Stimulus bill depends on economy in new year

WASHINGTON -- A Senate Democrat who supported the Republican economic stimulus plan said Sunday that the future of the legislation depends on the state of the economy when Congress reconvenes in late January.

"If we're still in a recession, we still have high unemployment, people without health insurance, without unemployment compensation, I think the move and the drive to pass something will still be as prevalent as it is today," Sen. John Breaux, D-La., said on "Fox News Sunday."

The economic stimulus plan endorsed by President Bush was pushed through the House early Thursday morning, but did not get a vote in the Democratic-controlled Senate before lawmakers left town for the holidays. Congress reconvenes on Jan. 23.

The measure was a blend of extended unemployment benefits for victims of the recession and funds to help the newly jobless with health insurance. It also included tax rebates for lower wage earners who did not receive checks last summer, and a variety of tax cuts for individuals and businesses. The bill carried a three-year price tag of $218 billion.

Negotiations had proceeded over several weeks, but broke down over health insurance aid for the jobless and Democratic resistance to what they called hundreds of millions of dollars in corporate tax breaks.

Bill called 'laughable'

Senate Majority Leader Tom Daschle, D-S.D., said the House bill was "wrong on all counts" and Harry Reid of Nevada, the No. 2 Senate Democrat, described the package as "laughable."

House Speaker Dennis Hastert, R-Ill., agreed that the economic conditions next year will help determine whether a stimulus bill is still necessary.

Senate Minority Leader Trent Lott, R-Miss., suggested the legislation may be unnecessary in January.