Economic rescue legislation hits late snags

Published on Wednesday, 25 March 2020 19:43
Written by The Associated Press

WASHINGTON (AP) - Senate leaders raced to unravel last-minute snags Wednesday and win passage of an unparalleled $2 trillion economic rescue package steering aid to businesses, workers and health care systems engulfed by the coronavirus pandemic.

The measure is the largest economic relief bill in history, and both parties’ leaders were desperate for quick passage of a bill aimed at a virus that is costing lives and jobs by the hour.

Insistently optimistic, President Donald Trump said of the greatest public-health emergency in anyone’s lifetimes, “I don’t think its going to end up being such a rough patch” and anticipated the economy soaring “like a rocket ship” when it’s over. Yet he implored Congress late in the day to move on critical aid without further delay.

The package is intended as a weekslong or monthslong patch for an economy spiraling into recession or worse and a nation facing a grim toll from an infection that’s killed nearly 20,000 people worldwide.

Underscoring the effort’s sheer magnitude, the bill finances a response with a price tag that equals half the size of the entire $4 trillion annual federal budget.

“A fight has arrived on our shores,” said Senate Majority Leader Mitch McConnell. “We did not seek it, we did not want it, but now we’re going to win it.”

“Big help, quick help, is on the way,” said Senate Minority Leader Chuck Schumer.

But the drive by leaders to speed the bill through the Senate was slowed as four conservative Republican senators demanded changes, saying the legislation as written “incentivizes layoffs” and should be altered to ensure employees don’t earn more money if they’re laid off than if they’re working.

Complicating the standoff, Sen. Bernie Sanders of Vermont, whose campaign for the Democratic presidential nomination has flagged, said he would block the bill unless the conservatives dropped their objections.

Other objections floated in from New York Gov. Andrew Cuomo, who has become a prominent Democrat on the national scene as the country battles the pandemic. Cuomo, whose state has seen more deaths from the pandemic than any other, said: “I’m telling you, these numbers don’t work.”

Democratic presidential candidate Joe Biden said the package “goes a long way.” He said it will require strong oversight to ensure the wealthy don’t benefit at the expense of workers and proposed forgiving at least $10,000 of student loan debt as part of the federal response.

McConnell and Schumer hoped passage of the legislation in the Republican-led Senate would come by the end of the day. Stocks posted their first back-to-back gains in weeks as the package took shape over the last two days, but much of Wednesday’s early rally faded as the hitch developed in the Senate. The market is down nearly 27% since setting a record high a month ago.

Senate passage would leave final congressional approval up to the Democratic-controlled House. Speaker Nancy Pelosi, D-Calif., said the bipartisan agreement “takes us a long way down the road in meeting the needs of the American people” but she stopped short of fully endorsing it.



Posted in New Britain Herald, Nation-World on Wednesday, 25 March 2020 19:43. Updated: Wednesday, 25 March 2020 19:45.