Senate Majority Leader Mitch McConnell said in comments on the Senate floor: “The American people need more help,” and that the Republican proposal will be called the HEALS Act, an acronym for Health, Financial Aid, Liability Protection. and Schools.
The bill will include a variety of components, which Republican Senators and committee chairs chaired in a series of speeches Monday night, including liability protections, a second round of direct payments to Americans, and a second Check Protection Program loan round helps keep affluent small businesses afloat.
Perhaps the most controversial aspect of the Senate Republican plan is that it includes a $ 400 cut to the improved unemployment benefit for unemployed Americans, a provision that sparked a quick reaction from Democrats.
The proposal would reduce the enhanced federal unemployment benefits, which expire later this week, to $ 200, from the current level of $ 600, as states transition to implement a system designed to provide approximately 70% of wage replacement for laid off workers.
“As with the CARES Act in March, Senate Republicans have created another bold framework to help our nation. So now we need our fellow Democrats to repeat their part, too,” McConnell said, asking them to “put aside the partisan walls, “and” rediscovering the sense of urgency that made the CARES Law cross the finish line. “
McConnell has said he hopes the Senate can bring the next coronavirus relief bill to the House in the next two to three weeks.
But Democrats are already unified behind their own opening offer: a $ 3 billion proposal that was passed by the House in May. And Senate minority leader Chuck Schumer quickly denounced the Senate Republican coronavirus stimulus plan, describing it as a “half-hearted and half-hearted legislative proposal” and “too little, too late.”
“The lack of urgency, understanding and empathy for people who need help from Senate Republicans has brought us to a very precarious time,” said Schumer.
Hard negotiations lie ahead as Democrats and Republicans are a long way from each other in terms of front-line numbers and specific details in their proposals.
Schumer was particularly critical of reducing unemployment benefits, saying: “The Republican proposal on unemployment benefits is simply not feasible,” adding that “the idea that we need to drastically reduce these benefits because workers will stay in home in another way is very important. ” exaggerated.”
What is on the invoice?
Republican Sen. Susan Collins of Maine outlined in comments on the floor of the Senate on Monday how the legislation would update and repeat the Paycheck Protection Program.
The proposal, according to Collins, “would allow the most affected small employers, those whose incomes have decreased by 50% or even more, to receive a forgivable second PPP loan.” Collins added, “To ensure that we are targeting assistance to employers who need help most, we limit those second loans to small businesses with 300 or fewer employees.”
Senate Finance Committee Chairman Chuck Grassley, an Iowa Republican, described how there will be a second round of direct payments to Americans, which will be at the same level as previous payments, and said the plan “provides for another round of economic impact of $ 1,200 payments for most American adults. ”
Republican Senator Richard Shelby of Alabama, chair of the Appropriations Committee, discussed other key components of the package, including funding for testing and education.
“First, $ 16 billion goes for states to increase testing with a particular emphasis on schools, employers, child care centers, and nursing homes. Second, $ 26 billion goes to vaccine development and distribution , therapies and diagnostics, “Shelby said. “Third, there is $ 105 billion for the educational stabilization fund to help schools adapt to the circumstances they face, which are extraordinary.”
Shelby added: “This legislation provides additional funding so that K-12 schools can bring children back to the classroom at least 50% of the time, which would be a great start.”
Senator John Cornyn, a Republican from Texas, outlined the liability protections to be included in the plan, warning that “without congressional action, the litigation epidemic will potentially sink the various businesses and companies we hope to sustain,” saying that the The proposal “will ensure that those who operate in good faith and follow all relevant guidelines cannot be sued out of existence.”
‘A starting place’
Republicans have also faced division within their own ranks as they have worked to craft a proposal, and some Republican senators are cautious of spending more money on top of the trillions of coronavirus aid that lawmakers have already enacted.
Republican Senator Ted Cruz of Texas said Monday that he expects “significant resistance” from Republicans to the Republican stimulus bill.
“There is significant resistance to another trillion dollars. The answer to these challenges will not be simply getting money out of Washington, the answer to these challenges will be to get people back to work. And as it stands now, I think you will likely see to several Republicans in opposition to this bill and expressing serious concerns, “he said.
McConnell, Monday after the Republican stimulus proposal was rolled out, described the plan as “a starting point,” acknowledging that Democrats will be needed to bring something to the president’s desk and that more negotiations are ahead.
“Every bill has to start somewhere. Republicans are the majority in the Senate. This is a starting point. You will have a lot of stories to cover along the way as we have these round-trip discussions across the lines of the party and with the administration, “he said.
This story has been updated with additional developments on Monday.
CNN’s Ian Sloan and Ted Barrett contributed to this report.
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