During the April 8th Veto Session, Senator Barker supported Governor Kaine’s amendments to expand Virginia’s unemployment benefits so that Virginia could take advantage of additional funds available through the federal government’s American Recovery and Reinvestment Act.  “The economic downturn has affected many Virginians,” said Senator Barker, “It is important in times like these for government to provide a safety net for hardworking citizens who are struggling to make it. An important facet of this safety net is unemployment insurance.” Unfortunately, despite the tremendous need for these expanded benefits, the House of Delegates voted in April to turn down these funds, which will now be given to other states unless the decision is reversed.

Currently, Virginia qualifies for only one third, or $62.8 million, of the federal dollars available to us for unemployment insurance. There are four options Virginia could pursue to expand its coverage; Virginia would have to do at least two of the four to come into compliance and qualify for the remaining $125.5 million in federal funds. Governor Kaine’s amendments would have expanded unemployment compensation to laid-off part time workers and provided extended benefits for at least 26 weeks to unemployed workers who are enrolled and making satisfactory progress in state approved training programs. Businesses already pay unemployment for part-time workers. These amendments passed in the Senate.

The expansions would have cost Virginia about $18 million per year. The money Virginia could have received from the federal government would have covered these additional expenses for nearly seven years. At any time after the first two years if it was felt the program was no longer needed, or was too costly, the General Assembly could have made the decision to eliminate the expansions.  Virginia would have received more funds than the expansions would have cost the state.