Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Senate to vote on $26 billion in aid for desperate states

By Tami Luhby, senior writer


NEW YORK (CNNMoney.com) -- Senate Democrats are once again trying to push through a bill that would send $26 billion to needy states.

The measure contains $16 billion in additional Medicaid money and $10 billion in education funding to prevent teacher layoffs. State officials have been desperately lobbying their representatives, saying they need the money to shore up their budgets. President Obama weighed in Monday, asking lawmakers to pass the bill.

Lawmakers will take a procedural vote on Wednesday. It needs 60 votes to pass, meaning some Republicans would have to cross the aisle. If it passes this hurdle, a final vote could come late in the week, just before the Senate is scheduled to recess for the long August break.

Senate Majority Leader Harry Reid, D-Nev., had pushed back the vote by two days to amend the legislation after learning it would increase the deficit by $4.9 billion despite offset measures. The amended bill has no impact on the deficit.

The GOP, however, is not taking kindly to sending more aid to the states, saying the original $787 billion stimulus package was meant to do that. To top of page

Index Last Change % Change
Dow 17,873.22 44.93 0.25%
Nasdaq 4,933.51 31.74 0.65%
S&P 500 2,099.06 8.96 0.43%
Treasuries 1.85 0.03 1.54%
Data as of 5:46am ET
Company Price Change % Change
Bank of America Corp... 14.88 0.18 1.22%
Coca-Cola Enterprise... 51.55 0.69 1.36%
Baxalta Inc 45.53 -0.17 -0.37%
Apple Inc 100.35 -0.06 -0.06%
Micron Technology In... 12.31 0.36 3.01%
Data as of May 27
Sponsors

Sections

Janet Yellen hinted again Friday that a June or July interest rate hike is a very real possibility. More

The FBI has opened a national security investigation into the hacking of Bangladesh's central bank amid signs that the hack might have come from North Korea. More

The gender pay gap in the labor market is pretty well documented. But the gender gap also exists in the housing market. More