Congress, Unemployment Benefits Extension | featured news

Top House Republicans said Sunday they oppose a Senate-approved bill that extends a payroll tax cut and jobless benefits for just two months and said congressional bargainers need to write a new version lasting a longer time....

Congressional negotiators reached agreement Thursday on a compromise spending bill to avert a weekend federal shutdown. They also worked toward a deal renewing the payroll tax cut and unemployment benefits for another year but prepared a shorter version as a fallback in case talks fell short.

The proposal would pay for extending a payroll tax holiday and unemployment benefits in part through changes to Medicare and a pay freeze for federal workers.

Republican officials say legislation being drafted in the House would renew an expiring program of unemployment benefits at a time of 9 percent joblessness. The measure also would extend a Social Security payroll tax cut. Both are due to expire at the end of the year. The officials say the cost of provisions will be offset to avoid increasing the deficit.

Senior lawmakers said on Sunday they were optimistic about striking a deal to extend Bush-era tax cuts for all taxpayers and continue emergency jobless aid for millions of long-term unemployed Americans.

Congress is one House vote away from resuming unemployment payments to millions of people whose benefits have lapsed as the nation suffers through a wretched job market.

The Senate voted on Wednesday to reinstate unemployment benefits for about 2.5 million Americans whose checks were cut off in recent months due to a partisan standoff over deficit spending.

Democrats are expected to overcome Republican opposition to the package of new aid for unemployed Americans.

Senate Democrats are set to pass a key hurdle Tuesday on extending unemployment benefits for an estimated 2.5 million unemployed Americans and are expected to overcome a Republican filibuster of the new aid.

A vote on the package is set for Tuesday, minutes after the swearing-in of a new West Virginia senator gives Democrats the ability to overcome a filibuster.

On the eve of a vote to extend jobless benefits, President Obama urged Republican senators to set aside partisanship and vote for a package that would provide relief to 2.5-million out-of-work Americans.

White House Press Secretary Robert Gibbs predicted on Tuesday that the Senate will pass an extension of unemployment benefits sometime next week after nearly a month of delays over the size and scope of the package.

"I think this president will press and my belief is the Senate will take up [the package]," said Gibbs, "and we will pass next week an extension of unemployment insurance."

Speaking at the daily briefing, Gibbs hinted that the White House and allied campaign committees will be monitoring the vote closely for electoral implications.