The Senate is working on a bill that would keep certain tax cuts and tax incentives in place and provide needed unemployment benefits for those without a job. Senator Ben Nelson stated in a news conference call today that although it sounds good, “but like a lot of things in Washington, the devil is in the details”. He stated there are many other provisions and the price tag is high. It would increase the Federal deficit by $77-billion.
Senator Nelson stated he will not support the bill the way it stands now due to the fact it will raise taxes and the deficit.
Senator Nelson says another part of the Senate bill calls for new federal spending to help cash-strapped states. The National Governor’s Association has asked Congress to pay for an increased share of Medicaid for another six months at a non-offset price of 24-billion dollars. He says Washington needs to stop passing unfunded mandates to the states and he received criticism from both the governors from California and Nebraska when it came to the Federal mandate in the health care bill.
Senator Nelson says with hundreds of millions of federal economic recovery dollars still not spent in Nebraska, it is irresponsible to increase the deficit or raise taxes to balance the state budget.