Tuesday, November 30, 2010

Tax Cuts Again and Unemployment Blocked by GOP

President Obama suggested Tuesday that a group of congressional leaders he has asked to work out a compromise on expiring tax cuts will also try to work out a compromise on expiring unemployment benefits.

"We discussed working together to keep the government running this year -- and running in a fiscally responsible way," Obama said. "And we discussed unemployment insurance, which expires today. I've asked that Congress act to extend this emergency relief without delay to folks who are facing tough times by no fault of their own."

Obama first asked lawmakers to reauthorize extended unemployment benefits at the beginning of October, but Congress has failed to prevent the benefits from lapsing at least temporarily. Now it looks as though a deal crafted by the four members of Congress tasked with compromising on tax cuts may be the only way.

Senate Democrats asked Tuesday afternoon for a yearlong reauthorization of Emergency Unemployment Compensation and Extended Benefits programs, which together provide up to 73 weeks of benefits beyond the 26 weeks provided by states. Republicans blocked the request, leaving no clear path forward for a reauthorization. (Democrats blocked a counter-request to reauthorize the benefits while offsetting their deficit impact with spending cuts.)

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