Obama: 'The shadow of crisis has passed'

WASHINGTON—President Barack Obama used his annual State of the Union address to tout a surging economy, propose a slate of new programs, and pitch a huge redistribution of wealth in the form of tax increases aimed at upper class Americans.

The speech came 11 weeks after Republicans made historic gains in federal and state elections, but Obama was unfazed: Rather than strike a conciliatory tone with the new GOP majority, Obama delivered a celebratory message, proclaiming his policies successes that will “continue to work, as long as politics don’t get in the way.”

Obama painted a rosy picture of the economy, trumpeting “shrinking deficits, bustling industry, and booming energy production.” He used the economic outlook to push for universal childcare, paid sick leave, climate change legislation, and free community college—initiatives he wants to pay for mostly through increased taxes.

Obama’s tax plan, which the White House released last week, calls for expanded tax credits for middle- and low-income households while raising capital gains taxes and closing loopholes for the wealthy. Even though the plan has no chance of passing the Republican-controlled Congress, it does provide an opening salvo in the coming tax reform debate.

Both Obama and Republicans have expressed optimism that they can find enough common ground to overhaul the tax code, but some Republicans said Obama’s plan was so far removed from reality that it could essentially kill reform efforts. New Senate Majority Leader Mitch McConnell, R-Ky., called the Robin Hood-style plan an “unserious” one that is “not designed to pass.” Rep. Mac Thornberry, chairman of the House Armed Services Committee, told CSPAN Radio it is equivalent to President George W. Bush proposing a $350 billion tax cut after Democrats took control of the House and Senate in 2007.

Obama didn’t get to foreign policy until the second half of his speech and spoke of wars and conflict as battles already won, citing the troop withdrawal in Afghanistan and Russia’s reeling economy in the wake of sanctions. He never mentioned unrest in Nigeria, Yemen, or Libya, and only addressed Iraq and Syria in the context of “American leadership” that is “stopping ISIL’s advances.”

“The president has been eager to declare victories over jihadist groups,” Rep. Ed Royce, R-Calif., chairman of the House Foreign Affairs Committee, said in a statement. “We can only wish it were so.”

Obama, who never used the words, “Islam,” “jihad,” or “Muslim”—except to denounce “Muslim stereotypes”—called on Congress to authorize the use of force against the Islamic State (ISIL), but made no effort to explain why it was necessary or how long the engagement would last. The president ordered air strikes last September against the terrorist group that has taken over large swaths of Iraq and Syria, and members of both parties have called on him to seek congressional approval to continue the engagement.

While Obama delivered his speech to the most hostile crowd of his presidency, he also did so amid a surprising rebound in his poll numbers: An ABC/Washington Post survey released Monday found the president’s approval rating up to 50 percent for the first time since spring 2013—a 9-point increase over last month. Most polls still show a majority of Americans disapprove of Obama’s job performance, but he is clearly receiving credit for the spate of recent positive economic news.

For all the recent talk about Republicans pushing an unrealistic agenda, Obama spent most of the evening on issues that have no chance to get through Congress. The one exception may be trade agreements: When Obama called for trade deals “from Asia to Europe,” Republicans gave him a standing ovation while Democrats offered only a smattering of applause.

“Let’s tear down trade barriers,” said freshman Iowa Sen. Joni Ernst, who delivered the Republican response. “Let’s sell more of what we make and grow in America over there so we can boost manufacturing, wages, and jobs right here at home.”

Ernst’s remarks focused on how Republicans are listening to the voters who spoke in November, but she offered few policy specifics. Many GOP lawmakers echoed similar messages, assailing Obama for being tone deaf in the aftermath of last year’s elections.

“The American people spoke loud and clear in November, but it’s evident from tonight’s State of the Union that President Obama wasn’t listening,” said Rep. Virginia Foxx, R-N.C., a member of House GOP leadership. “Despite a rejection of his policies at the ballot box, the president continues to propose outdated, Washington-centered ideas that simply don’t work.”