The US Congress leaders are too close to finalizing a deal on a coronavirus relief package. It would include another round of direct payments to Americans. The move came just days ahead of a deadline to extend government funding and with critical relief programs set to expire at the end of the month. A reliable source has confirmed the deal would likely cost around $900 billion with contentious provisions on funding for state and local governments and liability protections for businesses set aside. The deal would include 2 popular provisions that were part of the CARES Act passed in the spring. These provisions are direct checks to Americans with a salary under a certain threshold and a weekly benefit on top of unemployment insurance.
But, it is still unclear how much money would be included in the checks. On Tuesday, the US House Speaker Nancy Pelosi, Senate Majority Leader Mitch McConnell, Senate Minority Leader Chuck Schumer, and House Minority Leader Kevin McCarthy met for hours to hammer out a deal with Treasury Secretary Steven Mnuchin. On Wednesday, Schumer informed reporters that negotiators are very close to a deal. He said, “We are very close. We’re making really good progress. We’re feeling pretty good”. Point to be noted that the framework being negotiated by these leaders is largely based on a $748 billion proposal introduced by a bipartisan, bicameral group of lawmakers. The proposal includes an additional $300 per week on top of unemployment insurance. It is significantly lower than the $600 per week established by the CARES Act.
The group also introduced a $160 billion proposal including funding for state and local governments. But the four congressional leaders now appear likely to agree to the 2nd round of stimulus checks and other aid without addressing state and local funding and liability protections. The source said that aid for state and local governments would be available through other avenues in a final bill. On Wednesday, Democratic Senator Joe Manchin said that he expected the direct checks to amount to $600 in order to keep the price tag of the bill at roughly $900 billion. Manchin said, “They can come back in January when Joe Biden becomes president, take a look at the emergency needs that we still have. This is an emergency bill, it’s not an end all be all”.
