Congressman Henry Cuellar, (D-Laredo), supported passage for HR 3630, the Middle Class Tax Relief and Job Creation Act, which passed the House by a vote of 293 to 132.

 The bipartisan agreement would extend the payroll tax cut, giving 160 million middle-class Americans, including 11.4 million Texans, an additional $40 in their pockets per month through the end of the year. The ten-month deal also includes extending unemployment benefits to continue aid for the unemployed and blocks a cut for doctors in their Medicare reimbursement rates.

 “The deal today is a positive switch of gears – it is bipartisan and includes some offsets, as opposed to what was originally offered by House Republicans,” said Congressman Cuellar. “The bottom-line is this is a victory for the middle class, unemployed, doctors and seniors.”

 Under this measure, offsets include broadband spectrum sales, increased pension contributions by new federal employees, and cuts to Medicare hospital and specialist fees that would not affect patients, according to the House Ways and Means Committee.

 “The economy is getting stronger and we need to keep this momentum,” said Congressman Cuellar.  “Extending the payroll tax cut means more money in Americans’ pockets that in turn can be pumped back into the economy. Doctors will not have to drop Medicare patients or seniors from their services now that they will not undergo reimbursement cuts.

 “The unemployed will be able to make ends meet by continuing to receive their jobless benefits in these recovering economic times. Millions of Americans will reap benefits from this package,” said Congressman Cuellar.

 This agreement extends through Dec. 31, 2012, the payroll tax reduction, the Medicare "doc fix" to prevent scheduled cuts in Medicare reimbursement rates to doctors and long-term unemployment insurance. The unemployment compensation program would be modified to reduce from 99 weeks to 73 weeks the maximum time individuals in high unemployment states could receive benefits.  The measure includes a number of new conditions for eligibility for unemployment benefits.

 Under the measure, preventing scheduled cuts in Medicare physician reimbursement rates would be completely offset by savings from other health care programs. Extending unemployment benefits would be offset by requiring new federal employees to pay more towards their pensions and allowing for continued auctions of electromagnetic spectrum. The deal does not include numerous controversial provisions, including provisions that would have required individuals seeking unemployment benefits to have either a high-school diploma or GED certificate or to be working towards one of the two.

 President Obama on Thursday expressed his support for the measure and is expected to sign the bill.