Monday, March 16, 2009

Texas to Decline Stimulus Funds to help the unemployed

According to the USA Today Texas Governor Rick Perry is declining stimulus money because receiving such funds would result in the need to raise taxes on businesses.

Texas which has a 6.4% unemployment rate, was expected to receive over $500 million dollars, but the Governor was hesitant to be forced into covering part time workers with unemployment insurance, because once the stimulus package were to run out--the state of Texas would then need to either reduce benefits or raise taxes.

According to the article:
Led by Republican Governors Association chairman Mark Sanford of South Carolina, a group of conservative GOP governors has rejected or considered rejecting the unemployment money or other funding from the $787 billion stimulus package. Bobby Jindal of Louisiana, Haley Barbour of Mississippi, and Bob Riley of Alabama also have rejected the unemployment money.

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