HOUSTON (AP) _ Gov. Rick Perry today rejected $555 million in federal stimulus money that would expand state unemployment benefits.
Republican Perry has been an outspoken critic of Democratic President Barack Obama’s $787 billion stimulus bill. Perry is the latest Republican governor to turn down federal stimulus money.
Perry did accept most of the roughly $17 billion slated for Texas in the plan.
The governor turned down the unemployment benefits because he said they would require the state to increase the tax burden on Texas businesses to fund an expanded program.
Perry told a Houston news conference that, in these tough times, Texas employers are working harder than ever to move products to market, make payroll and create jobs.
Perry says the last thing they need is government burdening them with higher taxes and expanded obligations. Rules for the federal money would require a change in the state’s definition of unemployment.