Wednesday, July 21, 2010

Jobless benefits extension passes Senate

http://money.cnn.com/2010/07/21/news/economy/unemployment_benefits/index.htm?hpt=T1&iref=BN1

By Tami Luhby, senior writerJuly 21, 2010: 7:06 PM ET


NEW YORK (CNNMoney.com) -- The Senate Wednesday voted 59 to 39 to restore unemployment benefits to 2.5 million jobless Americans, ending a seven-week stalemate.

The bill, which would push back the deadline to file for extended unemployment benefits until the end of November, now goes to the House, where it is expected to pass on Thursday. The president is expected to sign the measure quickly.

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The jobless stopped getting their checks in early June, after Congress failed to extend the deadline to apply for benefits. Senate Republicans, as well as Nebraska Democrat Ben Nelson, prevented the legislation's passage, saying it should be paid for first. They suggested covering the $34 billion tab with unused stimulus money, a step the Senate Democratic leadership rejected.

Federal unemployment payments, which last up to 73 weeks, kick in after the state-funded 26 weeks of coverage expire. These federal benefits are divided into tiers, and the jobless must apply each time they move into a new tier.

The payments will be retroactive to the previous deadline of June 2. But it could take up to a month for states to start sending the checks again, experts said.

Lynda Kahn of Coral Springs, Fla., can't wait to get that check. She stopped getting benefits last week and applied for Medicaid, only to be turned down because she doesn't have dependent children. But she did get a supermarket gift card from a local charity to supplement her $200 a month food stamp allotment.

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