With nearly 1.5 million Americans expected to exhaust their unemployment benefits by the end of the year, the stakes are high for a federally funded benefits extension that has been delayed in the Senate. While the House earlier passed a version of the bill by a wide margin, the Senate expanded the reach of the House bill by offering additional weeks of paid benefits to all states, rather than only those with the highest unemployment rates. While the Senate bill doesn't lack support, Republicans have objected to its funding and have been interested in adding amendments that don't have much favor among Democrats.

www.rollcall.com reports that the two sides are working to find agreement on the amendments, but the measure could otherwise take up much of the Senate's schedule next week.

This is better news for the unemployed, who are exhausting their benefits at a rate of 7,000 individuals a day, according to estimates from the National Employment Law Project.

Federal Reserve Chairman Ben Bernanke is calling for the U.S. government to begin addressing the nation's budget deficit. But with a jobless rate that continues to rise and a nation of employers still reluctant to hire, most lawmakers appear to be more interested in finding the right spending tools to address unemployment.

Another federal extension of unemployment benefits is likely, although passage of a Senate version of the bill is taking longer than some would like. CQPolitics reports today that Republicans are trying to include an amendment extending the first-time homebuyer tax credit in the unemployment extension bill, which could further delay passage of the bill. Republicans last week delayed the bill because they disagreed with Democrats over how it should be funded—not over the extension itself.