http://www.care2.com/causes/human-rights/blog/obama-pledges-development-aid-to-palestine/President Obama announced his pledge of $400 million to Palestine for housing, schools, water facilities and other development projects. This comes after meeting with Palestinian President Mahmoud Abbas. Obama also urged Israel to loosen its blockade of Gaza to allow a freer flow of nonmilitary goods.
Incidentally, Israeli Prime Minister Binyamin Netanyahu had planned to meet Obama before Abbas' visit, but canceled to focus on the fallout of the flotilla.
While assuring that the U.S. had Israel's interests at heart, a White House statement declared that "the president has described the situation in Gaza as unsustainable, and it demands a significant change in strategy."
In a press conference he elaborated:
We agree that Israelis have the right to prevent arms from entering into Gaza that can be used to launch attacks into Israeli territory. But we also think that it is important for us to explore new mechanisms so that we can have goods and services, and economic development, and the ability of people to start their own businesses, and to grow the economy and provide opportunity within Gaza.
With everything going on here wouldn't you think he'd focus on spending money on the US to try and get us back on track?