House Passes Job Creation Bill
December 16, 2009
H.R. 2847, the Jobs for Main Street Act, would redirect $75 billion in Troubled Asset Relief Funding (TARP) to fund infrastructure and job investments that will further stabilize jobs and provide long-term extensions for unemployment insurance, the COBRA health care subsidy, Medicaid relief to the states and expanded eligibility for the Child Tax Credit.
“The unemployment rate for Tennessee is higher than the national unemployment rate,” Congressman Cohen said. “The American Recovery and Reinvestment Act has saved and created thousands of jobs in the 9th District. However, as a founding member of the Congressional Jobs NOW! Caucus, I believe we need to be doing more. I am pleased that the House is redirecting billions that were used to bail out Wall Street so that local communities can use them to hire more teachers, first-responders or provide employment opportunities to young people. This bill also provides funding for job training programs that will help unemployed or displaced workers get a job in high-tech or ‘green’ industries.”
H.R. 2847 also incorporates the Surface Transportation Extension Act of 2009, which extends the core highway, highway safety and transit programs through September 30, 2010 to $53.3 billion, the level assumed in the FY 2010 budget resolution.
“As a member of the House Transportation and Infrastructure Committee, I advocate for even greater investments in our roads, rails and runways,” Congressman Cohen said. “By doing so, we create good-paying construction jobs, and ensure that Memphis remains America’s Distribution Center.”
“I am also pleased that this bill extends a number of programs aimed at helping individuals and families during this economic crisis,” Congressman Cohen said. “Whether it’s extended unemployment benefits, continued access to health care, or tax credits aimed at giving families a little more money, every little bit helps.”
The long-term authorization for these programs, SAFETEA-LU, expired on September 30, 2009. Since then, these programs have been extended on a short-term basis at a funding level that is significantly below the FY 2009 authorized level. H.R. 2847 will increase funding by $10.7 billion, nearly to the FY 2009 authorized level.
The bill also includes provisions to stabilize the Highway Trust Fund. It restores $19.5 billion in interest payments foregone on the Trust Fund’s previous cash balances and lifts the ban on the Trust Fund receiving interest payments in the future. This will increase the Trust Fund’s balance by an estimated $500 million to $1 billion annually, in the near-term.
“The unemployment rate for Tennessee is higher than the national unemployment rate,” Congressman Cohen said. “The American Recovery and Reinvestment Act has saved and created thousands of jobs in the 9th District. However, as a founding member of the Congressional Jobs NOW! Caucus, I believe we need to be doing more. I am pleased that the House is redirecting billions that were used to bail out Wall Street so that local communities can use them to hire more teachers, first-responders or provide employment opportunities to young people. This bill also provides funding for job training programs that will help unemployed or displaced workers get a job in high-tech or ‘green’ industries.”
H.R. 2847 also incorporates the Surface Transportation Extension Act of 2009, which extends the core highway, highway safety and transit programs through September 30, 2010 to $53.3 billion, the level assumed in the FY 2010 budget resolution.
“As a member of the House Transportation and Infrastructure Committee, I advocate for even greater investments in our roads, rails and runways,” Congressman Cohen said. “By doing so, we create good-paying construction jobs, and ensure that Memphis remains America’s Distribution Center.”
“I am also pleased that this bill extends a number of programs aimed at helping individuals and families during this economic crisis,” Congressman Cohen said. “Whether it’s extended unemployment benefits, continued access to health care, or tax credits aimed at giving families a little more money, every little bit helps.”
The long-term authorization for these programs, SAFETEA-LU, expired on September 30, 2009. Since then, these programs have been extended on a short-term basis at a funding level that is significantly below the FY 2009 authorized level. H.R. 2847 will increase funding by $10.7 billion, nearly to the FY 2009 authorized level.
The bill also includes provisions to stabilize the Highway Trust Fund. It restores $19.5 billion in interest payments foregone on the Trust Fund’s previous cash balances and lifts the ban on the Trust Fund receiving interest payments in the future. This will increase the Trust Fund’s balance by an estimated $500 million to $1 billion annually, in the near-term.
Summary of the Jobs For Main Street Act
The following investments are paid by redirecting $75 billion in TARP funding that was approved by Congress. The Senate is expected to act on this legislation next year.
- $48 billion for highways, transit, clean water, housing, and school construction, rehabilitation and repair.
- $27 billion for hiring teachers, police, firefighters AmeriCorps volunteers, youth summer jobs, expand college work study and job training programs at community colleges to prepare displaced workers for high growth industries, such as health care and clean energy jobs.
- The package extends several American Recovery and Reinvestment Act (ARRA) initiatives to help America’s small businesses create jobs, including: eliminating fees on Small Business Administration (SBA) loans, encouraging banks to lend to small businesses by raising to 90 percent (from 85 percent) the portion of a loan that the Small Business Administration will guarantee.
For those hardest hit by the economic crisis, the bill includes the following emergency relief for individuals and families:
- Unemployment Benefits -- Extends emergency unemployment benefits through June of 2010.
- Help with Health Insurance for Unemployed Workers (COBRA) -- Extends through June 30, 2010 a key provision to strengthen COBRA to help maintain health coverage during this downturn.
- Protecting Health Care Coverage for Millions through Medicaid (FMAP) -- Extends the provisions in the Recovery Act that provide the states with additional federal matching funds for Medicaid for six months – from December 31, 2010 to June 30, 2011.
- Child Tax Credit – Cuts taxes for 16 million families, by making the Child Tax Credit available to all low-income working families with children in 2010. (Under the Recovery Act, families must earn at least $3,000 in order to begin to take advantage of the $1,000 Child Tax Credit.)
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________________________
Steven Broderick
Communications Director
Congressman Steve Cohen (TN-9)
1005 Longworth House Office Building
Washington, DC 20515
Direct: 202-226-7916
Main: 202-225-3265
steven.broderick@mail.house.gov