November 11, 2009

Congress Extends Unemployment Benefits
Congress passed legislation this week to extend unemployment insurance for nearly 2 million Americans who would have otherwise lost their benefits by the end of the year.

H.R.3548, the Unemployment Compensation Extension Act of 2009, extends benefits by 14 weeks for jobless workers across the entire country and by 20 weeks in states with unemployment rates higher than 8.5 percent – including California , where the unemployment rate is 12.2 percent.

The bill also includes a provision to extend homebuyer tax credits and a tax provision to ease the burden of the economic downturn on struggling businesses.

This bill comes at a critical time, when millions of Americans and at least 170,000 Californians are at risk of losing their unemployment benefits. Extending benefits will not only help laid-off workers support their families while they look for jobs, it will also provide a boost to our economy.

Extending unemployment insurance is crucial now because more than one in three jobless workers have been out of work for at least six months, and every day 7,000 Americans lose their unemployment benefits.

Extending unemployment insurance also will help stimulate the economy. Every $1 spent on unemployment benefits generates $1.61 in new economic demand. The legislation is also fiscally responsible, with the Congressional Budget Office concluding that the benefits extension will be fully offset.

Congress Extends Homebuyer Tax Credit
H.R.3548 includes a homebuyer tax credit provision that extends the $8,000 tax credit for first time homebuyers until April 30, 2010. The bill also gives a $6,500 credit to homebuyers who have been in their current residence for the last five years or more. The homebuyer credit also includes tax relief for military personnel and members of the Foreign Service and intelligence community, and anti-fraud language to prevent abuse of the tax credits.

US Attorney Prosecutes Unemployment Insurance Fraud
FRESNO , Calif. — The US Attorney’s Office announced today that Mario Jurado Pena and his wife Jacqueline Chaves Jurado, both of Sanger were convicted of defrauding the State of California Employment Development Department of millions of dollars.

The couple must pay restitution of $3,120,706. Mr. Pena will serve 18 months in prison, in addition to the nine years he is currently serving for a narcotics conviction. Mrs. Chaves Jurado received one year of home detention and three years of supervised release.

This case was the product of an extensive investigation by the United States Department of Labor, Office of Inspector General, Labor Racketeering, and Fraud Investigations, and the State of California , Employment Development Department.

Read the full release and details of the investigation, extent of fraud and conviction, please go to http://www.justice.gov/usao/cae/press_releases/docs/2009/11-02-09PenaSentence.pdf.

For more information or assistance with this issue, please contact the Office of Senate Majority Leader Dean Florez at (661) 395-2620.

Sincerely,

 Jeremy Wright

Field Representative

Office of Senate Majority Leader Dean Florez

1800 30th Street, Suite 350

Bakersfield , CA 93301

(661) 395-2620

(661) 395-2622 fax

jjeremy.wright@sen.ca.gov