WASHINGTON – Treasury Secretary Steven Mnuchin spoke with California Speaker Nancy Pelosi on Wednesday to discuss a coronavirus relief package, although the conversation did not do much to reassure White House and Democratic congressmen about another economic stimulus measure. to solve.
It was the first contact between the two sides since talks collapsed late last week, but there was not much sign of progress. Democrats said Mr Mnuchin did not agree to a $ 1 trillion package and Mr Mnuchin accused Democrats of pushing for a $ 2 trillion threshold for each agreement, according to statements released by both sides.
Ms Pelosi and New York Senator Chuck Schumer, the minority leader who initially funded the $ 3.4 trillion measure approved by House Democrats in May, have repeatedly said they would be willing to lower their overall price tag. with $ 1 trillion, provided the White House doubles the first Republican offer of $ 1 trillion. Mr. Mnuchin, according to the two Democrats, was still “refusing to budge” from that level.
“It is clear that the administration does not yet understand the extent of the problems facing American families,” she said. Pelosi and Mr. Schumer in a joint statement. “We have once again made it clear to the administration that we are ready to resume negotiations once they begin to take this process seriously.”
Mr. Mnuchin said in his own statement that the bill provided by the Democrats “was not an accurate reflection of our conversation.” Ms Pelosi “made it clear that she was not prepared to go ahead with the negotiations unless we agreed in advance with her proposal, and it would cost at least $ 2 trillion,” he said.
“The Democrats have no interest in negotiating,” he said, adding that the administration is ready to move forward with legislation that allows for substantial funding for a number of issues.
Weeks of near-daily meetings in Ms. Pelosi’s Capitol Suite failed to agree on the total cost of a measure, let alone the policy mechanics needed to infuse the U.S. economy with a trillion dollars or more stimulants.
When talks erupted in Washington, tens of millions of Americans lost extra federal unemployment benefits, a popular federal program for small business loans ended, a federal moratorium on eviction passed, and schools across the country began the new school year without the promise of federal aid.
Over the weekend, President Trump sought to overthrow Congress and provide some visibility with a series of executive actions, though the movement has caused confusion and criticism from some executives and raised questions about the president’s authority. White House officials have also investigated whether Mr Trump has the power to sidestep Congress and unilaterally cut a broad range of taxes, as he looks for ways to inject fuel into a sluggish economy, according to an official of the senior administration.
On Wednesday, the president offered another stream of criticism to Democratic leaders, accusing them of “holding the American people hostage for money for their radical left-wing agenda” and criticizing them for failing to raise funding for election safety and the beleagured Postal Service nobody.
“They probably should have negotiated a little differently,” Mr. Trump said at a news conference, although he was not directly involved in the talks, instead offering conflicting statements and receiving updates from his top lieutenants.
Mr Mnuchin’s reach for both Democratic leaders – although he eventually spoke only to Mrs Pelosi, according to two people familiar with the conversation – was the first time the two sides have spoken since talks collapsed Friday afternoon.
“Maybe they think every deal is good for the president and that’s why they do not want to do it,” Mr Mnuchin said in an interview on the Fox Business Network before the phone call.
“Instead of the Democrats basically saying ‘give no one anything unless we can get exactly what we want,'” he added, “the president wants to move forward with a very honest proposal.”
Ms Pelosi, in turn, declared in her own television appearance on MSNBC that “we are miles apart”, pointing to the Democratic demand for billions of dollars in relief for state and local governments, which have declined sharply due to the pandemic programs, and food aid. The $ 1 trillion Republican offer did not include funds for either facility, although some Republicans said they would be open to some funding, particularly for state and local governments.
“Let’s meet in the middle – we’ve all said that,” she said. “But until they are ready to do that, it is no use sitting in a room and telling them that states should go bankrupt.”
While the First Chamber remains in session, there has not been much movement other than private bickering over who is to blame over the lack of action on a relief package. The disaster has been particularly frustrating for vulnerable lawmakers, who are envious of the general election three months before assuring voters that help is imminent.
“I think there is much more agreement on the parts of the Covid-19 of the bill than anyone is talking about,” said Senator Roy Blunt, a Republican from Missouri, who said Wednesday he remained hopeful that lawmakers would reach an agreement by the next deadline that could create pressure to resume talks – ending government funding before the new fiscal year begins on October 1st.
Ms Pelosi rejected the suggestion that talks could drag on in September.
“I hope not, no,” she said. “People will die.”
Alan Rappeport contributed reporting.
