Murphy Supports Passage of Economic Recovery Bill to Boost Jobs in Connecticut

Press Release

Murphy Supports Passage of Economic Recovery Bill to Boost Jobs in Connecticut

With layoff announcements now a near daily occurrence in Connecticut, and uncertainty across the state about the economy, today Congressman Chris Murphy (CT-5) supported the passage of an economic recovery bill that aims to protect and create jobs in the state. As Connecticut has seen unemployment jump from 4.8% in December of 2007 to 7.1% in December of 2008, Murphy supported the American Recovery and Reinvestment Act because it will create and save 3 to 4 million jobs nationwide by investing quickly in badly needed infrastructure projects, making us more energy independent, updating our health care system, and transforming our economy for long-term growth.

"The need in Connecticut for this bold legislation cannot be understated. This is an opportunity to stem the bleeding in our economy, and lay a foundation for future growth, by investing in transportation projects, school improvement, energy efficiency, and tax breaks for families," said Murphy.

Murphy released the following Connecticut specific numbers from the American Recovery and Reinvestment Act:

Connecticut Numbers at a Glance

* 1.2 million Connecticut taxpayers can benefit from the Make Work Pay tax cut, at $500 per person, and $1,000 per couple.
* Connecticut could receive more than $1.2 billion over the next nine quarters to help states fulfill Medicaid needs.
* Connecticut could benefit from approximately $584 million for infrastructure investments, with 75% spent in the first 18 months.
* School districts in Connecticut's Fifth Congressional District could receive more than $75 million over the next two years. For a district by district breakdown, click here.

The bill would give approximately 95% of American workers, including 1.2 million Connecticut taxpayers, an immediate tax cut. The American Recovery and Reinvestment includes the Make Work Pay tax cut to provide immediate and sustained tax relief through a refundable tax credit of up to $500 per worker ($1,000 per couple filing jointly), phasing out at $200,000 for couples filing jointly and $100,000 for single filers. These tax cuts would be distributed to millions of families by reducing tax withholding from workers' paychecks, or some will get the credit when they file their taxes in April 2010.

As a new member of the House Energy and Commerce Committee, Murphy pushed for a $20 billion investment in health information technology (health IT) and $88 billion for states for the Medicaid program. The health IT funding aims to make our health care system work better for patients and to make health care providers more efficient. In the last few weeks, Murphy has visited four hospitals in Connecticut to see firsthand health information technology projects that could be eligible for funding once this bill is signed into law. With Medicaid rolls soaring as unemployment rises, this bill could give Connecticut more than $1.2 billion over the next nine quarters to fulfill that need.

"The exorbitant cost of our health care system is undoubtedly crippling our economy. By taking steps now to cover those that are losing coverage and to make our health care system more efficient, we can create cost savings for patients in the long run. This is a critical investment that will lay the groundwork for a health care system overhaul in the Obama Administration," said Murphy.

Connecticut could receive approximately $584 million for infrastructure investments, and the money would be invested quickly in the economy - with 75% spent in the first 18 months.

The energy package alone will create more than 500,000 jobs across the country, and accelerate deployment of smart grid technology, provide energy efficiency funds for Connecticut's schools, offer support for Governor Rell and Connecticut's mayors to tackle their energy challenges, and establish a new loan guarantee program to keep our transition to renewable energy on track during the economic crisis.

"This bill will not only help boost Connecticut's precarious economy in the short-term, but at the same time, it truly invests in our future - our kids, our infrastructure, and our communities. If this economic crisis should teach us anything, it's that we have to ensure that our workforce can adapt to the good times and the bad. Investing in education and energy reform is a down payment on Connecticut's long term economic health," said Murphy.

The American Recovery and Reinvestment Act must pass the Senate, differences in the two chambers' versions of the legislation must be worked out, and then President Obama must sign the bill.

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