Federal loans an option if Utah’s unemployment fund dries up

[PanAM]

Officials are taking a hard look at the possibility of borrowing money from the federal government should Utah’s trust fund for paying unemployment benefits go broke.

The option was put forward Wednesday as a panel of business, labor and public representatives considered ways of averting bankruptcy for the trust fund.

Decimated by the recession and record jobless claims, the fund has fallen from $855 million two years ago to $384 million today, with unemployment rates still high. State analysts predicted in late June the fund could go broke as soon as fall 2011, but a rise in projected revenues has now pushed that to early 2012.

With insolvency looming, members of the Employment Advisory Council are caught between the difficult alternatives of raising costs to employers through substantial premium hikes and lowering the state’s average weekly unemployment benefit, now at $321.

http://www.sltrib.com/sltrib/home/49...deral.html.csp

Sounds like a play right out of Orrin Hatch's play book. Kick, scream and denounce Obama's extension of unemployment benefits and then cash in when it passes in spite of Republican obstructionism.

[JWeeks]

Originally Posted by PanAM

Officials are taking a hard look at the possibility of borrowing money from the federal government should Utah’s trust fund for paying unemployment benefits go broke.

The option was put forward Wednesday as a panel of business, labor and public representatives considered ways of averting bankruptcy for the trust fund.

Decimated by the recession and record jobless claims, the fund has fallen from $855 million two years ago to $384 million today, with unemployment rates still high. State analysts predicted in late June the fund could go broke as soon as fall 2011, but a rise in projected revenues has now pushed that to early 2012.

With insolvency looming, members of the Employment Advisory Council are caught between the difficult alternatives of raising costs to employers through substantial premium hikes and lowering the state’s average weekly unemployment benefit, now at $321.

http://www.sltrib.com/sltrib/home/49...deral.html.csp

Sounds like a play right out of Orrin Hatch's play book. Kick, scream and denounce Obama's extension of unemployment benefits and then cash in when it passes in spite of Republican obstructionism.

Right...the state borrows money from the Federal Government, who borrows money from the Chinese.

This isn't going to end well.

[Moot]

Originally Posted by JWeeks

Right...the state borrows money from the Federal Government, who borrows money from the Chinese.

This isn't going to end well.

It isn't going to end well for the Chinese if we don't borrow, either.

Compared to all the other countries, the US is still going strong.

[PanAM]

Let 'em starve in the dark, especially those Hillbillies back home.

[Rage Against The Machine]

Originally Posted by JWeeks

Right...the state borrows money from the Federal Government, who borrows money from the Chinese.

This isn't going to end well.

unless you're attacking a Muslim country.