The quotation is this: "A wise and frugal government which shall restrain men from injuring one another, which shall leave the mother wise free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned. This is the sum of good government."
The only Google results I see are people quoting it beginning this year. Always prefaced by this: "Which part of this simple statement by Thomas Jefferson does the Obama administration finds so hard to understand:"
It wouldn't be surprising if Jefferson said something similar to the first quoted section. Maybe the person who quoted it first changed the wording so it doesn't appear in any search results.
ETA: I should have Googled a different phrase. It's from Jefferson's first inaugural address:
http://ahp.gatech.edu/jefferson_inaug_1801.html They just reworded it slightly.