Wed., September 28, 2011 10:07am (EDT)

Debt Payback Could Cut Jobless Benefits
By Associated Press
Updated: 3 years ago

ATLANTA   —  
Georgia could cut jobless benefits for people who are out of work in order to repay the federal government for $721 million the state borrowed to help the unemployed. (photo-Daniel Borman)
Georgia could cut jobless benefits for people who are out of work in order to repay the federal government for $721 million the state borrowed to help the unemployed. (photo-Daniel Borman)
Georgia could cut jobless benefits for people who are out of work in order to repay the federal government for $721 million the state borrowed to help the unemployed.

The Atlanta Journal-Constitution reports that bills for the debt are coming due, and cutting back on jobless benefits is one option being considered to repay the money.

The state will send a $21.4 million check to Washington this week, the first payment on debt run up since late 2009.

Georgia Labor Commissioner Mark Butler says he's considering several repayment options, one of which is cutting benefits.

Butler says he opposes raising or re-instituting taxes employers pay into the unemployment insurance fund. By next month, he's expected to offer Gov. Nathan Deal and legislative leaders some options for repaying the debt.