With gas prices in Washington state the second highest in the nation, home foreclosures continuing to rise, and increasing pessimism about the U.S. economy, U. S. Representative Rick Larsen (WA-02) called on Congress to pass a second economic stimulus package and key housing legislation as soon as possible.

“Although Washington state, by the numbers, is not hurting as badly as some other states, the reality on the ground is that consumers need help and they need to know their government is doing more than bailing out Wall Street.  It is clear to me that Main Street needs help, too.” Larsen said.

Larsen called for Congress to pass a second economic stimulus package which includes two main elements: a package of infrastructure investments and an extension of federal unemployment benefits. 

“While the rebate checks from our first economic stimulus package have yet to arrive, to many it seems that a recession already has.  Congress must take further action to get the economy back on track and put dollars into key infrastructure investment projects that are ready to go.”

“We know that every $1 billion in transportation investment creates 47,000 jobs. Moreover, investing in infrastructure provides lasting returns for the community,” Larsen said. 

“Additionally, Congress must extend federal unemployment benefits to those workers who are suffering most in this slow-to-no-growth economy.  Economists indicate that every dollar of benefit creates $1.73 of spending.”

Larsen also urged Congress to pass legislation that will modernize the Federal Housing Administration (FHA) and permanently increase the dollar amount of home loans it can insure. 

“This legislation will allow middle-income people in tough housing markets to own a piece of the American dream instead of living through a foreclosure nightmare,” Larsen concluded.