Senate Votes to Proceed with Unemployment Bill

The Senate on Tuesday voted 87-13 to proceed with consideration of the Unemployment Compensation Extension Act of 2009 (H.R. 3548), a bill that would, among other things, provide up to 14 additional weeks of unemployment benefits to individuals in all 50 states, and up to 20 additional weeks in states with rates of high, sustained unemployment. This legislation, which cleared the House of Representatives in September, has run into snags in the Senate. Democrats have accused Republicans of stalling passage by drafting amendments to the bill that have nothing to do with unemployment. Tuesday’s cloture vote effectively limits debate on the bill, and thus the consideration of the various amendments that have been proposed.

Some Republican senators have found fault with how the bill would be funded. As written, the measure would be fully paid for by extending the Federal Unemployment Tax Act surtax until June 30, 2011. This tax imposes an annual fee in the amount of $14 per worker on employers. Amendments that may be considered include one that would fund the bill by drawing funds from the Troubled Asset Relief Program (TARP) and another that would use unobligated funds from the American Recovery and Reinvestment Act (ARRA or “Economic Stimulus”). Other amendments would extend a popular homebuyer tax credit, and make the E-Verify employment verification program permanent.

A final vote on the unemployment extension bill could occur by the end of the week Assuming the measure passes, the bill will need to be reconciled with the less expansive version passed by the House, and then put to a final vote.