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Paterson on Giuliani’s racism defense: ‘The president is …

Former New York Gov. David Paterson on Saturday said Rudy Giuliani embarrassed himself with a simplistic and almost childish attack on President Barack Obama and laughed at his insistence that he couldnt be racist because Obama had a white mother and was raised by white grandparents.

The president is still black, Paterson said in an interview with POLITICO, taking time out from the winter meeting of the Democratic National Convention, which he was attending as the New York State Democratic Party chairman.

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Paterson, whos African-American, said Giulianis defense of his comments earlier this week that Obama doesnt love America doesnt make sense.

Gee, you look at a lot of African-Americans, you can tell, that some place there was some white lineage and guess what, they got discriminated against just like everybody else, Paterson said.

Paterson, who was a state senator from Manhattan during Giulianis years as mayor of New York City and has known him since, said he wasnt as concerned with an apology to Obama.

I think Giuliani should apologize to himself because hes embarrassing himself on the national stage, and he knows better. Theres no excuse for that type of thing, he said.

Paterson said Giulianis recent spate of comments attacking Obamas commitment to America seems like a plea for attention from a man who ran for the White House in 2008, toyed with a second run in 2012, and has seen the 2016 race take shape without him.

There are those who see a lot of people running for president, theyre not on that list and maybe theyre just craving for a little attention, and maybe theyll just say anything to try to get the rest of us to talk about them, Paterson said.

If thats the case, Paterson said, it would make what Giuliani said worse.

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Paterson on Giuliani's racism defense: 'The president is ...

Obama rolls out new rules to protect retirement investors

Washington PresidentBarackObamawill direct theDepartment of Laboron Monday to proceed with new rules that would rein in conflicts of interests among Wall Street brokers who advise clients onretirementinvestments, administration officials said.

The change would mandate that brokers follow a "fiduciary standard" to prioritize clients' interests over brokers' interests, they said. The proposal is opposed by many Republicans and financial firms, which are fearful that the plan will limit broker compensation.

The move would cut back on "hidden fees" that financial advisers can pocket when steering clients into more expensive products that may not be the best option for the investor, officials said. Such practices cost working- and middle-class families $17 billion a year, according to theWhite House.

"The president will call on theDepartment of Laborto establish updated rules of the road to make sure that responsible Americans who are saving forretirementare getting a fair share of returns on their savings,"Jeff Zients,Obama's top economic adviser, said in a conference call with reporters on Sunday.

The push for tighter rules fits intoObama's message of championing the middle class, a theme that is likely to dominate the 2016 presidential campaign.Obamawill unveil his proposal during remarks hosted by the Association of American Retired Persons (AARP), which, along with labor and consumer advocacy groups, has lobbied for the rule change.

Seniors are an important voting bloc for both parties.

Massachusetts SenatorElizabeth Warren, a consumer advocate who some Democrats hope will challenge former Secretary of StateHillary Clintonfor the party's presidential nomination, is expected to attend.

The industry fears a rule change would curb compensation for brokers and would limit the types of investment products investors can get. Fierce lobbying by the industry forced theLabor Departmentto scrap its original proposal a few years ago.

"This re-proposal could make it harder to save forretirementby cutting access to affordable advice and limiting options for savers," said Ken Bentsen, president of the Securities Industry and Financial Markets Association, which represents banks and assets managers.

Daniel Gallagher, a Republican member of the Securities and Exchange Commission, chided theWhite Houselast week for circulating baseless "propaganda" to rally support for the change.

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Obama meets governors. Is his successor in the crowd? (+video)

The nations governors assemble in the White House today to hear a policy speech from President Obama. It will be serious and potentially boring stuff, and as the statehouse chiefs sit in the impressive surroundings, perhaps the discussion of Department of Homeland Security funding will fade away and theyll begin day-dreaming. What if it were them up there at the podium as president? Why not arent statehouses the training ground for the nations chief executives?

Obama himself mentioned this in brief remarks at a dinner on Sunday.

Its wonderful to see you all here tonight, he said to the assembled members of the National Governors Association. Harry Truman once called the presidency an enlarged governorship. Of course, a few of you are hoping that he was right.

He got some laughs with that. Gov. Scott Walker of Wisconsin was in the room hes a likely 2016 Republican candidate. On Sunday he even posted a selfie with his son Alex that was taken in a White House corridor. Perhaps Hail to the Chief was playing in his head at that moment.

Gov. Chris Christie of New Jersey was there, too. Hes a Walker rival and recently completed a term as head of the Republican Governors Association. Hes traveled the nation raising money for his fellow GOP state leaders. He probably looked at Governor Walker and grumbled to himself that somebody needs to wait their turn.

As for Democrats, Martin OMalley wasnt there, because his tenure as governor of Maryland recently expired. But he seems to be preparing to run against Hillary Rodham Clinton in the Democratic primaries, which will perhaps be a thankless task. Other former governors who are all but certain to run include Jeb Bush, who ran Florida a while back, and Mike Huckabee, ditto in Arkansas.

So its certainly possible that an ex-governor will indeed occupy the White House in 2016. And if thats the case, it will bolster the occupations record. It is indeed the most common of pre-presidential careers, barely.

Seventeen people who served at one point as a governor have become president, according to the Rutgers Center on the American Governor. Thats 39 percent of the total number of presidents. (Which is 44, if you didnt know.)

Thomas Jefferson was the first. He was governor of Virginia. Besides Jefferson, Presidents James Monroe and John Tyler served as Virginia governors.

But the Old Dominion, despite its many Founding Fathers, is not the state with the most governors. Thats New York, which had four: Martin Van Buren, Grover Cleveland, Theodore Roosevelt, and Franklin Roosevelt.

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Obama meets governors. Is his successor in the crowd? (+video)

Obama: Homeland Security Shutdown Will Hurt States

President Barack Obama warned governors on Monday that a shutdown of the Department of Homeland Security would have a "direct impact" on their states.

"They all work in your states," Obama said of the 200,000 Homeland Security employees who would not receive paychecks if Congress fails to reach a deal to fund the department before Saturday.

"These are folks that, if they don't have a paycheck, are not going to be able to spend that money in your states. It will have a direct impact on your economy and it will have a direct impact on America's national security because their hard work helps to keep us safe," he told the National Governors Association at its winter meeting.

Republicans in Congress have voted to fund Homeland Security with legislation that guts the president's executive actions that could allow millions of undocumented immigrants to stay in the country legally. Democrats in the Senate refuse to advance the bill, and a stalemate remains with just days to go before DHS runs out of funding.

Republican governors, including those who are eyeing presidential runs, have blamed Obama for the budget standoff taking place as ISIS expands its hold beyond the Middle East.

The president said governors know "we can't afford to play politics with our national security," while also giving a nod to Republicans like Gov. Scott Walker of Wisconsin and Bobby Jindal of Louisiana, who are mulling White House bids.

"I'm in the fourth quarter of my presidency, or as some of you might call it -- the kickoff of your campaign season," Obama joked.

Secretary of Homeland Security Jeh Johnson held a press conference Monday warning of the impacts of the a lapse in funding.

"Every governor, mayor, police chief, sheriff and police commissioner should be concerned about this," Johnson warned.

-- Andrew Rafferty

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Obama: Homeland Security Shutdown Will Hurt States