It seems Republican governors aren’t the only ones seeing the problem with the stimulus bill recently signed by President Obama. A Democrat has now joined the club. After a governors meeting with Obama, Tennessee Governor Phil Bredesen said that Tennessee may be one of the states that refuse some of the money.

Like the other governors, he is concerned about the portion of the money earmarked for unemployment programs. If his state takes the money, it will be required to expand its unemployment program. The problem is that when the Federal money is gone, these states will be left holding the bag to fund an even larger unemployment program than they had before. As a result, they would be forced to raise business taxes to make up the shortfall. Most governors feel it would be unwise to raise taxes on businesses in a recession when jobs are being lost by the thousands. Here’s Bredesen’s take on it: Read More→