Unemployment Benefits Bill Signed Into Law; Clears Path for Consideration of Expiring Tax Provisions
Monday, July 26, 2010
Posted by: Katie Sirakos
From the Council on Foundations' Policy Update
On Thursday, July 22, Congress passed the Unemployment Compensation Extension Act of 2010 (H.R. 4213), an extension to retroactively restore unemployment benefits to more than 2.5 million Americans who have been out of work for at least six months. The measure was immediately sent to the White House for President Obama's signature and now is enacted into law. H.R. 4213 will extend federal unemployment benefits for workers who have exhausted their normal six months of benefits through November 30 and make that extension retroactive to June 2, when the benefits last expired. The legislation also will provide 100 percent federal funding to state unemployment programs to cover additional implementation costs.
The Unemployment Compensation Extension Act of 2010 did not include an extension of expiring tax provisions (IRA charitable rollover, and a number of other charitable-giving incentives that expired at the end of 2009, among other provisions). Previous attempts to advance the larger extenders package, which had included unemployment benefits, failed in the Senate primarily due to the roughly $30 billion price tag associated with the cost of extending the unemployment benefits. Now that Congress has completed action on the unemployment bill, this clears a major hurdle for the Senate to resume consideration of legislation to extend expiring tax provisions. It is likely that the Senate will take up an extenders package as early as this month before Congress adjourns for the August recess. The August recess is expected to begin on Monday, August 9.
The Council will continue to monitor legislative action on the extension of expired and expiring tax provisions and will report on developments in the next issue of "Policy Update.” In the meantime, please contact Andrew Schulz or Chatrane Birbal in the Council's Legal Services and Public Policy Department if you have any questions. You can reach Schulz at Andrew.Schulz@cof.org, 703-879-0715, or Birbal at Chatrane.Birbal@cof.org, 703-879-0689.