Perry opposed to extending worker payments

HOUSTON, March 12 (UPI) -- Texas Gov. Rick Perry said Thursday he will fight efforts to expand unemployment benefits to Texans looking for part-time work.

The move could cost the Lone Star State $555 million in federal assistance contained in President Barack Obama's economic stimulus plan, the Austin (Texas) American-Statesman reported.

The newspaper said the state Legislature could enact statutory changes needed to qualify for the federal funds and if the governor vetoes the bill, lawmakers could try to override the veto.

Perry said that expanding unemployment benefits would cause businesses to pay more in unemployment insurance premium payments.

"We do not want you in Washington telling us how to run our business here in the State of Texas," Perry said in Houston. "We have made a decision that part-time employees are not eligible for unemployment insurance."

The Texas Workforce Commission estimates that the state could qualify for the full $555 million with changes to existing law that would cost at least $368 million over five years.

But to be eligible for all the federal funds, Texas must change the way the state calculates a worker's eligibility and extend benefits to more workers, including those looking for part-time work.