Economy -- Bernanke Signals Further Rate Cuts: Fed Chair Ben Bernanke said yesterday in congressional testimony that in light of continuing "downside risks" from the housing slump, the Fed is prepared to make further rate cuts. Bernanke's testimony. Budget Reconciliation -- Vehicle for Stimulus 2.0?: Senate Budget chief Kent Conrad said yesterday that he may include a $35 billion stimulus package including a UI extension, boost to food stamps and LIHEAP, perhaps added funding road or water infrastructure projects, but not additional Medicaid money, as the NGA requested this week. Budget -- FDA Needs 7 Times Bush Funding Request: The FDA's Science Board has requested an additional $375 million for the FDA budget in 2009 to help restore the agency, more than seven times the increase of $51 million requested by President Bush. Story: Washington Times. Medicare -- GAO Report on Plan Prices:The New York Times writes up a GAO report issued today indicating that private Medicare plans cost more to beneficiaries than traditional Medicare. See Report. QUOTATION OF THE DAY: If [President Bush] chooses, as he did last year, to say 'sorry, I'm not going to compromise on the numbers,' then there's very little incentive for this committee to do anything except say, 'well, the president's dealt himself out of the game and we will simply have to … wait until a new president is in office who will act like an adult when it comes to negotiating. -- House Appropriations Chair Rep. David Obey