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Republican Senators Divided Over Governors Rejecting Stimulus Money
March 12, 2009 5:23 PM
ABC News' Z. Byron Wolf reports: Stimulus funds have only just started to filter out to the states, and already several Republican senators have said they don't want all the money due to them in the $787 billion bill meant to kick-start the sputtering economy.
While it raises legal questions, the actions by governors in South Carolina and, according to more recent reports, Texas, largely fit into the broader Republican talking point that the new Obama administration is spending too much money in its effort to save the economy.
But not all Republicans agree. At a news conference with other Republicans announcing a GOP oversight initiative of the stimulus program, Sen. George Voinovich, R-Ohio, who opposed the stimulus and is a former chairman of the National Governors Association, said governors who are rejecting the stimulus money now should have spoken up while the stimulus was being drafted.
"My attitude is that governors should have gotten their act together and they didn't,” he said. “The Republicans and Democrats – [Sen.] Lamar [Alexander, R-Tenn.] -- I think you were chairman of the National Governors Association too. When we were chairman, I tried to get them in a room and say look, 'Republicans, Democrats, let’s get a common thing, let’s go to the Hill and let’s do it.' And what happened was they spoke with different voices. And now, they're going to have to live with the program."
This was a bit off-message for Republicans, who have been trying to make the point that Democrats, now that they're in power, are spending too much money. The two senators joining Voinovich at the news conference, where Voinovich and Sen. John Thune, R-S.D., were introduced as the two senators who will be in charge of overseeing Republican oversight of the stimulus, immediately tried to dial back the criticism.
"I think the governors have a legitimate concern here," Alexander said. "[S.C.] Gov. [Mark] Sanford is a Republican, but Tennessee's governor, a Democrat, raised an issue about whether we should accept the unemployment insurance money because it might require our state to raise taxes on employers, therefore driving jobs out of the state. That's a legitimate concern."
Tennessee Gov. Phil Bredesen has since said he will accept all the stimulus money, approximately $4.5 billion.
Alexander was asked if the governors have the ability, constitutionally, to turn down the money.
"I don't know the answer to that," he said. "But it’s a very wise question by a governor because, in Tennessee, we kept our debt low because if we we don't have to pay interest on the debt we can build schools and roads and parks. ... And what Gov. Sanford, I am sure, is saying is that if I can use that money for the long-term, I will have more money every year to spend on schools and roads and parks."
Thune said his governor has also considered turning down stimulus money that requires state matching funds and increased eligibility for programs receiving federal dollars.
"Once you've expanded the eligibility, I guess is what I'm saying, it will be difficult to tell people they are no longer eligible for this,” he said. “And so I think some of these governors have got some very legitimate questions about these funds and how they might be used. And if they're going to be forced into expanding eligibility to qualify for them and create long-term budgetary problems down the road for their states, then some of them are exercising their prerogative not to accept them and I think that is probably a fair thing for them to do.”
March 12, 2009 | Permalink | Share | User Comments (27)
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Red-neck states should decline the federal money. After all, Red-neck states are already federal welfare "queens." They get back more in federal pork than they pay in federal taxes. Time for the Bible Belt to support itself rather than count on federal "socialism' to pay their way. Oh, throw the rest of the nation into the briar patch because the holier-than-thou Republicans ain't gonna take the money.
More Republican hypocrisy.....Maybe they are declining the money because their citizens don't deserve the money? Besides, the Bible Belt can always collect tithes from their "faithful" to tide themselves over.
Posted by: Sammy | Mar 12, 2009 5:45:08 PM
Well we will see how the voters of those states react at election time, that is if the voters can remember that long. History says they don't, so most of this is just political BS, protecting themselves and to hell with the voters, dumb as we are.
Posted by: Thinking | Mar 12, 2009 5:45:37 PM
All these governors who have rejected the money should not take even a penny of it. This then should go to states that really need and want it and put it to good use for the people. The same governors who rejected this are hypocrites if they turn around and accept even a portion of this.
Posted by: Karen | Mar 12, 2009 5:46:24 PM
"Once you've expanded the eligibility, I guess is what I'm saying, it will be difficult to tell people they are no longer eligible for this,” he said. “And so I think some of these governors have got some very legitimate questions about these funds and how they might be used. And if they're going to be forced into expanding eligibility to qualify for them and create long-term budgetary problems down the road for their states, then some of them are exercising their prerogative not to accept them and I think that is probably a fair thing for them to do.”
------------------------------
I've seen this argument repeated frequently, but not challenged enough. The argument is fallacious. No one is asking these states to commit to long-term increases in benefits. In fact, the point is to AVOID long-term increases in benefits. The point of stimulus unemployment benefits increase is to provide additional money, in the short-term, to help with the current increase in unemployment.
HOWEVER, the economy will not struggle indefinitely; it will recover. When the recovery occurs, WHICH IS SUPPOSED TO HAPPEN BEFORE OR BY THE TIME THESE ADDITIONAL BENEFITS RUN OUT, then there will be no need to keep benefits at their currently increased levels.
In a nutshell, these increases in benefits are intended to be temporary. Anyone arguing otherwise either does not understand this process or is engaging in politicking. (Hint: it's usually the latter.)
Posted by: A Dose of Common Sense | Mar 12, 2009 5:58:15 PM
The problem with the republicans is that they are trying to ready themselves for the next election and they are ignoring what needs to be done NOW.
Posted by: unshrub | Mar 12, 2009 5:58:31 PM
To Sammy, it is your right to disagree with people on political issues, but please do so without interjecting the insulting language about "rednecks" and "Bible Belt states." I'm sure you would find it equally offensive if someone were to use this forum to make such comments about you and others from your region of the country. Didn't President Obama once say that we aren't just a country of Red States and Blue States, but the UNITED States. One can disagree without being disagreeable, you know.
Posted by: bkm | Mar 12, 2009 6:11:05 PM
What does this say about the Governor of South Carolina, a state that is one of the poorest in the nation, where it's governor has rejected federal help to put the citizens of that State to work? It simple says......Sanford Is Self-Serving and hoping he will be a Republican Candidate for President in 2012. Hoping for himself.
Posted by: sngeorgia | Mar 12, 2009 6:14:14 PM
The rationale, companies will have to pay more.....dah, the employees pays for unemployment insurance. It's their money, and if more people are out of work than that Pot can pay for....the companies has nothing to do with it. So, the Federal Government has to put some money in that Pot. Liars...Hypocrites....Just trying to get a "platform to run on". No one's buying their "liars and crap anymore".
Posted by: sngeorgia | Mar 12, 2009 6:18:58 PM
These Republican governors
either accept the money -- or eat crow and admit the conservative "too much government spending" chant is Bullsh*t.
- or their constituents go without.
Let 'em squirm.
Time for TRUTH.
Posted by: thomas winz | Mar 12, 2009 6:27:36 PM
Stupid just because they have to account for this money and being republican sending a message the people suffer I hope to he-- they vote them out this coming election>>>>>>>
Posted by: NHvoter | Mar 12, 2009 6:29:41 PM
I think the negatives are getting to much play here at ABC. Why not a report on the States that are accepting the money? Why don't they have a problem with it?
The GOP cries and they get the press, it is like watching a two year old have a tantrum, and that two year old isn't even mine.
It never ends Thank God for PBS!
Posted by: Thinking | Mar 12, 2009 6:34:37 PM
President Obama is doing a great job so far. By bringing real solutions to real problems he's forcing the snakes out. Everyone is responsible to step up to the table.
Let the Republicans spite off their nose to spite their face.
Unfortunately those in need in those states suffer. Fortunately, the people will vote accordingly next election.
Posted by: Berry Feinstein | Mar 12, 2009 6:36:34 PM
Have You Noticed, its the Republican Governor's with [[Presidential Aspirations]]
1. Rep. Gov: Rick Perry [[Texas]]
2. Rep. Gov: Mark Sanford [[South Carolina]]
3. Rep. Gov: Bobby Jindal
4. Rep. Gov: Sarah Palin
They are STILL....
Accepting Majority Of the... MONEY !!
Its So Contradicting and So Hypocritical.
Posted by: O. | Mar 12, 2009 6:46:47 PM
Have You Noticed, its the Republican Governor's with [[Presidential Aspirations]]
1. Rep. Gov: Rick Perry [[Texas]]
2. Rep. Gov: Mark Sanford [[South Carolina]]
3. Rep. Gov: Bobby Jindal [[Louisiana]]
4. Rep. Gov: Sarah Palin [[Alaska]]
They are STILL....
Accepting Majority Of the... MONEY !!
Its So Contradicting and So Hypocritical.
Posted by: O. | Mar 12, 2009 6:48:03 PM
Attention....
Republican Governors:
Grow a Brain Stem and Spinal Cord....
An Turn Down [[All]] of the Stimulus Money....
That or Take the Money and Run !!
Posted by: O. | Mar 12, 2009 6:51:42 PM
Hey Sammy,
Why don't you bring your yankee ass down here, and I'll put my "redneck" foot up it.
Posted by: Fred | Mar 12, 2009 7:08:24 PM
The way I see it maybe it's a good thing they turn down the money, since they are complaining about all of the spending and let the Evangelical Churches start paying for the unemployed whom by the way have families to feed....hell I would imagine if you look in the churches coffers you will find a lot of money there or maybe they should start digging in their pockets.
A lot of these republicans are just positioning themselves to run for their seats again or president at the expense of the constituents whom have no JOB!
Posted by: Republicans are Clueless | Mar 12, 2009 7:17:56 PM
Is being stupid a prerequisite if you want to be Governor of Texas?
Posted by: Mack | Mar 12, 2009 7:22:11 PM
Check back on this story in a few months and we'll see how many governors and legislatures actually threw a substantial amount of stimulus cash back in Obama's face.
Posted by: matt | Mar 12, 2009 7:23:57 PM
They don't want the money, then don't give it to them and make it clear that it won't be available in the future. Take any refused funding and give it to the other states that need it.
Posted by: JR | Mar 12, 2009 7:27:08 PM
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