Senate Republicans on Tuesday said they would include a new round of coronavirus stimulus payments in the upcoming pandemic relief bill, dramatically increasing the likelihood of more checks coming out to help Americans combat the economic effects of the covid-19 outbreak. Democrats had previously endorsed the idea.
“We want another round of direct payments to help American families continue to drive our national return,” said Senate Majority Leader Mitch McConnell (R-Ky.).
Republicans have not identified how much the payments should be or who should be eligible to receive them. They plan to publish legislation in the coming days.
In a House bill passed in May, Democrats asked for payments of $ 1,200 for adults and $ 1,200 per dependent for up to three children, gradually eliminating people with taxable incomes above $ 75,000 a year and older couples of $ 150,000.
Support for a new stimulus payment marked a small area of agreement in negotiations between the White House and the Republicans and Democrats on Capitol Hill.
But even when negotiations began in earnest on Tuesday, both McConnell and Speaker of the House of Representatives Nancy Pelosi (D-San Francisco) separately indicated a deal by the end of next week, when some of the funds from Aids approved by Congress in March begin to expire. – it was unlikely
So far, Trump administration officials have held separate meetings with Republicans and Democrats. Republican and Democratic lawmakers have not started direct talks, a sign of a slow start.
McConnell hopes he has garnered “quite significant support” among Republicans before beginning to speak to Democrats.
White House chief of staff Mark Meadows told reporters on Capitol Hill that “we are very early in the negotiations and discussions. … To put it in a football term, we are on our own 20-yard line. “
He met with Pelosi and Senate Minority Leader Charles E. Schumer (DN.Y.) at Pelosi’s office on Tuesday, but they emerged without public agreement. Meadows said everyone was waiting for Senate Republicans to come up with a bill. Democrats chided the Republican Party for failing to reach an agreement among themselves on a plan.
But some areas of agreement are becoming clear.
There is support to continue the improved unemployment payments that started earlier this year and will expire at the end of the month. However, the $ 600 payment is expected to be reduced.
Republicans are furious that people may receive more in unemployment than they received while working, and they are determined to ensure that they do not establish the same system in the future.
Senator Charles E. Grassley (R-Iowa), chairman of the Senate Finance Committee, quoted a local employer with 250 employees who the employer said refused to return to work because they had an improved unemployment payment. “So there is a real problem that we have to work with,” Grassley said.
The Trump administration prefers an improved payment below about $ 300, according to an assistant administration.
House Democrats are open to cutting the $ 600, or perhaps giving it to people who consider themselves most in need. However, any additional income rating could slow down how quickly money could be moved, reducing its effectiveness.
The dollar amount “will be a matter of discussion,” said House Majority Leader Steny Hoyer (D-Md.). “It is not irrational to talk about making sure that those most in need are served, either first or perhaps alone.”
In addition, both Democrats and Treasury Secretary Steven Mnuchin have expressed support for the tax credits for employers that bring employees back to work.
Another area of agreement, at least among lawmakers on Capitol Hill, is opposition to President Trump’s plan to cut payroll taxes. Democrats and many Republicans say the idea is dead on arrival because it doesn’t really help anyone who doesn’t receive a paycheck. The proposal has the support of only a handful of Republicans in Congress.
Meadows told reporters that the president was “very committed” to the deduction, but did not identify it as a red line in the negotiations.
Republicans have also rejected the White House proposal to cut funding for the COVID-19 tests and link school funding to the reopening. But schools that reopen completely will get more money because they will face additional challenges in providing transportation and meals while distancing themselves socially, Republicans said.
“We are moving in the right direction, I believe on all fronts,” said Senator Roy Blunt (Republican) when asked about the test money.
Many other areas of disagreement remain.
Senate Republicans insist on liability protections for companies reopening in the midst of the pandemic, an idea Democrats don’t like because they prefer to make sure workers are protected. House Democrats want funds for state and local governments, but Republicans have opposed what they call a “bailout” of Democrat-led states.
The White House and Republicans expect a bill that will cost about $ 1 trillion, while Democrats feel more funds are needed.
