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Last Updated: Feb 2, 2012 - 2:19:31 AM 

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News

Michaud Acts to Protect Unemployment Aid
By John P. Graham, Jr.
Feb 2, 2012 - 2:18:08 AM

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WASHINGTON, DC - Tonight, Congressman Mike Michaud will offer a motion to ensure that funding for unemployment insurance (UI) is used only to provide assistance for the more than 13 million Americans currently out of work. Michaud's motion would instruct House negotiators to drop a provision from a bill being negotiated to extend the payroll tax cut and unemployment benefits. That provision would permit states to use UI funding for other programs and initiatives.

"The fact is unemployment benefits remain a crucial resource for American workers who lost their jobs as a result of the Great Recession and not because of their job performance," said Michaud. "Using UI funding for anything other than unemployment benefits for struggling families simply makes no sense."

In December, the House and Senate passed conflicting versions of a bill that would extend both the payroll tax cut and unemployment insurance assistance, and House and Senate negotiators are currently working to broker a compromise. A provision included in the House bill would allow states to divert UI for purposes other than relief for the unemployed. States already have the power to determine employer tax rates, benefit levels, and eligibility criteria.

"In this environment of reigning in government spending and making sure taxpayer dollars are used effectively, I think it makes sense to make sure that UI benefits can't be spent on some other program that won't help families or the economy like unemployment insurance," Michaud said.

John P. Graham, Jr.
Deputy Chief of Staff for Congressman Mike Michaud


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