries are so far advanced than we are in this area that I would hope that we continue on that path. But also keep opportunities open for those dislocated workers, many who don't have even a high school education, who won’t be able to get into a community college but may be able to benefit from a short-term program that an apprenticeship program offers. For example, in Los Angeles we have the IBEW, the electrical workers union that has partnerships with the community and with private sector and they help trade people, turn them around from – typically electricians to those that are now going to be installing solar panels and a new grid system. So I think that there are opportunities for those that don't – that don't want to go onto college and maybe don't have the means to do it, but could find other alternative types of training that could help them get into good paying jobs.

SCULLY: Let me conclude then with one final question. What sectors of the economy give you the most hope and what are you worried about the most?

SOLIS: I would say this last month we saw an increase of 24,000 jobs in the health care arena. And given that we’re looking at health care reform, I think that fits very nicely, the notion that we need to expand services and health care as the baby boom generation, our generation, continue to live longer. Some maybe not as healthy. We’re still going to have needs, but you're still going to have to have that person standing next to you administering whatever medicine or treatment that you need. So we definitely need to get more people into the health care arena, starting at the bottom and moving up. And likewise also retooling our information system. We still haven't done a good job in terms of broadband expansion, whether it’s health IT information or just people being able to have the ability to have these new products that have not reached rural America. And I have – and I know something about it because I was on the Energy and Commerce Committee and we worked a lot on the telecom subcommittee and know that that also is something that will help empower so many of our citizenry. If they have access to education, it cuts down in a lot of ways on other incidentals. So I think that’s another job growth area. And then, again, just going back to green jobs. Renewal energy, cutting our dependency on foreign oil, making sure that we can retool and retrain workers for jobs that are going to pay well and those jobs hopefully will stay here in America and be I think a sustaining crop of new jobs that will help people stay in the middle class. That’s really I think the bottom line.

SCULLY: Labor Secretary Hilda Solis, on behalf of Jim Puzzanghera, of the Los Angeles Times, and Steve Koff, of the Cleveland Plain Dealer, thanks for joining us on Newsmakers.

SOLIS: Thank you.

SCULLY: As we continue the conversation. Let me follow up on your questioning about California, because you’re closest to it covering it for the Los Angeles Times here in Washington. What are you sensing and what role does labor have in all of this?

PUZZANGHERA: Well, the administration is really reticent, that’s what we’re hearing. They're really reticent to start extending aid to states. They think it’s going to open up a Pandora’s box. We’ve seen what happened with bailout money to the private sector. And they're just not interested in delving into that area. There’s 50 states out there, most of them have budget troubles. Not all of them as bad as California. But they really do not want to go down that road. And I think you saw that the secretary was hesitant to give any indication they were going to do anything other than what they've been doing, which is money from the stimulus to help with extended unemployment benefits, transportation projects and the like. But when it comes to helping states borrow money or deal with their budget shortfalls, I think the administration is just saying that’s your problem at this point.

SCULLY: And while you're talking about the state of California. Your line of questioning with one community in Ohio dealing with job losses and really dealing with budget cuts on a city by city level.

KOFF: Yes. These mayors are facing a very difficult situation. They've relied on the tax revenue, very healthy tax revenue, from these auto plants, from the tax (INAUDIBLE). The companies pay from the payroll taxes on the workers for years. All of a sudden they don't have it. How do you continue to maintain your schools, how do you still hire police officers and fire fighters. That’s awfully difficult. And the administration hasn't really addressed that specifically. They have addressed and they've moved pretty quickly to address the worker concerns. Unemployment, trade adjustment assistance, that kind sort of thing. They made some announcements this week that specifically related to Twinsburg , Ohio. They added about another $1.6, almost $1.7 million just to help those workers in Twinsburg , Ohio. And the mayor says that’s great. But in the meantime we’ve got a tough time here.

And worse than that, they've got a huge facility, about at 1.2 million square feet, that the city doesn't even know how to market. They would like to bring in somebody new to do something with it. But it’s owned by Chrysler and it’s owned by the old Chrysler, not the new Fiat Chrysler. And so how do they negotiate, with whom do they negotiate. They're asking all these questions and they don't have the answers.

SCULLY: Where and when is the recovery?

PUZZANGHERA: That’s a good question. The – unemployment, as the Secretary mentioned, is a lagging indicator. In past recessions you've seen the recession end, economic growth start, and unemployment continue to rise for months if not a year or more. So there are – there’s two type of recoveries. There’s the high level, market, GDP, economic number recovery, and then there’s the average person recovery, which is my company’s doing better, I can get a job, my friends or I'm not getting laid off. That’s coming much farther down the rode.

SCULLY: But in cities in Gary, Indiana, Cleveland, Ohio, Buffalo, New York, what are you sensing?

KOFF: I'm sensing people have grown up expecting a factory job. They don't have that factory job. They aren’t quite ready for whatever new industry emerges. That new industry isn’t hiring that many people yet anyway. So they are frustrated. And it has political ramifications because of that for state and national politics.

PUZZANGHERA: And I think that’s why you saw the Obama administration last week dispatched Secretary Solis, a whole bunch of cabinet secretaries throughout the Midwest to basically tell them, you know, we feel your pain and here’s what we’re trying to do to help. It’s not enough, but I think that they are aware of the political ramifications and they want to show that they are on top of it, they are concerned. Whether it’s enough to get people through the crisis is the big question.

SCULLY: Final point?

KOFF: Again, they do with this could really have an impact in terms of the next governor’s race in Ohio, the next senator race in Ohio, on down the line. I mean, this is starting to actually give the Republicans, which was the party out of favor in Ohio, give them some real ammunition for perhaps winning some seats in the next election.

SCULLY: Steve Koff is the Washington Bureau Chief for the Cleveland Plain Dealer and Jim Puzzanghera is with the Los Angeles Times as the national business reporter. Gentlemen, thanks for being with us on CSPAN’s Newsmakers program. Appreciate it.

KOFF: Thanks.

PUZZANGHERA: Thank you.

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