ress eu leaders’ make breakthrough with...

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BY MAGGIE MICHAEL Associated Press CAIRO — In front of tens of thousands of cheering support- ers, Egypt’s first Islamist and civil- ian president-elect vowed Friday to fight for his authority and sym- bolically read an oath of office on Cairo’s Tahrir Square on the eve of his official inauguration. Mohammed Morsi’s strongly worded speech was a show of de- fiance as he gears up to power struggle with the country’s ruling generals who passed a constitu- tional declaration taking over major presidential powers in the days before election results were announced after a bitter campaign. “Everybody is hearing me now. The government, the military and the police ... No power above this power,” he said as the crowd roared. “I reaffirm to you I will not give up any of the president’s au- thorities. I can’t afford to do this. I don’t have that right to that.” “You are the source of legiti- macy and whoever is protected by anyone else will lose,” he told his supporters. He also addressed popular de- mands, vowing to work for the re- lease of Omar Abdel-Rahman, the blind sheik jailed in the U.S. for a plot to blow up New York land- marks, as well as detained Egypt- ian protesters facing military tribunals. “I will do my best to free all de- tainees, including Dr. Omar Abdel- Rahman,” he said, pointing to a group of protesters holding a poster of the spiritual leader of men convicted in the 1993 World Trade Center bombing. Support- ers have called for the sheik to be repatriated to Egypt on humani- tarian grounds. Morsi, a 60-year-old U.S.- trained engineer, narrowly de- feated Ahmed Shafiq, Hosni Mubarak’s last prime minister and a former air force general, in a runoff race that deeply polarized the nation. Initially put forward as a back-up candidate for the Mus- lim Brotherhood, he addressed the crowd with a booming voice, flanked by several security guards. His victory has given Islamists a new boost after they overcame decades of suppression and ar- rests under Mubarak’s secular regime to become Egypt’s most influential post-revolutionary po- litical force. However, the military has fought to check the Brother- hood’s rise and maintain its hold on the reins of power. At one point he opened his jacket to show the crowd he was- n’t wearing a bulletproof vest, say- ing he “fears no one but God.” The speech ironically brought Republican Guard forces back to the square — a rare occurrence as government security forces have avoided the area to avoid provok- ing protesters angry over contin- ued military influence. Many protesters had called for Morsi to hold his swearing-in cer- emony in the square, the epicen- ter of mass protests that ousted Mubarak, but the military gener- als said it must be held in front of a high court, in the absence of a parliament. The ceremony was scheduled to be held Saturday. However, he read an informal oath during his speech to the de- light of the crowd. Many chanted “We love you Morsi” and “Oh mar- shal tell the truth, Morsi is your president, or not,” referring to the head of the ruling military panel Field Marshal Hussein Tantawi. The ruling generals have prom- ised to transfer power to an elected president by Sunday. But they also have given themselves sweeping powers that undercut the authority of the president. The constitutional declaration — issued days before the winner of a runoff vote was announced — also designated the generals the country’s legislature in place of the disbanded parliament. The disbanding of parliament forced Morsi to take his oath in front of the Constitutional Court, which ruled against the parlia- ment and whose judges were ap- pointed by Mubarak. He also reached out to the lib- eral and secular activists who spearheaded last year’s uprising. “The revolution continues ... with an elected president who leads the ship of the nation and leads the revolution,” he said. From minor scratches to major collision repairs ... we do it all! Collision assistance from the pros. You have a choice. Choose the best. W e Repair ALL makes & models. W e accept ALL insurance companies. FREE drive-in estimates. State-of-the-art collision repair facilities & equipment. Highly-trained & skilled. Lifetime Paint Warranty. W e Deal Directly with Your Insurance Agency ... so you don’t have to. • Spray in bedliners. • Windshield chip repair and replacement. • Paintless ding and dent repair. • Rental vehicles available. • Full line of accessories to personalize your vehicle. CALL THE COLLISION CENTER 605-665-4500 Farmers - Ranchers - Homeowners 2012 Pesticide Container Collections The South Dakota Department of Agriculture and the Cooperative Extension Service have set the following dates and locations for the 2012 Pesticide container collections. All plastic containers up to and including 30-55 gallon drums, plastic minibulk/shuttles, and 30-55 gallon steel drums will all be accepted. All containers must be triple rinsed or pressure rinsed. Make plans to attend the collection nearest you and thank you for your turnout in the past. All times are local For more information, contact your County Extension Office, or the South Dakota Department of Agriculture at 1-800-228-5254 or visit website at www.state.sd.us/doa/das/ Collection Schedule Date Time Location City July 16 9:00-2:00 Nelson’s Seed Service Miller July 17 9:00-2:00 County Weed & Pest Shop Watertown July 18 9:00-12:00 Clark File Hall Clark July 18 1:00-4:00 Spink Co. Fairgrounds Redfield July 19 9:00-1:00 SD Wheat Growers Huron July 23 9:00-12:00 Perkins Co. Fairgrounds Bison July 23 1:30-4:30 Southwest Grain Lemmon July 24 9:00-11:00 SD Wheat Growers McLaughlin July 24 1:00-4:00 Airport Timber Lake July 25 9:00-12:00 North Central Farmers Elevator Herreid July 25 2:00-4:00 Walworth Co. Hwy. Dept. Selby July 30 9:00-2:00 Agriliance Warehouse Aberdeen July 31 9:00-2:00 Border States Coop Sisseton Aug. 1 9:00-12:00 Farmer’s Elevator Rosholt Aug. 2 8:00-1:00 Brookings Regional Landfill Brookings Aug. 6 9:00-12:00 SD Wheat Growers Wessington Springs Aug. 7 9:00-1:00 Davison Co. Extension Mitchell Aug. 8 9:00-12:00 Lacey’s Salem Aug. 9 9:00-2:00 SDDA Bait Station Pierre Aug. 13 9:00-1:00 SD Wheat Growers Chamberlain Aug. 14 9:00-12:00 Mettler’s Menno Aug. 14 1:00-4:00 Bon Homme Co. Hwy. Dept. Tyndall Aug. 15 9:00-12:00 Country Pride Coop Fert Plant Wagner Aug. 15 1:00-4:00 Farmer’s Alliance Corsica Aug. 16 9:00-1:00 Turnis Farm Service Platte Aug. 20 9:00-12:00 Lake Preston Soil Service Lake Preston Aug. 20 1:30-4:00 Cenex Agronomy Center Howard Aug. 21 9:00-12:00 Lake Co. 4-H Grounds Madison Aug. 21 1:30-4:00 Moody Co. Hwy Dept Flandreau Aug. 22 9:00-2:00 Renner Fire Hall Renner Sept. 4 9:00-12:00 SD DOT Yard Murdo Sept. 5 9:00-2:00 Tripp Co. Recycling Center Winner Sept. 10 8:00-11:00 Midwest Coop/Cenex Philip Sept. 10 1:00-4:00 Bennett Co. Fairgrounds Martin Sept. 11 9:00-12:00 Finkbeiner Feed Belle Fourche Sept. 12 9:00-2:00 Central States Fairgrounds Rapid City 605-665-4839 186 Oak Hollow Lane, Yankton MEMBER Greater Sioux Region Better Business Bureau FloorTec PROFESSIONAL Cleaning Services For Those Who Insist On The Best! 24 HOUR EMERGENCY SERVICE We believe in the 2 basic business rules: Honesty & Integrity!” INSURANCE CLAIM SPECIALISTS SATISFACTION GUARANTEED! Who is this Handsome Young Man? Check out today’s sports section to find out! Saturday, 6.30.12 ON THE WEB: www.yankton.net NEWS DEPARTMENT: [email protected] 9 PRESS DAKOTAN the world Justice Department Won’t Prosecute Holder WASHINGTON (AP) — The Justice Department declared Friday that Attorney General Eric Holder’s decision to withhold information about a bungled gun-tracking operation from Congress does not con- stitute a crime and he won’t be prosecuted for contempt of Congress. The House voted Thursday afternoon to find Holder in criminal and civil contempt for refusing to turn over the documents. Presi- dent Barack Obama invoked his executive privilege authority and or- dered Holder not to turn over materials about executive branch deliberations and internal recommendations. In a letter to House Speaker John Boehner, the department said that it will not bring the congressional contempt citation against Holder to a federal grand jury and that it will take no other action to prosecute the attorney general. Dated Thursday, the letter was re- leased Friday. Deputy Attorney General James Cole said the decision is in line with long-standing Justice Department practice across administra- tions of both political parties. “We will not prosecute an executive branch official under the con- tempt of Congress statute for withholding subpoenaed documents pursuant to a presidential assertion of executive privilege,” Cole wrote. GOP Seeking To Repeal Health Care Law WASHINGTON (AP) — Turned away at the Supreme Court, con- gressional Republicans sketched a strategy Friday to repeal the na- tion’s health care law in 2013 that requires a sweeping election victory carrying Mitt Romney to the presidency and the party at least to narrow control of the Senate. Romney sought to turn the court’s decision upholding the two- year-old law into a campaign battle cry, saying the 5-4 ruling had in- jected “greater urgency” into his challenge to President Barack Obama. “I think many people assumed that the Supreme Court would do the work that was necessary in repealing Obamacare,” he said, adding that the justices “did not get that job done.” Several Republicans seized on a portion of Chief Justice John Roberts’ majority opinion that said the centerpiece of the law, a re- quirement to purchase insurance, was constitutional because it is based on Congress’ power to impose a tax. “Those who will end up paying the heaviest burden for not buying government-mandated in- surance won’t be the wealthiest Americans, but the very middle class families the president claims to defend,” said Senate Republi- can leader Mitch McConnell of Kentucky. The White House said that was an argument it was happy to have. Presidential press secretary Jay Carney said Obama has signed legis- lation cutting middle class taxes repeatedly, that Republicans want to extend existing income tax cuts for the wealthy and then add “an- other $5 trillion...that would disproportionately benefit” the same group. At the same time, the administration announced the latest in a se- ries to steps to implement a law that already has curbed insurance company abuses and cut costs for seniors with high prescription drug costs. Officials said another round of financing was available for states to set up health insurance exchanges, the one-stop markets for consumers scheduled to open in 2014. Congress Passes Highway Jobs, Loans Package WASHINGTON (AP) — Congress emphatically approved legisla- tion Friday preserving jobs on transportation projects from coast to coast and avoiding interest rate increases on new loans to millions of college students, giving lawmakers campaign-season bragging rights on what may be their biggest economic achievement before the No- vember elections. The bill sent for President Barack Obama’s signature enables just over $100 billion to be spent on highway, mass transit and other transportation programs over the next two years, projects that would have expired Saturday without congressional action. It also ends a bare-knuckle political battle over student loans that raged since spring, a proxy fight over which party was best helping voters muddle through the economic downturn. Under the bill, interest rates of 3.4 percent for subsidized Stafford loans for undergraduates will continue for another year, instead of doubling for new loans beginning on Sunday as scheduled by a law passed five years ago to save money. Had the measure failed, interest rates would have mushroomed to 6.8 percent for 7.4 million students expected to get the loans over the coming year, adding an extra $1,000 to the average cost of each loan and antagonizing students — and their parents — four months from Election Day. The Democratic-led Senate sent the measure to Obama by a 74-19 vote, just minutes after the Republican-run House approved it 373-52. The unusual display of harmony, in a bitterly partisan year, signaled lawmakers’ eagerness to claim credit for providing transportation jobs, to avert higher costs for students and their families and to avoid being embarrassed had the effort run aground. Chimps Attack Man At Jane Goodall Sanctuary JOHANNESBURG (AP) — Chimpanzees at a sanctuary founded by famed primatologist Jane Goodall pulled a Texas graduate student into their fenced-off enclosure, dragging him nearly a half-mile and biting his ear and hands. Andrew F. Oberle was giving a lecture to a group of tourists at the Chimp Eden sanctuary on Thursday when two chimpanzees grabbed his feet and pulled him under a fence into their enclosure, said Jef- frey Wicks of the Netcare911 emergency services company. The 26-year-old anthropology student at the University of Texas at San Antonio, suffered “multiple and severe bite wounds,” Wicks said. He was in critical condition Friday after undergoing surgery at the Mediclinic hospital in Nelspruit, 180 miles (300 kilometers) from Jo- hannesburg, hospital officials said. BY PAUL WISEMAN AND DAVID MCHUGH AP Business Writers BRUSSELS — Europe’s leaders finally rose to the challenge Friday, backing bold ideas to help weak countries and frail banks ravaged by a debt crisis that has crippled economic growth and threatened the global financial system. Markets roared their approval. For the first time in 19 summits since the start of the crisis, the EU leaders defied low expectations by announcing plans to: — Bail out banks, without putting any fi- nancial burden on strapped governments. — Ease borrowing costs on Italy and Spain, the euro region’s third- and fourth-largest economies. — Seek stronger, centralized regulation to European banks. — Rescue floundering countries, without forcing them to make painful budget cuts if they’ve already made economic reforms. —Tie their budgets, currency and govern- ments more tightly. Europe’s leaders trumpeted the agreement. The prime minister of Ireland — one of the five euro countries that has required emergency funds — said the plans marked a “seismic shift in European policy.” British Prime Minister David Cameron said that “for the first time in some time we have actually seen steps ... to get ahead of the game.” There was a sign immediately that Europe’s latest plan was easing fear in financial mar- kets: The cost for the troubled government of Spain to borrow money on the bond market fell dramatically. The interest rate, or yield, on the country’s 10-year bonds fell by more than half a percentage point, to 6.34 percent. The Dow Jones industrial average recorded one of its biggest gains of the year, and stocks advanced even further in Europe — in strong and weak countries alike. The benchmark stock index in Germany rose 4.3 percent, by far its best performance this year. Germany has the biggest economy in Europe, and a warm reaction there was a crucial sign of ap- proval for the plan. Prices for oil and other commodities shot higher. The decisions made at the European Union summit in Brussels won’t end the crisis that has gripped Europe for nearly three years. Plenty of questions remain about how the bank bailouts would work, whether there’s enough money committed to rescue banks and governments and whether impoverished, in- debted Greece will be forced out of the euro club. But for EU leaders who have consistently underwhelmed their exasperated publics and nervous financial markets, Friday’s plans marked a breakthrough. At first it looked like the summit would pro- duce little more than a modest plan to stimu- late growth in Europe. But Italy and Spain, whose borrowing costs have soared to danger- ous levels, refused to sign off on a $150 billion spending plan unless something was done to ease their financial burdens. So the leaders signaled a willingness to ex- pand the use of Europe’s two rescue funds. The money could be used to buy bonds to drive down a country’s borrowing costs. Or it could be loaned directly to troubled banks, which would EU leaders said would help break “the vicious cycle” in which weak banks and weak governments threaten to drag each other down. Before the summit, European leaders in- sisted that bailout funds be used only to res- cue governments — like Ireland, Portugal and Greece. If money was going to be used for banks, it had to first go to a government, which then funneled it to the troubled banks. But that added to the debt on a government’s books because it was responsible for repaying the money. So efforts to help the banks ended up rais- ing fears about governments. That is why Spain’s borrowing costs rose dramatically after the eurozone countries agreed to lend it $125 billion to rescue its banks. The EU plans also call for a single regulator — probably the European Central Bank — to oversee Europe’s banks. Currently, banks are regulated by their national governments such as Spain’s, which have been slow to recognize loan problems and shut down the worst banks. As part of a broad “banking union” the new regulator will likely get power to close failing banks if their national regulators won’t do it. The plan is also expected to include deposit insurance across Europe. Individual European countries now insure bank deposits within their borders. But bank failures could over- whelm those national funds. The bank overhaul is supposed to be com- pleted by the end of the year. JAMES LAWLER DUGGAN/MCT Egyptian President-elect Mohammed Morsi addresses tens of thousands of supporters in Tahrir Square in Cairo, Egypt, Friday, June 29, 2012. He wore no bulletproof vest. Egypt President-Elect Vows To Fight For Authority EU Leaders’ Make Breakthrough With Crisis

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Page 1: RESS EU Leaders’ Make Breakthrough With Crisistearsheets.yankton.net/june12/063012/ypd_063012_SecA_009.pdf · The South Dakota Department of Agriculture and the Cooperative Extension

BY MAGGIE MICHAELAssociated Press

CAIRO — In front of tens ofthousands of cheering support-ers, Egypt’s first Islamist and civil-ian president-elect vowed Fridayto fight for his authority and sym-bolically read an oath of office onCairo’s Tahrir Square on the eveof his official inauguration.

Mohammed Morsi’s stronglyworded speech was a show of de-fiance as he gears up to powerstruggle with the country’s rulinggenerals who passed a constitu-tional declaration taking overmajor presidential powers in thedays before election results wereannounced after a bittercampaign.

“Everybody is hearing me now.The government, the military andthe police ... No power above thispower,” he said as the crowdroared. “I reaffirm to you I will notgive up any of the president’s au-thorities. I can’t afford to do this. Idon’t have that right to that.”

“You are the source of legiti-macy and whoever is protectedby anyone else will lose,” he toldhis supporters.

He also addressed popular de-mands, vowing to work for the re-lease of Omar Abdel-Rahman, theblind sheik jailed in the U.S. for aplot to blow up New York land-marks, as well as detained Egypt-ian protesters facing militarytribunals.

“I will do my best to free all de-tainees, including Dr. Omar Abdel-Rahman,” he said, pointing to agroup of protesters holding aposter of the spiritual leader ofmen convicted in the 1993 WorldTrade Center bombing. Support-ers have called for the sheik to berepatriated to Egypt on humani-tarian grounds.

Morsi, a 60-year-old U.S.-trained engineer, narrowly de-feated Ahmed Shafiq, HosniMubarak’s last prime minister anda former air force general, in arunoff race that deeply polarizedthe nation. Initially put forward asa back-up candidate for the Mus-

lim Brotherhood, he addressedthe crowd with a booming voice,flanked by several securityguards.

His victory has given Islamistsa new boost after they overcamedecades of suppression and ar-rests under Mubarak’s secularregime to become Egypt’s mostinfluential post-revolutionary po-litical force. However, the militaryhas fought to check the Brother-hood’s rise and maintain its holdon the reins of power.

At one point he opened hisjacket to show the crowd he was-n’t wearing a bulletproof vest, say-

ing he “fears no one but God.”The speech ironically brought

Republican Guard forces back tothe square — a rare occurrence asgovernment security forces haveavoided the area to avoid provok-ing protesters angry over contin-ued military influence.

Many protesters had called forMorsi to hold his swearing-in cer-emony in the square, the epicen-ter of mass protests that oustedMubarak, but the military gener-als said it must be held in front ofa high court, in the absence of aparliament. The ceremony wasscheduled to be held Saturday.

However, he read an informaloath during his speech to the de-light of the crowd. Many chanted“We love you Morsi” and “Oh mar-shal tell the truth, Morsi is yourpresident, or not,” referring to thehead of the ruling military panelField Marshal Hussein Tantawi.

The ruling generals have prom-ised to transfer power to anelected president by Sunday. Butthey also have given themselvessweeping powers that undercutthe authority of the president.The constitutional declaration —issued days before the winner of arunoff vote was announced —also designated the generals thecountry’s legislature in place ofthe disbanded parliament.

The disbanding of parliamentforced Morsi to take his oath infront of the Constitutional Court,which ruled against the parlia-ment and whose judges were ap-pointed by Mubarak.

He also reached out to the lib-eral and secular activists whospearheaded last year’s uprising.

“The revolution continues ...with an elected president wholeads the ship of the nation andleads the revolution,” he said.

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CALL THE COLLISION CENTER

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Farmers - Ranchers - Homeowners2012 Pesticide Container Collections

The South Dakota Department of Agriculture and the Cooperative Extension Service have set the following dates and locations for the 2012 Pesticide container collections. All plastic containers up to and including 30-55 gallon drums, plastic minibulk/shuttles, and 30-55 gallon steel drums will all be accepted. All containers must be triple rinsed or pressure rinsed. Make plans to attend the collection nearest you and thank you for your turnout in the past.

All times are localFor more information, contact your County Extension Offi ce,

or the South Dakota Department of Agriculture at 1-800-228-5254or visit website at www.state.sd.us/doa/das/

Collection ScheduleDate Time Location City July 16 9:00-2:00 Nelson’s Seed Service MillerJuly 17 9:00-2:00 County Weed & Pest Shop WatertownJuly 18 9:00-12:00 Clark File Hall ClarkJuly 18 1:00-4:00 Spink Co. Fairgrounds Redfi eldJuly 19 9:00-1:00 SD Wheat Growers HuronJuly 23 9:00-12:00 Perkins Co. Fairgrounds BisonJuly 23 1:30-4:30 Southwest Grain LemmonJuly 24 9:00-11:00 SD Wheat Growers McLaughlinJuly 24 1:00-4:00 Airport Timber LakeJuly 25 9:00-12:00 North Central Farmers Elevator HerreidJuly 25 2:00-4:00 Walworth Co. Hwy. Dept. SelbyJuly 30 9:00-2:00 Agriliance Warehouse AberdeenJuly 31 9:00-2:00 Border States Coop SissetonAug. 1 9:00-12:00 Farmer’s Elevator RosholtAug. 2 8:00-1:00 Brookings Regional Landfi ll BrookingsAug. 6 9:00-12:00 SD Wheat Growers Wessington SpringsAug. 7 9:00-1:00 Davison Co. Extension MitchellAug. 8 9:00-12:00 Lacey’s SalemAug. 9 9:00-2:00 SDDA Bait Station PierreAug. 13 9:00-1:00 SD Wheat Growers ChamberlainAug. 14 9:00-12:00 Mettler’s MennoAug. 14 1:00-4:00 Bon Homme Co. Hwy. Dept. TyndallAug. 15 9:00-12:00 Country Pride Coop Fert Plant WagnerAug. 15 1:00-4:00 Farmer’s Alliance CorsicaAug. 16 9:00-1:00 Turnis Farm Service PlatteAug. 20 9:00-12:00 Lake Preston Soil Service Lake PrestonAug. 20 1:30-4:00 Cenex Agronomy Center HowardAug. 21 9:00-12:00 Lake Co. 4-H Grounds MadisonAug. 21 1:30-4:00 Moody Co. Hwy Dept FlandreauAug. 22 9:00-2:00 Renner Fire Hall RennerSept. 4 9:00-12:00 SD DOT Yard MurdoSept. 5 9:00-2:00 Tripp Co. Recycling Center WinnerSept. 10 8:00-11:00 Midwest Coop/Cenex PhilipSept. 10 1:00-4:00 Bennett Co. Fairgrounds MartinSept. 11 9:00-12:00 Finkbeiner Feed Belle FourcheSept. 12 9:00-2:00 Central States Fairgrounds Rapid City

605-665-483 9 186 Oak Hollow Lane, Yankton

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Who is this Handsome

Young Man?

Check out today’s sports section

to find out!

Saturday, 6.30.12ON THE WEB: www.yankton.net

NEWS DEPARTMENT: [email protected] 9PRESS DAKOTANthe worldJustice Department Won’t Prosecute Holder

WASHINGTON (AP) — The Justice Department declared Fridaythat Attorney General Eric Holder’s decision to withhold informationabout a bungled gun-tracking operation from Congress does not con-stitute a crime and he won’t be prosecuted for contempt ofCongress.

The House voted Thursday afternoon to find Holder in criminaland civil contempt for refusing to turn over the documents. Presi-dent Barack Obama invoked his executive privilege authority and or-dered Holder not to turn over materials about executive branchdeliberations and internal recommendations.

In a letter to House Speaker John Boehner, the department saidthat it will not bring the congressional contempt citation againstHolder to a federal grand jury and that it will take no other action toprosecute the attorney general. Dated Thursday, the letter was re-leased Friday.

Deputy Attorney General James Cole said the decision is in linewith long-standing Justice Department practice across administra-tions of both political parties.

“We will not prosecute an executive branch official under the con-tempt of Congress statute for withholding subpoenaed documentspursuant to a presidential assertion of executive privilege,” Colewrote.

GOP Seeking To Repeal Health Care LawWASHINGTON (AP) — Turned away at the Supreme Court, con-

gressional Republicans sketched a strategy Friday to repeal the na-tion’s health care law in 2013 that requires a sweeping electionvictory carrying Mitt Romney to the presidency and the party atleast to narrow control of the Senate.

Romney sought to turn the court’s decision upholding the two-year-old law into a campaign battle cry, saying the 5-4 ruling had in-jected “greater urgency” into his challenge to President BarackObama. “I think many people assumed that the Supreme Court woulddo the work that was necessary in repealing Obamacare,” he said,adding that the justices “did not get that job done.”

Several Republicans seized on a portion of Chief Justice JohnRoberts’ majority opinion that said the centerpiece of the law, a re-quirement to purchase insurance, was constitutional because it isbased on Congress’ power to impose a tax. “Those who will end uppaying the heaviest burden for not buying government-mandated in-surance won’t be the wealthiest Americans, but the very middleclass families the president claims to defend,” said Senate Republi-can leader Mitch McConnell of Kentucky.

The White House said that was an argument it was happy to have.Presidential press secretary Jay Carney said Obama has signed legis-lation cutting middle class taxes repeatedly, that Republicans wantto extend existing income tax cuts for the wealthy and then add “an-other $5 trillion...that would disproportionately benefit” the samegroup.

At the same time, the administration announced the latest in a se-ries to steps to implement a law that already has curbed insurancecompany abuses and cut costs for seniors with high prescriptiondrug costs. Officials said another round of financing was available forstates to set up health insurance exchanges, the one-stop marketsfor consumers scheduled to open in 2014.

Congress Passes Highway Jobs, Loans PackageWASHINGTON (AP) — Congress emphatically approved legisla-

tion Friday preserving jobs on transportation projects from coast tocoast and avoiding interest rate increases on new loans to millions ofcollege students, giving lawmakers campaign-season bragging rightson what may be their biggest economic achievement before the No-vember elections.

The bill sent for President Barack Obama’s signature enables justover $100 billion to be spent on highway, mass transit and othertransportation programs over the next two years, projects thatwould have expired Saturday without congressional action. It alsoends a bare-knuckle political battle over student loans that ragedsince spring, a proxy fight over which party was best helping votersmuddle through the economic downturn.

Under the bill, interest rates of 3.4 percent for subsidized Staffordloans for undergraduates will continue for another year, instead ofdoubling for new loans beginning on Sunday as scheduled by a lawpassed five years ago to save money.

Had the measure failed, interest rates would have mushroomed to6.8 percent for 7.4 million students expected to get the loans overthe coming year, adding an extra $1,000 to the average cost of eachloan and antagonizing students — and their parents — four monthsfrom Election Day.

The Democratic-led Senate sent the measure to Obama by a 74-19vote, just minutes after the Republican-run House approved it 373-52.The unusual display of harmony, in a bitterly partisan year, signaledlawmakers’ eagerness to claim credit for providing transportationjobs, to avert higher costs for students and their families and toavoid being embarrassed had the effort run aground.

Chimps Attack Man At Jane Goodall SanctuaryJOHANNESBURG (AP) — Chimpanzees at a sanctuary founded by

famed primatologist Jane Goodall pulled a Texas graduate studentinto their fenced-off enclosure, dragging him nearly a half-mile andbiting his ear and hands.

Andrew F. Oberle was giving a lecture to a group of tourists at theChimp Eden sanctuary on Thursday when two chimpanzees grabbedhis feet and pulled him under a fence into their enclosure, said Jef-frey Wicks of the Netcare911 emergency services company.

The 26-year-old anthropology student at the University of Texasat San Antonio, suffered “multiple and severe bite wounds,” Wickssaid.

He was in critical condition Friday after undergoing surgery at theMediclinic hospital in Nelspruit, 180 miles (300 kilometers) from Jo-hannesburg, hospital officials said.

BY PAUL WISEMAN AND DAVID MCHUGHAP Business Writers

BRUSSELS — Europe’s leaders finally roseto the challenge Friday, backing bold ideas tohelp weak countries and frail banks ravagedby a debt crisis that has crippled economicgrowth and threatened the global financialsystem.

Markets roared their approval.For the first time in 19 summits since the

start of the crisis, the EU leaders defied lowexpectations by announcing plans to:

— Bail out banks, without putting any fi-nancial burden on strapped governments.

— Ease borrowing costs on Italy and Spain,the euro region’s third- and fourth-largesteconomies.

— Seek stronger, centralized regulation toEuropean banks.

— Rescue floundering countries, withoutforcing them to make painful budget cuts ifthey’ve already made economic reforms.

—Tie their budgets, currency and govern-ments more tightly.

Europe’s leaders trumpeted the agreement.The prime minister of Ireland — one of the fiveeuro countries that has required emergencyfunds — said the plans marked a “seismic shiftin European policy.” British Prime MinisterDavid Cameron said that “for the first time insome time we have actually seen steps ... toget ahead of the game.”

There was a sign immediately that Europe’slatest plan was easing fear in financial mar-kets: The cost for the troubled government ofSpain to borrow money on the bond market

fell dramatically. The interest rate, or yield, onthe country’s 10-year bonds fell by more thanhalf a percentage point, to 6.34 percent.

The Dow Jones industrial average recordedone of its biggest gains of the year, and stocksadvanced even further in Europe — in strongand weak countries alike. The benchmarkstock index in Germany rose 4.3 percent, byfar its best performance this year. Germanyhas the biggest economy in Europe, and awarm reaction there was a crucial sign of ap-proval for the plan. Prices for oil and othercommodities shot higher.

The decisions made at the European Unionsummit in Brussels won’t end the crisis thathas gripped Europe for nearly three years.Plenty of questions remain about how thebank bailouts would work, whether there’senough money committed to rescue banks andgovernments and whether impoverished, in-debted Greece will be forced out of the euroclub.

But for EU leaders who have consistentlyunderwhelmed their exasperated publics andnervous financial markets, Friday’s plansmarked a breakthrough.

At first it looked like the summit would pro-duce little more than a modest plan to stimu-late growth in Europe. But Italy and Spain,whose borrowing costs have soared to danger-ous levels, refused to sign off on a $150 billionspending plan unless something was done toease their financial burdens.

So the leaders signaled a willingness to ex-pand the use of Europe’s two rescue funds.The money could be used to buy bonds to

drive down a country’s borrowing costs. Or itcould be loaned directly to troubled banks,which would EU leaders said would help break“the vicious cycle” in which weak banks andweak governments threaten to drag each otherdown.

Before the summit, European leaders in-sisted that bailout funds be used only to res-cue governments — like Ireland, Portugal andGreece. If money was going to be used forbanks, it had to first go to a government,which then funneled it to the troubled banks.But that added to the debt on a government’sbooks because it was responsible for repayingthe money.

So efforts to help the banks ended up rais-ing fears about governments. That is whySpain’s borrowing costs rose dramaticallyafter the eurozone countries agreed to lend it$125 billion to rescue its banks.

The EU plans also call for a single regulator— probably the European Central Bank — tooversee Europe’s banks. Currently, banks areregulated by their national governments suchas Spain’s, which have been slow to recognizeloan problems and shut down the worst banks.

As part of a broad “banking union” the newregulator will likely get power to close failingbanks if their national regulators won’t do it.The plan is also expected to include depositinsurance across Europe. Individual Europeancountries now insure bank deposits withintheir borders. But bank failures could over-whelm those national funds.

The bank overhaul is supposed to be com-pleted by the end of the year.

JAMES LAWLER DUGGAN/MCT

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