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Senate Republicans Unveil Stimulus Proposal. Here’s What You Need to Know

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  • Senate Republicans on Monday announced the $1 trillion HEALS Act, their version of a coronavirus relief bill.
  • Among other things, the bill includes cutting unemployment to $200 a week until October, another stimulus check, school and health funding, and protections for businesses. 
  • The bill does not include any money to state and local governments or any assistance to renters.
  • Democrats have opposed many provisions of the bill, setting everyone up for a battle just days before unemployment insurance expires and two weeks before Congress goes on recess.

Senate Republicans Announce HEALS Act

Following months of anticipation, Senate Republicans on Monday officially rolled out their long-awaited coronavirus relief bill proposal, the $1 trillion HEALS Act.

The proposal comes after weeks of infighting between Senate Republicans, as well as the White House, over what to put in the bill. It also comes nearly five months after the first stimulus bill, the CARES Act, was signed into law in March.

While the Democrat-led House passed its own $3 trillion stimulus bill, the HEROES Act, in early May, Senate Republicans wanted to wait to pass more coronavirus relief legislation, arguing that another was not yet needed and that the reopenings would help the economy.

Now, with widespread coronavirus spikes leading to more closures and many Americans hurting, Senate Republicans are down to the wire to pass a new coronavirus relief bill as key parts of the CARES Act are set to expire—and some already have.

Now that Republicans have hashed out a proposal, they still have to negotiate a bill with the Senate Democrats that could viably be passed by the House, and there are already some major differences between the Republican plan and what the Democrats want.

Here’s what you need to know about the major provisions in this proposal, how they measure up to Democrat proposals, what might happen moving forward, and what all of this means for the American people.

Unemployment Benefits

Likely the biggest logjam between the two parties is the question of federal unemployment benefits.

Under the first stimulus bill, all Americans who filed for unemployment got an additional $600 each week from the federal government on top of the money they were receiving from state unemployment. That extra $600 kept many people afloat, especially because normal unemployment in most states covers less than half of what a worker would normally make on the job.

The main reason this has become such a hot-button issue is because those federal benefits are set to expire in less than a week. While Democrats want to extend the $600, Republicans have argued that some people are making more off unemployment than they would at their jobs.

Under the current version of the HEALS Act, the federal government would provide a $200 a week for each unemployed worker until October. In that time, states would be required to switch over to the new system where unemployed workers would get 70% of the wages they made before.

If states cannot implement that totally new system by Oct. 5, they can request a waiver to continue the $200 for another two months.

Numerous experts have warned that states are already overwhelmed with unemployment requests and were already having trouble paying out the flat $600. As a result, they would really struggle with a major overhaul of their current system that also requires them to implement a difficult and very specific program.

Democrats have already rejected the idea of changing the state distribution method, but it’s also not their only issue.

While a state program that gives people 70% of the wages they made before they were unemployed would, in many cases, come out to more than $200 a week, the bill, as is, would cap those payments at $500. 

Notably, according to Ernie Tedeschi, an economist in the Treasury Department under Obama who spoke to The Washington Post, that means that workers in some states with low unemployment benefits who earn just $50,000 a year would hit the cap and not get the full 70% of their previous income.

In other words, no matter which way you cut it, the Senate GOP’s proposal would be a massive cut to the unemployment benefits that 30 million people—or nearly one out of every five American workers—are currently receiving.

Evictions, Funds for State & Local Governments, & Other Points of Contention

There are several other major issues between the two parties over what is in the Senate proposal—and even more significantly, what’s not.

Another one of the biggest problems for Democrats is that Republicans have explicitly said that they will not give any new money to state and local governments. Their plan does give those governments more flexibility in using the $150 billion fund approved under the last stimulus package, but it still differs significantly from the Democrats, who have long pushed for more funding.

The HEROES Act allocated $1 trillion alone to state and local governments.

Another notable item not in the plan is an extension on the federal evictions ban. That ban, known as the eviction moratorium, was signed into law under the first coronavirus relief bill and made it illegal for landlords who own buildings and homes with federal mortgages to evict renters.  

That ban, which applied to nearly a third of all American renters, expired at midnight on Friday.

Some states and cities have put their own eviction bans in place, but with the eviction ban ending, millions risk losing their homes during a pandemic.

But Republicans have nothing to address that or any other kind of relief for America’s renters. This will likely be a problem for Democrats, who have proposed not only expanding the moratorium beyond the federal level, but also extending it until next March.

Another major element of the Senate’s plan is a five-year liability shield, which would protect businesses, schools, non-profits, medical facilities, and other organizations from being sued by their employees if they contracted coronavirus on the job.

Senate Majority Leader Mitch McConnell (R-Ky.) has said multiple times that he will not pass a coronavirus relief bill without this provision, but Democrats have also expressed a strong desire to keep the liability provision out of the bill. 

Democrats have argued that in addition to prioritizing corporate interests, the protections it would allow businesses to mistreat their workers and put them in dangerous positions—a point they will likely push given the fact that hazard pay for essential workers was also left out of the Republican bill.

Stimulus Checks, School Funding, & Other Points of Agreement 

There are also some places where the Republicans and the Democrats agree, at least in principle.

For example, both have said they want another round of the $1,200 stimulus checks. Under the Republican plan, the checks would go out following the same formula as before—meaning the same people who got them the first time would get them again—though notably, it also has more restrictions on the checks being sent to prisoners and dead people.

The Republican bill also changes the eligibility for the extra $500 per each child dependent, so that families with dependents over 17 years old can get the money, unlike last time, which capped the extra payment at kids 16 and under.

The Democrats plan is basically the same, except that under the package passed by the House, dependents would also receive $1,200.

There is also bipartisan support for another round of support for small businesses through the Paycheck Protection Program (PPP). Under the Republican plan, there would be another wave of PPP that better targets small businesses, which is something Dems also seem on board with too.

Both sides of the aisle also agree that more there needs to be an expansion of funding for schools and health, though they have each proposed different amounts. In terms of schools, The GOP plan includes $105 billion for K-12 and higher education.

While the House bill allocated a similar amount at $100 billion, Senate Democrats have said they want $430 billion for schools.

Regarding healthcare, Republicans have proposed $16 billion for expanding testing and contact tracing and $26 billion for vaccine development and distribution, but it is unclear how much Dems want, especially because the House bill allocated $75 billion for the same areas.

What Now?

Despite certain bipartisan measures, Republicans and Democrats are clearly set up for a battle.

While rolling out his proposal Monday, McConnell appeared to hit on that note, calling on his Democratic colleagues to “put aside partisan stonewalling,” and “rediscover the sense of urgency that got the CARES Act across the finish line.”

Democrats, for their part, have slammed the Republicans for waiting so long to give them a bill they knew they would have objections too.

While speaking to reporters Monday, Senate Minority Leader Chuck Schumer (D-Ny.) criticized Republican bill, calling it a “half-hearted, half-baked legislative proposal,” and “too little, too late.”

“The lack of any urgency, understanding, and empathy for people who need help from Senate Republicans has led us to a very precarious moment,” he said, before specifically taking aim at the unemployment proposal.

“The Republican proposal on unemployment benefits, simply put, is unworkable, he added. The idea that we need to drastically reduce these benefits because workers will stay home otherwise is greatly exaggerated.”

Pelosi also made similar remarks after a meeting she had yesterday with top White House officials, where both she and Schumer said that there is still a big gap between Democrats and Republicans.

But that’s not the only gap. There are also divisions among the Senate Republicans, many of whom do not want another coronavirus relief package at all.

Already, some major Republicans have said they will vote against the bill, including Sen. Ted Cruz (R-Tx.).

“There is significant resistance to yet another trillion dollars,” he said Monday.“As it stands now, I think it’s likely that you’ll see a number of Republicans in opposition to this bill and expressing serious concerns.”

Even before the bill was officially rolled out, Sen. Lindsey Graham (R-Sc.) also made a similar prediction on Sunday.

“Half the Republicans are going to vote no to any phase 4 package, that’s just a fact,” he told Fox News.

Clearly, there is a long road ahead, but notably, there is not much time. In addition to unemployment benefits expiring at the end of this week, Congress is also scheduled to take a recess starting Aug. 7. That gives them just two weeks to figure everything out. 

See what others are saying: (The Washington Post) (Forbes) (NPR)

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Biden Calls on Congress To Extend Eviction Moratorium

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The move comes just two days before the federal ban is set to expire.


Eviction Freeze Set To Expire

President Joe Biden asked Congress on Thursday to extend the federal eviction moratorium for another month just two days before the ban was set to expire.

The request follows a Supreme Court decision last month, where the justices ruled the evictions freeze could stay in place until it expired on July 31. That decision was made after a group of landlords sued, arguing that the moratorium was illegal under the public health law the Centers for Disease Control and Prevention had relied on to implement it.

While the court did not provide reasons for its ruling, Justice Brett Kavanaugh issued a short concurring opinion explaining that although he thought the CDC “exceeded its existing statutory authority,” he voted not to end the program because it was already set to expire in a month.

In a statement Thursday, White House Press Secretary Jen Psaki cited the Supreme Court decision, as well as the recent surge in COVID cases, as reasons for the decision to call on Congress. 

“Given the recent spread of the delta variant, including among those Americans both most likely to face evictions and lacking vaccinations, President Biden would have strongly supported a decision by the CDC to further extend this eviction moratorium to protect renters at this moment of heightened vulnerability,” she said. 

“Unfortunately, the Supreme Court has made clear that this option is no longer available.”

Delays in Relief Distribution 

The move comes as the administration has struggled to distribute the nearly $47 billion in rental relief funds approved as part of two coronavirus relief packages passed in December and March, respectively.

Nearly seven months after the first round of funding was approved, the Treasury Department has only allocated $3 billion of the reserves, and just 600,000 tenants have been helped under the program.

A total of 7.4 million households are behind on rent according to the most recent data from the Census Bureau. An estimated 3.6 million of those households could face eviction in the next two months if the moratorium expires. 

The distribution problems largely stem from the fact that many states and cities tasked with allocating the fund had no infrastructure to do so, causing the aid to be held up by delays, confusion, and red tape. 

Some states opened portals that were immediately overwhelmed, prompting them to close off applications, while others have faced technical glitches.

According to The Washington Post, just 36 out of more than 400 states, counties, and cities that reported data to the Treasury Department were able to spend even half of the money allotted them by the end of June. Another 49 —  including New York — had not spent any funds at all.

Slim Chances in Congress

House Speaker Nancy Pelosi (D-Ca.) urged her colleagues to approve an extension for the freeze Thursday night, calling it “a moral imperative” and arguing that “families must not pay the price” for the slow distribution of aid.

However, Biden’s last-minute call for Congress to act before members leave for their August recess is all but ensured to fail.

While the House Rules Committee took up a measure Thursday night that would extend the moratorium until the end of this year, the only way it could pass in the Senate would be through a procedure called unanimous consent, which can be blocked by a single dissenting vote.

Some Senate Republicans have already rejected the idea.

“There’s no way I’m going to support this. It was a bad idea in the first place,” Senator Patrick Toomey (R-Pa.) told reporters. “Owners have the right to action. They need to have recourse for the nonpayment of rent.”

With the hands of the CDC tied and Congressional action seemingly impossible, the U.S. could be facing an unprecedented evictions crisis Saturday, even though millions of Americans who will now risk losing their homes should have already received rental assistance to avert this exact situation.

See what others are saying: (The Washington Post) (The New York Times) (The Associated Press)

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Mississippi Asks Supreme Court To Overturn Roe v. Wade

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The Supreme Court’s decision to consider Mississippi’s restrictive abortion ban already has sweeping implications for the precedents set under the landmark reproductive rights ruling, but now the state is asking the high court to go even further.


Mississippi’s Abortion Case

Mississippi filed a brief Thursday asking the U.S. Supreme Court to overturn Roe v. Wade when it hears the state’s 15-week abortion ban this fall.

After months of deliberation, the high court agreed in May to hear what will be the first abortion case the 6-to-3 conservative majority will decide.

Both a district judge and a panel of the U.S. Court of Appeals for the 5th Circuit had ruled that Mississippi could not enforce the 2018 law that banned nearly all abortions at 15 weeks with exceptions for only “severe fetal abnormality,” but not rape and incest.

If the Supreme Court upholds the Mississippi law, it would undo decades of precedent set under Roe in 1973 and upheld under Planned Parenthood v. Casey in 1992, where the court respectively ruled and reaffirmed that states could not ban abortion before the fetus is “viable” and can live outside the womb, which is generally around 24 to 28 weeks.

When the justices decided to hear the case, they said they would specifically examine the question of whether “all pre-viability prohibitions on elective abortions are unconstitutional.”

Depending on the scope of their decision on the Mississippi law, the court’s ruling could allow other states to pass much more restrictive abortion bans without the risk of lower courts striking down those laws.

As a result, legal experts have said the case will represent the most significant ruling on reproductive rights since Casey nearly three decades ago, and the Thursday brief raises the stakes even more.

When Mississippi asked the justices to take up its case last June, the state’s attorney general, Lynn Fitch (R), explicitly stated that the petition’s questions “do not require the Court to overturn Roe or Casey.”

But that was before the court’s conservatives solidified their supermajority with the appointment of Justice Amy Coney Barrett — who personally opposes abortion — following the death of liberal Justice Ruth Bader Ginsburg.

New Filing Takes Aim at Roe

With the new filing, it appears that Fitch views the high court’s altered makeup as an opportunity to undermine the constitutional framework that has been in place for the better part of the last century.

“The Constitution’s text says nothing about abortion,” Fitch wrote in the brief, arguing that American society has changed so much that the previous rulings need to be reheard.

“Today, adoption is accessible and on a wide scale women attain both professional success and a rich family life, contraceptives are more available and effective, and scientific advances show that an unborn child has taken on the human form and features months before viability,” she added, claiming the power should be left to state lawmakers. 

“Roe and Casey shackle states to a view of the facts that is decades out of date,” she continued. “The national fever on abortion can break only when this Court returns abortion policy to the states.”

The Center for Reproductive Rights, which represents Mississippi’s sole abortion provider in the suit against the state’s law, painted Fitch’s effort as one that will have a chilling effect on abortion rights nationwide.

“Mississippi has stunningly asked the Supreme Court to overturn Roe and every other abortion rights decision in the last five decades,” Nancy Northup, the president and CEO of the group said in a statement Thursday. “Today’s brief reveals the extreme and regressive strategy, not just of this law, but of the avalanche of abortion bans and restrictions that are being passed across the country.”

The Supreme Court has not yet said exactly when during its fall term it will hear oral arguments on the Mississippi case, but a decision is expected to come down by next June or July, as is standard.

An anticipated ruling just months before the 2022 midterms will almost certainly position abortion as a top issue at the ballot box.

See what others are saying:  (The New York Times) (The Washington Post) (Politico)

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Republicans Boycott Jan. 6 Committee After Pelosi Rejects Two of McCarthy’s Picks

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The House Minority Leader said that unless House Speaker Pelosi reinstated the two members, Republicans will launch their own investigation into the insurrection.


Pelosi Vetoes Republicans

Republicans are boycotting the select committee to investigate the insurrection after House Speaker Nancy Pelosi (D-Ca.) rejected two of the five GOP members Minority Leader Kevin McCarthy (R-Ca.) picked to serve on the panel Wednesday.

In a statement, Pelosi cited the “statements and actions” of Rep. Jim Jordan (R-Oh.) and Jim Banks (R-In.), whose nominations she said she was opposing “with respect for the integrity of the investigation.”

Jordan and Banks — both staunch allies of former President Donald Trump — have helped propagate the previous leader’s false election claims, opposed efforts to investigate the insurrection, and voted not to certify the election for President Joe Biden. 

A senior Democratic aide also specifically told The Washington Post that Democrats did not want Jordan on the panel because he reportedly helped Trump strategized how to overturn the election and due to the fact he spoke to the then-president on Jan. 6, meaning there is a possibility he could be called to testify before the very same committee.

The aide also said that Democrats opposed Banks’ selection because of a statement he issued after McCarthy chose him.

In the statement, the representative compared the insurrection to the racial justice protests last summer, implied that the rioters were just normal American’s expressing their political views, and claimed the committee was a political ploy “to justify the Left’s authoritarian agenda.”

Notably, Pelosi did say she would accept McCarthy’s three other nominees — including Rep. Troy Nehls (R-Wi.), who also voted against certifying Biden’s win.

McCarthy Threatens Separate Investigation

McCarthy, however, refused to select new members, and instead opted to remove all his appointees from the would-be bipartisan committee.

In a statement condemning the move, the minority leader said that Pelosi’s action “represents an egregious abuse of power.” 

“Denying the voices of members who have served in the military and law enforcement, as well as leaders of standing committees, has made it undeniable that this panel has lost all legitimacy and credibility and shows the Speaker is more interested in playing politics than seeking the truth,” he said.

“Unless Speaker Pelosi reverses course and seats all five Republican nominees, Republicans will not be party to their sham process and will instead pursue our own investigation of the facts.”

Pelosi defended her decision during a press conference Thursday, where she said that Banks and Jordan were “ridiculous” choices for the panel. 

“When statements are ridiculous and fall into the realm of, ‘You must be kidding,’ there’s no way that they’re going to be on the committee,” she added.

See what others are saying: (The Washington Post) (The New York Times) (CNBC)

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