Feb 04, 2021

Biden won't budge from $1,400 virus relief payments

Posted Feb 04, 2021 1:30 PM
President Biden and Vice President Harris met with Senators including Jerry Moran in the Oval Office on Monday. The meeting apparently accomplished very little.-photo courtesy CSPAN
President Biden and Vice President Harris met with Senators including Jerry Moran in the Oval Office on Monday. The meeting apparently accomplished very little.-photo courtesy CSPAN

WASHINGTON (AP) — President Joe Biden told House Democrats on Wednesday he’s “not married” to an absolute number on his $1.9 trillion COVID rescue plan but Congress needs to “act fast” on relief for the pandemic and the economic crisis.

Biden also said he doesn’t want to budge from his proposed $1,400 in direct payments that he said were promised to Americans.

“Look, we got a lot of people hurting in our country today,” Biden said. “We need to act. We need to act fast. We need to restore the soul of the country.”

On the direct payments, he said, “I’m not going to start my administration by breaking a promise to the American people.”

The meeting with House Democrats comes as the president steps up his public engagements with lawmakers on pandemic aid and an economic recovery package, together his first legislative priority and a test of the administration’s ability to deliver. Biden’s remarks to the Democratic caucus were relayed by two people who requested anonymity to discuss the private conference call.

While Biden is trying to build bipartisan support from Republicans, he is also prepared to rely on the Democratic majority in Congress to push his top agenda item into law. Republicans object to his package as excessive, preferring a $618 billion alternative, but Biden panned that as insufficient even as he continues private talks with Republicans on potential areas of compromise.

President Biden during his Wednesday visit with Senate Majority Leader Chuck Schumer-image courtesy White House
President Biden during his Wednesday visit with Senate Majority Leader Chuck Schumer-image courtesy White House

Meeting later with Senate Majority Leader Chuck Schumer and top Senate Democrats in the Oval Office, the president expressed confidence Wednesday that the relief would still win over GOP votes be bipartisan.

“I think we’ll get some Republicans,” he said at the start of the meeting.

With a rising virus death toll and strained economy, the goal is to have COVID-19 relief approved by March, when extra unemployment assistance and other pandemic aid measures expire. Money for vaccine distributions, direct payments to households, school reopenings and business aid are at stake.

As lawmakers in Congress begin drafting the details of the package under a budget process, Biden is taking care to shore up his allies while also ensuring that the final product fulfills his promise for bold relief to a battered nation.

House Democrats were told on the call with the president that they could be flexible on some numbers and programs, and could “better target” the direct payments, but should not back down on the size or scope of the aid.

“We have to go big, not small,” Biden told the Democrats. “I’ve got your back, and you’ve got mine.”

As the White House reaches for a bipartisan bill, Democrats marshaled their ever-slim Senate majority, voting 50-49 on Tuesday to start a lengthy process for approving Biden’s bill with or without Republican support. The House is due to start its process with preliminary votes later Wednesday.

The swift action follows Tuesday’s outreach to Congress as Biden and Treasury Secretary Janet Yellen joined the Democratic senators for a private virtual meeting, both declaring the Republicans’ $618 billion offer was too small.

Both Biden and Yellen recalled the lessons of the government response to the 2009 financial crisis, which some have since said was inadequate as conditions worsened.

Schumer said of the Republican proposal: “If we did a package that small, we’d be mired in the COVID crisis for years.”

Biden is emphasizing the need not to forget working and middle-class families — those nurses and pipefitters making $150,000 for a family of four.

Earlier in the week, Biden met with 10 Republican senators who were pitching their $618 billion alternative, and told them it was not enough. He said he won’t delay aid in hopes of winning GOP support.

Senate Republican leader Mitch McConnell criticized the Democrats for pressing ahead largely on their own as the GOP senators try to provide bipartisan alternatives.

“They’ve chosen a totally partisan path,” McConnell said. “That’s unfortunate.”

The two sides are far apart. The cornerstone of the GOP plan is $160 billion for the health care response — vaccine distribution, a “massive expansion” of testing, protective gear and money for rural hospitals, similar to what Biden has proposed for aid specific to the pandemic.

But from there, the two plans drastically diverge. Biden proposes $170 billion for schools, compared with $20 billion in the Republican plan. Republicans also would give nothing to states, money that Democrats argue is just as important, with $350 billion in Biden’s plan to keep police, fire and other workers on the job.

The GOP’s $1,000 direct payments would go to fewer people — those earning up to $40,000 a year, or $80,000 for couples. Biden’s bigger $1,400 payments would extend to higher income levels, up to $300,000 for some families.

The Republicans offer $40 billion for Paycheck Protection Program business aid. But gone are Democratic priorities such as a gradual lifting of the federal minimum wage to $15 an hour.

Winning the support of 10 Republicans would be significant, potentially giving Biden the votes needed in the 50-50 Senate to reach the 60-vote threshold typically required to advance legislation. Vice President Kamala Harris is the tie-breaker.

But Democrats pushed ahead with Tuesday’s vote, laying groundwork for eventual approval under the budget reconciliation process that would allow the bill to pass with a 51-vote Senate majority.

White House officials have previously cited the U.S. Chamber of Commerce as evidence of broad support for their plan, but the nation’s most prominent business group on Tuesday urged a compromise.

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WASHINGTON (AP) — President Joe Biden panned a Republican alternative to his $1.9 trillion COVID rescue plan as insufficient as Senate Democrats pushed ahead, voting to launch a process that could approve his sweeping rescue package on their own, if Republicans refuse to support it.

Biden and Treasury Secretary Janet Yellen joined the Democratic senators including Kansas Senator Jerry Moran for a private virtual meeting Tuesday, both declaring the Republicans’ $618 billion offer was too small. They urged big fast action to stem the coronavirus pandemic crisis and its economic fallout.

As the White House reaches for a bipartisan bill, Democrats marshaled their ever-slim Senate majority, voting 50-49, to start a lengthy process for approving Biden’s bill with or without GOP support. The goal is to have COVID-19 relief approved by March, when extra unemployment assistance and other pandemic aid expires.

“President Biden spoke about the need for Congress to respond boldly and quickly,” Senate Majority Leader Chuck Schumer said after the lunch meeting. “If we did a package that small, we’d be mired in the COVID crisis for years.”

The swift action from Democrats on Capitol Hill underscores the urgency of delivering Biden’s top legislative priority even as talks are progressing privately between Republicans and the White House, as well as with centrist Democrats, on potential changes to the package to win over broader bipartisan support.

Biden framed his views during the virtual lunch meeting with Democrats by talking about the need not to forget working and middle-class families — even those like nurses and pipefitters making $150,000 for a family of four — who are straining during the crisis, according to a person granted anonymity to discuss the private call.

The night before, Biden met with 10 Republican senators pitching their $618 billion alternative, and let them know it was insufficient to meet the country’s needs. The president made it clear that he won’t delay aid in hopes of winning GOP support.

While no compromise was reached during the late Monday session, White House talks with Republicans are privately underway.

The outcome will test the new president striving to unify the country but confronting a rising COVID-19 death toll and stubbornly high jobless numbers, with political risks for all sides. Vaccine distributions, direct $1,400 payments to households, school reopenings and business aid are all on the line.

Senate Republican leader Mitch McConnell criticized the Democrats for pressing ahead on their own. He said he had spoken to Biden ahead of his meeting with the 10 GOP senators.

“They’ve chosen a totally partisan path,” McConnell said. “That’s unfortunate.”

The two sides are far apart, with the Republican group of 10 senators focused primarily on the health care crisis and smaller $1,000 direct aid to Americans than the $1,400 payments Biden proposed, while the president is leading Democrats toward a more sweeping rescue plan to shore up households, local governments and a partly shuttered economy.

At the White House, press secretary Jen Psaki reiterated Biden’s view that the risk is not in crafting too large a package, but in providing too little aid. She said the president was hopeful GOP ideas will be brought forward, and said nothing precludes Republicans from participating in the process.

“We need to make sure people get the relief they need,” she said.

White House officials have previously cited the U.S. Chamber of Commerce as evidence of broad support for their plan, but the nation’s most prominent business group issued a letter Tuesday that urged a bipartisan compromise.

“There ought to be common ground for a bipartisan proposal that can become law,” Neil Bradley, executive vice president and chief policy officer, said in an interview.

The cornerstone of the GOP plan is $160 billion for the health care response — vaccine distribution, a “massive expansion” of testing, protective gear and funds for rural hospitals, similar to what Biden has proposed.

But from there, the two plans drastically diverge. Biden proposes $170 billion for schools, compared to $20 billion in the Republican plan. Republicans also would give nothing to states, money that Democrats argue is just as important, with $350 billion in Biden’s plan to keep police, fire and other workers on the job.

The GOP’s $1,000 direct payments would go to fewer households, individuals earning up to $40,000 a year, or $80,000 for couples. That’s less than Biden’s proposal of $1,400 direct payments at higher income levels, up to $300,000 for some households..

The Republicans offer $40 billion for Paycheck Protection Program business aid. But gone are Democratic priorities such as a gradual lifting of the federal minimum wage to $15 an hour.

According to Schumer, Biden told Democratic senators he had let the Republicans know “he’s willing to make some modifications.”

But both Biden and Yellen recalled the lessons of the government response to the 2009 financial crisis, which some have since said was inadequate as conditions worsened. Biden said he told the Republicans their offer was “way too small,” Schumer said.

Winning the support of 10 Republicans would be significant, potentially giving Biden the votes needed in the 50-50 Senate to the 60-vote threshold typically required to advance legislation. Vice President Kamala Harris is the tie-breaker.

Wary Democrats pushed ahead with Tuesday’s vote, unwilling to take too much time in courting GOP support that may not materialize or may lead to too meager a package.

The procedural steps are groundwork for eventual approval under the budget reconciliation process that would allow the bill to pass with a 51-vote majority in the Senate, rather than the 60 votes typically needed.

The vote Tuesday opens 50 hours of debate on a budget resolution, with amendment votes expected later this week. The House is poised to launch a similar process.

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