Ask AP: Stimulus Money Refused, US Base Opposed

Mike Eckel

Associated Press Writer

Moscow

___

What is going to happen to the federal stimulus funding that was allocated to states whose governors rejected the money?

Gene Smith

Virginia Beach, Va.

___

Some Republican governors, including Alaska Gov. Sarah Palin and Texas Gov. Rick Perry, made headlines by rejecting hundreds of millions of dollars for state unemployment systems. But it wasn't really a rejection. Here's what happened:

Before they can get the unemployment money, states must adopt more liberal unemployment laws. That will cost money long after the stimulus is spent, so conservative governors don't want to change the laws. But that's still not a rejection because states have until 2011 to qualify — if legislators force the change, if governors change their minds or if voters change their governors, states can apply for the money later.