CONGRESSWOMAN JOHNSON’S STATEMENT ON ECONOMIC STIMULUS DEAL

Washington, D.C. – Congresswoman Eddie Bernice Johnson issued the following statement today in response to the economic stimulus package announced yesterday by House Speaker Nancy Pelosi, Treasury Secretary Henry Paulson and House Republican Leader John Boehner:

 “The most effective thing Congress can do is to create jobs and give the middle class a boost by putting money in the pockets of North Texans and families across America. I am pleased that, under this package, 35 million working families, who would not otherwise have been helped, will receive tax relief this spring, and that 117 million families will receive a stimulus check.  I am disappointed, however, that there was no aggressive plan for job training programs such as adult education and literacy, welfare-to-work, vocational education and vocational rehabilitation.”

"The stimulus package will seek to alleviate some fiscal hardships at least in a short term and begin the process of moving our stagnant economy in a stable direction.”

This comprehensive stimulus package will provide the following benefits:

·           Grant tax relief this spring of up to $600 for an individual and up to $1,200 for a married couple, plus $300 per child. A total of 117 million families will  receive a check.

·           Include $28 billion in checks to 35 million working families who would not have otherwise been helped.  More than 19 million of these are families with children.

·           Double the amount small businesses can write off their taxes for new investments, and provide immediate tax relief for all businesses to invest in new plants and equipment.

·           Provide mortgage lending reforms—including a one-year increase in Fannie Mae’s and Freddie Mac’s conforming loan limits (from $417,000 to a maximum of $729,750), and a permanent increase in the FHA loan limit from the current $367,000 up to a maximum of $729,750.  The legislation will also include other changes that immediately help families facing foreclosure refinance their loans and get the housing counseling they may need.