Texas Senate votes to take federal money

Associated Press 

AUSTIN, Texas -- While Gov. Rick Perry is drawing national attention for slamming Washington bailouts and excessive spending, his own state Senate went against his wishes and voted Thursday to accept $555 million in federal unemployment benefits.

The measure, which passed 22-9 on a preliminary vote Thursday, would expand state unemployment benefits by including part-time workers and people who quit for compelling reasons, such as a child’s illness or family violence. 

Perry, a Republican, has agreed to take almost all the nearly $17 billion stimulus package slated for Texas. But he says there are too many strings attached to the $555 million in unemployment money. 

“The governor has made his position on this issue very clear,” said his spokeswoman, Allison Castle. “He does not support expanding the unemployment insurance program which will burden employers and hurt job creation.” 

The slap from the state Senate comes as the governor, facing a re-election challenge from U.S. Sen. Kay Bailey Hutchison, steps up his criticism of Washington spending, appearing at numerous anti-tax rallies and taking to the airwaves to bash the federal government.

 “Amid silly talk of ‘state’s rights’ and ‘secession’ by opponents of federal funding to attack an economic nosedive, today’s action by the Senate, taken with a minimum of debate, demonstrates that a bipartisan approach by legislators can address the real problems of Texas,” Texas AFL-CIO President Becky Moeller said in a statement. “Today the Senate has done well and done right by all of Texas.” 

All 12 Senate Democrats and 10 of the chamber’s 19 Republicans formally disagreed with Perry by voting to bypass him and accept the federal dollars. Sen. Kevin Eltife, R-Tyler, sponsor of the legislation, said laid-off workers needed the help from Washington, noting the federal stimulus package offers unemployment benefits for nearly a decade. 

“It’s very important to those who have lost work through no fault of their own. The stimulus money will pay for those benefits for nine years,” Eltife said. “To me it’s a no-brainer to take the money.” 

The legislation still faces more hurdles before becoming law. Sen. Tommy Williams, R-The Woodlands, said Texas employers would be stuck paying the bill, through higher state taxes, once the federal money ran out. “I just felt like the long-term consequences of expanding that program are not good for Texas employers,” Williams said. 

Perry hasn’t said whether he’ll veto the legislation. Castle, his spokeswoman, said it’s still not clear it will make it to his desk. “It’s still early in the process," she said.