He's pointing out all the times he as worked with Democrats (Lieberman on energy, Feingold on campaign finance, Kennedy on immigration) across the aisle and rightly noting he is the most liberal, big spending senator in the U.S. Senate. Bonus points to McCain for highlighting the $3 million earmark Obama secured for an overhead projector.
Obama says McCain is the Big Spender. "When Senator McCain proposes a $3 billion tax cut...that's money out of the system." He says he'd go through the budget "line by line" and eliminate things that don't work. Obama names nothing.
"I know a lot of them are not working and one of them is defense spending," McCain says. Mentions Obama's $3 million projector earmark and says he wants a spending freeze on everything except for defense.