The first big test is shaping up to be an issue that never came up on the campaign trail and wasn't even on Washington's radar. Gun violence came into sharp focus after the Sandy Hook Elementary School shootings that took the lives of 20 children and six adults.

It sparked a heated debate and led to new measures the president plans to put in place through executive action or with congressional approval.

Steps quickly assembled aimed at curbing gun violence, such as universal background checks and a ban on high-capacity magazine clips of more than 10 rounds.

"It's common sense" said Los Angeles Mayor Antonio Villaraigosa, who has been pushing for stricter gun laws. 'It makes sense. It's not a radical notion."

But the National Rifle Association and other gun groups are ready for a fight, swinging with searing TV ads and a public rebuke of the administration's efforts.

While polls indicate the majority of American's support the president's efforts, some political observers have doubts about Washington's ability to produce any meaningful change.

"No one Democrat or Republican wants to deal with that issue. It's not popular," said CNN contributor and conservative activist Erick Erickson. "They want to just do something for the sake of symbolism."

Debt ceiling

The new term will also feature some old fights. The debt ceiling round two was shaping up to be another fierce fiscal showdown. House Republicans had insisted on spending cuts in exchange for raising the debt ceiling. President Obama warned he was not going to negotiate.

With the prospect of a default and the Treasury Department taking steps to bridge the gap, Congressional Republicans backed off a bit, with plans to vote next week on a three-month deal to extend the debt ceiling.