The Senate scrambled to unravel last-minute snags Wednesday night and win passage of an unparalleled US$2 trillion economic rescue package steering aid to businesses, workers and health care systems engulfed by the coronavirus pandemic.
The 883-page measure is the largest economic relief bill in U.S. history, and both parties’ leaders were desperate for quick passage as the virus took lives and jobs by the hour. The Senate stayed in session in anticipation of still passing the bill after days of delays.
Insistently optimistic, U.S. President Donald Trump said of the greatest public-health emergency in anyone’s lifetime, “I don’t think its going to end up being such a rough patch” and anticipated the economy soaring “like a rocket ship” when it’s over. Yet he implored Congress late in the day to move on critical aid without further delay.
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The package is intended as relief for an economy spiraling into recession or worse and a nation facing a grim toll from an infection that’s killed nearly 20,000 people worldwide. Treasury Secretary Steven Mnuchin, asked how long the aid would keep the economy afloat, said: “We’ve anticipated three months. Hopefully, we won’t need this for three months.”
Underscoring the effort’s sheer magnitude, the bill finances a response with a price tag that equals half the size of the entire US$4 trillion annual federal budget.
Other objections floated in from New York Gov. Andrew Cuomo, who has become a prominent Democrat on the national scene as the country battles the pandemic. Cuomo, whose state has seen more deaths from the pandemic than any other, said, “I’m telling you, these numbers don’t work.”
Ardent liberals like Rep. Alexandria Ocasio-Cortez were restless as well, but top Washington Democrats assured them that a fourth coronavirus bill will follow this spring and signaled that delaying the pending measure would be foolish. The sprawling measure is the third coronavirus response bill produced by Congress and by far the largest. It builds on efforts focused on vaccines and emergency response, sick and family medical leave for workers, and food aid.
House. Speaker Nancy Pelosi, D-Calif., swung behind the bipartisan agreement, saying it “takes us a long way down the road in meeting the needs of the American people.”
Working in tandem after days of feuding, Majority Leader Mitch McConnell and top Democrat Chuck Schumer pressed for passage of the legislation in the Republican-led Senate by the end of the day.
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Senate passage would leave final congressional approval up to the Democratic-controlled House on Friday. House members are scattered around the country and the timetable for votes in that chamber was unclear.
House Democratic and Republican leaders have hoped to clear the measure for Trump’s signature by a voice vote without having to call lawmakers back to Washington.
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The package would give direct payments to most Americans, expand unemployment benefits and provide a US$367 billion program for small businesses to keep making payroll while workers are forced to stay home.
Five days of arduous talks produced the bill, creating tensions among Congress’ top leaders, who each took care to tend to party politics as they maneuvered and battled over crafting the legislation. But failure is not an option, nor is starting over, which permitted both sides to include their priorities.
“That Washington drama does not matter any more,” McConnell said. “The Senate is going to stand together, act together, and pass this historic relief package today.”
The bill would provide one-time direct payments to Americans of US$1,200 per adult making up to US$75,000 a year, and US$2,400 to a married couple making up to US$150,000, with US$500 payments per child.
A huge cash infusion for hospitals expecting a flood of COVID-19 patients grew during the talks to an estimated US$130 billion. Another US$45 billion would fund additional relief through the Federal Emergency Management Agency for local response efforts and community services.
Democrats said the package would help replace the salaries of furloughed workers for four months, rather than the three months first proposed. Furloughed workers would get whatever amount a state usually provides for unemployment, plus a US$600 per week add-on, with gig workers like Uber drivers covered for the first time.
Businesses controlled by members of Congress and top administration officials — including Trump and his immediate family members — would be ineligible for the bill’s business assistance.
Schumer immediately sent out a roster of negotiating wins for transit systems, hospitals and cash-hungry state governments that were cemented after Democrats blocked the measure in votes held Sunday and Monday.
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But Cuomo said the Senate package would send less than US$4 billion to New York, far short of his estimate that the crisis will cost his state up to US$15 billion over the next year. More than 280 New Yorkers have died from the virus, a death toll more than double that of any other state.
Still, Pelosi said the need for more money for New York is “no reason to stop the step we are taking.”
Pelosi was a force behind US$400 million in grants to states to expand voting by mail and other steps that Democrats billed as making voting safer but Republican critics called political opportunism. The package also contains US$15.5 billion more for a surge in demand for food stamps.
Republicans won inclusion of an “employee retention” tax credit that’s estimated to provide US$50 billion to companies that retain employees on payroll and cover 50 per cent of workers’ paycheck up to US$10,000. Companies would also be able to defer payment of the 6.2 per cent Social Security payroll tax.
A companion appropriations package ballooned as well, growing from a US$46 billion White House proposal to US$330 billion, which dwarfs earlier disasters — including Hurricane Katrina and Superstorm Sandy combined.
Europe is enacting its own economic recovery packages, with huge amounts of credit guarantees, government spending and other support.
Germany, Europe’s biggest economy, has agreed to commit over 1 trillion euros (US$1.1 trillion) in fiscal stimulus and support — roughly 30 per cent of that nation’s entire annual output. France, Spain and Italy have launched similar programs.
For most people, the new coronavirus causes mild or moderate symptoms, such as fever and cough that clear up in two to three weeks. For some, especially older adults and people with existing health problems, it can cause more severe illness, including pneumonia, or death.
In the United States, more than 55,000 people have been sickened and more than 900 have died.
Associated Press writers Matthew Daly, Alan Fram, Mary Clare Jalonick, Ricardo Alonso-Zaldivar and Padmananda Rama contributed to this report.
© 2020 The Canadian Press