On September 26, 2008, by a margin of 264-158, the House voted to extend unemployment insurance benefits (H.R. 7110). The bill provides over $58 billion in funding for transportation infrastructure projects and $6.5 billion for unemployment benefits.

Earlier on September 26, the Senate failed to pass similar unemployment benefit provisions as part of an economic stimulus bill (S. 3604). The bill, sponsored by Majority Leader Harry Reid (D-NV) and Sen. Robert Byrd (D-WV), fell 8 votes short of the 60-vote threshold required to overcome a Republican filibuster, obtaining only a 52-42 majority.  Republicans objected to language in the bill extending a ban on offshore drilling.

The unemployment insurance provisions of both bills would provide jobless workers who have exhausted their benefits with 7 more weeks of benefits, with additional 13-week extensions to workers in the 20 states (and the District of Columbia) with unemployment rates above 6 percent.

Following the failure of S. 3604 to receive 60 votes, the Senate may take up the House bill, which itself would then face a potential filibuster. The unemployment provisions could also be attached to other legislation, such as a potential financial system bailout bill.

The Bush Administration has announced its opposition to both the House and Senate bills and has promised a veto of both. It objects to the cost of the unemployment benefit provisions, as well as the precedent set by the extension of benefits, which follow a previous extension in July 2008.