Obama's Trillion-Dollar Week

Obama forges ahead with measures to fix troubled auto and housing industries.

Feb. 16, 2009— -- Fresh off his victory on the stimulus plan, President Obama will push forward this week with other aspects of his administration's plans to jumpstart the economy.

The president's economic push begins Tuesday, when he travels to Denver to formally sign the $787 billion stimulus package.

Within two weeks, the bill will deliver $54 billion to states to help save the jobs of police officers, teachers and other public employees.

Another $150 billion will go toward infrastructure projects, to build highways and schools. Construction on some of the projects designated in the bill could begin as early as June 1.

Also in June, the stimulus package will bring a change to workers' paychecks, with a tax cut that will give the average American $13 back each week.

With the stimulus package ready for signing, the Obama administration is turning to the next major economic hurdle: what to do with the troubled automakers.

Today, the White House announced the formation of an auto task force run by Treasury Secretary Tim Geithner and National Economic Council director Larry Summers to oversee the restructuring of the auto industry.

Automakers General Motors and Chrysler must submit their viability plans to Congress by late Tuesday to continue receiving government loans. The automakers must explain how they have spent the combined $13.4 billion in taxpayer money they already received, and how they plan to restructure so that they can become viable businesses.

Executives at GM told ABC News they are "finishing work on the plan." Chrysler officials said they would not predict how their plan will be received.

Many economists are skeptical that the companies will have detailed restructuring plans to submit by Tuesday's deadline.

Chrysler confirmed it will ask for at least another $3 billion in loans. GM will ask for at least another $4 billion, which Obama administration sources tell ABC News' George Stephanpoulos the company will get.

Obama to Unveil Housing Plan in Phoenix

On Wednesday, Obama travels to Phoenix, an epicenter of the foreclosure crisis, to announce his plan for helping homeowners and reviving the housing industry.

The president is expected to propose $50 billion to $100 billion to help stave off foreclosures. The plan would likely cut interest rates and reduce mortgages for homeowners on the brink. It will also likely allow judges to modify mortgages for homeowners nearing foreclosure.

The Obama administration has discussed helping homeowners who are at risk of foreclosure, lowering their mortgage payment from about 40 percent of their income to a more manageable 31 percent.

With these incentives, Betty and Heath Hirschi, homeowners from southwest Phoenix, will now try to modify their mortgage. In 2006, the Hirschis bought their home for $308,000, made a sizeable down payment and took a 30-year fixed mortgage. Now, their home is valued at $130,000.

The Hirschis, who are trying to avoid the foreclosure that ravaged their neighborhood, are counting on the administration's housing plan to save them money and keep them from falling off the brink.