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Federal government to help reimburse states for Irene damage

Hurricane Irene could cost U.S. state and local governments billions of dollars in damages, but funds from the federal government might ultimately cover much of this expense.

Unemployment payouts push California deeper into debt

The state is borrowing $40 million a day from the federal government to provide assistance to jobless workers, but has resisted changing the formulas it uses to determine and fund those benefits.California's fund for paying unemployment insurance is broke.

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