thefiscaltimes--2020-07-23--GOP Delays Rollout of Coronavirus Stimulus Plan; Trump Dumps Push for Payroll Tax Cut

The White House and Senate Republicans failed to reach final agreement Thursday on their proposal for a coronavirus relief package , forcing them to delay a planned rollout of the legislation even after administration officials dropped their demand for a payroll tax cut .
Treasury Secretary Steven Mnuchin told reporters that the negotiators had a “ fundamental agreement ” on a deal but that the legislative text of the proposal still had to be finalized .
Other policy disputes reportedly had yet to be hashed out as well , with differences over the extension of federal unemployment benefits a primary @ @ @ @ @ @ @ floor on Thursday afternoon , Senate Majority Leader Mitch McConnell said that Republicans had “ assembled the framework ” of their package but that the administration requested additional time to review the details .
“ We have an agreement in principle on the shape of the package , ” McConnell said , adding that Republicans would lay out their plan in a series of bills “ early next week.
” In an indication of the fragile state of negotiations , the White House had earlier floated the possibility of breaking the package into @ @ @ @ @ @ @ : keeping enhanced unemployment benefits in place , funding for school reopenings and protecting businesses against coronavirus lawsuits .
That idea was shot down quickly by both parties .
“ No , no , no , ” House Speaker Nancy Pelosi said .
“ This is a package .
We can not piecemeal this.
” The Washington Post reported that the White House also complicated the talks by renewing a push for language related to the location of the Federal Bureau of Investigation building in downtown Washington , D.C. , which is catty-corner @ @ @ @ @ @ @ It was unclear what this had to do with the coronavirus .
A White House spokesman declined to comment , ” the Post reported .
The GOP scramble leaves the fate of the broader deal — and the $ 600 weekly unemployment benefits that have provided a lifeline for millions of Americans — still in some doubt .
Politico ’ s John Bresnahan and Marianne LeVine called the GOP delay “ an embarrassing setback that could have serious consequences for millions of unemployed Americans.
” The key parts of the GOP plan : @ @ @ @ @ @ @ once the plan is released , but the emerging proposal , expected to come in at a cost of about $ 1 trillion , is reportedly set to include another round of $ 1,200 stimulus checks just like those provided in March .
It would also replace the expiring unemployment benefits with scaled-back payments equivalent to 70 % of workers ’ previous wages , which reportedly would work out to roughly $ 200 a week .
And it would provide $ 105 billion for education , including $ 70 billion for elementary and @ @ @ @ @ @ @ tied to schools reopening classrooms .
Of course , it would also include the liability shield for businesses .
The plan would not provide large-scale aid for state and local governments , but would allow them more flexibility in using the $ 150 billion allocated in March and add $ 16 billion in new funding to improve coronavirus testing .
The Paycheck Protection Program of loans to small business would reportedly receive another $ 90 billion .
Roll Call reports that the plan would also set up `` rescue committees '' charged with @ @ @ @ @ @ @ Social Security and highway construction trust funds .
No payroll tax cut : The White House dropped its demand to have a payroll tax cut included in the package after the idea met continued resistance from key Senate allies .
“ The president is very focused on getting money quickly to workers right now , and the payroll tax takes time , ” Mnuchin told reporters .
He said the administration still believes the tax cut is a “ very good pro-growth policy.
” The president had been pushing for the cut and @ @ @ @ @ @ @ that he would consider not signing the relief bill if it didn ’ t include the tax cut .
In a tweet Thursday , Trump tried to lay the blame for the tax cut being dropped at Democrats ’ feet : “ The Democrats have stated strongly that they won ’ t approve a Payroll Tax Cut ( too bad ! )
.
It would be great for workers .
The Republicans , therefore , didn ’ t want to ask for it .
Dems , as usual , are hurting the working @ @ @ @ @ @ @ ” But The Washington Post reports “ it was Republicans who actually shot the idea down.
” Mnuchin told CNBC that there could be still another coronavirus relief package that might include a payroll tax cut .
Senate Majority Leader Mitch McConnell has said this package will be the final one to address the pandemic .
This was supposed to be the easy part : Republicans haven ’ t even started to negotiate with Democrats , and the two sides remain trillions of dollars apart .
The GOP ’ s inability to reach @ @ @ @ @ @ @ those talks doesn ’ t bode well for that next stage , which is likely to be even more challenging .
Democratic leaders blasted the Republicans for their failure to come together on a proposal and for failing to provide funding for food assistance , rental assistance ( as a federal eviction moratorium is set to expire ) , more aid to state and local governments or hazard pay for essential workers , among other elements .
“ They have been so divided , so disorganized , so unprepared that they have struggled @ @ @ @ @ @ @ their own conference , ” Senate Minority Leader Chuck Schumer ( D-NY ) told reporters , noting that he and Pelosi had urged their counterparts to start negotiations weeks ago .
“ Even after all this time , it appears the Republican legislative response to Covid is un-unified , unserious and unsatisfactory .
”

The White House and Senate Republicans failed to reach final agreement Thursday on their proposal for a coronavirus relief package, forcing them to delay a planned rollout of the legislation even after administration officials dropped their demand for a payroll tax cut.
Treasury Secretary Steven Mnuchin told reporters that the negotiators had a “fundamental agreement” on a deal but that the legislative text of the proposal still had to be finalized. Other policy disputes reportedly had yet to be hashed out as well, with differences over the extension of federal unemployment benefits a primary sticking point.
Speaking from the Senate floor on Thursday afternoon, Senate Majority Leader Mitch McConnell said that Republicans had “assembled the framework” of their package but that the administration requested additional time to review the details. “We have an agreement in principle on the shape of the package,” McConnell said, adding that Republicans would lay out their plan in a series of bills “early next week.”
In an indication of the fragile state of negotiations, the White House had earlier floated the possibility of breaking the package into smaller bills focused on just three elements: keeping enhanced unemployment benefits in place, funding for school reopenings and protecting businesses against coronavirus lawsuits. That idea was shot down quickly by both parties. “No, no, no,” House Speaker Nancy Pelosi said. “This is a package. We cannot piecemeal this.”
The Washington Post reported that the White House also complicated the talks by renewing a push for language related to the location of the Federal Bureau of Investigation building in downtown Washington, D.C., which is catty-corner from the Trump International Hotel. “It was unclear what this had to do with the coronavirus. A White House spokesman declined to comment,” the Post reported.
The GOP scramble leaves the fate of the broader deal — and the $600 weekly unemployment benefits that have provided a lifeline for millions of Americans — still in some doubt. Politico’s John Bresnahan and Marianne LeVine called the GOP delay “an embarrassing setback that could have serious consequences for millions of unemployed Americans.”
The key parts of the GOP plan: We'll have a more complete breakdown once the plan is released, but the emerging proposal, expected to come in at a cost of about $1 trillion, is reportedly set to include another round of $1,200 stimulus checks just like those provided in March. It would also replace the expiring unemployment benefits with scaled-back payments equivalent to 70% of workers’ previous wages, which reportedly would work out to roughly $200 a week. And it would provide $105 billion for education, including $70 billion for elementary and secondary schools, with half of that tied to schools reopening classrooms. Of course, it would also include the liability shield for businesses.
The plan would not provide large-scale aid for state and local governments, but would allow them more flexibility in using the $150 billion allocated in March and add $16 billion in new funding to improve coronavirus testing. The Paycheck Protection Program of loans to small business would reportedly receive another $90 billion.
Roll Call reports that the plan would also set up "rescue committees" charged with overhauling the government’s Medicare, Social Security and highway construction trust funds.
No payroll tax cut: The White House dropped its demand to have a payroll tax cut included in the package after the idea met continued resistance from key Senate allies. “The president is very focused on getting money quickly to workers right now, and the payroll tax takes time,” Mnuchin told reporters. He said the administration still believes the tax cut is a “very good pro-growth policy.”
The president had been pushing for the cut and had said in an interview on Sunday that he would consider not signing the relief bill if it didn’t include the tax cut. In a tweet Thursday, Trump tried to lay the blame for the tax cut being dropped at Democrats’ feet: “The Democrats have stated strongly that they won’t approve a Payroll Tax Cut (too bad!). It would be great for workers. The Republicans, therefore, didn’t want to ask for it. Dems, as usual, are hurting the working men and women of our Country!” But The Washington Post reports “it was Republicans who actually shot the idea down.”
Mnuchin told CNBC that there could be still another coronavirus relief package that might include a payroll tax cut. Senate Majority Leader Mitch McConnell has said this package will be the final one to address the pandemic.
This was supposed to be the easy part: Republicans haven’t even started to negotiate with Democrats, and the two sides remain trillions of dollars apart. The GOP’s inability to reach consensus on their proposed starting point for those talks doesn’t bode well for that next stage, which is likely to be even more challenging.
Democratic leaders blasted the Republicans for their failure to come together on a proposal and for failing to provide funding for food assistance, rental assistance (as a federal eviction moratorium is set to expire), more aid to state and local governments or hazard pay for essential workers, among other elements.
“They have been so divided, so disorganized, so unprepared that they have struggled to even draft a partisan proposal within their own conference,” Senate Minority Leader Chuck Schumer (D-NY) told reporters, noting that he and Pelosi had urged their counterparts to start negotiations weeks ago. “Even after all this time, it appears the Republican legislative response to Covid is un-unified, unserious and unsatisfactory.”


thefiscaltimes--2020-07-24--Layoffs Loom as Small Business Loans Run Out

Small business aid is likely to be another important component in the next coronavirus relief bill .
Lawmakers are expected to extend the $ 660 billion Paycheck Protection Program , which provides forgivable loans to small business owners , with the goal of keeping workers on the payroll .
The PPP still has more than $ 100 billion to loan , and Congress may add more to the fund while extending the deadline for participation .
However , some economists and business owners are questioning the design of the program , which was intended to provide a short-term bridge across @ @ @ @ @ @ @ the economic slowdown persists , some small business owners are finding that their loans are running out before their revenues have recovered , forcing them to lay off workers once again .
One small business owner described the program to The Washington Post this way : “ It was just a Band-Aid on a bullet wound .
All it really did was prolong the agony of having our workers file for unemployment.
” Diane Swonk , chief economist at Grant Thornton , told the Post that policymakers made a mistake with the program @ @ @ @ @ @ @ the wrong bet .
This wasn ’ t just a transitory event.
” One possible solution under consideration is to change the rules and allow small businesses to take out a second loan through the program .
But the bigger and more disturbing question remains : What if millions of small businesses are unable to survive until the economy recovers , a process that could take years ?
For more details on the PPP and small business owners struggling around the country , see The Washington Post story here .

Small business aid is likely to be another important component in the next coronavirus relief bill. Lawmakers are expected to extend the $660 billion Paycheck Protection Program, which provides forgivable loans to small business owners, with the goal of keeping workers on the payroll. The PPP still has more than $100 billion to loan, and Congress may add more to the fund while extending the deadline for participation.
However, some economists and business owners are questioning the design of the program, which was intended to provide a short-term bridge across a brief recession. Now, as the economic slowdown persists, some small business owners are finding that their loans are running out before their revenues have recovered, forcing them to lay off workers once again.
One small business owner described the program to The Washington Post this way: “It was just a Band-Aid on a bullet wound. All it really did was prolong the agony of having our workers file for unemployment.”
Diane Swonk, chief economist at Grant Thornton, told the Post that policymakers made a mistake with the program’s design. “It was the wrong bet. This wasn’t just a transitory event.”
One possible solution under consideration is to change the rules and allow small businesses to take out a second loan through the program. But the bigger and more disturbing question remains: What if millions of small businesses are unable to survive until the economy recovers, a process that could take years?
For more details on the PPP and small business owners struggling around the country, see The Washington Post story here.


thefiscaltimes--2020-07-28--‘It’s a Mess’: Republicans Divided Over Their Own Coronavirus Bill

The coronavirus relief bill released by Senate Majority Leader Mitch McConnell ( R-KY ) yesterday received plenty of criticism Tuesday — with much of it coming from fellow Republicans .
At a lunch with Trump administration officials , some GOP senators reportedly complained about the $ 1 trillion price tag of the package , their lack of input in the bill ’ s writing process and the puzzling inclusion of funds to build a new FBI headquarters building across the street from the Trump International Hotel in Washington .
Highlighting the lack of unity among Republicans , Sen. Lindsey Graham @ @ @ @ @ @ @ think if Mitch can get half the conference that ’ d be quite an accomplishment.
” Saying he didn ’ t really know what was in the bill , John Kennedy ( R-LA ) joked that Republicans “ have unity in disagreement.
” Sen. Josh Hawley ( R-MO ) said he was baffled by the proposal .
“ It ’ s a mess , ” he said .
“ I can ’ t figure out what this bill is about .
I don ’ t know what we ’ re trying to accomplish @ @ @ @ @ @ @ meeting early , Sen. Rand Paul ( R-KY ) criticized the bill ’ s cost .
“ It ’ s just very frustrating to me because it ’ s people who go home and say we ’ re fiscally conservative , [ and ] are now in a bidding contest with the Democrats to see how much money they can spend , ” he said .
Sen. Rick Scott ( R-FL ) seemed to share those concerns , particularly the proposal to provide state and local governments with more flexibility to spend federal @ @ @ @ @ @ @ concerned about the amount of money we ’ re talking about , ” Scott said .
“ What I don ’ t want to do is bail out the states .
That ’ s wrong.
” McConnell responds : The majority leader recognized the party divisions Tuesday .
“ I have members who are all over the lot on this , ” he said .
“ This is a complicated problem .
We ’ ve done the best we can to develop a consensus among the broadest number of Republican senators — and @ @ @ @ @ @ @ , that ’ s just where we begin in dealing with the other side and with the administration.
” McConnell added that he assumed the final bill would be more focused .
“ When we get to the end of the process , I would hope all of the non-Covid-related measures are out , no matter what bill they were in at the start , ” he said .
The unrelated measures include the controversial funding request for the FBI headquarters .
On Tuesday , the Trump administration admitted that the request had @ @ @ @ @ @ @ “ There are a number of things in the last bill that had nothing to do with the coronavirus , ” said White House Chief of Staff Mark Meadows .
“ I think everybody acknowledges that it ’ s a funding mechanism . ''
Democrats no less critical : Democratic leaders said that the Republican bill gave them little to work with .
“ The Senate GOP proposal is a sad statement of their values , selling out struggling families at the kitchen table to enrich the corporate interests at the boardroom table @ @ @ @ @ @ @ D-CA ) and Senate Minority Leader Charles E. Schumer ( D-NY ) said in a statement .
Pelosi also said that she couldn ’ t understand why Republicans would offer a bill that lacked support from within their own party .
Tough negotiations ahead : The discord in Washington suggests that it could take a good deal of time and effort to reach an agreement for the next coronavirus bill .
As bipartisan negotiations on the next coronavirus package get underway , Politico ’ s Jake Sherman and Anna Palmer noted in their @ @ @ @ @ @ @ consensus of aides in both parties , on both ends of Pennsylvania Avenue , is that Democrats have a healthy negotiating edge ” given that a broad portion of the Senate Republican caucus is going to oppose the bill , making Democratic support all the more crucial .
Playbook laid out three scenarios for how the talks could go in the near term : 1 .
A quick deal : “ The two sides scramble to reach agreement this week .
That ’ s not going to be easy at all .
One @ @ @ @ @ @ @ .
A short-term patch : House Speaker Nancy Pelosi has made clear she has no interest in a narrower , short-term deal that would push off a more sweeping package .
“ A short-term deal would require acrobatics , ” Sherman and Palmer write , “ and that kind of maneuvering may be hard to come by.
” 3 .
Enhanced unemployment benefits expire and the pressure builds : “ Frankly , it seems likelier than not that Congress will be unable to do anything by Friday .
If so , enhanced unemployment @ @ @ @ @ @ @ scramble all sorts of considerations.
” The House is scheduled to leave town at the end of this week for an extended summer break .
House Majority Leader Steny Hoyer ( D-MD ) said lawmakers would be on call to return for a vote — but that would require a bill being ready for them to vote on .

The coronavirus relief bill released by Senate Majority Leader Mitch McConnell (R-KY) yesterday received plenty of criticism Tuesday — with much of it coming from fellow Republicans.
At a lunch with Trump administration officials, some GOP senators reportedly complained about the $1 trillion price tag of the package, their lack of input in the bill’s writing process and the puzzling inclusion of funds to build a new FBI headquarters building across the street from the Trump International Hotel in Washington.
Highlighting the lack of unity among Republicans, Sen. Lindsey Graham (R-SC) said, “I think if Mitch can get half the conference that’d be quite an accomplishment.”
Saying he didn’t really know what was in the bill, John Kennedy (R-LA) joked that Republicans “have unity in disagreement.”
Sen. Josh Hawley (R-MO) said he was baffled by the proposal. “It’s a mess,” he said. “I can’t figure out what this bill is about. I don’t know what we’re trying to accomplish with it.”
Storming out of the meeting early, Sen. Rand Paul (R-KY) criticized the bill’s cost. “It’s just very frustrating to me because it’s people who go home and say we’re fiscally conservative, [and] are now in a bidding contest with the Democrats to see how much money they can spend,” he said.
Sen. Rick Scott (R-FL) seemed to share those concerns, particularly the proposal to provide state and local governments with more flexibility to spend federal funds. “I’m very concerned about the amount of money we’re talking about,” Scott said. “What I don’t want to do is bail out the states. That’s wrong.”
McConnell responds: The majority leader recognized the party divisions Tuesday. “I have members who are all over the lot on this,” he said. “This is a complicated problem. We’ve done the best we can to develop a consensus among the broadest number of Republican senators — and that’s just the starting point, that’s just where we begin in dealing with the other side and with the administration.”
McConnell added that he assumed the final bill would be more focused. “When we get to the end of the process, I would hope all of the non-Covid-related measures are out, no matter what bill they were in at the start,” he said.
The unrelated measures include the controversial funding request for the FBI headquarters. On Tuesday, the Trump administration admitted that the request had nothing to do with the pandemic. “There are a number of things in the last bill that had nothing to do with the coronavirus,” said White House Chief of Staff Mark Meadows. “I think everybody acknowledges that it’s a funding mechanism."
Democrats no less critical: Democratic leaders said that the Republican bill gave them little to work with. “The Senate GOP proposal is a sad statement of their values, selling out struggling families at the kitchen table to enrich the corporate interests at the boardroom table,” House Speaker Nancy Pelosi (D-CA) and Senate Minority Leader Charles E. Schumer (D-NY) said in a statement. Pelosi also said that she couldn’t understand why Republicans would offer a bill that lacked support from within their own party.
Tough negotiations ahead: The discord in Washington suggests that it could take a good deal of time and effort to reach an agreement for the next coronavirus bill.
As bipartisan negotiations on the next coronavirus package get underway, Politico’s Jake Sherman and Anna Palmer noted in their Tuesday morning Playbook that “the general consensus of aides in both parties, on both ends of Pennsylvania Avenue, is that Democrats have a healthy negotiating edge” given that a broad portion of the Senate Republican caucus is going to oppose the bill, making Democratic support all the more crucial.
Playbook laid out three scenarios for how the talks could go in the near term:
1. A quick deal: “The two sides scramble to reach agreement this week. That’s not going to be easy at all. One side would have to cave.”
2. A short-term patch: House Speaker Nancy Pelosi has made clear she has no interest in a narrower, short-term deal that would push off a more sweeping package. “A short-term deal would require acrobatics,” Sherman and Palmer write, “and that kind of maneuvering may be hard to come by.”
3. Enhanced unemployment benefits expire and the pressure builds: “Frankly, it seems likelier than not that Congress will be unable to do anything by Friday. If so, enhanced unemployment benefits will run out, which will scramble all sorts of considerations.”
The House is scheduled to leave town at the end of this week for an extended summer break. House Majority Leader Steny Hoyer (D-MD) said lawmakers would be on call to return for a vote — but that would require a bill being ready for them to vote on.


thefiscaltimes--2020-07-27--Republicans Roll Out $1 Trillion Coronavirus Relief Plan

After struggling for days to coalesce around a plan , Senate Republicans on Monday released a $ 1 trillion coronavirus relief package , dubbed the HEALS Act , an acronym for Health , Economic Assistance , Liability Protection and Schools .
The proposal — which arrives as a host of emergency programs signed into law last spring , including enhanced unemployment insurance benefits , are expiring — will serve as a starting point for what are expected to be difficult negotiations with Democrats , who in May passed a $ 3 trillion relief package in the House .
The rollout @ @ @ @ @ @ @ White House Chief of Staff Mark Meadows reportedly spent the weekend on Capitol Hill negotiating the text of the plan with Senate aides .
At the same time , the White House , in an acknowledgment that Congress may still be weeks away from a vote on a coronavirus package , continued over the weekend to suggest the idea of a narrower bill that would include only unemployment insurance , school funding and a liability shield .
“ To give a sense of the optimism on the GOP side right now , White @ @ @ @ @ @ @ floating a less ambitious Plan B option -- before their Plan A even sees the light of day , ” CNN ’ s Phil Mattingly says .
“ Republicans are , just on Monday , releasing their opening bid , which President Donald Trump 's administration is already moving away from in order to pitch a scaled-back proposal Democrats have already rejected .
This is , to say the least , not an ideal way to kick off long-delayed bipartisan talks.
” Some key provisions in the GOP proposal : Unemployment benefits : @ @ @ @ @ @ @ per week federal benefit provided by the CARES Act and replace it with a system that provides 70 % of wages , with a cap .
States would be given two months to set up systems capable of making that calculation , which could be a serious challenge for technologically deficient employment offices .
During the transition period , unemployed workers would receive a flat $ 200 per week in extra relief , which , when combined with state-level insurance payments , would approximate the 70 % wage replacement target .
The National @ @ @ @ @ @ @ concerns about the GOP ’ s proposed unemployment system , saying it would take anywhere from eight to 20 weeks to implement .
Democrats , and many economists , warn that cutting the $ 600 payments will hurt workers and the broader economy .
Democrats have instead proposed extending the $ 600 payments through January or tying the level of emergency payments to state unemployment levels .
Stimulus payments : The GOP defends its push to cut emergency unemployment benefits in part by providing for another round of $ 1,200 stimulus checks for @ @ @ @ @ @ @ per year , following the model of the first round provided by the CARES Act , though with a new allowance for adult dependents .
School aid : The package calls for $ 105 billion for schools , with $ 70 billion designated for K-12 , $ 30 billion for higher education , and $ 5 billion for governors to use as they see fit .
Coronavirus testing : This was an area of dispute between the White House and Senate lawmakers .
In the end , the package would provide another $ @ @ @ @ @ @ @ cover the cost of testing , in addition to the $ 9 billion in uncommitted funds left over from the CARES Act , for a total of $ 25 billion .
Liability shields : Businesses , schools , health care providers and nonprofits that are reopening would receive legal protection from lawsuits related to coronavirus illnesses and deaths .
Small business : The Paycheck Protection Program would be extended with more funding and change its rules to allow hard-hit small businesses take out a second loan .
Evictions : The bill would extend @ @ @ @ @ @ @ CARES Act .
Vaccines : Republicans would add $ 26 billion for research and distribution of coronavirus vaccines .
Tax breaks : Republicans want to provide a higher level write-offs for business meals ; an enhanced employee retention tax credit ; and deductions for employer purchases of coronavirus-related supplies such as personal protective equipment .
FBI headquarters : The bill includes nearly $ 1.8 billion for a new FBI headquarters building in Washington , D.C. , across from the street from the Trump International Hotel .
Sen. Richard Shelby ( R-AL ) said @ @ @ @ @ @ @ Asked what it had to do with coronavirus relief , Shelby said , “ That 's a good question .
”

After struggling for days to coalesce around a plan, Senate Republicans on Monday released a $1 trillion coronavirus relief package, dubbed the HEALS Act, an acronym for Health, Economic Assistance, Liability Protection and Schools.
The proposal — which arrives as a host of emergency programs signed into law last spring, including enhanced unemployment insurance benefits, are expiring — will serve as a starting point for what are expected to be difficult negotiations with Democrats, who in May passed a $3 trillion relief package in the House.
The rollout comes after Treasury Secretary Steven Mnuchin and White House Chief of Staff Mark Meadows reportedly spent the weekend on Capitol Hill negotiating the text of the plan with Senate aides. At the same time, the White House, in an acknowledgment that Congress may still be weeks away from a vote on a coronavirus package, continued over the weekend to suggest the idea of a narrower bill that would include only unemployment insurance, school funding and a liability shield.
“To give a sense of the optimism on the GOP side right now, White House officials spent much of the weekend floating a less ambitious Plan B option -- before their Plan A even sees the light of day,” CNN’s Phil Mattingly says. “Republicans are, just on Monday, releasing their opening bid, which President Donald Trump's administration is already moving away from in order to pitch a scaled-back proposal Democrats have already rejected. This is, to say the least, not an ideal way to kick off long-delayed bipartisan talks.”
Some key provisions in the GOP proposal:
Unemployment benefits: Republicans propose to cut the $600 per week federal benefit provided by the CARES Act and replace it with a system that provides 70% of wages, with a cap. States would be given two months to set up systems capable of making that calculation, which could be a serious challenge for technologically deficient employment offices. During the transition period, unemployed workers would receive a flat $200 per week in extra relief, which, when combined with state-level insurance payments, would approximate the 70% wage replacement target.
The National Association of State Workforce Agencies has expressed concerns about the GOP’s proposed unemployment system, saying it would take anywhere from eight to 20 weeks to implement. Democrats, and many economists, warn that cutting the $600 payments will hurt workers and the broader economy. Democrats have instead proposed extending the $600 payments through January or tying the level of emergency payments to state unemployment levels.
Stimulus payments: The GOP defends its push to cut emergency unemployment benefits in part by providing for another round of $1,200 stimulus checks for American adults earning less than $75,000 per year, following the model of the first round provided by the CARES Act, though with a new allowance for adult dependents.
School aid: The package calls for $105 billion for schools, with $70 billion designated for K-12, $30 billion for higher education, and $5 billion for governors to use as they see fit.
Coronavirus testing: This was an area of dispute between the White House and Senate lawmakers. In the end, the package would provide another $16 billion for grants to states to cover the cost of testing, in addition to the $9 billion in uncommitted funds left over from the CARES Act, for a total of $25 billion.
Liability shields: Businesses, schools, health care providers and nonprofits that are reopening would receive legal protection from lawsuits related to coronavirus illnesses and deaths.
Small business: The Paycheck Protection Program would be extended with more funding and change its rules to allow hard-hit small businesses take out a second loan.
Evictions: The bill would extend the moratorium on evictions established by the CARES Act.
Vaccines: Republicans would add $26 billion for research and distribution of coronavirus vaccines.
Tax breaks: Republicans want to provide a higher level write-offs for business meals; an enhanced employee retention tax credit; and deductions for employer purchases of coronavirus-related supplies such as personal protective equipment.
FBI headquarters: The bill includes nearly $1.8 billion for a new FBI headquarters building in Washington, D.C., across from the street from the Trump International Hotel. Sen. Richard Shelby (R-AL) said the Trump administration requested this provision. Asked what it had to do with coronavirus relief, Shelby said, “That's a good question.”


thefiscaltimes--2020-07-27--Why Coronavirus Relief Negotiations Will Be Much, Much Harder This Time

House Speaker Nancy Pelosi ( D-CA ) and Senate Minority Leader Chuck Schumer ( D-NY ) are set to meet with Treasury Secretary Steven Mnuchin and White House Chief of Staff Mark Meadows this evening to begin formal talks on the next coronavirus relief package .
The two sides are trillions of dollars apart , and miles apart ideologically on some key issues .
CQ Roll Call ’ s Shawn Zeller notes that the politics of a deal will be harder now , with the election drawing near , than they had been in March , when the CARES Act @ @ @ @ @ @ @ with President Trump ’ s handling of the pandemic continues to run high , Zeller reports that the publication ’ s Capitol Insiders Survey of 126 congressional aides this month “ found that nearly two-thirds of Democratic staffers thought the virus would benefit their side , politically , in November .
Only 6 percent of the GOP respondents thought it would help theirs.
” Zeller adds that Democratic aides surveyed earlier this month said by a 51-36 margin that they preferred to find areas of compromise than try to gain an edge in @ @ @ @ @ @ @ — and public perception — of the pandemic may stiffen Democrats ’ resolve in rejecting the Republican proposal , which they say falls far short of what ’ s needed .
“ Democrats don ’ t sound like a party willing to accept the GOP proposal , ” Zeller writes .
“ But are they willing to take nothing , then , if Republicans refuse to move their way , and if it means millions of constituents will suffer ?
” Republicans are in a pickle , though , as some members push @ @ @ @ @ @ @ another round of deficit spending on top of the trillions already provided for coronavirus relief .
“ There is significant resistance to yet another trillion dollars , '' said Sen. Ted Cruz ( R-TX ) .
“ The answer to these challenges will not simply be shoveling cash out of Washington , the answer to these challenges will be getting people back to work .
And as it stands now , I think it ’ s likely that you ’ ll see a number of Republicans in opposition to this bill and expressing @ @ @ @ @ @ @ said this weekend that Republican opposition to another round of aid runs deep .
“ Half the Republicans are going to vote no to any phase four package .
That ’ s just a fact , ” he said .
Republicans face serious risks , though , if they ’ re seen to be taking away the lifeline keeping millions of Americans afloat .
“ McConnell and Trump know it ’ s likely that voters will blame Trump if the economic hole deepens , ” Zeller writes , “ and that a Democratic @ @ @ @ @ @ @ the Senate , may result .
”

House Speaker Nancy Pelosi (D-CA) and Senate Minority Leader Chuck Schumer (D-NY) are set to meet with Treasury Secretary Steven Mnuchin and White House Chief of Staff Mark Meadows this evening to begin formal talks on the next coronavirus relief package. The two sides are trillions of dollars apart, and miles apart ideologically on some key issues. CQ Roll Call’s Shawn Zeller notes that the politics of a deal will be harder now, with the election drawing near, than they had been in March, when the CARES Act passed with bipartisan support.
As dissatisfaction with President Trump’s handling of the pandemic continues to run high, Zeller reports that the publication’s Capitol Insiders Survey of 126 congressional aides this month “found that nearly two-thirds of Democratic staffers thought the virus would benefit their side, politically, in November. Only 6 percent of the GOP respondents thought it would help theirs.” Zeller adds that Democratic aides surveyed earlier this month said by a 51-36 margin that they preferred to find areas of compromise than try to gain an edge in the elections.
Still, the reality — and public perception — of the pandemic may stiffen Democrats’ resolve in rejecting the Republican proposal, which they say falls far short of what’s needed. “Democrats don’t sound like a party willing to accept the GOP proposal,” Zeller writes. “But are they willing to take nothing, then, if Republicans refuse to move their way, and if it means millions of constituents will suffer?”
Republicans are in a pickle, though, as some members push for more aid and others object to another round of deficit spending on top of the trillions already provided for coronavirus relief. “There is significant resistance to yet another trillion dollars," said Sen. Ted Cruz (R-TX). “The answer to these challenges will not simply be shoveling cash out of Washington, the answer to these challenges will be getting people back to work. And 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.”
Sen. Lindsey Graham said this weekend that Republican opposition to another round of aid runs deep. “Half the Republicans are going to vote no to any phase four package. That’s just a fact,” he said.
Republicans face serious risks, though, if they’re seen to be taking away the lifeline keeping millions of Americans afloat. “McConnell and Trump know it’s likely that voters will blame Trump if the economic hole deepens,” Zeller writes, “and that a Democratic takeover of the White House, and the Senate, may result.”


thefiscaltimes--2020-07-24--The Battle Over Unemployment Benefits

The Battle Over Unemployment Benefits

Unable to agree on a variety of important details , Republicans have pushed the release of their still-developing coronavirus relief package to next week , and the delay all but guarantees that the bill won ’ t be ready for President Trump ’ s signature until next month .
Chris Krueger of Cowen Research said Friday that “ mid-August is not out of question for timing now , ” and even that might be optimistic , given the internal divisions among Republicans and the distance between the two parties on many of the key issues .
One of the central @ @ @ @ @ @ @ will be what to do with the expanded unemployment benefits established by the CARES Act in March .
The $ 600 per week payments will expire in a few days , without an extension or replacement waiting in the wings .
As we told you yesterday , while Democrats want to extend the payments until next year , the current Republican plan is to provide a significantly smaller payment that , when combined with the usual state-level aid , equals roughly 70 % of workers ’ pre-pandemic wages .
Dueling views on jobless @ @ @ @ @ @ @ unemployment payments as an important source of support for both the economy and for workers whose jobs have been eliminated amid widespread fear of illness and death from the coronavirus .
Joseph Brusuelas , chief economist at the consulting firm RSM , said this week that the “ lapse in aid to 20 million Americans that pumped roughly $ 116 billion into the economy in June alone will result in a slower rebound in overall economic activity during the current quarter.
” He added that the data “ shows just how critical that @ @ @ @ @ @ @ Because of the inability of the political sector to put in place another round of aid in a timely manner , investors should anticipate a significant slowing in household spending and another round of permanent job losses.
” Brusuelas said the political wrangling over benefits means there will be no deal until halfway through August at the earliest , with an additional few weeks required to get the unemployment system back up to speed to handle whatever agreement lawmakers can make .
“ While we anticipate that Congress will approve a fifth round @ @ @ @ @ @ @ as the pandemic intensifies , ” he said , “ it is now clear that this aid will not be put in place in time to prevent an ‘ air pocket ’ in the economy later this summer.
” Mark Zandi , chief economist at Moody ’ s Analytics , told Politico that the failure to act quickly could bring the recent recovery to an end .
“ The economy bounced back in May and June but it ’ s now gone sideways and I would not be surprised to see a net @ @ @ @ @ @ @ said .
“ I don ’ t expect the economy will go anywhere until the pandemic is over and there is a widely adopted vaccine .
And if lawmakers wait more than a week or two to act there ’ s a very good chance we are back in recession.
” Democrats are generally aligned with the mainstream economic view and warn that ending the jobless payments could have dire consequences for the economy and for millions of families reliant on the aid .
Rep. Don Beyer ( D-VA ) looked to John @ @ @ @ @ @ @ literary terms .
“ So far we ’ ve avoided the 'Grapes of Wrath ' scenario of millions of Americans going hungry — of people losing their homes , people losing their cars , people just desperate , ” Beyer told Politico .
“ That ’ s what we ’ re facing if we don ’ t re-up the unemployment insurance.
” In sharp contrast , many Republicans say that the generous unemployment benefits themselves are a contributing factor to the slowing recovery , and maintain that the economy would be stronger without @ @ @ @ @ @ @ John Barrasso ( R-WY ) summed up the view , saying that the $ 600 per week increase in benefits acted as a “ heavy wet blanket on our economy ” that discourages “ people from getting back on the job.
” Sen. John Cornyn ( R-TX ) put it more bluntly : “ We should never pay people not to work.
” Outside White House adviser Stephen Moore hammered the theme this week .
“ These benefits are not a ‘ life preserver , ’ but a job killer , ” Moore @ @ @ @ @ @ @ that these high benefits will mean 10 million fewer workers on the job by the end of the year , thus killing any chance of a ‘ V-shaped recovery.
’ ” What ’ s next : Republicans first have to agree on their own proposal before they can start negotiating with Democrats .
One significant hurdle Republicans have to clear is the inability of state unemployment systems to handle the complicated analyses required to link unemployment benefits to income .
Slashing the weekly payment to a flat $ 200 may serve as a @ @ @ @ @ @ @ have to agree on an overall price tag for the coronavirus package , of which unemployment aid is a significant component .
Senate Majority Leader Mitch McConnell ( R-KY ) is facing increasing pressure from fiscal conservatives to limit the cost of the proposal .
At the same time , lawmakers facing tough reelection battles and plunging poll numbers may be more interested in a more robust aid package , with a higher price tag .
“ This may be McConnell 's toughest challenge as majority leader , '' conservative economist Brian Riedl @ @ @ @ @ @ @ on their approach , they then have to hammer out a deal with Democrats , who will push for more substantial support for the unemployed and much higher spending in the relief package .
Given the many constraints , the negotiations could take some time .
McConnell said he could see the process dragging on well into next month .
“ Hopefully we can come together behind some package we can agree on in the next few weeks , ” he said Friday at an event in his home state .

Unable to agree on a variety of important details, Republicans have pushed the release of their still-developing coronavirus relief package to next week, and the delay all but guarantees that the bill won’t be ready for President Trump’s signature until next month. Chris Krueger of Cowen Research said Friday that “mid-August is not out of question for timing now,” and even that might be optimistic, given the internal divisions among Republicans and the distance between the two parties on many of the key issues.
One of the central points of contention between Democrats and Republicans will be what to do with the expanded unemployment benefits established by the CARES Act in March. The $600 per week payments will expire in a few days, without an extension or replacement waiting in the wings. As we told you yesterday, while Democrats want to extend the payments until next year, the current Republican plan is to provide a significantly smaller payment that, when combined with the usual state-level aid, equals roughly 70% of workers’ pre-pandemic wages.
Dueling views on jobless aid: Most mainstream economists see the unemployment payments as an important source of support for both the economy and for workers whose jobs have been eliminated amid widespread fear of illness and death from the coronavirus. Joseph Brusuelas, chief economist at the consulting firm RSM, said this week that the “lapse in aid to 20 million Americans that pumped roughly $116 billion into the economy in June alone will result in a slower rebound in overall economic activity during the current quarter.” He added that the data “shows just how critical that aid is to supporting the economy. Because of the inability of the political sector to put in place another round of aid in a timely manner, investors should anticipate a significant slowing in household spending and another round of permanent job losses.”
Brusuelas said the political wrangling over benefits means there will be no deal until halfway through August at the earliest, with an additional few weeks required to get the unemployment system back up to speed to handle whatever agreement lawmakers can make. “While we anticipate that Congress will approve a fifth round of fiscal aid to support the economy as the pandemic intensifies,” he said, “it is now clear that this aid will not be put in place in time to prevent an ‘air pocket’ in the economy later this summer.”
Mark Zandi, chief economist at Moody’s Analytics, told Politico that the failure to act quickly could bring the recent recovery to an end. “The economy bounced back in May and June but it’s now gone sideways and I would not be surprised to see a net job loss in July,” Zandi said. “I don’t expect the economy will go anywhere until the pandemic is over and there is a widely adopted vaccine. And if lawmakers wait more than a week or two to act there’s a very good chance we are back in recession.”
Democrats are generally aligned with the mainstream economic view and warn that ending the jobless payments could have dire consequences for the economy and for millions of families reliant on the aid. Rep. Don Beyer (D-VA) looked to John Steinbeck to make the point in more literary terms. “So far we’ve avoided the 'Grapes of Wrath' scenario of millions of Americans going hungry — of people losing their homes, people losing their cars, people just desperate,” Beyer told Politico. “That’s what we’re facing if we don’t re-up the unemployment insurance.”
In sharp contrast, many Republicans say that the generous unemployment benefits themselves are a contributing factor to the slowing recovery, and maintain that the economy would be stronger without them. Earlier this week, Sen. John Barrasso (R-WY) summed up the view, saying that the $600 per week increase in benefits acted as a “heavy wet blanket on our economy” that discourages “people from getting back on the job.” Sen. John Cornyn (R-TX) put it more bluntly: “We should never pay people not to work.”
Outside White House adviser Stephen Moore hammered the theme this week. “These benefits are not a ‘life preserver,’ but a job killer,” Moore said Thursday. “Our studies find that these high benefits will mean 10 million fewer workers on the job by the end of the year, thus killing any chance of a ‘V-shaped recovery.’”
What’s next: Republicans first have to agree on their own proposal before they can start negotiating with Democrats. One significant hurdle Republicans have to clear is the inability of state unemployment systems to handle the complicated analyses required to link unemployment benefits to income. Slashing the weekly payment to a flat $200 may serve as a backup plan.
The GOP senators also have to agree on an overall price tag for the coronavirus package, of which unemployment aid is a significant component. Senate Majority Leader Mitch McConnell (R-KY) is facing increasing pressure from fiscal conservatives to limit the cost of the proposal. At the same time, lawmakers facing tough reelection battles and plunging poll numbers may be more interested in a more robust aid package, with a higher price tag. “This may be McConnell's toughest challenge as majority leader," conservative economist Brian Riedl told NBC News.
Once Republicans agree on their approach, they then have to hammer out a deal with Democrats, who will push for more substantial support for the unemployed and much higher spending in the relief package.
Given the many constraints, the negotiations could take some time. McConnell said he could see the process dragging on well into next month. “Hopefully we can come together behind some package we can agree on in the next few weeks,” he said Friday at an event in his home state.


thefiscaltimes--2020-07-29--Thousands of US Troops Leaving Germany

Thousands of US Troops Leaving Germany

Nearly 12,000 U.S. soldiers will be pulled out of Germany , the Department of Defense said Wednesday , reducing the U.S. deployment in the key NATO ally from 36,000 to 24,000 .
About 5,600 soldiers will be sent to other NATO countries and 6,400 will head to the United States , with the moves beginning as soon as in a few weeks , Defense Secretary Mark Esper said Wednesday .
President Trump has repeatedly complained about NATO allies not meeting the group ’ s defense spending target of 2 % of GDP , while threatening retaliation .
“ We spend @ @ @ @ @ @ @ they take advantage of us on trade and they take advantage on the military , so we 're reducing the force , ” Trump said Wednesday .
“ They 're there to protect Europe , they 're there to protect Germany , and Germany is supposed to pay for it .
We do n't want to be responsible anymore.
” Pentagon officials provided a different explanation for the move , CNN reported .
Citing U.S. and alliance strategy , Esper said the reshuffling would “ strengthen NATO , enhance the deterrence of Russia @ @ @ @ @ @ @ set forth.
” The troop shuffle will cost billions of dollars , defense sources say , and require the construction of new facilities in both Europe and the U.S .
Some of the moves could take years to execute , suggesting that the plan could be reversed if Trump loses reelection .
Cost aside , some critics say the plan is a strategic mistake .
“ The Administration 's plan to remove thousands of U.S. troops from Germany is a grave error , ” Republican Sen. Mitt Romney said Wednesday .
“ It @ @ @ @ @ @ @ a friend and ally when we should instead be drawing closer in our mutual commitment to deter Russian and Chinese aggression .
”

Nearly 12,000 U.S. soldiers will be pulled out of Germany, the Department of Defense said Wednesday, reducing the U.S. deployment in the key NATO ally from 36,000 to 24,000. About 5,600 soldiers will be sent to other NATO countries and 6,400 will head to the United States, with the moves beginning as soon as in a few weeks, Defense Secretary Mark Esper said Wednesday.
President Trump has repeatedly complained about NATO allies not meeting the group’s defense spending target of 2% of GDP, while threatening retaliation. “We spend a lot of money on Germany, they take advantage of us on trade and they take advantage on the military, so we're reducing the force,” Trump said Wednesday. “They're there to protect Europe, they're there to protect Germany, and Germany is supposed to pay for it. We don't want to be responsible anymore.”
Pentagon officials provided a different explanation for the move, CNN reported. Citing U.S. and alliance strategy, Esper said the reshuffling would “strengthen NATO, enhance the deterrence of Russia, and meet the other principles I set forth.”
The troop shuffle will cost billions of dollars, defense sources say, and require the construction of new facilities in both Europe and the U.S. Some of the moves could take years to execute, suggesting that the plan could be reversed if Trump loses reelection.
Cost aside, some critics say the plan is a strategic mistake. “The Administration's plan to remove thousands of U.S. troops from Germany is a grave error,” Republican Sen. Mitt Romney said Wednesday. “It is a slap in the face at a friend and ally when we should instead be drawing closer in our mutual commitment to deter Russian and Chinese aggression.”


thefiscaltimes--2020-07-29--Trump Pushes Short-Term Fix for Jobless Benefits as Talks Show No Progress

Talks on the next coronavirus relief package are not going well .
Treasury Secretary Steven Mnuchin on Wednesday said the two sides are “ very far apart , ” and White House Chief of Staff Mark Meadows told Politico he didn ’ t see any way a deal could get done this week , leaving no hope of avoiding the formal expiration Friday of a $ 600 federal boost to unemployment benefits .
`` Enhanced unemployment insurance provisions will expire , '' Meadows told reporters Wednesday afternoon after meeting with Democratic leaders .
Given the extensive differences that would need @ @ @ @ @ @ @ deal , President Trump on Wednesday called for lawmakers to instead focus on addressing the expiration of the enhanced unemployment benefits and a moratorium on evictions , which expired this past weekend , saying that discussions on other parts of a relief package can come later .
“ We ought to work on the evictions so that people do n't get evicted , ” Trump said .
“ You work on the payments for the people , and the rest of it we 're so far apart we do n't care .
We @ @ @ @ @ @ @ earlier he dismissed the $ 1 trillion coronavirus proposal released by Senate Republicans this week as “ sort of semi-irrelevant.
” Democrats have rejected taking a piecemeal approach , and House Speaker Nancy Pelosi did so again Wednesday .
“ A number of Republican senators signaled Wednesday they were open to some kind of short-term , stand-alone deal -- but also said there was no clarity on what that might actually entail , ” The Washington Post reports .
Senate Majority Leader Mitch McConnell ( R-KY ) continues to insist that any package @ @ @ @ @ @ @ businesses and hospitals from coronavirus-related lawsuits , a provision Democrats oppose .
‘ Unable to mate ’ : Pelosi and Schumer , eschewing the football or baseball analogies that have become common in describing the status of bipartisan talks , instead turned to zoological comparisons .
At a Tuesday meeting with administration negotiators , Pelosi compared the Democratic and Republican plans to a giraffe and a flamingo , Politico reports : “ They ’ re both at a zoo .
A dumb person may think they could mate for offspring .
A smart @ @ @ @ @ @ @ That ’ s our bills .
They ’ re unable to mate.
” With the two sides apparently making little progress , McConnell and Schumer traded barbs on the Senate floor Wednesday , with McConnell calling Democrats ’ insistence on extending the $ 600 weekly unemployment payments “ completely unhinged ” and suggesting Pelosi was playing election politics .
“ This absurd , nasty insinuation by the Republican leader doesn ’ t pass the laugh test , ” Schumer said , according to the Post .
“ The fact that Leader McConnell would @ @ @ @ @ @ @ party might deny support for the American people in order to help win an election says more about the Republican leader than anybody else.
” The bottom line : The parties are talking , but they ’ re not moving , so millions of Americans will suffer a shock to their incomes as their extra jobless benefits lapse .

Talks on the next coronavirus relief package are not going well. Treasury Secretary Steven Mnuchin on Wednesday said the two sides are “very far apart,” and White House Chief of Staff Mark Meadows told Politico he didn’t see any way a deal could get done this week, leaving no hope of avoiding the formal expiration Friday of a $600 federal boost to unemployment benefits.
"Enhanced unemployment insurance provisions will expire," Meadows told reporters Wednesday afternoon after meeting with Democratic leaders.
Given the extensive differences that would need to be hashed out for a comprehensive deal, President Trump on Wednesday called for lawmakers to instead focus on addressing the expiration of the enhanced unemployment benefits and a moratorium on evictions, which expired this past weekend, saying that discussions on other parts of a relief package can come later.
“We ought to work on the evictions so that people don't get evicted,” Trump said. “You work on the payments for the people, and the rest of it we're so far apart we don't care. We really don't care.” A day earlier he dismissed the $1 trillion coronavirus proposal released by Senate Republicans this week as “sort of semi-irrelevant.”
Democrats have rejected taking a piecemeal approach, and House Speaker Nancy Pelosi did so again Wednesday. “A number of Republican senators signaled Wednesday they were open to some kind of short-term, stand-alone deal -- but also said there was no clarity on what that might actually entail,” The Washington Post reports. Senate Majority Leader Mitch McConnell (R-KY) continues to insist that any package must include a five-year liability shield protecting businesses and hospitals from coronavirus-related lawsuits, a provision Democrats oppose.
‘Unable to mate’: Pelosi and Schumer, eschewing the football or baseball analogies that have become common in describing the status of bipartisan talks, instead turned to zoological comparisons. At a Tuesday meeting with administration negotiators, Pelosi compared the Democratic and Republican plans to a giraffe and a flamingo, Politico reports: “They’re both at a zoo. A dumb person may think they could mate for offspring. A smart person knows that’s impossible. That’s our bills. They’re unable to mate.”
With the two sides apparently making little progress, McConnell and Schumer traded barbs on the Senate floor Wednesday, with McConnell calling Democrats’ insistence on extending the $600 weekly unemployment payments “completely unhinged” and suggesting Pelosi was playing election politics.
“This absurd, nasty insinuation by the Republican leader doesn’t pass the laugh test,” Schumer said, according to the Post. “The fact that Leader McConnell would even consider the idea that a political party might deny support for the American people in order to help win an election says more about the Republican leader than anybody else.”
The bottom line: The parties are talking, but they’re not moving, so millions of Americans will suffer a shock to their incomes as their extra jobless benefits lapse.


thefiscaltimes--2020-07-28--Fight the Coronavirus With F-35s?

Fight the Coronavirus With F-35s?

The coronavirus relief bill released by Senate Republicans Monday contains some provisions that appear to have little to do with the pandemic and the immediate economic pain it ’ s producing .
In addition to the roughly $ 1.8 billion the proposal seeks for a new FBI headquarters building , the bill includes more than $ 7 billion for various weapons systems .
Here ’ s a partial list of military items in the bill , which , as Roll Call notes , appears to benefit the country ’ s two largest defense contractors , Lockheed Martin and Boeing , @ @ @ @ @ @ @ Richard Shelby ( R-AL ) , chair of the Appropriations Committee , defended the inclusion of weapons in the bill .
“ The Defense Industrial Base ( DIB ) is essential to our economy and to the defense of our nation , '' the spokesperson said .
`` This bill takes steps to ensure that the DIB , along with the millions of jobs it provides , are supported.
” Sen. Patrick Leahy ( D-VT ) , vice chair of the Appropriations Committee , criticized the overall bill as inadequate , adding that @ @ @ @ @ @ @ not bad enough , the bill contains billions of dollars for programs unrelated to the coronavirus , including over $ 8 billion for what appears to be a wish-list from the Department of Defense for manufacturing of planes , ships , and other weapons systems.
” The coronavirus relief bill released by Senate Republicans Monday contains some provisions that appear to have little to do with the pandemic and the immediate economic pain it ’ s producing .
In addition to the roughly $ 1.8 billion the proposal seeks for a new FBI @ @ @ @ @ @ @ than $ 7 billion for various weapons systems .
Here ’ s a partial list of military items in the bill , which , as Roll Call notes , appears to benefit the country ’ s two largest defense contractors , Lockheed Martin and Boeing , the most :

The coronavirus relief bill released by Senate Republicans Monday contains some provisions that appear to have little to do with the pandemic and the immediate economic pain it’s producing. In addition to the roughly $1.8 billion the proposal seeks for a new FBI headquarters building, the bill includes more than $7 billion for various weapons systems.
Here’s a partial list of military items in the bill, which, as Roll Call notes, appears to benefit the country’s two largest defense contractors, Lockheed Martin and Boeing, the most:
$1 billion for Boeing P-8 Poseidon maritime surveillance aircraft.
$283 million for Boeing Apache helicopters.
$650 million for A-10 Warthog attack jet refurbishment, a program run by Boeing.
$200 million for Boeing’s Ground-Based Midcourse Defense anti-missile system.
$686 million for Lockheed Martin F-35 stealth jets.
$720 million for Lockheed Martin C-130 Hercules transport planes.
$1.5 billion for four medical ships.
$375 million for upgrading Stryker infantry vehicles, a program run by General Dynamics.
A spokesperson for Sen. Richard Shelby (R-AL), chair of the Appropriations Committee, defended the inclusion of weapons in the bill. “The Defense Industrial Base (DIB) is essential to our economy and to the defense of our nation," the spokesperson said. "This bill takes steps to ensure that the DIB, along with the millions of jobs it provides, are supported.”
Sen. Patrick Leahy (D-VT), vice chair of the Appropriations Committee, criticized the overall bill as inadequate, adding that, “If all of this were not bad enough, the bill contains billions of dollars for programs unrelated to the coronavirus, including over $8 billion for what appears to be a wish-list from the Department of Defense for manufacturing of planes, ships, and other weapons systems.”
The coronavirus relief bill released by Senate Republicans Monday contains some provisions that appear to have little to do with the pandemic and the immediate economic pain it’s producing. In addition to the roughly $1.8 billion the proposal seeks for a new FBI headquarters building, the bill includes more than $7 billion for various weapons systems.
Here’s a partial list of military items in the bill, which, as Roll Call notes, appears to benefit the country’s two largest defense contractors, Lockheed Martin and Boeing, the most:


thefiscaltimes--2020-07-30--Jobless Claims Edge Higher Again

Jobless Claims Edge Higher Again

Initial jobless claims rose for the second week in a row , with 1.43 million workers filing for state unemployment benefits .
Another 830,000 people applied to the Pandemic Unemployment Assistance program , which provides benefits for self-employed and gig workers , bringing the weekly total to well over 2 million .
It was the 19th week straight that unemployment claims have exceeded 1 million .
The data confirms many economists ’ fears that the recovery is losing steam and may even be reversing course .
“ What 's more worrying is that months after the virus arrived , we @ @ @ @ @ @ @ each week than at any point during the Great Recession , ” said Justin Wolfers of the University of Michigan .
“ The short-term virus-related economic suppression is turning into a more enduring recession.
” The latest data comes as lawmakers have all but closed the door on extending the supplemental unemployment benefits that have helped tens of millions of Americans keep their heads above water since layoffs began in March .
The federally funded $ 600-per-week boost expires on Friday , and the last checks have already gone out .
The Washington @ @ @ @ @ @ @ severity of the potential cutoff in aid : “ If unemployment benefits go away completely , more than 30 million Americans will see an income cut of between 50 percent and 75 percent -- virtually overnight .
”

Initial jobless claims rose for the second week in a row, with 1.43 million workers filing for state unemployment benefits. Another 830,000 people applied to the Pandemic Unemployment Assistance program, which provides benefits for self-employed and gig workers, bringing the weekly total to well over 2 million. It was the 19th week straight that unemployment claims have exceeded 1 million.
The data confirms many economists’ fears that the recovery is losing steam and may even be reversing course. “What's more worrying is that months after the virus arrived, we still have more people losing their jobs each week than at any point during the Great Recession,” said Justin Wolfers of the University of Michigan. “The short-term virus-related economic suppression is turning into a more enduring recession.”
The latest data comes as lawmakers have all but closed the door on extending the supplemental unemployment benefits that have helped tens of millions of Americans keep their heads above water since layoffs began in March. The federally funded $600-per-week boost expires on Friday, and the last checks have already gone out. The Washington Post’s Jeff Stein highlighted the severity of the potential cutoff in aid: “If unemployment benefits go away completely, more than 30 million Americans will see an income cut of between 50 percent and 75 percent -- virtually overnight.”


thefiscaltimes--2020-07-30--An Unprecedented Collapse for the U.S. Economy

The U.S. economy in the second quarter shrank at the fastest pace on record by some measures , with gross domestic product falling by 9.5 % on a quarterly basis as businesses closed and millions of Americans stayed home in response to the coronavirus pandemic .
On an annualized basis – the rate for the full year , assuming the quarterly results were repeated in each quarter – the economy shrank at a rate of 32.9 % , the fastest since 1946 , according to Deutsche Bank .
“ The collapse was unprecedented in its speed and breathtaking in its @ @ @ @ @ @ @ said Thursday .
“ The only possible comparisons in modern American history came during the Great Depression and the demobilization after World War II , both of which occurred before the advent of modern economic statistics.
” Although the numbers are shocking , they were not unexpected ; economists polled by Dow Jones had expected to see a decline of 34.7 % .
Mark Zandi , chief economist at Moody ’ s Analytics , said the report “ highlights how deep and dark the hole is that the economy cratered into in Q2 @ @ @ @ @ @ @ and dark hole and we ’ re coming out of it , but it ’ s going to take a long time to get out.
” The White House put a relatively positive spin on the report Thursday , with President Trump ’ s Council of Economic Advisers saluting Americans ’ resiliency and the strength of the economy heading into the crisis .
“ The magnitude of this contraction reflects the gravity of the economic sacrifice Americans made to slow the spread of COVID-19 and prevent greater tragic loss of life and health @ @ @ @ @ @ @ statement .
“ The country mitigated pressures on hospital capacity and allowed medical professionals the time to learn how to more effectively treat this disease .
The Trump Administration will continue to support America as we build a bridge to the other side of this crisis.
” But that bridge is looking harder to cross as the size of the crisis – and the lack of recent progress ( see new unemployment figures , below ) – has come into sharper focus .
“ A couple of weeks ago there was a lot @ @ @ @ @ @ @ strong V-shaped recovery , ” Edward Moya , an analyst at currency trading firm OANDA , told Politico .
Now , however , “ there is a lot of bad news about how some areas are handling the virus .
And every day we don ’ t have a new stimulus agreement in place is hurting the economy .
”

The U.S. economy in the second quarter shrank at the fastest pace on record by some measures, with gross domestic product falling by 9.5% on a quarterly basis as businesses closed and millions of Americans stayed home in response to the coronavirus pandemic.
On an annualized basis – the rate for the full year, assuming the quarterly results were repeated in each quarter – the economy shrank at a rate of 32.9%, the fastest since 1946, according to Deutsche Bank.
“The collapse was unprecedented in its speed and breathtaking in its severity,” The New York Times said Thursday. “The only possible comparisons in modern American history came during the Great Depression and the demobilization after World War II, both of which occurred before the advent of modern economic statistics.”
Although the numbers are shocking, they were not unexpected; economists polled by Dow Jones had expected to see a decline of 34.7%.
Mark Zandi, chief economist at Moody’s Analytics, said the report “highlights how deep and dark the hole is that the economy cratered into in Q2. It’s a very deep and dark hole and we’re coming out of it, but it’s going to take a long time to get out.”
The White House put a relatively positive spin on the report Thursday, with President Trump’s Council of Economic Advisers saluting Americans’ resiliency and the strength of the economy heading into the crisis. “The magnitude of this contraction reflects the gravity of the economic sacrifice Americans made to slow the spread of COVID-19 and prevent greater tragic loss of life and health,” the council said in a statement. “The country mitigated pressures on hospital capacity and allowed medical professionals the time to learn how to more effectively treat this disease. The Trump Administration will continue to support America as we build a bridge to the other side of this crisis.”
But that bridge is looking harder to cross as the size of the crisis – and the lack of recent progress (see new unemployment figures, below) – has come into sharper focus. “A couple of weeks ago there was a lot more optimism that we would see a strong V-shaped recovery,” Edward Moya, an analyst at currency trading firm OANDA, told Politico. Now, however, “there is a lot of bad news about how some areas are handling the virus. And every day we don’t have a new stimulus agreement in place is hurting the economy.”


thefiscaltimes--2020-07-30--Coronavirus Negoitiations: Plan B, as in Bust

Plan A went nowhere fast .
Plan B isn ’ t looking much better .
With congressional negotiations on a coronavirus aid package at an impasse , lawmakers scrambled Thursday to take steps toward addressing the scheduled expiration Friday of enhanced unemployment benefits for some 20 million Americans and the broader devastation wrought by the pandemic — or at least make a good show of it .
Sen. Ron Johnson ( R-WI ) tried to unanimously pass legislation to continue emergency federal unemployment benefits , but at 66 % of an individual ’ s lost wages , or about $ @ @ @ @ @ @ @ 600 a week that has been in place since March .
Senate Minority Leader Chuck Schumer ( D-NY ) blocked the effort .
“ They ’ ve woken up to the fact that we ’ re at a cliff , but it ’ s too late , ” Schumer said of the standalone unemployment extension Thursday , according to Politico .
“ It ’ s too late because even if we were to pass this measure , almost every state says people would not get their unemployment for weeks and months .
All @ @ @ @ @ @ @ the Republican caucus.
” Schumer in turn tried to unanimously pass the $ 3 trillion package passed by the House in May .
Republicans blocked it .
Later , Sen. Martha McSally ( R-AZ ) tried to unanimously pass a one-week extension of the $ 600 benefit .
Schumer blocked it , calling it “ a stunt , ” and again tried to pass the Democratic bill , which was again blocked .
McConnell set up a likely vote next week to address the expiring unemployment benefit .
The Hill ’ s Jordain @ @ @ @ @ @ @ brought up a bill they will use as a vehicle for their competing unemployment proposals , none of which appear to have the votes needed to actually pass next week.
” She adds that McConnell did not say what plan he will try to force a vote on , but other GOP senators say they expect it will be the plan from Johnson and Sen. Mike Braun ( R-IN ) .
Sens .
Mitt Romney ( R-UT ) , Susan Collins ( R-ME ) and McSally have a competing bill that would reportedly @ @ @ @ @ @ @ replacement or a flat $ 500 weekly supplement that would scale down by $ 100 a month in September and another $ 100 in October .
“ We ’ ve had enough rope-a-dope .
We ’ ve had enough empty talk .
It ’ s time to go on the record , ” McConnell said from the Senate floor , Carney reports .
Any Senate plan would require 60 votes for passage , meaning at least seven Democrats would need to join all Senate Republicans .
Why it doesn ’ t matter : @ @ @ @ @ @ @ than political theater , with negotiations having devolved into partisan bickering , finger-pointing and attempts to gain leverage .
“ The legislative shenanigans were not meant to actually enact policy , but rather to help further the political blame game as Congress prepared to leave town without an agreement , ” The Washington Post reports .
The bottom line : “ The next meeting between Schumer/Pelosi and Mnuchin/Meadows will be at 8p tonight , ” CNN ’ s Phil Mattingly reports .
“ To this point they 've managed to meet three times @ @ @ @ @ @ @ , and make roughly 0 progress toward a deal.
” The official expiration tomorrow of the $ 600 enhanced unemployment payments appears inevitable , though the deadline could provide some incentive for a deal .
If the benefits expire as expected — the last checks have already gone out millions of out-of-work Americans face a sharp , sudden drop in income .
The Washington Post ’ s Jeff Stein highlighted the severity of the potential cutoff in aid : “ If unemployment benefits go away completely , more than 30 million Americans will @ @ @ @ @ @ @ percent and 75 percent -- virtually overnight.
” Bloomberg ’ s Steven Dennis writes ( sarcastically , in case it needs to be said ) that all is not lost : “ The Senate managed to designate July National Blueberry Month after failing to act on virus relief/UI benefits.
” Read more , if you can stomach it , at The Washington Post .

Plan A went nowhere fast. Plan B isn’t looking much better. With congressional negotiations on a coronavirus aid package at an impasse, lawmakers scrambled Thursday to take steps toward addressing the scheduled expiration Friday of enhanced unemployment benefits for some 20 million Americans and the broader devastation wrought by the pandemic — or at least make a good show of it.
Sen. Ron Johnson (R-WI) tried to unanimously pass legislation to continue emergency federal unemployment benefits, but at 66% of an individual’s lost wages, or about $200 per week rather than the $600 a week that has been in place since March. Senate Minority Leader Chuck Schumer (D-NY) blocked the effort.
“They’ve woken up to the fact that we’re at a cliff, but it’s too late,” Schumer said of the standalone unemployment extension Thursday, according to Politico. “It’s too late because even if we were to pass this measure, almost every state says people would not get their unemployment for weeks and months. All because of the disunity, dysfunction of the Republican caucus.”
Schumer in turn tried to unanimously pass the $3 trillion package passed by the House in May. Republicans blocked it. Later, Sen. Martha McSally (R-AZ) tried to unanimously pass a one-week extension of the $600 benefit. Schumer blocked it, calling it “a stunt,” and again tried to pass the Democratic bill, which was again blocked.
McConnell set up a likely vote next week to address the expiring unemployment benefit. The Hill’s Jordain Carney reports: “Senate Republicans successfully brought up a bill they will use as a vehicle for their competing unemployment proposals, none of which appear to have the votes needed to actually pass next week.” She adds that McConnell did not say what plan he will try to force a vote on, but other GOP senators say they expect it will be the plan from Johnson and Sen. Mike Braun (R-IN).
Sens. Mitt Romney (R-UT), Susan Collins (R-ME) and McSally have a competing bill that would reportedly let states enact an 80% wage replacement or a flat $500 weekly supplement that would scale down by $100 a month in September and another $100 in October.
“We’ve had enough rope-a-dope. We’ve had enough empty talk. It’s time to go on the record,” McConnell said from the Senate floor, Carney reports.
Any Senate plan would require 60 votes for passage, meaning at least seven Democrats would need to join all Senate Republicans.
Why it doesn’t matter: All the maneuvering amounted to little more than political theater, with negotiations having devolved into partisan bickering, finger-pointing and attempts to gain leverage. “The legislative shenanigans were not meant to actually enact policy, but rather to help further the political blame game as Congress prepared to leave town without an agreement,” The Washington Post reports.
The bottom line: “The next meeting between Schumer/Pelosi and Mnuchin/Meadows will be at 8p tonight,” CNN’s Phil Mattingly reports. “To this point they've managed to meet three times, for more than three total hours, and make roughly 0 progress toward a deal.”
The official expiration tomorrow of the $600 enhanced unemployment payments appears inevitable, though the deadline could provide some incentive for a deal. If the benefits expire as expected — the last checks have already gone out millions of out-of-work Americans face a sharp, sudden drop in income. The Washington Post’s Jeff Stein highlighted the severity of the potential cutoff in aid: “If unemployment benefits go away completely, more than 30 million Americans will see an income cut of between 50 percent and 75 percent -- virtually overnight.”
Bloomberg’s Steven Dennis writes (sarcastically, in case it needs to be said) that all is not lost: “The Senate managed to designate July National Blueberry Month after failing to act on virus relief/UI benefits.”
Read more, if you can stomach it, at The Washington Post.


thefiscaltimes--2020-07-29--Republican Relief Bill Would Cost $1.1 Trillion: Report

The coronavirus relief bill released by Senate Republicans this week would cost roughly $ 1.1 trillion over the next 10 @ @ @ @ @ analysis by the Committee for a Responsible Federal Budget .
If enacted , it would @ @ @ @ @ close to $ 5 trillion , CRFB said , adding the cost to the roughly @ @ @ @ @ by Congress .
The cost of some of the key elements of the bill , @ @ @ @ @ Tax breaks for businesses to hire , retain and protect workers : $ 200 billion @

The coronavirus relief bill released by Senate Republicans this week would cost roughly $1.1 trillion over the next 10 years, according to an analysis by the Committee for a Responsible Federal Budget. If enacted, it would bring total coronavirus spending to close to $5 trillion, CRFB said, adding the cost to the roughly $3.7 trillion already enacted by Congress.
The cost of some of the key elements of the bill, according to CRFB:


thefiscaltimes--2020-07-29--Are Fiscal Hawks Returning to Roost in Washington?

After years of relative quiet under a Republican president who slashed taxes and ramped up spending , fiscal conservatives are pushing back against a GOP proposal to spend more than $ 1 trillion to aid individuals and businesses still reeling from the coronavirus pandemic .
Senate Republicans kept the total cost of their recently released coronavirus relief bill close to $ 1 trillion , offering a sharp contrast to the House Democratic proposal to spend more than $ 3 trillion .
But even the smaller bill is raising hackles among a group of Republicans who seem to be rediscovering their @ @ @ @ @ @ @ significant resistance to yet another trillion dollars , ” said Texas Senator Ted Cruz ( R-TX ) said this week .
“ The answer to these challenges will not simply be shoveling cash out of Washington.
” Sen. Ben Sasse ( R-NE ) accused both Democrats and the Trump administration of ignoring the deficit in pursuit of political ends .
“ The White House is trying to solve bad polling by agreeing to indefensibly bad debt , ” Sasse said .
“ This proposal is not targeted to fix precise problems — it @ @ @ @ @ @ @ to outspend each other.
” Some investors are expressing concerns , as well .
Goldman Sachs warned Tuesday that high levels of debt-fueled spending is generating “ debasement fears ” about the U.S. dollar .
Tricky politics : The renewed interest in fiscal hawkery “ couldn ’ t be coming at a worse time for the GOP , ” says Bloomberg ’ s Steven Dennis .
The push to limit the next stimulus package could backfire by failing to provide the stimulus that many economists say the U.S. desperately needs .
Among other @ @ @ @ @ @ @ the level of federal support provided to millions of unemployed workers – a reduction that is unlikely to help either the economy or Republicans heading into the fall election .
But if the GOP does lose the White House and perhaps even the Senate , the return of fiscal conservativism points toward a role for at least some Republicans to play , Dennis says .
The GOP was sometimes described as “ the party of no ” during the Obama administration in reference to conservative lawmakers ’ resistance to federal spending on recession @ @ @ @ @ @ @ that could see a reprise during a potential Biden administration .
“ That could position Republicans like Cruz , who was the runner-up to Trump in the GOP nomination race four years ago , for 2024 presidential campaigns based on fiscal discipline , ” Dennis says .

After years of relative quiet under a Republican president who slashed taxes and ramped up spending, fiscal conservatives are pushing back against a GOP proposal to spend more than $1 trillion to aid individuals and businesses still reeling from the coronavirus pandemic.
Senate Republicans kept the total cost of their recently released coronavirus relief bill close to $1 trillion, offering a sharp contrast to the House Democratic proposal to spend more than $3 trillion. But even the smaller bill is raising hackles among a group of Republicans who seem to be rediscovering their fiscal conservative roots.
“There is significant resistance to yet another trillion dollars,” said Texas Senator Ted Cruz (R-TX) said this week. “The answer to these challenges will not simply be shoveling cash out of Washington.”
Sen. Ben Sasse (R-NE) accused both Democrats and the Trump administration of ignoring the deficit in pursuit of political ends. “The White House is trying to solve bad polling by agreeing to indefensibly bad debt,” Sasse said. “This proposal is not targeted to fix precise problems — it’s about Democrats and Trumpers competing to outspend each other.”
Some investors are expressing concerns, as well. Goldman Sachs warned Tuesday that high levels of debt-fueled spending is generating “debasement fears” about the U.S. dollar.
Tricky politics: The renewed interest in fiscal hawkery “couldn’t be coming at a worse time for the GOP,” says Bloomberg’s Steven Dennis. The push to limit the next stimulus package could backfire by failing to provide the stimulus that many economists say the U.S. desperately needs. Among other things, it promises to sharply reduce the level of federal support provided to millions of unemployed workers – a reduction that is unlikely to help either the economy or Republicans heading into the fall election.
But if the GOP does lose the White House and perhaps even the Senate, the return of fiscal conservativism points toward a role for at least some Republicans to play, Dennis says. The GOP was sometimes described as “the party of no” during the Obama administration in reference to conservative lawmakers’ resistance to federal spending on recession relief and health care, a role that could see a reprise during a potential Biden administration. “That could position Republicans like Cruz, who was the runner-up to Trump in the GOP nomination race four years ago, for 2024 presidential campaigns based on fiscal discipline,” Dennis says.


thefiscaltimes--2020-07-31--What the End of the $600 Boost to Unemployment Benefits Means

To the dismay of millions of jobless Americans and more than a few economists , the $ 600 per week in enhanced unemployment benefits for all jobless Americans officially expired Friday .
While lawmakers are attempting to negotiate a possible replacement program , which was estimated to cost $ 260 billion when it was created , a sudden loss of personal income and spending in the economy is now guaranteed , lasting for as long as it takes for Congress and the White House to reach an agreement on what to do next .
How large will those income losses @ @ @ @ @ @ @ see below ) that shows the sharp reduction in unemployment benefits in all 50 states .
Nationally , the unemployed have been collecting about $ 920 on average , which will drop to roughly $ 320 .
Each state is different , providing different levels of support to the unemployed , but the loss of income will be significant everywhere .
In Alabama , for example , average unemployed benefits will fall from about $ 850 per week to $ 250 per week .
In Massachusetts , average payments will drop from $ @ @ @ @ @ @ @ as a percentage , and the damage to individual incomes becomes even clearer .
In states that provide relatively stingy benefits , such as Oklahoma and Louisiana , unemployed workers could lose more than 75 % of their total benefits overnight .
The economic hit : While some Republican lawmakers and a handful of conservative economists insist that enhanced unemployment benefits are hurting the economy by paying people not to work , most mainstream economists say that the unemployment program has played a major role in holding off a depression-like catastrophe , and @ @ @ @ @ @ @ the jobless and the economy from falling deeper into a hole .
Economist Ernie Tedeschi of Evercore ISI recently calculated that if the enhanced unemployment benefits are allowed to expire without replacement , it would shrink the economy by 2 % and reduce employment by 1.7 million by the end of the year , relative to a scenario in which they are extended .
“ Even a partial compromise -- $ 300 per week for the rest of the year -- would still be an economy 1 % smaller by year-end with 800,000 @ @ @ @ @ @ @

To the dismay of millions of jobless Americans and more than a few economists, the $600 per week in enhanced unemployment benefits for all jobless Americans officially expired Friday. While lawmakers are attempting to negotiate a possible replacement program, which was estimated to cost $260 billion when it was created, a sudden loss of personal income and spending in the economy is now guaranteed, lasting for as long as it takes for Congress and the White House to reach an agreement on what to do next.
How large will those income losses be? CNBC provided a chart (see below) that shows the sharp reduction in unemployment benefits in all 50 states. Nationally, the unemployed have been collecting about $920 on average, which will drop to roughly $320. Each state is different, providing different levels of support to the unemployed, but the loss of income will be significant everywhere. In Alabama, for example, average unemployed benefits will fall from about $850 per week to $250 per week. In Massachusetts, average payments will drop from $1,050 to about $450.
Measured as a percentage, and the damage to individual incomes becomes even clearer. In states that provide relatively stingy benefits, such as Oklahoma and Louisiana, unemployed workers could lose more than 75% of their total benefits overnight.
The economic hit: While some Republican lawmakers and a handful of conservative economists insist that enhanced unemployment benefits are hurting the economy by paying people not to work, most mainstream economists say that the unemployment program has played a major role in holding off a depression-like catastrophe, and are still very much needed to keep the jobless and the economy from falling deeper into a hole. Economist Ernie Tedeschi of Evercore ISI recently calculated that if the enhanced unemployment benefits are allowed to expire without replacement, it would shrink the economy by 2% and reduce employment by 1.7 million by the end of the year, relative to a scenario in which they are extended. “Even a partial compromise -- $300 per week for the rest of the year -- would still be an economy 1% smaller by year-end with 800,000 fewer jobs,” Tedeschi said.


thefiscaltimes--2020-07-31--Democrats Pass $1.3 Trillion Spending Package for 2021

The House on Friday passed a massive $ 1.3 trillion spending package that includes $ 210 billion in emergency funding for the government ’ s response to the coronavirus .
The pandemic-specific funding would target multiple initiatives , including state and local public health departments , medical research , and public housing .
The rest of the bill would fund most of the federal government in the 2021 fiscal year , including the departments of Labor , Health and Human Services , Education , Homeland Security , Justice , Transportation and Energy .
Appropriations for the Department of Homeland Security @ @ @ @ @ @ @ week due to disagreements within the Democratic caucus over Trump administration immigration policing policies .
Last week , the House passed a $ 259 billion package that would fund the departments of State , Interior , Agriculture and Veterans Affairs , among others .
Ten of the 12 annual spending bills for 2021 have now passed the House .
Why it matters : The funding bills have virtually no chance of making it past the Republican-controlled Senate , Politico reports , and President Trump has threatened to veto them if they somehow do @ @ @ @ @ @ @ an opening bid from Democrats in negotiations with Republicans over government funding for the next fiscal year , which begins in October .
But those negotiations may take some time to get started , since the appropriations process in the Senate has stalled , and none of the 12 funding bills have passed so far .
( You can track the progress of the 2021 appropriations bills at the Congressional Research Service website . )

The House on Friday passed a massive $1.3 trillion spending package that includes $210 billion in emergency funding for the government’s response to the coronavirus. The pandemic-specific funding would target multiple initiatives, including state and local public health departments, medical research, and public housing.
The rest of the bill would fund most of the federal government in the 2021 fiscal year, including the departments of Labor, Health and Human Services, Education, Homeland Security, Justice, Transportation and Energy. Appropriations for the Department of Homeland Security were removed from the package earlier this week due to disagreements within the Democratic caucus over Trump administration immigration policing policies.
Last week, the House passed a $259 billion package that would fund the departments of State, Interior, Agriculture and Veterans Affairs, among others. Ten of the 12 annual spending bills for 2021 have now passed the House.
Why it matters: The funding bills have virtually no chance of making it past the Republican-controlled Senate, Politico reports, and President Trump has threatened to veto them if they somehow do. Politically, the bills amount to an opening bid from Democrats in negotiations with Republicans over government funding for the next fiscal year, which begins in October. But those negotiations may take some time to get started, since the appropriations process in the Senate has stalled, and none of the 12 funding bills have passed so far. (You can track the progress of the 2021 appropriations bills at the Congressional Research Service website.)


thefiscaltimes--2020-07-31--US Makes $2.1 Billion Deal for Vaccine

US Makes $2.1 Billion Deal for Vaccine

The federal government has agreed to pay two major pharmaceutical companies up to $ 2.1 billion for testing , manufacturing and the purchase of 100 million doses of an as-yet unfinished vaccine for Covid-19 .
The two firms , Sanofi and GlaxoSmithKline , signed the agreement as part of Operation Warp Speed , the Trump administration ’ s effort to produce and distribute a vaccine by early 2021 .
The vaccine candidate is the sixth now in development under the program , which has also made deals with AstraZeneca , Johnson & Johnson , Moderna , Novavax and Pfizer .
@ @ @ @ @ @ @ preclinical trial phase of development , less far along than some of the other Operation Warp Speed candidates .
If approved , the 100 million doses would be made available at not cost to Americans .
“ Pharmaceutical companies have been under pressure to keep COVID-19 therapies and vaccines affordable , particularly when the federal government — and taxpayers — have offered substantial funding toward research and development , ” NRP ’ s Sydney Lupkin said .
Speaking at a House subcommittee hearing Friday , Dr. Anthony Fauci , the nation ’ s @ @ @ @ @ @ @ was optimistic that a vaccine would be ready soon .
“ From everything we 've seen now — in the animal data , as well as the human data — we feel cautiously optimistic that we will have a vaccine by the end of this year and as we go into 2021 , ” he said .
“ I do n't think it 's dreaming .
”

The federal government has agreed to pay two major pharmaceutical companies up to $2.1 billion for testing, manufacturing and the purchase of 100 million doses of an as-yet unfinished vaccine for Covid-19.
The two firms, Sanofi and GlaxoSmithKline, signed the agreement as part of Operation Warp Speed, the Trump administration’s effort to produce and distribute a vaccine by early 2021. The vaccine candidate is the sixth now in development under the program, which has also made deals with AstraZeneca, Johnson & Johnson, Moderna, Novavax and Pfizer.
The potential vaccine is still in the preclinical trial phase of development, less far along than some of the other Operation Warp Speed candidates. If approved, the 100 million doses would be made available at not cost to Americans.
“Pharmaceutical companies have been under pressure to keep COVID-19 therapies and vaccines affordable, particularly when the federal government — and taxpayers — have offered substantial funding toward research and development,” NRP’s Sydney Lupkin said.
Speaking at a House subcommittee hearing Friday, Dr. Anthony Fauci, the nation’s top infectious disease expert, said he was optimistic that a vaccine would be ready soon. “From everything we've seen now — in the animal data, as well as the human data — we feel cautiously optimistic that we will have a vaccine by the end of this year and as we go into 2021,” he said. “I don't think it's dreaming.”


thefiscaltimes--2020-07-31--Dems Find Trump Admin ‘Squandered’ Up to $500 Million in Buying Ventilators

A report by a panel of the House Oversight Committee raises serious questions about the roughly $ 3 billion in taxpayer money spent by the Trump administration as it scrambled to acquire ventilators , NBC News ’ s Heidi Przybyla writes : “ [ I ] nternal emails and documents obtained by Democrats on the House Oversight Committee suggest that the Trump administration failed to enforce an existing contract with a major medical manufacturer , delayed negotiations for more than a month and subsequently overpaid as much as $ 500 million for tens of thousands of the devices — a @ @ @ @ @ @ @ from some of the biggest states were warning of shortages.
” The report is titled , “ The Trump Administration ’ s Failures in Contract Management and Inept Negotiation by Senior White House Officials Denied Americans Ventilators During the Coronavirus Pandemic and Squandered Up to $ 504 Million in Taxpayer Funds.
” Matt Smith , a spokesman for Oversight Committee Republicans , told NBC that Democrats were politicizing the federal coronavirus response .
`` After months of Democratic governors rushing to television cameras to beg for more ventilators , Congressional Democrats are now @ @ @ @ @ @ @ efforts to quickly secure a robust supply from American manufacturers , '' Smith said .
`` Rather than provide credit for the more-than quadrupling of available ventilators in the national stockpile since March , they now seek to diminish President Trump ’ s success by throwing a tantrum over contracting terms .
This is just the latest example of a Democratic Party more concerned with partisan politics than fighting COVID-19 . ''

A report by a panel of the House Oversight Committee raises serious questions about the roughly $3 billion in taxpayer money spent by the Trump administration as it scrambled to acquire ventilators, NBC News’s Heidi Przybyla writes:
“[I]nternal emails and documents obtained by Democrats on the House Oversight Committee suggest that the Trump administration failed to enforce an existing contract with a major medical manufacturer, delayed negotiations for more than a month and subsequently overpaid as much as $500 million for tens of thousands of the devices — a costly error at a time when officials from some of the biggest states were warning of shortages.”
The report is titled, “The Trump Administration’s Failures in Contract Management and Inept Negotiation by Senior White House Officials Denied Americans Ventilators During the Coronavirus Pandemic and Squandered Up to $504 Million in Taxpayer Funds.”
Matt Smith, a spokesman for Oversight Committee Republicans, told NBC that Democrats were politicizing the federal coronavirus response.
"After months of Democratic governors rushing to television cameras to beg for more ventilators, Congressional Democrats are now unhappy with the Administration’s successful efforts to quickly secure a robust supply from American manufacturers," Smith said. "Rather than provide credit for the more-than quadrupling of available ventilators in the national stockpile since March, they now seek to diminish President Trump’s success by throwing a tantrum over contracting terms. This is just the latest example of a Democratic Party more concerned with partisan politics than fighting COVID-19."