House Passes $2.2 Trillion Stimulus Bill, But That Doesn’t Mean $1,200 Checks And More Unemployment Benefits Are On The Way


Topline

The House of Representatives handed a $2.2 trillion coronavirus aid invoice Thursday night in a 214-207 vote, at the same time as House Speaker Nancy Pelosi (D-Calif.) and Treasury Secretary Steven continued to push for a last-minute, bipartisan compromise on the following spherical of support—the vote is a symbolic step from Democrats, however the laws is broadly opposed by Senate Republicans and isn’t anticipated to turn out to be legislation.

Key Facts

The $2.2 trillion plan handed by House Democrats is a pared-down and up to date model of the $three.four trillion Heroes Act, which handed the House in May however was not taken up by the Republican-led Senate.

It features a second spherical of $1,200 stimulus checks, $600 weekly federal unemployment advantages, $436 billion in new state and native support, $282 billion for training and childcare, and new cash for the hard-hit airline and restaurant industries, amongst different provisions. 

Democrats have been capable of lower the value tag of the unique Heroes Act by greater than $1 trillion largely by shortening the period of these advantages, however House Republicans referred to as the brand new invoice “dead on arrival” within the Senate (they described the unique Heroes Act in the identical approach). 

Many Republican members of the House oppose the $2.2 trillion plan as partisan, unrealistic, and, most critically, too costly (the latest providing from Senate Republicans, which was rapidly blocked by Democrats, included simply $300 billion in new spending).

Without White House and a minimum of some Senate Republican help, the “Heroes Act 2.0” doesn’t have any significant likelihood at turning into legislation—it’s not even clear if Senate Majority Leader Mitch McConnell can be prepared to convey the invoice to the Senate ground for a vote since a good portion of his celebration doesn’t help it. 

Crucial Quote

“This is not only a cash debate and a language debate,” Pelosi stated on the House ground forward of the vote. “It’s a values debate.”

Chief Critic

“Today’s so-called compromise isn’t realistic or responsible,” House Minority Leader Kevin McCarthy (R-Calif.) said during debate. “It’s the Pelosi Pipedream 2.0 and it’s filled with the same radical, reckless, and ridiculous ideas as the first bill.”

Big Number

18. That’s what number of Democrats voted towards the invoice. No Republicans crossed the aisle to vote in favor of the plan.

Key Background 

The vote comes as Pelosi and Mnuchin—negotiating on behalf of congressional Democrats and the White House, respectively—have been to date unable to dealer a deal on the following spherical of federal support. Mnuchin on Wednesday introduced Pelosi with the White House’s counter-offer bundle, which is price $1.6 trillion and included $250 billion in state and native support and $400 in weekly federal unemployment advantages. As of Thursday afternoon, the 2 sides have been nonetheless going through main disagreements over the quantity of latest funding for state and native support (the White House is providing about half of what Democrats need) and the construction of some potential tax adjustments, together with a Democratic bid to make the Child Tax Credit extra beneficiant. 

Tangent

The up to date Heroes Act does serve a objective for Pelosi, even when it by no means turns into legislation. Vulnerable Democrats within the House—particularly these from purple districts, who’ve grown anxious over the past months as high policymakers in Washington have been unable to succeed in a deal—will subsequent week return house to marketing campaign forward of the November election. They’ll now be capable of inform their constituents that they voted in favor of extra federal aid for struggling Americans as lawmakers on the opposite aspect of the aisle blocked the measure. This anxiousness is just not restricted to Democrats, both. Politico reported Thursday that weak Republicans within the Senate are additionally starting to air their issues in regards to the lack of latest federal response to the coronavirus disaster.  

What To Watch For

Pelosi and Mnuchin are anticipated to proceed to work in pursuit of a compromise regardless that Pelosi signaled there could be no deal on Thursday night time. The high negotiators restarted talks this week after negotiations fell aside on the finish of the summer season.

Further Reading

Still No Deal On Second Stimulus As Early Optimism Wanes (Forbes)

Stimulus Update: Mnuchin Says Next Bill To Include $1,200 Checks ‘If There Is A Deal,’ Offers Pelosi $1.6 Trillion (Forbes)

No Second Stimulus Deal Today: House Democrats Move To Vote On Their Own Bill, McConnell Throws Cold Water On Talks (Forbes)

Mnuchin Will Present Pelosi With Second Stimulus Offer Today (Forbes)



Source link Forbes.com

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