But the governor turned down the unemployment benefits because he said they would require the state to increase the tax burden on Texas businesses to fund an expanded program.
"During these tough times, Texas employers are working harder than ever to move products to market, make payroll and create jobs," Perry said at a news conference. "The last thing they need is government burdening them with higher taxes and expanded obligations."
Perry said the requirements attached to the federal stimulus money would require a change in the state's definition of unemployment. He said such an expansion would counteract the package's objective of job creation by leading companies to limit hiring and raise prices.
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