The Washington Post covers the Obama family attending Easter services yesterday at an African-American church in DC. "As Obama worshipped with 700 others for two hours, the parishioners and preachers made him a focal point of the service. His mere presence was historic, they said. In Ward 8, the District's poorest, Obama's arrival was at once regarded as a reminder of the neighborhood's problems -- the unemployment rate is 28.5 percent -- and a reason to maintain hope." 

Obama today: President Obama throws out the first pitch at the Nationals' game this afternoon, marking the 100th anniversary of presidents throwing out Opening Day first pitches. Taft was the first to do so in 1910. Also today is the White House Easter Egg roll. "The White House is expecting 30,000 men, women and children for the annual tradition," AP writes. "Celebrities joining the festivities include singer Justin Bieber and the cast of 'Glee.' More than 14,500 hard-boiled eggs are dyed and waiting."

"The President has been warming up this time around, too, playing catch on the White House grounds to prepare for the opener," the New York Daily News reports. "'Just like all the pitchers around the majors, the southpaw President has engaged in a little spring training in the Rose Garden to get his curve ball in Opening Day order,' said White House spokesman Robert Gibbs. And: "Obama's pitch last year wasn't the greatest. Cardinals first baseman Albert Pujols, a future Hall of Famer, saved him from the embarrassment of a short hop by moving up to scoop the low pitch inches off the ground. Taft got similar help from another Hall of Famer, pitcher Walter Johnson, as The AP reported: 'The throw was a little low, but the pitcher struck out his long arm and grabbed the ball before it hit the ground.'" More: "Monday's game will feature a rematch of the 1910 opener, Washington hosting Philadelphia, but not the same teams."

"Two top Republicans in Congress on Sunday said that the Republican National Committee (RNC) needs to get its fiscal house in order lest they lose the support of loyal donors," The Hill writes.  
 
The New York Daily News adds, "Two top Republicans were not showing the love for party boss Michael Steele on Sunday after two of sex-themed embarrassments rocked the GOP last week."  
 
"The national breakdown of the Tea Party composition is 57 percent Republican, 28 percent Independent and 13 percent Democratic, according to three national polls by the Winston Group, a Republican-leaning firm that conducted the surveys on behalf of an education advocacy group," The Hill writes. "Two-thirds of the group call themselves conservative, 26 are moderate and 8 percent say they are liberal." 

"Senate Majority Leader Harry Reid (D-Nev.) criticized Republicans Sunday for blocking unemployment benefits, which will expire Monday while Congress is out of session," The Hill reports. Reid issued a statement saying that Republicans making 'excuses' for stalling the benefits package and are hurting the unemployed. 'Families in Nevada and across America are struggling to make ends meet, and many are relying on unemployment insurance and health benefits as they look to find work,' he said. 'It is inexcusable and irresponsible for Republicans to once again block the extension of these benefits. Their excuses ring hollow to American workers who lost their jobs through no fault of their own and are trying to put food on the table, pay the rent, and take their children to the doctors.'"

"The president of Pakistan recently sent Senator John F. Kerry flowers," the Boston Globe writes. "Pakistan's powerful army chief spent three hours at Kerry's house recently for dinner. And soon, officials in Islamabad will confer on Kerry the 'hilal-e-Pakistan' -- the highest honor given to a foreigner… As part of the funding offensive, Kerry has become a key architect of a policy shift away from strictly short-term, conditional payments to Pakistan's military and toward long-term pledges of assistance to its citizens. As a result, Pakistan is on track to become the second-largest recipient of US foreign aid in the world, outstripping Israel, historically the largest recipient, according to preliminary budget documents the administration gave to Congress."  
 
"Sen. Arlen Specter (D-Pa.) said he knows who he'd like to fill Justice John Paul Stevens' seat on the Supreme Court, but he'll tell that to President Barack Obama on Monday," The Hill writes. "Stevens, who turns 90 this month, said in an interview that he would 'surely' retire during Obama's term." Specter also said he'd like to see Stevens retire next year instead of this year because he fears the Senate would filibuster this year. And as far as what kind of background he'd like to see a nominee have, catch this quote: "We have enough ex-circuit justices on the Supreme Court."  
 
"Fresh off their successful use of filibuster-busting reconciliation rules to pass their health-care-cum-student-loan-overhaul, Democrats preparing to write a new budget blueprint have to decide whether to give the controversial practice another go later this year," Roll Call writes.  
 
Rep. John Lewis says the U.S. lacks a "moral leader" 42 years after the assassination of Martin Luther King Jr. 

ARKANSAS: The Washington Post profiles the upcoming Lincoln-Halter Senate Democratic primary. "Backed by national labor unions and Democratic activists, Lt. Gov. Bill Halter is attacking Lincoln from the left as an uncertain senator who too often tilts right on major issues, including Wall Street, health care and the environment... Lincoln counters that Halter, who returned to Arkansas to run for office after 20 years in government and business, misunderstands the Arkansas electorate. Touting moderation as a virtue, she calls herself 'the rope in the tug of war.'" 

CALIFORNIA: An L.A. Times/USC poll has Meg Whitman leading Steve Poizner by 40 points and Democrat Jerry Brown 44%-41%. "In the Republican Senate contest, former U.S. Rep. Tom Campbell held a slim lead over one-time Hewlett-Packard chief Carly Fiorina, 29% to 25%. Coming in a distant third was Orange County Assemblyman Chuck DeVore, at 9%." And: "At this early stage of the campaign, Boxer has a comfortable cushion over a generic Republican, 48% to 34%, as she seeks her fourth term."
 
Also: "In the four months since the last Times/USC College of Letters, Arts and Sciences poll was taken, Gov. Arnold Schwarzenegger's job approval ratings have fallen 8 points, to a record low 25%. During the same time, Boxer's approval dipped only three points, to 40%, and fellow Sen. Dianne Feinstein's by two points, to 46% -- drops that were statistically insignificant."  
 
"By a margin of 46% to 29%, California voters surveyed said they would be more likely to vote for a politician who had supported the health bill," The L.A. Times writes. "And just over half the voters polled said they believed the country would be better off because of the bill." 

COLORADO: The Washington Post's Dan Balz parachutes into Colorado to see how Rep. Betsy Markey's (D) vote for the health-care legislation might play out in November. "In the days since [the vote], Markey has been both praised and vilified. The National Republican Congressional Committee taunted her with an e-mail release proclaiming, 'Bye Bye, Betsy.' She made former Alaska governor Sarah Palin's list of targeted Democrats. But they were only ratifying the obvious. In November, the race in Colorado's 4th District will be crucial to Republican hopes to take over the House." 

In Democratic Sen. Michael Bennett's new campaign ad, the incumbent contrasts Washington D.C., with Washington County, Colorado. The ad "kicks off with him appearing outside the Capitol, clad in a business suit and saying, 'In this Washington, they spend money they don't have.' The ad then cuts to Bennet pointing to a road sign in Washington County, wearing a light-colored jacket: 'In this Washington, families are looking for ways to get by,' he says."

FLORIDA: Stu Rothenberg says, "There is plenty of reason for Crist to consider an Independent bid for Senate… Though everyone acknowledges that the GOP primary is still almost five months away and that Crist has resources and ammunition to use against Rubio, Crist and his loyal supporters seem to be the only ones who believe that a comeback is realistic." But: "Insiders seem to agree that a Crist Independent bid would damage the governor's credibility and rob him of much of the Republican and Democratic support he currently has in hypothetical ballot tests, certainly putting him at great risk of a third-place finish. Running as an Independent would confirm the line of attack that Crist's critics have leveled at him -- that he is an opportunist who will do or say anything that he needs to in order to further his personal goals."

INDIANA: Roll Call profiles John Hostettler's long-shot bid to get back to Washington via the race to replace Evan Bayh in the U.S. Senate.

KENTUCKY: Senate candidate Rand Paul's latest ad, "Machine," paints his opponent Trey Grayson as a Washington insider and himself as the anti-establishment choice. 

MICHIGAN: Roll Call gets into MI-7: "For political junkies and those who follow Congressional races closely, the GOP primary in Michigan's 7th district presents perhaps one of the most intriguing matchups of the 2010 cycle: a former Member of Congress versus the brother of a current Member. Former Rep. Tim Walberg (R), who was ousted by Rep. Mark Schauer (D) in 2008, is hoping for a rematch this November, but first he must get past attorney Brian Rooney, a Marine Corps veteran and recent district transplant. Rooney is the younger brother of freshman Rep. Tom Rooney (R-Fla.) and the grandson of Pittsburgh Steelers founder Art Rooney."  
 
NEVADA: The Las Vegas Review-Journal profiles Sue Lowden as part of a backgrounder on the top five GOP Senate candidates, citing her record as a casino owner as one of her weaknesses: "[Sue's husband] Paul Lowden, as Archon chief executive officer, was paid $200,000 in bonuses in 2004 and again last year when the Archon-run Pioneer Hotel & Gambling Hall in Laughlin dropped 106 employees and stopped matching employee contributions to 401k accounts."    
 
Tea Party candidate Scott Ashjian "paid $5,575 to cover a disputed [$5,000] check and prosecution fees before Las Vegas Justice of the Peace Deborah Lippis approved withdrawing felony theft and bad check charges, court officials said," according to the AP.   

PENNSYLVANIA: The Hill profiles Sen. Arlen Specter: "Despite vowing independence when he switched parties on April 28th of last year, Specter has become a model Democratic senator. During Specter's 29-year career as a Senate Republican, he voted with Democrats 35 percent of the time. Since switching parties in 2009, he has cast more than 95 out of 100 votes with Democratic leaders."

A look at the week ahead in politics.

The president heads to Prague to sign a nuclear treaty; Congress is off; Obama throws out the Washington Nationals' first pitch; the Financial Inquiry Commission holds its first hearing; Romney to NH; Palin, Bachmann together; and the Southern Republican Leadership Conference GOP cattle call kicks off in New Orleans.

Click here for the full video.

A brief clip is below:

Visit msnbc.com for breaking news, world news, and news about the economy

From NBC's Domenico Montanaro
Earlier today, NBC's Ali Weinberg noted that President Obama gave a 17-minute answer about the taxes in the health-care law (although he answered that particular question only at the end).

Here is his entire response:

Q    Thank you, Mr. President.  We're honored to have you here today.  I'm Doris Ravis (sp) from Lake Wylie, South Carolina.  I work at Celgard.  We have wonderful CEOs that take care of us and have really helped the company grow.  My question is, though, in the economy times that we have now, is it a wise decision to add more taxes to us with the health care?  Because it -- we are over-taxed as it is.

THE PRESIDENT:  Well, let's talk about that, because this is an area where there's been just a whole lot of misinformation, and I'm going to have to work hard over the next several months to clean up a lot of the misapprehensions that people have.  Here's the bottom line:  Number one is that we are the only -- we have been up until last week the only advanced country that allows 50 million of its citizens to not have any health insurance, and the vast majority of those folks work.  It's just that they don't happen to work for a company that is either big enough or generous enough to provide them any coverage.

So that's point number one.  There is a moral imperative that is important.  Number two, you don't know who might end up being in that situation.  See, those of us who have health care right now ask ourselves, well, is this something that should be a priority right now, but anybody here who lost their job and then COBRA ran out, or COBRA wasn't subsidized the way the Recovery Act made sure COBRA paid 65 percent of the cost of COBRA -- and if you had somebody at home who was sick, or you had a child who got sick, you'd suddenly say to yourself, well, now I see the need. 

And so part of what we have to do is always say to ourselves, there but for the grace of God go I -- and have a basic safety net.  So that's point number two.

Point number three is that the way insurance companies have been operating, even if you've got health insurance you don't always know what you got, because what has been increasingly the practice is that if you're not lucky enough to work for a big company that is a big pool, that essentially is almost a self-insurer, then what's happening is, is you're going out on the marketplace, you may be buying insurance, you think you're covered, but then when you get sick they decide to drop the insurance right when you need it.  Or when you get sick they try to find what they consider to be a preexisting condition that would justify them canceling your policy.  Or there's some fine print in there where you've got a lifetime limit, and it turns out you thought you had coverage, but it turns out the coverage only goes up to a certain point and then afterwards you have to start paying out of pocket.  And even after paying all those premiums, you're now in the hole for $100,000 or $200,000, and you're going bankrupt and you're losing your house.

And the final point is that the costs of health care -- setting aside anything we did in reform, I mean, if we just allowed the current trajectory to go on -- is out of control.  I haven't talked to Bob about what his costs are looking like for Celgard employees, but I can tell you that health care costs have gone up, the price of health care has gone up three times faster than wages.  So either the company is having to swallow those costs, which means that's less money that they could use for hiring new workers or investing in new plants and equipment, or they're passing on those costs to their employees in the form of higher premiums, higher deductibles, higher co-payments.

And what's happening federally is, because the costs are so out of control, all the programs that we already have -- Medicare, Medicaid, the Children's Health Insurance Program -- all those things are completely out of control.  So if you're concerned about the deficit, what you're really concerned about is the cost of Medicare, Medicaid, and all the other programs that are already in place.

So here's what we did.  What we said is, number one, we'll have the basic principle that everybody gets coverage.  And the way we're going to do that is to say that most people individually shouldn't buy health insurance on their own because they have no leverage and the insurance companies take advantage of it.  Instead what we're going to do is we're going to set up a big pool, a marketplace, that allows everybody to buy into this pool -- that members of Congress, by the way, will be a part of so you know it's going to be a good deal -- because members of Congress, they've got to look out for their own families; they wouldn't vote for it if it wasn't going to be a good deal.  And just like Walmart is able to leverage a really good price from its suppliers for everything because they're such a big purchaser, well, this pool will be a big purchaser and it will be able to get a better deal from insurance companies.

     So that's point number one.  That will drive down the prices for people who are participating and it will allow everybody to get a decent deal on insurance.  And what we do is we provide tax credits to people who still can't afford it so that they can afford it.  That's point number one.

     Point number two is we've got the strongest insurance reforms in history.  So all those things I told you about -- you not being able to get insurance because of a preexisting condition; you finding yourself getting dropped even though you've been paying premiums for 15 years and suddenly they just decide, sorry, we don't want you because you're getting sick -- those policies will be over.  And so you will be protected as a consumer to make sure you've got security and protection if you've got insurance already.  That's the second thing we do.

     The third thing we do is we actually put in place a whole bunch of mechanisms to start reducing the actual cost of health care.  So, for example, one of the things that we do is to say we're going to start encouraging paying doctors not based on how many tests they take, but based on the quality of the outcome -- does somebody end up healthy.

     And it turns out that a lot of times if you go to the doctor you get one test.  Then you go -- referred to a specialist, you get another test.  Then maybe you go to a third person, the surgeon, you get a third test -- it's all the same test but you're paying three times.

     So what we're trying to say is, we'll pay you for the first test and then e-mail the test to everybody.  Right?  (Applause.)  Or have all three doctors in the room when the test is being taken.

     But that's an example of the kinds of things that save money and will start reducing costs over the long term.  So what we've done is we've embedded in how Medicare reimburses, how Medicaid reimburses, all these ideas to actually reduce the costs of care.

     So our hope is that over time, over the next three, four, five, six years, because of all these changes, that we've actually saved money from this, even though more people are covered. 

And so now you'll hear the critics and the Republicans say, now, that just defies common sense.  If you're adding 30 million more people, then it's got to cost more money.  And you can't pretend like somehow that's going to help us on the deficit.  I've heard this criticism, I understand it. 

     But let me give you an example.  If you've got a house and you've got a big hole in your roof, and it's raining and snowing through that roof and there are some people who are inside the rooms where the roof is okay and they're nice and warm, and then you got a few -- your family members in that room where there's a big hole in the roof and they're shivering, and they're cold -- if you repair the roof, that's going to cost some money.  But if all the water damage from your floors and all the heat that's going out of the roof, you count all those savings, over time it may turn out that it actually is saving you money and, by the way, all those family members now are warm, too.  You're not the only one who's warm, right?  That's essentially what we're trying to set up.

     Now, last point I want to make.  All those savings that we're anticipating, we don't even count those when it comes to making sure that this is deficit-neutral.  Here are the two ways that we're paying for this thing:  Number one, we are eliminating a whole bunch of waste, fraud, and insurance subsidies that were being paid out under Medicare that aren't making our seniors any healthier.  I mean, you've got a pretty sweet deal for insurance companies right now in a program called Medicare Advantage where they get $18 billion a year paid to them to manage a Medicare program that about 80 percent of seniors are getting directly from the government, and it's working just fine.  It's just a subsidy to them that doesn't make anybody healthier.  So what we're saying is, well, let's eliminate the subsidy.  So that's about how we pay for half of this thing.

The other half of it, it is true that we have identified some additional taxes that we think are fair.  And let me describe, just to give you an example -- I don't think this will affect you, but I don't know -- I don't know your family's circumstances.  Right now, if you're on salary, you get your salary from Celgard or any of the companies around here, you're paying your Medicare tax on all of that, right?  You see it on your -- it's part of your FICA.  But if you're Warren Buffett and you get most of your money from dividends and capital gains, you don't pay Medicare tax on that.  You're eligible for it.  You're going to get the same Medicare benefits as anybody else.  But because your source of income is what's called unearned income -- capital gains and dividends -- you don't have to pay this.

     Well, I'm thinking to myself how is it that the guy who is cleaning up the office is paying the Medicare tax and the guy who is making capital gains isn't?  So what we said was, look, if you make more than $200,000, $250,000 a year, then that money that you make over $200,000, $250,000 a year that's unearned -- that's from capital gains and dividends -- you should have to pitch in to Medicare just like everybody else, because you're going to be using it like everybody else.  So it's a concept of fairness.  (Applause.)

     Now, what the Congressional Budget Office has said -- I'm sorry, by the way, these questions sometimes are -- or these answers are long, but I want to make sure you guys -- that I'm really answering your question.  I hope you feel like I really want to respect the importance of your question.  What the Congressional Budget Office has said is that as a consequence of the savings from the waste and fraud, combined with the new revenue sources I just mentioned, that this thing is going to actually reduce our deficit by over a trillion dollars -- over a trillion dollars.  We're actually saving money for the government -- because we closed the roof, the house is now insulated, it's warm.  And by the way, in the meantime we've got a whole bunch of people who were left out in the cold who are now being taken care of.

     That's the concept.  But I know that for a lot of people, they've got a legitimate concern about, gosh, it just seems like government spending is out of control.  I understand that.  I feel that.  But understand what happened:  When I walked in, we already had a $1.3 trillion deficit.  That's an annual deficit of $1.3 trillion.  That's -- the day I got sworn in, before I did a thing, we had $8 trillion in accumulated debt from the war in Iraq -- not paid for; the prescription drug plan, Medicare Part D -- not paid for; Bush tax cuts -- not paid for.

     So we already had all this debt that had just been piled up, but nobody had noticed because things were going kind of good.  Just like a lot of folks didn't notice their credit card was going up or that their home equity loans were going up because when things are going good you tend not to notice.

     So all that debt had already accumulated.  We then had to spend $787 billion on the Recovery Act to do all the things -- unemployment insurance; COBRA; what's called FMAP, which is essentially helping states to keep their budgets afloat so that they didn't have to lay off teachers and cops and firefighters -- all of which if that had happened would have further depressed the economy and we would have recovered a lot later; the investments we're making in clean energy and things like Celgard to help spur economic growth.

     So we had to spend that, but that's only a fraction of what our debt was.  And in addition what happens is when the economy goes south, there are fewer tax revenues.  And so you're putting more money out to help people with unemployment insurance and things like that, but you're getting less money in because folks are out of work and businesses aren't making money.

     Bottom line is, we now have a significant debt that has to be paid down.  That's why I'm freezing government spending.  That's why we reinstated what's called pay-as-you-go.  You can't start a program without paying for it.  Our health care program is paid for.

     But the big thing, if you're really worried about leaving debt to the next generation, which I know you are, the most important thing we're going to have to tackle is our health care costs, because Medicare is by far -- Medicare and Medicaid are the biggest things that are looming in the horizon in terms of what our debt is going to be.  Nothing else comes close. 

     If this health care bill never existed, if I didn't do anything about it, we'd actually be a trillion dollars worse off over the long term.  But even with the saving we're getting from health care, we're still going to have to do more.  And if you don't believe that, go on our Web site -- www.whitehouse.gov -- and you can look at how the federal budget works. 

     A lot of people think if you just eliminated foreign aid we could balance the budget, or if you just eliminated earmarks you could balance the budget.  Earmarks -- pork projects, what everybody calls pork -- those account for about 1 percent of the budget, less than 1 percent.  Foreign aid accounts for about 1.5 to 2 percent of the budget.

     Most of the budget is Medicare, Social Security, Medicaid, defense spending, and interest on the national debt.  That accounts for about 70 percent of the budget.  And so all this other stuff that sometimes we argue about, that's not the big stuff.  We're going to have to tackle the big stuff if we're going to get our budget under control.

     Boy, that was a long answer.  I'm sorry.  (Laughter.)  But I hope everybody -- but I hope I answered your question.  (Applause.)  All right, I'm going to -- I've got to make this the last question.  I'm going to ask this young man right here.

From NBC's Ali Weinberg
CHARLOTTE, NC -- President Obama took advantage of a visit to a manufacturing plant here to tout today's release of a report showing that the U.S. economy added 162,000 jobs in March, which he said was evidence of his administration's successful efforts to shore up the economy.

But Obama cautioned that the country still had "a ways to go" before it sees a full recovery.

Speaking in front of a crowd of 300 employees of the Celgard battery manufacturing plant, the president said the increase of 162,000 jobs -- although the unemployment rate remained unchanged at 9.7% -- was a sign that the economy was "beginning to turn a corner."

"There are more folks feeling a sense of pride and satisfaction that comes with a hard-earned, well deserved paycheck at the end of a week of work," he said, adding that the news signified that the "necessary though sometimes unpopular" steps the administration has taken -- like the stimulus act and bank bailout -- were "helping us to climb out of this recession."

The backdrop of a lithium battery plant, which received $50 million in stimulus funds, was an opportune setting for Obama to cite one of the most immediate "deliverables" of his administration's recovery efforts: the increased proportion of world lithium battery production the United States will enjoy in five years.

"Before the Recovery Act, before I took office, we had the capacity to make less than 2% of the world's lithium ion batteries -- less than 2%," he said. "In the next five years, on the trajectory that we're now on, we're going to be able to make 40% of the advanced batteries right here in the United States of America."

Echoing the words of White House economic adviser Christina Romer, who said this morning that there would still "likely be bumps in the road ahead," Obama urged his audience to "be mindful that today's jobs numbers, while welcome, leave us with a lot more work to do."

Taking an I-feel-your-pain approach with his audience, Obama also lamented the emotional toll unemployment can take. "It saps the vitality of communities, especially in places that have seen factories and other anchoring businesses shut their doors," he said. "And being unable to find work -- being able to provide for your family -- that doesn't just affect your economic security, that affects your heart and your soul. It beats you up."

Obama's trip today was his third to North Carolina since becoming president. Typically a red state, Obama won it in the 2008 presidential election. A February 25 poll from the state's Elon University showed his job approval rating at 50%-45%, compared with a 59%-25% rating at the same time a year ago.

Obama took advantage of addressing concerns about his administration's policies by answering questions from five audience members -- mostly about initiatives recently passed or announced.

One question came from Michael Shorr, who said he was concerned that Obama's announcement earlier this week of offshore drilling expansion would stifle investment in alternative energy sources.

Obama said that while he was focused on developing alternative energy, America "does not yet have the breakthroughs to completely replace fossil fuels." Consequently, as he said earlier this week, the country must tap existing sources of energy such as oil, coal, and natural gas in order to achieve independence from foreign suppliers.

Joyce Ravis asked about the increased taxes that would come in the health reform. In part of his 17-minute answer, Obama said: "I'm going to have to work hard over the next several months to clean up the misapprehensions people have." He then launched into a soliloquy on the moral imperative of passing health care, as well as the need to reduce the toll that programs like Medicaid and children's health plans are having on the nation's deficit.

"Our hope is that we actually save money even though more people are covered," Obama said.

Realizing the length of his explanation as he came to the end, Obama remarked, "Boy, that was a long answer. I'm sorry. But I hope I answered your question," laughing along with his audience.

From NBC's Courtney Kube, Savannah Guthrie, and Mark Murray
U.S. Ambassador to Afghanistan Karl Eikenberry met with President Karzai today to seek clarification of Karzai's allegations of fraud in last year's elections and his assertion that the West is trying to weaken him.

A State Department official said that they still do not have a read out of the Eikenberry and Karzai meeting yet, but that Eikenberry did convey that the U.S. is troubled by Karzai's allegations. "I'm sure he repeated that we are concerned and troubled by what he said," the official said.

"For whatever reason, President Karzai is looking backwards," the official said, "He is focused on something that happened last June, when he needs to be focused on what should be happening over the next few years."

According to the New York Times, Karzai -- who met with President Obama on Sunday -- said this yesterday: "'There is no doubt that the fraud was very widespread, but this fraud was not committed by Afghans, it was committed by foreigners,' Mr. Karzai said. 'This fraud was committed by Galbraith, this fraud was committed by Morillon and this fraud was committed by embassies.' Mr. Karzai was referring to Peter W. Galbraith, the deputy United Nations special representative to Afghanistan at the time of the election and the person who helped reveal the fraud, and Philippe Morillon, the chief election observer for the European Union."

"Later in the speech he accused the Western coalition fighting against the Taliban of being on the verge of becoming invaders — a term usually used by insurgents to refer to American, British and other NATO troops fighting in Afghanistan."

Also, Secretary of State Clinton and Karzai spoke this afternoon about Karzai's remarks. And White House Press Secretary Robert Gibbs said that the White House is seeking clarification from Karzai on the seemingly anti-U.S. comments he made.

From NBC's Mark Murray
A new Research 2000/Daily Kos poll shows Arizona Sen. John McCain with a comfortable 15-point lead over GOP primary challenger J.D. Hayworth, 52%-37%.

Interestingly, both men are viewed favorably among Arizona Republicans. McCain's fav/unfav with them is 76%-19%, and Hayworth's is 61%-16%.

What's also clear is that Arizona still isn't Obama country. The president's overall fav/unfav in the state is 41%-55%, according to the poll. And 44% of Arizonans say they would be more likely to vote for a candidate who wants to repeal the new health care, versus 39% who say they would be more likely to vote for a candidate who supports the law and improving it.

From NBC's Mark Murray
It has become a predictable pattern in the first year-plus of Barack Obama's presidency: The White House and Republicans spend the first Friday of every month reacting to the new jobs report.

And today isn't any different, although the arguments from the two sides have changed with the news that the economy added 162,000 in jobs with the unemployment rate remaining at 9.7%.

Here's White House economic adviser Christina Romer:

Today's employment report shows continued signs of gradual labor market healing... While this is the most positive jobs report we have had in three years, there will likely be bumps in the road ahead.  The monthly employment and unemployment numbers are volatile and subject to substantial revision.  Therefore, it is important not to read too much into any one monthly report, positive or negative.  It is essential that we continue our efforts to move in the right direction and generate steady, strong job gains.

Here's RNC Chairman Michael Steele in a statement (although we haven't heard from him publicly since the sex-themed club story broke):

No matter what spin the White House puts on these job numbers, it is unacceptable for President Obama to declare economic success when unemployment remains at 9.7 percent and a large portion of the job growth came from temporary boost in government employment.

And here's House Minority Leader John Boehner:

A 9.7 percent unemployment rate is no cause for celebration, and any politician who takes a victory lap for it is out of touch with the struggles working families and small businesses asking 'where are the jobs?' are facing.

Today's private-sector job gains are encouraging but not nearly what President Obama promised when he signed the trillion-dollar 'stimulus' into law last year with promises it would keep unemployment below eight percent and create jobs 'immediately.' Our economy has lost more than three million jobs since then and unemployment remains near ten percent.

A pretty positive jobs report for the White House, with employers adding 162,000 in March… Unemployment rate remains unchanged at 9.7%... Obama heads to North Carolina -- again -- to talk jobs… President admits the midterms will be tough for Democrats, but there are a couple reasons why 2010 might not be 1994… Obama as media critic… First Read's Top 10 issues… And fundraising news becomes a story in the Lincoln-Halter primary in Arkansas.

From Chuck Todd, Mark Murray, Domenico Montanaro, and Ali Weinberg
*** Good Friday (for Dems): Last Friday, we said that today's job report would likely determine whether the Obama White House and Democrats would enjoy another good week. The news from the report? It's pretty good -- but with some caveats. In March, the AP writes, employers added 162,000 jobs and the unemployment rate remained unchanged, at 9.7%. But while that 162,000 figure represents the largest monthly jobs gain in three years, it is below the nearly 200,000 that some economists were predicting. What's more, some of that growth comes from temporary Census jobs. That said, the AP reports that private employers added 123,000 jobs, so it would be incorrect to attribute most of the gains to the Census jobs.

*** Carolina on my mind: As has been the pattern when the monthly jobs numbers are released, Obama hits the road -- this time to Charlotte, NC, where he delivers remarks on the economy at 11:55 am ET. This is his third visit to the normally red state since he became president, NBC's Athena Jones points out. And both the vice president and the first lady also have traveled to North Carolina. Keeping North Carolina blue is a mini-obsession of the Obama White House, and while they will claim this has nothing to do with politics, it's apparent that politics is playing a role here. House Minority Leader John Boehner pre-buts Obama's visit with an op-ed in the Charlotte Observer.

*** A difficult midterm season for Dems: At one of his fundraisers last night in Boston, Obama admitted that the midterm elections will be difficult for Democrats. "These November elections … will be hard, partly because this country is still divided. And after 2006 and 2008 we hit a very high watermark in terms of Democratic representation in Congress and governorships and we're in the midst of what is still a very difficult time," Obama said. And the comparisons to 1994, when Democrats lost the House and Senate, are growing. Yesterday's USA Today said that the attitudes from its recent poll were reminiscent to those from '94. And Democratic pollster Stan Greenberg has said that if the midterms were held today, we'd see another 1994.

*** 2010 vs. 1994: But there are now a couple of big differences between now and 1994. First, Democrats are more united now than they were back then (see: health care). As Ron Brownstein writes in his National Journal column, "Democrats remain divided on immigration, climate change, and some other issues, but they have united enough to make this arguably the most productive legislative session for any Democratic president since Lyndon Johnson." Second, retirements have been the dog that hasn't barked, especially this week. Remember that congressional recess periods are times when you normally hear about retirements. Yet we haven't heard about a single one so far during this break. Of course, we still have a week to go. But even now, there are more GOP retirements for House and Senate seats than Dem ones. That said, more of those Democratic retirements are in swing states and districts. But so far, it's not anything like 1994. 

*** Media Critic-In-Chief: We're the first to admit that the media's intense 24-7 coverage of the Obama White House -- Who's up, who's down? Is the president FDR or Jimmy Carter? What is Sarah Palin saying about Obama via Facebook? Is this make-or-break for the history books? -- hasn't produced some of the greatest moments in political journalism. And we admit that as cautious as we try to be, we're guilty of some of this, too. But what's equally interesting here is how much Obama clearly HATES the political chatter to the point that he, himself, can't stop talking about it. "You have to love some of the pundits in Washington," Obama said yesterday in Maine. "Every day since I signed reform into law, there's another poll or headline that says 'Nation still divided on health care reform.' 'Polls haven't changed yet.' Well, yeah -- it just happened last week!" He then added, "Can you imagine if some of these reporters were working on a farm? You planted some seeds and they came out the next day and they looked and they said, 'Nothing's happened! There's no crop! We're gonna starve! Oh no!"

*** Crippled or The Comeback Kid? Of course, this isn't the first time Obama has criticized how the media covers him and Washington politics. Last month while campaigning for health care in Virginia, he said: "What [cable stations] like to talk about is the politics of the vote. What does this mean in November?  What does it mean to the poll numbers? Is this more of an advantage for Democrats or Republicans? What's it going to mean for Obama? Will his presidency be crippled, or will he be the comeback kid?" And the president repeated his "farm" jokes at both fundraisers in Boston last night. The president's shots at the media really irk conservatives, who believe (without as much evidence as they think they have) that somehow the White House gets a free pass constantly from the media. The fact is this: Everyone hates to have their every move covered, whether they are liberal or conservative, Republican or Democrat, a 0 handicap or an 18 handicap, a .255 hitter or a .330 hitter; a two-time Super Bowl winning QB or a career backup.

*** First Read's Top 10 Issues: If it's Friday's, it's time for another First Read Top 10 list -- this time a look at what we consider to be the Top 10 issues/themes playing out so far in the midterm races we're following.
1. Washington: With less than 20% of the country approving of Congress' job, it's not surprising that everyone from Rick Perry and Robin Carnahan to Blanche Lincoln and Michael Bennet are running against -- or away from -- Washington.
2. Economy/Jobs: While this is undoubtedly the most important issue affecting the country and Obama's political health, as well as the one that is most impacting Democrats' midterm prospects, we've noticed more candidates running against Washington than on the economy so far. Will this change by August?
3. TARP/Bailouts: If their opponent voted for the TARP back in the fall of 2008, you're seeing candidates -- left and right, from Bill Halter to those competing against Utah Sen. Bob Bennett -- reminding folks about that vote.
4. Health Care: Whether it's Democrats justifying their votes for the legislation, Democrats arguing over the law (Conway vs. Mongiardo), Republicans trying to repeal it, or those backing away from repeal (Mark Kirk), health care is a potent issue. But does it recede a month or two from now? Right now, it's MOST pronounced in any race featuring a sitting attorney general.
5. Wall Street: While Republicans and conservatives are railing against TARP, Democrats and progressives are going after Wall Street. Martha Coakley tried to seize on this issue earlier this year, but it didn't save her. Still, anti-Wall Street sentiment could really resonate as financial reform heats up.
6. Barack Obama: In Republican primaries, we've seen Marco Rubio criticize Charlie Crist for embracing the president last year; in Dem primaries, we've seen candidates like Arlen Specter and Joe Sestak compete to see who is the more loyal to the president; and in Arizona, we've seen J.D. Hayworth and John McCain battle over Obama's citizenship. The open question is how much Obama becomes an issue once GENERAL elections get started. Do Republicans run against Congress and Pelosi or Obama or try to fuse them all together?
7. Establishment vs. Anti-Establishment: We're seeing this story play out in Kentucky (Grayson vs. Paul) as well as in New Hampshire (Ayotte vs. Lamontagne and Binnie).
8. 9/11/National Security: We're a long way removed from 2001 or even 2004. But 9/11 and security politics remain an issue, particularly in the Grayson vs. Paul primary in Kentucky.
9. Competence: At a time when states are facing budget deficits, gubernatorial candidates across the country -- Rick Snyder in Michigan ("one tough nerd"), Jerry Brown and Meg Whitman in California, and Terry Branstad in Iowa -- are playing up their experience or smarts. This is a theme we expect to see move up our list as November draws closer.
10. Immigration: We're also a long way removed from the immigration battles of 2006 and 2007, but the issue could easily reappear if the Obama White House and congressional Democrats try to push it through Congress this summer. This is the dog that hasn't bit yet beyond some isolated incidents in races out West.

*** Super Senate Tuesday: In Arkansas, Blanche Lincoln's campaign announced that it had raised more than $1 million in the 1st quarter, which was news Bill Halter's campaign (which raised $2 million in one month) pounced on. Still, Lincoln has $4 million in the bank. One thing is for sure: Money isn't going to be a reason Halter comes up short.… In Kentucky, Democrats Jack Conway and Dan Mongiardo participated in a candidate forum, where the two clashed over health care (Conway is for the health law, while Mongiardo is against it).

*** Other midterm news: In Illinois, there's breaking news that Alexi Giannoulias' family bank "loaned a pair of Chicago crime figures about $20 million during a 14-month period when Giannoulias was a senior loan officer." (And the bank hasn't officially shut down yet, that happens later this month)… And in New York, Rick Lazio says he isn't dropping his gubernatorial bid to run for the Senate.

Countdown to IN, NC, and OH primaries: 32 days
Countdown to NE and WV primaries: 39 days
Countdown to AR, KY, OR and PA primaries: 46 days
Countdown to Election Day 2010: 214 days

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Homeland Security Secretary Janet Napolitano today is announcing a new layer of aviation security after the failed Christmas Day attack, according to a senior administration official. "Under the new measures, every passenger from every country traveling to the United States will be subjected to additional screening if they match current, intelligence-driven and threat-based characteristics. These protocols also give the US the ability to now better screen individuals when only fragments of information are known about them."

The New York Times on Obama's visit to Maine yesterday to pitch health care: "President Obama continued on Thursday what might be called his Go-for-It Tour, traveling to this Northeastern state -- represented by two moderate Republican senators who balked at his health care overhaul -- to dare the opposition party to run against it this fall." 

The Boston Globe: "The speech reflected a newly confident tone by the president, whose first year was characterized by an uphill struggle to overhaul health care while fending off complaints he was not paying enough attention to the high unemployment rate. Fellow Democrats, meanwhile, began to grumble that the White House had allowed Republicans to control the message on the issue, making it even harder for congressional Democrats to pass it."

The New York Daily News says Obama "dishes out sarcasm on health care pessimism."

"A light will shine down from somewhere. ... The clouds will part." President Obama visited flood-ravaged regions of Massachusetts yesterday to thank flood workers. "A few hours before the president arrived in the waterlogged region, the dense canopy of clouds that had hung over New England finally cleared, and much-welcomed sunlight began to shine through," the Boston Globe writes.

"Drivers will have to pay more for cars and trucks, but they'll save at the pump under tough new federal rules aimed at boosting mileage, cutting emissions, and hastening the next generation of fuel-stingy hybrids and electric cars," the AP writes. "The new standards, announced yesterday, call for a 35.5 miles per gallon average within six years, up nearly 10 miles per gallon from now."

"President Barack Obama is expected to claim a major foreign policy success when he signs a nuclear arms reduction treaty with Russian President Dmitry Medvedev next week -- but it comes at a cost," per the AP. "The hard-negotiated pact took so long to conclude it has jeopardized Obama's chances to achieve another nuclear goal: Senate ratification of a nuclear test ban treaty."

The New York Times says that U.S. relations with China are improving. "Although there is still no agreement on sanctions [on Iran] among members of the Security Council, where China holds a veto, tensions between China and the United States have ebbed significantly in recent days. The countries are now working together to deter Iran's nuclear ambitions and with the Obama administration is backing off a politically charged clash over China's currency." 

And: "Organizing for America, the grassroots arm of the Democratic National Committee (DNC), are selling the shirts for $25 a piece in an effort to fundraise off Biden's slip that healthcare's passage was a 'Big F****** Deal.'"

"Partisan acrimony reached one of the most obscure outposts of the federal government on Thursday, when House GOP leadership voiced its opposition to a Democratic nominee to the Election Assistance Commission," Roll Call writes. "In a statement, House Minority Leader John Boehner (Ohio) criticized the White House for nominating House Administration Committee aide Tom Hicks to the EAC last week without including a GOP counterpart."

"The best thing the Republican Party can say about this week is, it is nearly over," AP writes. In addition to the sex-club expenditure, "Now it turns out the RNC inadvertently listed a phone-sex number on a fund-raising letter sent to potential donors. People who tried to call the committee were instead offered 'live, one-on-one talk with a nasty girl' for $2.99 a minute."
 
The reviews are in on Palin's 'Real American Stories": "Sarah Palin will have a career in TV, that's for sure, but 'Real American Stories' isn't the show to make her a superstar," the New York Daily News' Huff writes. But it doesn't blame it on her, "It's the production," the paper adds. And: "Palin is disconnected from the show. Having her follow the taped pieces with interviews gives the production the feel of a telethon, without the pitch for money… A better production would help, and so, too, would having her do the field interviews."

The Washington Post on President Obama's effectiveness as a campaign booster in midterm races nationwide: "In the anti-establishment climate, some Democrats are saying that it's smart for Obama to keep his distance from candidates in difficult races, allowing them to run against Washington and avoid the downward pull of his approval ratings. Others say he should heed the lessons of last year's Democratic losses and begin campaigning early enough to make a difference with the Democratic base." Already, however, 'there is a clear no-fly zone' for some candidates, like Arkansas Sen. Blanche Lincoln.

ARIZONA: J.D. Hayworth will report raising $1 million in the first quarter. John McCain raised more than double that.

ILLINOIS: The Alton Telegraph writes that Republican Senate candidate Mark Kirk is stepping back further from his pledge to repeal the health care reform law: "'We lost, and we don't have the votes,' Kirk said Thursday in Springfield. 'And so now my job is to tell the American people exactly what is (in) this bill in terms of new taxes and cuts to seniors who depend on Medicare. And then to go forward, hopefully as your senator, and have some of these taxes not in place, have some of these cuts not in place,'" the newspaper quotes him as saying.

KENTUCKY: At candidates' forum featuring the five Democratic Senate hopefuls, including frontrunners Dan Mongiardo and Jack Conway." The most contentious issue was health care, which Conway and Mongiardo have argued about since the U.S. House of Representatives passed the Senate version of a health care overhaul nearly two weeks ago," the Louisville Courier-Journal wrote. "Leading up to the vote, both candidates had been less than supportive of the measure, with Mongiardo arguing Congress should start over and Conway saying he wouldn't support it unless specific changes were made to the legislation." 

MASSACHUSETTS: "Governor Deval Patrick's decision to take on the health insurance industry over rate increases promises to become a major issue in this year's gubernatorial race, with Patrick trying to address criticism that the state has not slowed health costs and his rivals saying the governor's approach is off-target and politically motivated," The Boston Globe writes. "In rejecting a host of proposed rate increases by insurers, Patrick yesterday made an aggressive attempt to define the state's role in health care as a jobs issue, insisting that limiting insurers' ability to raise premiums is key to persuading small-business owners to hire workers again." 

NEW YORK: "Weeks of Republican Party pressure have failed to convince Rick Lazio to switch from being a candidate for governor to being a candidate for the US Senate," the New York Post reports, and a Lazio spokesman said, "Under no circumstances will Rick Lazio be a candidate for Senate this year." 

PENNSYLVANIA: "Democratic nominee Mark Critz went on the air Thursday with his first television advertisement in the special election to fill the seat formerly held by his boss, the late Rep. John Murtha (D-Pa.)," Roll Call writes. His ad focuses on uniting the country and cites Murtha telling him, "It's about the work."

From NBC's Ron Allen
PORTLAND, Maine -- "It's Only Been a Week…."

President Obama got a lot of laughs with that line, as he sarcastically went after one of his favorite targets, "the pundits," and all the back and forth about the new health-care law -- much of that commentary about how the public does not support the new law. The "only a week," line was part of a riff now being repeated by the president about how after he signed the new law, the predictions of Armageddon, and "end of freedom as we know it," never materialized. In fact, Obama says, "It turned out to be a pretty nice day." More laughter.

The president seemed to be enjoying himself now that health-care reform has become law. Some of the folks who keep up with him every day, I don't, say his mood appears noticeably lighter. He's won. He's less burdened. But he's still out here campaigning.

The fact of the matter is, the country has debated health-care reform more than a week. It took a year of and some creative and aggressive political moves down the stretch to pass the president's signature domestic initiative. Imagine the narrative had it failed. And a week after it's become law, the President still feels the need to essentially sell health care to an apparently skeptical, or perhaps only confused country, that still reacts more negatively than positively in various polls. Polls the President may dismiss publicly, but that his aides no doubt pay attention to privately.

The Maine event was before a very friendly audience. The crowds outside were quite vocal, Obama critics and supporters alike. Maybe because the president hadn't been to Maine since the campaign -- perhaps because the public argument about health care, that got really rowdy, is far from finished.

The administration's small business administrator, Mainer Karen Mills, introduced the president and kicked things off with a homespun feel. From then on, it was the President in campaign mode, introducing several Mainers in the audience who he said would be immediate beneficiaries of the new health-care law, a small business owner eligible for tax credits to help cover the cost of insuring employees, a widow who lost her husband and her retirement savings paying for medical care, because they hit a lifetime insurance payment cap during his illness.

The president laid out a list of immediate benefits, as he had before -- and as he probably will again. At the end of the day, there still seems to be a huge disconnect in the country. While the administration proclaims a historic victory decades in the making, the public seems, at best, unsure and, at worst, not convinced.

That dynamic has endured longer than a week.

He also employed immediacy when previewing the White House's efforts to educate the public on the tax credit. "This month, we're going to be sending out details on how to apply for this credit to millions of small businesses across the county," he said.

Obama urged critics to curtail their claims of the bill's fruitlessness until its provisions have time to take effect, singling out the media for its impatience.

"You have to love some of the pundits in Washington," said a grinning Obama. "Every day since I signed reform into law, there's another poll or headline that says, 'Nation still divided on health-care reform.' 'Polls haven't changed yet.' Well, yeah," he continued, as the audience laughed. "It just happened last week!"

He continued, veering off his prepared remarks: "Can you imagine if some of these reporters were working on a farm? You planted some seeds, and they came out the next day, and they looked and they said, 'Nothing's happened! There's no crop! We're gonna starve! Oh no! It's a disaster!"

Continuing to vamp, Obama said, "Before we find out if people like health-care reform, we should wait to see what happens when we actually put it into place. Just a thought."

As he deplored the opposition's tactics of "fearmongering and overheated rhetoric," Obama called out one congressional Republican -- House Minority Leader John Boehner -- by name. As the crowd drowned him out with booing, Obama tried to calm them. "You don't need to boo," he said, adding that he was just giving the facts.

While the speech was intended to roll out the health bill's tax-cut provision, which is estimated to save small businesses $40 billion by 2019, Obama also took the opportunity to remind his audience of another reform that will have short-term effects: a re-working of the student loan industry estimated to recover $68 billion from banks and financial-services companies.

"That's now going to go to the student-loan program to expand Pell Grants," Obama said, "and to make sure that college is affordable for every person in America."

From NBC's Ali Weinberg
President Obama's assertion yesterday that his plan to expand offshore drilling would be assailed by on both sides of the ideological spectrum was reinforced today by posts from both liberal and conservative bloggers.

Liberal blogs expressed outrage that Obama would propose initiatives once trumpeted by Sarah Palin on the '08 campaign trail. Writes Chris in Paris of AMERICAblog, "It would be a lot easier to understand if Sarah Palin was making the argument in favor of drilling there, but Obama? What is he thinking? The White House continues to make it difficult to want to support them when they throw out junk like this time after time." 

On the other hand, NRO's Jim Geraghty writes that Obama's concession to conservatives as little consolation after the partisan passage of health care. "We ought to be able to say, 'ah, a centrist move from a president we didn't prefer, how refreshing.' But after the Obamaniacs won the health care vote through kickbacks, reconciliation, a flirtation with Demonpass, and ultimately persuading enough House Democrats to commit career suicide over it, the trust is gone."

Blogs on both sides of the ideological spectrum seem to be amused by the NRSC's new Web ad, "Democrats' Rainbows and Unicorns," parodying what it sees as the Obama administration's delusional first year. An excerpt of the script: "Our deficit is no more. And global warming has been solved by replacing cars with low-emission unicorn."

Gatewaypundit's Jim Hoft writes of the spot, "This would be a great April Fool's Day ad if the joke wasn't so painful to live through."

HotAir's Ed Morrissey writes that the "rhetoric in the video's first minute isn't far off the mark from what the Obama administration and Democrats claim as their achievements, either. While the US continues to lose jobs and see debt pile up with the explosion of federal spending, they act as though Democrats are the true deficit hawks and unemployment has been solved. Maybe Democrats and Barack Obama really do believe in unicorns and rainbow power!"

And liberal blogger David Weigel at the Washington Independent notes that the Republican group "accidentally went off-message," by inadvertently admitting that global warming exists. "At least that's how I read the joke in this (pretty darn funny) NRSC video — the one about how 'global warming has been solved' under President Obama's introduction of 'low-emission unicorns powered by the renewable energy of rainbows,' Weigel writes.

From NBC's Jenna Pfeffer
In addition to the rest of today's news, this New York Times story is receiving plenty of attention.

The Times says that federal Judge Vaughn R. Walker ruled yesterday "that the National Security Agency's program of surveillance without warrants was illegal... The ruling delivered a blow to the Bush administration's claims that its surveillance program, which Mr. Bush secretly authorized shortly after the terrorist attacks of Sept. 11, 2001, was lawful. Under the program, the National Security Agency monitored Americans' international e-mail messages and phone calls without court approval, even though the Foreign Intelligence Surveillance Act, or FISA, required warrants."

More: "The ruling by Judge Walker, the chief judge of the Federal District Court in San Francisco, rejected the Justice Department's claim — first asserted by the Bush administration and continued under President Obama — that the charity's lawsuit should be dismissed without a ruling on the merits because allowing it to go forward could reveal state secrets."

According to the paper, the Obama Justice Department has made no decision yet whether it will appeal.

This isn't the first time a federal judge has ruled that the wiretapping program was illegal. "But a 2006 decision by a federal judge in Detroit, Anna Diggs Taylor, was reversed on the grounds that those plaintiffs could not prove that they had been wiretapped and so lacked legal standing to sue."

From NBC's Courtney Kube
The U.S. Navy engaged in a full-out battle with pirates in the Indian Ocean earlier today.

The USS Nicholas (FFG 47), a U.S. Navy frigate, captured several pirates on Thursday after exchanging fire, sinking a skiff, and confiscating a suspected mother ship.

The USS Nicholas (FFG 47) was just west of the Seychelles in international waters today when they began to take fire from a suspected pirate skiff at 12:27 a.m. local time. The Nicholas returned fire and disabled the pirate boat, then pursued the skiff until it finally broke down. 

At 1:59 a.m., local personnel from Nicholas boarded the disabled skiff and detained three suspected pirates. The U.S. sailors found ammunition and several cans of fuel on board.

The U.S. took the suspected pirates on board, and then sank the disabled skiff at 2:59 a.m. local.

The sailors then took control of a nearby mother ship and detained two more suspected pirates. All five suspected pirates will remain in U.S. custody on board Nicholas until the Combined Joint Task Force decides where to take them.

The USS Nicholas is currently assigned to U.S. Naval Forces Africa, which falls under U.S. Africa Command (AFRICOM). 

Obama goes to Portland, ME to promote tax credits for small businesses in the health-care law… Speech is at 3:25 pm ET… The day-after coverage of the offshore drilling announcement is mostly positive for the president… GOP seizes on generic ballot numbers in new USA Today/Gallup poll… Previewing the MA GOV race… Both RGA and DGA have a lot of money to spend on this year's gubernatorial races… Tony Perkins fires shot at Steele-led RNC… Halter and Lincoln fight for African-American voters in Arkansas… And Mitt Romney stumps with Nikki Haley in South Carolina.

From Chuck Todd, Mark Murray, Domenico Montanaro, and Ali Weinberg
*** The Maine event: President Obama today hits the road for the second time to promote the new health-care law since its passage. After visiting Iowa last week, Obama today travels to Portland, ME, where he speaks at 3:25 pm ET. (As NBC's Mike Viqueira points out, it's interesting that both Iowa and Maine -- more blue than purple in 2008 -- are represented by three GOP senators who voted against health care, but who were thought to be potential bipartisan supporters: Chuck Grassley, Susan Collins, and Olympia Snowe.) The White House says that Obama's remarks will focus on the health-care law's tax credit for small businesses that help them purchase insurance for their employees. This tax credit is effective immediately and will cover up to 35% of the premiums a small business pays to cover its works. In 2014, that rate goes up to 50%. The White House adds that the tax credit is estimated to save small businesses $40 billion by 2019, per the Congressional Budget Office.

*** The day after: The day-after coverage of Obama's offshore drilling announcement is looking pretty positive for him so far. The Washington Post says the announcement "amounted to an offshore political gerrymander in which the administration barred drilling near states where it remains unpopular -- California and New Jersey -- and allowed it in places where it has significant support, such as Virginia and parts of Alaska and the Southeast." Politico adds that the political price Obama paid for was relatively small: "Angry blowback from environmental activists who still support his overall climate change policy. But the short-term benefits were large: By announcing the policy change, Obama defused a potentially potent Republican issue ahead of the summer gas spike and the fall midterms, while embracing major elements of the GOP's "all of the above" energy approach to kick-start a stalled climate change bill."

*** The generic ballot test: Republicans today are seizing on the results of a new USA Today/Gallup poll, taken after health care's passage, which shows Republicans narrowly leading on the generic-ballot test among registered voters, 46%-45%. More from the poll: " A record-low 28% say most members of Congress deserve re-election… For the first time, both major parties are viewed unfavorably by most Americans… Fifty percent say Obama doesn't deserve re-election, and 26% say he deserves 'a great deal' of the blame for the nation's economic problems, double the percentage in July. Bush still does worse: 42% give him a great deal of the blame."

*** Previewing MA GOV: With Obama also hitting two fundraising events in Boston tonight, now is as good of a time as any to look at Massachusetts' gubernatorial contest, which will be one of the best races this cycle. On the Democratic side, incumbent Gov. Deval Patrick is running for re-election, and he's quite vulnerable (smart MA observers will tell you that Scott Brown was running more against Patrick than he was Obama). On the GOP side, Charles Baker and Christy Mihos are battling for the nomination (the primary takes place on Sept. 14). And the wild card is State Treasurer Tim Cahill, first elected as a Democrat but who's running as an independent. As it turns out, Cahill appears to be propping up Patrick. A Suffolk poll released in February had Patrick at 33%, Baker at 25%, and Cahill at 23%. One other thing worth pointing out: This could very well be the most interesting race this cycle that really doesn't have a national impact. Patrick needs Cahill to be a player in this election, and the Republicans know it; in fact, we've noticed a minor uptick in the RGA attacks on Cahill. If Cahill weren't in this race, Patrick would be seen as even more vulnerable than even Chet Culver in Iowa.

*** We're in the money: Speaking of governor races, both the Democratic Governors Association and Republican Governors Association are going to have A LOT of money to spend on this cycle's 37 gubernatorial contests. Yesterday, the DGA announced that it raised $8 million in the first quarter of this year and has $22 million in the bank. Not to be outdone, the RGA reveals that it raised $9 million in the quarter and has a whopping $31 million cash on hand. But the DGA is questioning the RGA's 1stQ fundraising numbers, given that the RGA said it raised $13.5 million from its fundraising gala back in February. "I am sure they are embarrassed that they fell $4.5 million short of what they said they raised," DGA spokeswoman Emily DeRose tells First Read. RGA spokesman Mike Schrimpf responds, "Like any fundraising event, those numbers include firm pledges, so you can let [the DGA] know a lot more is on the way." Still, put these numbers in even more context and you'll see how big of an advantage the Republicans actually have. The GOP has the self-funder of all self-funders in California (Meg Whitman), while the Democrats do not. And that alone could eat up a GIANT chunk of DGA cash; never mind the fact the Democrats are playing much more defense (see Massachusetts) than offense.

*** Tony Perkins vs. Michael Steele: As Politico notes, the RGA's impressive cash on hand is certainly a reminder why Republicans look back so fondly at the tenure of Haley Barbour, the current RGA chair who used to head the RNC back in the 1990s. But for the current RNC chairman, Michael Steele, the hits keep on coming. Now, Family Research Council head Tony Perkins is urging his members to stop giving the RNC money, Politico's Martin writes. "I've hinted at this before, but now I am saying it: Don't give money to the RNC," Perkins is expected to tell FRC members in the group's next e-mail newsletter. "If you want to put money into the political process, and I encourage you to do so, give directly to candidates who you know reflect your values." Perkins' beefs have to do 1) with the event at the sex-themed club and 2) with the RNC hiring Ted Olson to represent it in the effort to overturn the soft-money ban. "Yes, this is the same Ted Olson that is trying to overturn the results of the marriage amendment in California," Perkins writes.

*** Super Senate Tuesday: In Arkansas, Bill Halter and Blanche Lincoln are battling for the support of African Americans, who make up 15% of the state's residents (and more than that in a Democratic primary). Halter is up with an ad on African-American radio that includes this line: "[Lincoln] sided with those Republicans who tried to kill President Obama's reforms." In addition, the Halter camp distributed a story about the NAACP being upset with Lincoln for not appointing more African-American judges. Meanwhile, Lincoln has her own ads on black radio -- with one saying she "stood with our president to pass healthcare reform… Even though the Tea Party and insurance companies attacked Blanche Lincoln, she never abandoned our president, nor you."… In Kentucky, Trey Grayson has a Web ad linking Rand Paul and his father to Jeremiah Wright… And in Pennsylvania's Democratic gubernatorial primary, Allegheny County Executive Dan Onorato has released his first TV ads.

*** Other midterm news: In South Carolina, Mitt Romney campaigns for gubernatorial candidate Nikki Haley (R)… And Tim Pawlenty's PAC yesterday announced that it is endorsing seven GOP candidates running this cycle: Tim Burns (PA-12), Robert Dold (IL-10), Sean Duffy (WI-7), Charles Djou (HI-1), Pat Meehan (PA-7), John Hoeven (ND-SEN), and Pat Toomey (PA-SEN). 

Countdown to IN, NC, and OH primaries: 33 days
Countdown to NE and WV primaries: 40 days
Countdown to AR, KY, OR and PA primaries: 47 days
Countdown to Election Day 2010: 215 days

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Text FIRST to 622639, to sign up for First Read alerts to your mobile phone.
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The AP (via the Bangor Daily News) tees up Obama's event in Maine today. "Obama, who'll be accompanied by Small Business Administrator Karen Mills, is expected to talk up the health care plan's tax credits for businesses with 25 or fewer employees that provide health coverage to their workers. With the tax break, the small businesses would be reimbursed for part of their health care costs, reaching up to half by 2014 for the smallest businesses."

The Boston Globe says a friendly audience will likely greet the president. "Pro-Obama voters said they fully expected to see fellow citizens protesting the health care package on Thursday; a 'Tea Party' rally in Bangor earlier in the week drew some 400 people who railed, among other things, against the health care law. But the crowd that showed up Wednesday to get spots for Obama's visit was overwhelmingly in favor of the package." In addition to being a sympathetic crowd, they're also "a hardy one, anyway," the Globe writes. "Thousands of Mainers stood in line for many hours in the rain early Wednesday for the chance to snag a pair of free tickets to the president's speech in the gym at Portland's Expo Center. A few brought lawn chairs and waited through a night of gusty winds and downpours to make sure they'd get tickets."

The Washington Post says yesterday's offshore drilling announcement by President Obama "amounted to an offshore political gerrymander in which the administration barred drilling near states where it remains unpopular -- California and New Jersey -- and allowed it in places where it has significant support, such as Virginia and parts of Alaska and the Southeast."

Per Politico, the price Obama paid for -- politically -- was relatively small: "Angry blowback from environmental activists who still support his overall climate change policy. But the short-term benefits were large: By announcing the policy change, Obama defused a potentially potent Republican issue ahead of the summer gas spike and the fall midterms, while embracing major elements of the GOP's "all of the above" energy approach to kick-start a stalled climate change bill. And the drilling decision also allows the president to distance himself from liberal environmentalists disdained by some pro-drilling, blue-collar voters."

That said, some Democrats were upset with President Obama's decision to open up some waters to offshore drilling. "Rep. Eliot Engel (D-Bronx) called it 'a step back,' while Sen. Frank Lautenberg (D-N.J.) savaged the decision," the New York Daily News reports. "'Giving Big Oil more access to our nation's waters is really a Kill, Baby, Kill policy: it threatens to kill jobs, kill marine life and kill coastal economies that generate billions of dollars,' Lautenberg said." Sarah Palin liked it. She Tweeted, "Drill, baby, drill."

New Jersey Rep. Frank Pallone: "Allowing any offshore drilling on the Atlantic Coast is an invitation to an environmental catastrophe that would have severe economic consequences for New Jersey," he said in a statement. "The coastal beaches and ocean waters of the Jersey Shore are environmental treasures that anchor the state's tourism industry and possess special meaning as a part of New Jersey's identity." (Still, Obama isn't allowing drilling north of Delaware because there isn't support in those states for it. Those in Virginia backed it.)

Politics Daily's Jill Lawrence notes that Obama and McCain seem to have reversed roles. "McCain, facing competition from the right in the Arizona GOP Senate primary, has abandoned his past as a champion of comprehensive immigration reform and climate change legislation. He has turned against the TARP bank bailout (which he supported when he was a presidential candidate). And he went along with his party in saying no to the Democrats' economic stimulus and health reform bills."

"Obama, on the other hand, seems to be annoying an increasingly broad swath of his party base."

And: "Close to 9 in 10 Hispanics say they intend to participate in the 2010 census, with immigrants more likely to say the government count is good for their community and that personal information will be kept confidential, according to a new poll," AP writes. "The Pew Hispanic Center survey, being released Thursday, appears largely to put aside concerns that Hispanic discontent with the government's slow progress on immigration reform will curtail participation in the high-stakes count now underway."

In Ohio, Rep. Timothy J. Ryan canceled a health care town hall "over concern for the congressman's safety." "A threatening letter was mailed to the Niles Democrat after he voted in favor of passage of the bill. Neither Ryan's office nor the FBI would elaborate on the letter's contents," according to the Warren Tribune-Chronicle.

Embattled Rep. Charlie Rangel had some harsh words for Tea Partiers on a New York political TV show: "The group that were in Washington  fighting against the health bill and fighting against the President, [they] looked just like and sounded just like those groups that attacked the civil rights movement in the South."

Sen. Kirsten Gillibrand heads to Haiti on Monday.

"LL Cool J, who had a hit called 'Mamma Said Knock You Out,' got a segment spotlighting him knocked off Sarah Palin's inspirational new show for the Fox News Channel -- after complaining the clip was actually a two-year-old interview being re-aired without his permission," the New York Daily News writes. He Tweeted yesterday, "Fox lifted an old interview I gave in 2008 to someone else and are misrepresenting to the public in order to promote Sarah Palin's show. WOW." And then Fox's response was to, well, knock him out of the show: "Real American Stories' features uplifting tales about overcoming adversity and we believe Mr. Smith's interview fit that criteria," FNC head of programming Bill Shine said in a statement. "However, as it appears that Mr. Smith does not want to be associated with a program that could serve as an inspiration to others, we are cutting his interview from the special and wish him the best with his fledgling acting career." (LL Cool J's birth name is James Smith.)

The New York Daily News looks again at Michael Steele's troubles. "Since 2009, the records show, they have instead given funds to the National Republican Senatorial Committee, the National Republican Congressional Committee or individual campaign committees. This shift in big money contributions may suggest unhappiness with Michael Steele, chairman of the RNC."

Tim Pawlenty's Freedom First PAC yesterday announced that it is endorsing seven GOP candidates running this cycle: Tim Burns (PA-12), Robert Dold (IL-10), Sean Duffy (WI-7), Charles Djou (HI-1), Pat Meehan (PA-7), John Hoeven (ND-SEN), and Pat Toomey (PA-SEN).

ARIZONA: John McCain raised $2.2 million in the first quarter. http://bit.ly/csoNtX

ARKANSAS: Bill Halter's campaign tells First Read that it raised $2 million in just one month since declaring his bid on March 1.

CALIFORNIA: "The National Organization for Marriage is spending $300,000 on television ads that liken [Republican former Rep. Tom] Campbell to [Democratic Sen. Barbara] Boxer on taxes and gay marriage, calling them two peas in the same liberal pod," AP writes.

The Los Angeles Times has an article suggesting that while Republican gubernatorial candidate Meg Whitman "occasionally shows her political naiveté," she is "doing her homework," as evidence by her knowledge of the intricacies of state water policy, citing provisions that not even many state staffers were aware of. 

FLORIDA: Oklahoma Sen. Tom Coburn threw his support to Marco Rubio over Charlie Crist.

NEW YORK: "New York Democrats have begun expressing concerns about the costs of a special election to fill the 29th district House seat, raising the prospect that the state won't hold a vote to fill the vacancy any earlier than the regularly scheduled primaries in September," Roll Call reports.

WISCONSIN: "[T]here is evidence that suggests [Rep. David] Obey will get a credible GOP challenge this year in his northwestern 7th district — from Sean Duffy, a young county prosecutor whose candidacy has prompted CQ Politics to shift the rating of the Wisconsin 7 race from Safe Democratic to Likely Democratic," CQ reports.