Dear Mr. Coman:

Thank you for contacting me in support of a second economic recovery package - one that would go further to assist financially hard-pressed families, preserve crucial public services, and boost our nation's economy.

I share your concerns, and I strongly support passage of a comprehensive federal economic stimulus package to help jumpstart our economy. Unemployment in Connecticut is on the rise and prices for food, energy, child care, and other basic necessities are squeezing already tight family budgets. As you mentioned, many states are already facing serious budget shortfalls that have forced them to cut back on vital services, such as health care, education, child care, and assistance programs for elderly and disabled Americans, among others. The effects of the current credit and liquidity crisis in the financial sector are spilling over to Connecticut and affecting the ability of our businesses to finance their operations and meet their payroll.

Most recently, in November 2008, Congress, with my support, approved the Unemployment Compensation Extension Act (P.L. 110-449), which was signed into law by the President. This statute will provide seven additional weeks of unemployment benefits for those who have exhausted their unemployment insurance benefits. This measure will also provide 13 more weeks of unemployment benefits for workers in states - like Connecticut - with high unemployment, defined as a three month average of six percent or higher.

We must do more. We need a stimulus package that includes spending on "shovel-ready" infrastructure projects, rebate checks for lower and middle income households, aid to state and local governments, and assistance for people with their health care and energy costs. The stimulus will need to be a large sum of money, because, in a $14 trillion dollar economy, it will take a big push to help turn the ship around.

First, we must immediately put people to work refurbishing our roads, highways and bridges. For too long, we have postponed spending on this crucial priority. In addition to refurbishing our 20th century infrastructure, we must also fund the innovative, 21st century public transportation projects that can start to take more cars off the road, ease congestion and reduce greenhouse gas emissions. Second, in order to provide relief to struggling, working families and stimulate badly needed consumer spending, we should provide taxpayers with an immediate, refundable tax rebate check. The rebate checks should be targeted at lower and middle income households, which are more likely to spend the income. They should be larger for families with children, and they should also go to retirees and disabled veterans that would otherwise not receive a rebate check because they do not earn a paycheck. Third, we should temporarily increase the percentage of federal Medicaid matching funds to the states, which could help significantly to plug the state budget shortfalls and ensure that our most needy patients continue to receive the same high quality of care.

It is important to understand that the government alone does not have the ability to "fix" the economy. It is the determination, the creativity, and the genius of the American people that has always been the reason for our country's remarkable successes. These are the factors that will ultimately restore our economic prosperity, but at the same time the government can give the American people and businesses a helping hand, including by helping to create the right environment and incentives for the technologies and the industries of tomorrow to flourish.

In periods of previous economic difficulty, members of both parties have worked together to help facilitate a strong economy and a balanced budget. President-elect Obama has expressed a strong willingness to work in a similar bipartisan manner. With this spirit of bipartisanship members of both sides of the political aisle can come together and work for the American people to restore our prosperity. With sound leadership and firm resolve, there is no challenge the American people cannot overcome.

Thank you again for sharing your views and concerns with me. I hope you will continue to visit my website at http://lieberman.senate.gov/ for updated news about my work on behalf of Connecticut and the nation. Please contact me if you have any additional questions or comments about our work in Congress.

Sincerely,

Joseph I. Lieberman

UNITED STATES SENATOR

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