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President Barack Obama and the Democratic-controlled Congress pressed forward on two economic fronts Wednesday, working out details of a huge stimulus plan and pledging to spend billions of dollars from a financial bailout fund with greater controls and with more attention to the nation's rising foreclosures.


Republicans, who said they were receptive to Obama's call for a "unity of purpose," promptly tested the day-old administration. They criticized Democratic spending initiatives and requested a meeting with the president to air their tax cutting plans.

Congressional officials said a meeting was planned for next week.

The maneuvers illustrated Obama's governing predicament: He wants to move swiftly to confront the troubled economy while also living up to a vow to break through the traditional partisan barriers.

Obama has ready access to $350 billion to help financial institutions loosen credit and extend loans to consumers and small businesses. At the same time, Congress is moving to give him at least $825 billion in spending and tax cuts to jolt the economy and create jobs.

On Wednesday, the House voted 260-166 to devote $40 billion to $100 billion of the financial sector bailout to reducing foreclosures. The legislation also would impose restrictions on executive pay at banks that receive the money and would require greater reporting on how the financial institutions spend the money.

Obama last week won permission from the Senate to spend the second half of the $700 billion Troubled Asset Relief Program after promising to abide by many of the same provisions in the House legislation. Still, House Financial Services Chairman Barney Frank, D-Mass., said the bill would give Congress more assurance that the goals and conditions would be met.


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