White House touts 13.3% unemployment rate. Newsom says economic stimulus still needed

Gov. Gavin Newsom on Friday blasted a senior White House adviser who argued there’s no need for Congress to pass another economic stimulus package to help Americans recover from the coronavorius outbreak.

White House Economics Adviser Stephen Moore cited a better-than-expected unemployment report to assert that Congress should not consider another relief bill.

“We don’t need it now. … There’s no reason to have a major spending bill. The sense of urgent crisis is very greatly dissipated by the report,” said economic adviser Stephen Moore, according to The Washington Post.

The unemployment rate was 13.3 percent in May, down from 14.7 percent in April, according to the Labor Department.

Newsom, who has carefully avoided directly criticizing President Donald Trump’s administration since the coronavirus emergency began in March, was openly critical of that statement when questioned at his Friday press conference.

“I think that’s foolhardy, I think that’s short-sighted, and I think the reality on the ground suggests something very, very different,” Newsom said.

Newsom said that he is “very pleased” to see improved job numbers but added that states, counties and cities are facing “legendary” budget shortfalls.

“I appreciate that’s their sentiment today, we hope that sentiment is not broadly shared,” he said.

Congress in March passed a $2.2 trillion economic stimulus package that among other things temporarily expanded unemployment benefits and offered forgivable loans to businesses.

Newsom has urged Congress and the Trump administration to pass a new spending package that would send money to states and local governments that are seeing demand for services rise as their revenue falls.

Newsom said that Speaker of the House Nancy Pelosi and the House Democrats “have approached this very differently, with I think much more depth of understanding than is reflected by that comment from that one individual adviser.”