GOP group opposing new unemployment aid

WASHINGTON, Feb. 26 (UPI) -- The $7 billion in U.S. government funds tabbed to help expand unemployment benefits will only create additional problems, six Republican governors say.

Louisiana Gov. Bobby Jindal, one of those governors, said the unemployment fund featured in the government's $787 billion economic recovery package would ultimately hurt U.S. businesses, Stateline.org said Thursday.

Jindal said if his state were to accept its portion of the package, along with its conditions, it "would ultimately increase taxes on the very businesses we are working to support during these tough economic times."

The Louisiana governor's position has been supported by Mississippi Gov. Haley Barbour, South Carolina Gov. Mark Sanford, Alaska Gov. Sarah Palin, Minnesota Gov. Tim Pawlenty and Texas Gov. Rick Perry.

The five additional Republican governors all have stated that accepting the laws attached to the stimulus package could result in higher taxes for their constituents.

Stateline.org said federal and state employer payroll taxes are scheduled to pay for the proposed unemployment insurance program under the government package.