Virginia Assembly Rejects Federal Aid to Unemployed

Friday, April 10, 2009
Virginia House of Delegates

Republicans in Virginia’s House of Delegates derailed attempts yesterday by state Democratic lawmakers and Gov. Timothy Kaine (D) to accept $125 million in federal stimulus money that would have provided additional unemployment benefits to many of the 300,000 Virginians currently without jobs. Kaine, chairman of the Democratic National Committee, convened the Legislature for a special one-day session to approve receipt of the federal funds, which would come with the added stipulation that the state increase the unemployment insurance that businesses must pay by up to $4.50 more per worker annually. Virginia employers currently pay $98 per worker a year, one of the lowest unemployment insurance rates in the country. The national average is $258. Republicans opposed the increase, claiming it would hurt small businesses.

 
The State Senate, with a Democratic majority, approved the proposal, but the House, dominated by Republicans, defeated it 53-46, with two Republicans from districts with high unemployment breaking party ranks. Kaine was incensed by the Republican roadblock and promised to pursue other avenues to accept the federal aid. “There’s an awful lot of people who are hurting in Virginia, and the message to them seemed to be: ‘We don’t care. Fend for yourself,’’ he said. The state’s unemployment rate is currently 6.7%.
-Noel Brinkerhoff
 

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