Americans have been waiting for weeks to receive funds from the Coronavirus Stimulus package. According to reports during the covid 19 pandemic unemployment rates have sky rocketed. QZ reported that Covid 19 could leave up to 30% of Americans jobless.
Within the last 24 hours the Senate has come to an agreement to send 2 trillion dollars to American workers, hospitals, industries, and state and local governments.
“At last, we have a deal,” Senate Majority Leader Mitch McConnell said early Wednesday morning. “After days of intense discussions, the Senate has reached a bipartisan agreement on a historic relief package for this pandemic.” McConnell added the Senate will vote on the bill later in the day.
The 2 trillion dollar Coronavirus stimulus package contains both Republican and Democratic proposals. $500 billion in federal funding will go to big businesses and municipalities that were hit hard by the coronavirus outbreak. The funds will send a direct deposit one-time cash payment to Americans and four months of expanded unemployment insurance.
The Senate stated they are trying to get the signing in the Presidents hand right away. The nest step is the deal must clear the House, where Democrats have been discussing passing the bill by unanimous consent — both to expedite the bill’s passage and to protect members by keeping them at home.
The 2 trillion dollar Coronavirus stimulus package will be split in the order below:
- A $500 billion loan program for businesses: The biggest sticking point between Democrats and Republicans throughout the negotiations was $500 billion worth of emergency loans both for large businesses and municipalities grappling with the coronavirus outbreak. For instance, $50 billion of that money was allotted to passenger airlines, according to the Washington Post.
Rather than trying to negotiate that figure down, Democrats instead negotiated to have strings attached to it. Instead of giving the Trump administration broad discretion to make the loans, Schumer and Pelosi said there will likely be a new inspector general in the Treasury Department specifically to oversee these funds, as well as a congressional oversight panel to examine how the money is being used.
A slew of additional conditions, championed by progressives and supported by the public, including a requirement for companies to implement a $15 minimum wage, have not made it into the final legislation.
- “Unemployment insurance on steroids”: Schumer announced Monday afternoon that unemployment insurance will be expanded to grapple with a new surge in claims, calling it “unemployment insurance on steroids.” The new bill will increase unemployment insurance by $600 per week for four months. This money is in addition to what states pay as a base unemployment salary. This benefit would extend to gig economy workers, freelancers, and furloughed workers who are still getting health insurance from their employers, but are not receiving a paycheck.
- Expanded funds for hospitals, medical equipment, and health care worker protections: In a statement, Schumer reported to Senate Democrats that the latest bill will contain $150 billion for hospitals treating coronavirus patients. Of that money, $100 billion will go to hospitals, $1 billion will go to the Indian Health Service, and the remainder will be used to increase medical equipment capacity.
- Increased aid to state and local governments: Schumer also said about $150 billion of federal money would be allocated for state and local governments who are dealing with the impacts of the crisis in their local communities, including $8 billion for tribal governments.
- Direct payments to adults below a certain income threshold: The legislation would include a one-time $1,200 check that would be sent to most adults making $75,000 or less annually, according to past tax returns. A $500 payment would also be sent to cover every child in qualifying households. The final policy marks a significant change from the direct payments initially proposed by Republicans, which would have given less to many individuals who do not have taxable income. It now includes the majority of adults who are under the $75,000 threshold and phases the payment out as people’s incomes increase.
- Loans to small businesses: There would be $367 billion in the bill aimed at providing loans for small businesses, according to the Washington Post.
The Senate still needs to approve the deal in a vote, needing 60 lawmakers to vote in favor of it to pass. Once this is done the package will then head over to the House, where Democrats also have their own $2.5 trillion economic stimulus bill. MSN Reports are expecting the House to easily take up the Senate deal, rather than going to conference to hash out differences between the two chambers.
