House approves Donald Trump’s $2K checks, sending to GOP-led Senate

The House voted overwhelmingly Monday to increase COVID-19 relief checks to $2,000, meeting President Donald Trump’s demand for bigger payments and sending the bill to the GOP-controlled Senate, where the outcome is uncertain. Democrats led passage, 275-134, their majority favoring additional assistance, but dozens of Republicans joined in approval. Congress had settled on smaller $600 payments in a compromise over the big year-end relief bill Trump reluctantly signed into law. Democrats favored higher payments, but Trump’s push put his GOP allies in a difficult spot. The vote deeply divided Republicans who mostly resist more spending. But many House Republicans joined in support, preferring to link with Democrats rather than buck the outgoing president. Senators were set to return to session Tuesday, forced to consider the measure. House Speaker Nancy Pelosi declared, “Republicans have a choice: Vote for this legislation or vote to deny the American people” the assistance she said they need during the pandemic. The showdown could end up as more symbol than substance. Senate Majority Leader Mitch McConnell, R-Ky., has declined to say publicly how the Senate will handle the bill when Democrats there try to push it forward for a vote on Tuesday. The legislative action during the rare holiday week session may do little to change the $2 trillion-plus COVID-19 relief and federal spending package that Trump signed into law Sunday, one of the biggest bills of its kind providing relief for millions of Americans. Rep. Kevin Brady of Texas, the chairman of the Ways and Means Committee, acknowledged the division and said Congress had already approved ample funds during the COVID-19 crisis. “Nothing in this bill helps anybody get back to work,” he said. The package the president signed into law includes two parts — $900 billion in COVID-19 aid and $1.4 trillion to fund government agencies. It will deliver long-sought cash to businesses and individuals and avert a federal government shutdown that otherwise would have started Tuesday, in the midst of the public health crisis. Aside from the direct $600 checks to most Americans, the COVID-19 portion of the bill revives a weekly pandemic jobless benefit boost — this time $300, through March 14 — as well as a popular Paycheck Protection Program of grants to businesses to keep workers on payrolls. It extends eviction protections, adding a new rental assistance fund. The COVID-19 package draws and expands on an earlier effort from Washington. It offers billions of dollars for vaccine purchases and distribution, for virus contact tracing, public health departments, schools, universities, farmers, food pantry programs, and other institutions and groups facing hardship in the pandemic. Americans earning up to $75,000 will qualify for the direct $600 payments, which are phased out at higher income levels, and there’s an additional $600 payment per dependent child. Meantime the government funding portion of the bill keeps federal agencies nationwide running without dramatic changes until Sept. 30. Together with votes Monday and Tuesday to override Trump’s veto of a sweeping defense bill, the attempt to send much higher pandemic-era checks to people is perhaps the last standoff of the president’s final days in office as he imposes fresh demands and disputes the results of the presidential election. The new Congress is set to be sworn in Sunday. Trump’s sudden decision to sign the bill in Florida, where he is spending the holidays, came as he faced escalating criticism from lawmakers on all sides over his eleventh-hour demands. The bipartisan bill negotiated by Treasury Secretary Steven Mnuchin had already passed the House and Senate by wide margins. Lawmakers had thought they had Trump’s blessing after months of negotiations with his administration. The president’s defiant refusal to act, publicized with a heated video he tweeted just before the Christmas holiday, sparked chaos, a lapse in unemployment benefits for millions, and the threat of a government shutdown in the pandemic. It was another crisis of his own making, resolved when he ultimately signed the bill into law. In his statement about the signing, Trump repeated his frustrations with the COVID-19 relief bill for providing only $600 checks to most Americans and complained about what he considered unnecessary spending, particularly on foreign aid — much of it proposed by his own budget. While the president insisted he would send Congress “a redlined version” with spending items he wants removed, those are merely suggestions to Congress. Democrats said they would resist such cuts. For now, the administration can only begin work sending out the $600 payments. A day after the signing, Trump was back at the golf course in Florida, the state where he is expected to move after President-elect Joe Biden is sworn in on Jan. 20. Republican Rep. Mo Brooks of Alabama, a conservative who supported Trump’s extraordinary and futile challenge of the election results, counted himself Monday among the opponents of a more generous relief package and Trump’s call for higher payments. “It’s money we don’t have, we have to borrow to get and we can’t afford to pay back,” he said on “Fox and Friends.” But Republican Rep. Elise Stefanik of New York said she was open to the idea of $2,000 checks. “Many Americans are in dire need of relief,” she said on the show. Altogether, Republicans and Democrats alike swiftly welcomed Trump’s decision to sign the bill into law. “The compromise bill is not perfect, but it will do an enormous amount of good for struggling Kentuckians and Americans across the country who need help now,” said Senate Majority Leader Mitch McConnell, R-Ky. “I thank the President for signing this relief into law.” Senate Democratic leader Chuck Schumer, D-N.Y., said he would offer Trump’s proposal for $2,000 checks for a vote in Senate — putting Republicans on the spot. “The House will pass a bill to give Americans $2,000 checks,” Schumer tweeted. “Then I will move to pass it in the Senate.” He said no Democrats will object. “Will Senate Republicans?” Democrats are promising more aid to come once Biden takes office, but Republicans are signaling a wait-and-see approach.

House passes $900 billion COVID relief, catchall measure

The House easily passed a $900 billion pandemic relief package Monday night that would finally deliver long-sought cash to businesses and individuals and resources to vaccinate a nation confronting a frightening surge in COVID-19 cases and deaths. Lawmakers tacked on a $1.4 trillion catchall spending bill and thousands of pages of other end-of-session business in a massive bundle of bipartisan legislation as Capitol Hill prepared to close the books on the year. The lopsided 359-53 vote was a bipartisan coda to months of partisanship and politicking as lawmakers wrangled over the relief question, a logjam that broke after President-elect Joe Biden urged his party to accept a compromise with top Republicans that is smaller than many Democrats would have liked. The relief package, unveiled Monday afternoon, sped through the House in a matter of hours. A Senate vote that would send the bill to President Donald Trump appeared likely to follow soon. The bill combines coronavirus-fighting funds with financial relief for individuals and businesses. It would establish a temporary $300 per week supplemental jobless benefit and a $600 direct stimulus payment to most Americans, along with a new round of subsidies for hard-hit businesses, restaurants, and theaters and money for schools, health care providers, and renters facing eviction. The 5,593-page legislation — by far the longest bill ever — came together Sunday after months of battling, posturing and postelection negotiating that reined in a number of Democratic demands as the end of the congressional session approached. President-elect Joe Biden was eager for a deal to deliver long-awaited help to suffering people and a boost to the economy, even though it was less than half the size that Democrats wanted in the fall. “This deal is not everything I want — not by a long shot,” said Rules Committee Chairman Jim McGovern, D-Mass., a longstanding voice in the party’s old-school liberal wing. “The choice before us is simple. It’s about whether we help families or not. It’s about whether we help small businesses and restaurants or not. It’s about whether we boost (food stamp) benefits and strengthen anti-hunger programs or not. And whether we help those dealing with a job loss or not. To me, this is not a tough call.” The Senate, meanwhile, was also on track to pass a one-week stopgap spending bill to avert a partial government shutdown at midnight and give Trump time to sign the sweeping legislation. Treasury Secretary Steven Mnuchin, a key negotiator, said on CNBC Monday morning that the direct payments would begin arriving in bank accounts next week. Democrats promised more aid to come once Biden takes office, but Republicans were signaling a wait-and-see approach. The measure would fund the government through September, wrapping a year’s worth of action on annual spending bills into a single package that never saw Senate committee or floor debate. The legislation followed a tortured path. Democrats played hardball up until Election Day, amid accusations that they wanted to deny Trump a victory that might help him prevail. Democrats denied that, but their demands indeed became more realistic after Trump’s loss and as Biden made it clear that half a loaf was better than none. The final bill bore ample resemblance to a $1 trillion package put together by Senate Republican leaders in July, a proposal that at the time was scoffed at by House Speaker Nancy Pelosi, D-Calif., as way too little. Majority Leader Mitch McConnell, R-Ky., took a victory lap after blocking far more ambitious legislation from reaching the Senate floor. He said the pragmatic approach of Biden was key. “A few days ago, with a new president-elect of their own party, everything changed. Democrats suddenly came around to our position that we should find consensus, make law where we agree, and get urgent help out the door,” McConnell said. On direct payments, the bill provides $600 to individuals making up to $75,000 per year and $1,200 to couples making up to $150,000, with payments phased out for higher incomes. An additional $600 payment will be made per dependent child, similar to the last round of relief payments in the spring. The $300 per week bonus jobless benefit was half the supplemental federal unemployment benefit provided under the $1.8 billion CARES Act in March. That more generous benefit and would be limited to 11 weeks instead of 16 weeks. The direct $600 stimulus payment was also half the March payment. The CARES Act was credited with keeping the economy from falling off a cliff during widespread lockdowns in the spring, but Republicans controlling the Senate cited debt concerns in pushing against Democratic demands. “Anyone who thinks this bill is enough hasn’t heard the desperation in the voices of their constituents, has not looked into the eyes of the small-business owner on the brink of ruin,” said Senate Democratic leader Chuck Schumer, a lifelong New Yorker who pushed hard for money helping his city’s transit systems, renters, theaters and restaurants. Progress came after a bipartisan group of pragmatists and moderates devised a $908 billion plan that built a middle-ground position that the top four leaders of Congress — the GOP and Democratic leaders of both the House and Senate — used as the basis for their talks. The lawmakers urged leaders on both sides to back off of hardline positions. “At times we felt like we were in the wilderness because people on all sides of the aisle didn’t want to give, in order to give the other side a win,” said freshman Rep. Elssa Slotkin, D-Mich. “And it was gross to watch, frankly.” Republicans were most intent on reviving the Paycheck Protection Program with $284 billion, which would cover a second round of PPP grants to especially hard-hit businesses. Democrats won set-asides for low-income and minority communities. The sweeping bill also contains $25 billion in rental assistance, $15 billion for theaters and other live venues, $82 billion for local schools, colleges, and universities, and $10 billion for child care. The governmentwide appropriations bill was likely

White House drops payroll tax cut after GOP allies object

President Donald Trump on Thursday reluctantly dropped his bid to cut Social Security payroll taxes as Republicans stumbled anew in efforts to unite around a $1 trillion COVID-19 rescue package to begin negotiations with Democrats who are seeking far more. Frustrating new delays came as the administration scrambled to avert the cutoff next week of a $600-per-week bonus unemployment benefit that has helped prop up the economy while staving off financial disaster for millions of people thrown out of work since the coronavirus pandemic began. Trump yielded to opposition to the payroll tax cut among his top Senate allies, claiming in a Twitter post that Democratic opposition was the reason. In fact, top Senate Republicans disliked the expensive idea in addition to opposition from Democrats for the cut in taxes that finance Social Security and Medicare. “The Democrats have stated strongly that they won’t approve a Payroll Tax Cut (too bad!). It would be great for workers. The Republicans, therefore, didn’t want to ask for it,” Trump contended. “The president is very focused on getting money quickly to workers right now, and the payroll tax takes time,” Treasury Secretary Steven Mnuchin said at the Capitol. Only Sunday, Trump said in a Fox News interview that “I would consider not signing it if we don’t have a payroll tax cut.” The long-delayed legislation comes amid alarming new cases in the virus crisis. It was originally to be released Thursday morning by Senate Majority Leader Mitch McConnell. But the Kentucky Republican instead hosted an unscheduled meeting with Mnuchin and White House acting chief of staff Mark Meadows and delayed the planned release of the proposal until next week. The rocky developments coincide with a higher-profile role by Meadows, a former tea party lawmaker from North Carolina with a thin legislative resume. The delays increase the chances that efforts to pass the COVID rescue, the fifth coronavirus response bill this year, could drag well into August as both parties are formally nominating their presidential candidates. Mnuchin claimed there was “fundamental agreement” on the GOP side, but irritation was growing among Republicans with the Trump negotiating team, which floated the idea of breaking off a smaller bill that would be limited to maintaining some jobless benefits and speeding aid to schools. Democrats immediately panned that idea, saying it would strand other important elements such as aid to state and local governments. “We cannot piecemeal this,” declared House Speaker Nancy Pelosi of California. As a practical matter, Democrats say, the only way to prevent a cutoff of the pandemic jobless benefit next month is to simply extend it in full, at least in the short term. Balky and ancient state unemployment systems can’t be adjusted in time to immediately implement a new compromise. “Due to ancient technology, states need between one and four weeks to adjust the $600 boost. At this late hour, the only option to guarantee benefits do not lapse is the Democratic plan to extend the $600 weekly benefit,” said top Finance Committee Democrat Ron Wyden of Oregon. “Republicans rejected that plan outright. They were never serious about preventing a lapse in benefits.” McConnell scrapped a choreographed rollout that would have featured Republicans with tough reelection races claiming credit for provisions like a $15 billion appropriation for child care assistance for parents trying to go back to work while many schools will remain closed this fall. McConnell now says the rollout won’t come out until next week. “Our Republican colleagues have been so divided, so disorganized and so unprepared that they have to struggle to draft even a partisan proposal within their own conference,” said Democratic leader Chuck Schumer. The must-have centerpiece for McConnell is a liability shield to protect businesses, schools and others from coronavirus-related lawsuits. The still-unreleased GOP measure does forge an immediate agreement with Democrats on another round of $1,200 checks to most adults. The $600 weekly unemployment benefit boost that is expiring Friday would be cut back, and Mnuchin said it would ultimately be redesigned to provide a typical worker 70% of his or her income. Republicans say extending it in full would be a disincentive to work. “You can’t continue to pay people more to not work than to work,” said Sen. John Barrasso of Wyoming. The Republican package will also include tax breaks for businesses to hire and retain workers and to help shops and workplaces retool with new safety protocols. A document circulating among lobbyists claims the package would increase the deduction for business meals to 100%, offering help to the restaurant industry. Mnuchin said there is bipartisan agreement on changes to a popular subsidy program for businesses called the Paycheck Protection Program that would permit businesses especially hard hit by the pandemic — companies with fewer than 300 workers and revenue losses of 50% — to receive a second PPP payment. A breakthrough on $25 billion in virus-testing money was key after days of wrangling between Republicans on the powerful Appropriations Committee and the White House. There will also be $26 billion for vaccines and $15 billion for research programs at the National Institutes of Health. At the White House, Trump touted the GOP plan’s massive $105 billion to help schools and universities reopen. It contains $70 billion to help K-12 schools reopen, $30 billion for colleges, and $5 billion for governors to allocate. Trump said he wants the school money linked to reopenings. In McConnell’s package, the money for K-12 would be split between those that have in-person learning and those that don’t. If local public schools don’t reopen, the money should go to parents to send their children to other schools or teach them at home, Trump said. “If the school is closed, the money should follow the student,” he said. Democrats back a much more sweeping package, including almost $1 trillion for state and local governments. They also want a fresh round of mortgage and rental assistance and new federal health and safety requirements for workers — ideas strongly opposed by Republicans. Congress

White House, GOP agree to virus testing but aid bill shifts

Senate Republicans and the White House reached a tentative agreement late Wednesday for more testing funds in the next COVID-19 relief package, but deep disagreements over the scope of the $1 trillion in federal aid have forced a shift in strategy. Facing a GOP revolt, Senate Majority Leader Mitch McConnell was preparing to roll out a “handful” of COVID-19 aid bills instead of a single package, according to a top lawmaker involved in the negotiations. The legislation is now expected as soon as Thursday. “Very productive meeting,” Treasury Secretary Steven Mnuchin said while exiting a late session at the Capitol. A key holdup remains President Donald Trump’s push for a payroll tax cut, according to a Republican granted anonymity to discuss the private talks. Hardly any GOP senators support the idea. Instead, McConnell and some Republicans prefer another round of direct $1,200 cash payments to Americans. Mnuchin said the negotiators have agreed to an amount on direct payments, but declined to share details. The rest of the legislation is taking shape even as key Senate Republicans are rejecting the overall rescue, which is almost certain to grow. There will be no new money for cash-strapped states and cities, which are clamoring for funds, but they will be provided with additional flexibility to tap existing aid funds. Republicans propose giving $105 billion to help schools reopen and $15 billion for child care centers to create safe environments for youngsters during the pandemic. The centerpiece of the GOP effort remains McConnell’s liability shield to protect businesses, schools, and others from COVID-related lawsuits. The bills will also include tax breaks for businesses to hire and retain workers and to help shops and workplaces retool with new safety protocols. Still unresolved is how to phase out the $600 weekly unemployment benefit boost that is expiring, starting Friday. Republicans appear to be settling on $200 benefit that would ultimately be adjusted according to state jobless benefits rates. The breakthrough on testing money, though, was key after days of debate between Republicans and the White House, showing a potential shift in the administration’s thinking about the importance of tracking the spread of the virus. Republicans wanted $25 billion but the Trump administration said the $9 billion in unspent funds from a previous aid deal was sufficient. The two sides settled on adding $16 billion to the unspent funds to reach $25 billion, senators said. Despite deep differences among Republicans, McConnell is trying to push forward with what he calls a “starting point” in negotiations with Democrats. “I think what the leader has decided he wants to do is to have a handful of bills now instead of just one bill, so maybe that comes together,” Sen. Roy Blunt, R-Mo., told reporters at the Capitol. Exasperated Democrats warned the GOP infighting with Trump is delaying needed relief to Americans during the crisis, with the U.S. pandemic death toll climbing past 142,000. With millions out of work and a potential wave of evictions ahead, the severity of the prolonged virus outbreak is testing Washington’s ability to respond. Schools are delaying fall openings, states are clamping down with new stay-home orders and the fallout is rippling through an economy teetering with high unemployment and business uncertainty. A new AP-NORC poll shows very few Americans want full school sessions without restrictions in the fall. “We’re hopeful we’ll be able to get there,” McConnell told reporters earlier Wednesday. Pressure is mounting as the virus outbreak deepens, and a $600 weekly unemployment boost and a federal eviction moratorium come to an end starting Friday. But some GOP senators simply oppose big spending. “I just don’t see the need for it,” Sen. Ron Johnson, R-Wis., told reporters Wednesday. Democrats, who already approved House Speaker Nancy Pelosi’s more sweeping $3 trillion package two months ago, said time is running out for Trump and his GOP allies to act. “We’re still on the 20-yard line?” Senate Democratic Leader Chuck Schumer said, referring to White House comments. “Where have the Republicans been?” The White House negotiators, Mnuchin and Mark Meadows, the president’s acting chief of staff, arrived late at the Capitol. After a raucous meeting Tuesday, senators did not discuss the package at Wednesday’s lunch. Still, Meadows said other talks had progressed, pushing Republicans to “the 35-yard line.” As the Republicans battle over their priorities, Democrats warn they are wasting precious time. “We are just days away from a housing crisis that could be prevented,” said Sen. Elizabeth Warren, D-Mass. As Trump and his GOP allies are tangled over details, a stopgap measure may be needed to prevent the unemployment benefits from being shutoff. “We cannot allow there to be a cliff in unemployment insurance given we’re still at about 11% unemployment,” said Sen. Rob Portman, R-Ohio. Portman’s bill to provide tax cuts to retool workplaces with safety features appears to be included. Another Republican, Sen. Joni Ernst of Iowa, has been pushing for child care funds. Of the $105 billion for education, Republicans want propose $70 billion to help K-12 schools reopen, $30 billion for colleges, and $5 billion for governors to allocate. The Trump administration wanted school money linked to reopenings, but in McConnell’s package, the money for K-12 would likely be split between those that have in-person learning and those that don’t. Sen. Marco Rubio, R-Fla., said there will be another boost for small business lending in the Payroll Protection Program. “It’s going to be big,” he said. Mnuchin and Meadows made it clear during a private meeting Tuesday with Pelosi and Schumer that the White House was resisting Democratic proposals for new spending on virus testing, housing aid or money for cash-strapped states, according to a person granted anonymity to discuss the private talks. Republicans said some $150 billion allotted previously to state governments is sufficient to avert sweeping layoffs, and they said more housing protections are not needed. Democrats are calling for $430 billion to reopen schools, bigger unemployment benefits and direct aid checks, and a sweeping $1 trillion for state and local governments. They also want a