California Grants Unemployment Extension

The California State Assembly has passed a bill to extend unemployment benefits in California as part of a plan to qualify for federal cash from President Obama’s stimulus package.

After passage by the State Senate and Governor Arnold Schwarzenegger, the bill will make extended benefits of $65 to $475 a week available for an extra 20 weeks. The state Employment Development Department notes the bill will provide additional unemployment insurance benefits to an estimated 76,000 unemployed California workers whose benefits would otherwise run out.

The state EDD will automatically file new extension claims for unemployment claimants who have exhausted regular unemployment benefits and will send them forms in the mail to be completed and mailed back to the department. According to state officials, an estimated 260,000 unemployed people could receive the extended benefits by the end of the year.

Gov. Arnold Schwarzenegger’s office released a statement affirming he would sign the bill when it got to his desk. Republican legislators in Sacramento initially rejected the bill because it could require California to pay for half of the extended benefits instead of using federal funding only. The Republicans also argued they didn’t have enough time to read the bill prior to approval.

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