It appears the stalemate between Republicans and Democrats may be coming to an end soon. Both sides have reported progress towards another stimulus bill.
During an appearance on Fox Business last night, Treasury Secretary Steve Mnuchin said both sides have agreed to include another round of stimulus checks to American families in the next coronavirus relief package.
While speaking with Lou Dobbs, Mnuchin said the next relief bill would include a stimulus payment “similar” to the ones sent out last spring as part of the CARES Act.
It’s likely the same framework would be used for this round of checks. This means working adults would receive a check worth up to $1,200 and up to $500 for each dependent.
Stalemate Coming to an End
After a months-long stalemate, Secretary Mnuchin and House Speaker Nancy Pelosi spoke by phone yesterday. They will meet in person in the coming days. Mnuchin said he was “hopeful” both sides can reach an agreement. He also mentioned, “We still don’t have an agreement, but we have more work to do. And we’re going to see where we end up.”
The House speaker said she and Mnuchin had an “extensive conversation” and “found areas where we are seeking further clarification.”
With the news of a renewed effort to reach an agreement, Democratic leaders in the House postponed voting on a $2.2 trillion relief bill. Republicans had already indicated they would not approve a package with that price tag.
Mnuchin did indicate that President Trump has approved raising their original limit of $1 trillion for the next relief bill. He also suggested that Trump is comfortable with a price tag closer to $1.5 trillion.
Rep. Hakeem Jeffries, head of the Democratic caucus, said their Problem Solvers Proposal, put forth in mid-September with a price tag of $2 million, appears to be where Secretary Mnuchin will start negotiations.
“If you look at the Problem Solvers proposal, at the high end it’s approximately $2 trillion,” Jeffries told reporters in the Capitol. “And so I think that to the extent that Secretary Mnuchin has indicated that he will use the Problem Solver proposal as a basis for any counteroffer, actually brings us much closer to an agreement than we’ve ever been.”
The Problem Solvers Proposal includes about $500 billion in state and local relief. It also includes $1,200 stimulus checks and a replenishment for the Paycheck Protection Program. Republicans have said many times they won’t approve money to bail out poorly-run state and local municipalities.
House Majority Leader Steny Hoyer told reporters that the House would scrap a vote on their current plan and instead wait to vote on a bipartisan deal instead if it can be reached by Mnuchin and Pelosi.
“If we have a bipartisan deal … that is what we will move,” Hoyer told reporters.