Sam Johnson Suggests Texas Model as the Solution at Hearing on Unemployment

Statement

Sam Johnson suggests Texas model as the solution at hearing on unemployment

Today U.S. Congressman Sam Johnson (3rd Dist.-Texas) praised Governor Rick Perry's efforts to create and maintain jobs by cutting unemployment taxes. At a Ways and Means Committee mark-up on H.R. 5749, The

Emergency Extended Unemployment Compensation Act of 2008, Johnson delivered the following statement.

Remarks at Committee Hearing:

"In Texas we've got a relatively low unemployment rate -- currently 4.1 percent. Last month, Governor Perry bucked the trend among governors and state legislatures and announced that he was going to further cut taxes. He suspended for one year the unemployment insurance replenishment tax and by this move he is saving businesses in Texas $90 million. In 2007, Texas created more jobs than any other state in the union, resulting in record-low unemployment. This even came after the Hurricane Katrina disaster brought us thousands of displaced Louisiana residents who are now happily working and calling themselves Texans.

"Mr. Chairman, at a time when much of the nation is facing an economic downturn, Texas created a whopping 235,000 new jobs in the last year. The next closest state was New York that created 75,000 jobs. I believe that the Texas economy is thriving due to the good economic sense of our Governor who knows that at the time of economic uncertainty, good government does not raise taxes - it allows Americans to keep more of their own money to continue being productive. I salute Governor Perry for his cutting of the unemployment insurance tax and for continuing to keep the Texas economy growing. I would encourage all members of the committee to keep this lesson in mind as we are presented with tax increases on Americans."

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