The Trump administration is open to resuming coronavirus talks with Democratic leaders and would offer more aid money to try to reach a compromise, Treasury Secretary Steven Mnuchin said Monday.
“The president is determined to spend what we have to spend. … We are ready to put more money on the table,” he told CNBC’s “Squawk on the Street.”
Mnuchin declined to say when he and White House Chief of Staff Mark Meadows talks with House Speaker Nancy Pelosi and House Speaker Chuck Schumer will resume after negotiations were suspended Friday. He said Democratic leaders were “ready to compromise” because the parties stand trillions of dollars apart in what they want to spend to combat the pandemic’s damage to the health of Americans and wallets.
“Again, if we can get a fair deal, we are ready to do it this week,” Mnuchin said.
The Treasury Secretary spoke after President Donald Trump tried to offer the help of coronavirus through executive order over the weekend. Officials in Washington do not see the president’s actions as a permanent fix, as they are limited in scope and unconstitutionally dubious.
Only congressional legislation governing federal spending would undoubtedly provide lifelines designed to boost the U.S. health care system and economy.
Trump’s mandates would extend additional federal unemployment insurance, which expired at the end of July, to a reduced level of $ 400 per week. The federal government would cover 75% of the payment with funds for disaster relief, while states would cover the rest. Mnuchin’s disputed states would have enough money to cover their share of the cost, even though many are facing budget crises due to the pandemic.
Democrats have been pushing to extend the unemployment benefit to the previous $ 600 a week.
The president’s actions also call on administration officials to consider evicting evacuees from federal support houses and assisting tenants with aid payments. He did not continue with a moratorium on evictions that expired last month.
The measure would extend a suspension of interest on federal student loans and lenders could delay payments until the end of the year. Holders of student loans do not currently have payments through Sept. 30.
Trump’s mandate also calls for the treasury to collect the employee’s share of the tax bill by the end of the year for people making less than roughly $ 104,000 a year.
On Monday, Schumer told MSNBC that Trump’s action is “unworkable, weak and far too narrow.”
Schumer and Pelosi also criticized the measures in a joint statement Saturday. They said the policy would “provide little real help to families” and would not address Covid-19 testing, efforts to reopen schools and food aid.
“Democrats reiterate our call for Republicans to return to the table, meet us halfway and work together to provide immediate relief to the American people. Lives are lost, and time is of the essence,” they said.
As of last week, Democrats have been pushing to spend at least $ 3 trillion on a rescue package. Republicans have called for a bill that would cost about $ trillion.
Pelosi and Schumer said the White House rejected an offer to meet in the middle with about $ 2 trillion in legislation.
Mnuchin said the administration and Democrats agreed on two key areas: more funding for a second round of Paycheck Protection Program loans for wrestling with small businesses and another direct payment of up to $ 1,200 for individuals. He added that the White House wanted to work on a compromise on funding for food and Covid-19 vaccine development.
The sides appear most divided over relief for coups and municipalities. Democrats have pledged nearly $ 1 trillion in aid to prevent cuts to essential services, a figure that Republicans repeatedly dismiss as unnecessary.
“We are not going to give a trillion dollars for state and local, that is just not a reasonable approach,” Mnuchin said. He added that he had spoken to state and officials and many did not spend the funds the federal government sent them earlier this year.
Last week, Pelosi said Republicans had offered $ 150 billion to states and municipalities. It is unclear where the parties could find a compromise on state and local relief.
Legislators have a tricky way of approving a bill in both the GOP-controlled Senate and Democratic House, even if negotiators can strike a deal.
Many GOP lawmakers are turning themselves in by spending $ 1 trillion more on pandemic relief. Schumer said Democrats would accept less than $ 2 trillion in aid.
Even after Trump took the executive action, Mnuchin on Monday stressed the importance of congressional legislation.
“Let’s not stop all about a few things we do not agree on,” he said.
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