Among the many topics on which Gov. McCrory has made repeated misleading statements and told downright whoppers in recent months, none has been more frequently front and center than unemployment insurance. Time and again, the Guv has claimed that the state did not take away benefits and/or that the reason for the cut off in federal emergency benefits was that it was President Obama’s fault for not granting North Carolina an exemption or allowing the GOP legislature’s changes to be “grandfathered.”
As has been reported repeatedly, however, these claims are simply false. That’s why the Guv has had to issue clarifications and retractions on more than one occasion. The simple truth is that when Congress put extended emergency benefits in place as part of the economic recovery/stimulus law back in 2009, it told states that they could only continue to access those federally-funded benefits if they didn’t cut benefits and eligibility at the state level. This is a standard congressional practice used by leaders of both parties to help make sure that federal initiatives aren’t undercut by free-riding states with no skin in the game. Federal officials repeatedly told North Carolina this and warned them not to cut benefits lest they jeopardize the state’s participation in the federal emergency program.
The state’s response: A big raspberry. Despite the plain warning (and pleas from advocates to merely delay new cuts until 2014 so as not to run afoul of federal law), legislative leaders and Gov. McCrory plunged ahead with unprecedented cuts to benefits and eligibility that were quite possibly the largest in American history. As a result, the federal government was left with no choice but to abide by the congressional mandate and cut North Carolina off July 1.
So why does McCrory keep making the bizarre claim that it was the feds who are responsible for the cuts? We got a hint as to the answer to that question yesterday when State Budget Director Art Pope made his strange appearance at a protest outside his office organized by the NAACP and others. Read More