Texas Gov Gets Grief Over Stimulus Rejection

By Harry Kimball,  Newser Staff
Posted Mar 30, 2009 3:52 PM CDT
Sen. Kay Bailey Hutchison is a likely primary challenger for Perry.   (AP Photo)
camera-icon View 2 more images

(Newser) – The fallout from Texas Gov. Rick Perry's rejection of $555 million in stimulus funds for unemployment benefits could threaten his re-election bid—but as other politicians cave to public pressure, Perry has yet to waver, NPR reports. "Everything's going to be viewed through that prism," says the editor of Texas Weekly of Perry's principled stand against federal interference, which is sure to be "brought into high contrast " by likely challenger Sen. Kay Bailey Hutchison. 

“In Texas, we actually know it is a good idea to look a gift horse in the mouth,” said Perry of his refusal to accept those funds. “This administration wants to force the state of Texas” to “change the way that we govern.” But one state Democrat notes that rising unemployment means someone will have to shoulder the burden. “Is it going to be the federal government helping us pay for it, or are we going to double the tax on employers to pay for it?”