States face new pinch as stimulus ebbs, By Deborah Solomon, June 23, 2010, Wall Street Journal: “Already-strapped states are about to face a new squeeze as the boost from federal economic-stimulus spending draws to a close and Washington looks increasingly reluctant to widen the nation’s budget deficit. States have long known stimulus funds sent their way early in the recession would taper off in the first half of 2011. But many hoped a rebound in tax receipts would close the gap. While state revenues have rebounded somewhat, legislatures still must grapple with deficits totalling $127 billion over the next two fiscal years, according to the National Association of State Budget Officers. Meanwhile, many lawmakers in Washington, concerned about a U.S. budget deficit that could rise by as much as $11 trillion over the next decade, are opposing more spending…”
Day: June 23, 2010
Jobs Bill and Unemployment Benefits
- Senate cuts to recession relief bill favor special interests, By Janet Hook, June 23, 2010, Los Angeles Times: “As the Senate scrambles to scale back a $140-billion recession relief bill, the poor, the elderly and the unemployed are bearing the brunt of the squeeze. But NASCAR track developers, movie producers and other special interests are likely to escape unscathed. Those businesses stand to gain $32 billion in tax breaks as part of the bill, which has been stalled for weeks because of rising complaints about deficit spending. In the hunt for ways to cut costs, neither party has proposed curbing the panoply of narrow tax preferences, which Congress has routinely extended each year. Instead, Senate leaders have proposed a $25 cut in weekly unemployment benefits; temporarily allowed a 21% cut in Medicare fees for doctors; and are planning to withhold or scale back $24 billion in payments many states expected to help pay for Medicaid for the poor…”
- Cutting off the unemployed, Editorial, June 22, 2010, New York Times: “It was bad enough when the Senate left town for a long Memorial Day break without passing a bill to extend expiring unemployment benefits. It’s worse now. Back in session for nearly three weeks, the Senate still has not acted. That means that 900,000 jobless workers have already lost their benefits, a number that will swell to an estimated 1.6 million people if an extension is not passed by the July Fourth holiday. Lost benefits – the average check is $309 a week – deprives struggling Americans of cash they need for buying food, paying the rent or mortgage and other essentials…”
Small High Schools and Academic Achievement – New York City
Small NYC high schools found to boost achievement, By Karen Matthews (AP), June 22, 2010, Washington Post: “They were known as dropout factories: big high schools in poor neighborhoods where only a quarter to a third of students graduated. New York City under Mayor Michael Bloomberg has systematically shut down large, failing high schools and replaced them with small schools, many pegged to themes like the fashion industry or the business of sports. A new study funded by the Bill and Melinda Gates Foundation – which has invested more than $150 million in New York City schools – suggests that the small schools have succeeded in boosting graduation rates for the city’s most academically challenged students. Proponents say small schools can provide one-on-one support to struggling students, and the specialized programs are supposed to improve students’ motivation by enticing them to apply to schools that match their interests…”