Democrats prepare new relief bill

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House Democrats are preparing a new, smaller coronavirus relief package expected to cost around $ 2.4 trillion as they try to push talks with the Trump administration forward, a source familiar with the plans said Thursday. .The bill would include improved unemployment insurance, direct payments to Americans, paycheck protection program small business loan funding and airline assistance, among other provisions, the person said. To meet the price tag, Democrats would cut about $ 1 trillion from their previous proposal for a fifth pandemic assistance plan.

The party is aiming to revive stimulus talks with the White House after negotiations broke down last month. House Speaker Nancy Pelosi has repeatedly pushed Treasury Secretary Steven Mnuchin and White House Chief of Staff Mark Meadows to increase the supply by around $ 1.3 trillion from the administration of another trillion dollars.

Pelosi has asked the chairmen of Democratic committees to draft a bill, according to Politico, which initially reported on his intention to draft another bill. The House could vote on a bill as early as next week, but Democrats have yet to decide on a plan, the outlet reported.

Democrats and Republicans failed to agree on more help to tackle the health and economic damage of the crisis, even after the expiration of an additional $ 600 a week unemployment benefit, a Federal moratorium on evictions and an application window for PPP loans. Hopes for more legislation have waned in recent weeks as Republicans wary of spending and election year politics infiltrated the process.

House Democrats passed their more than $ 3 trillion aid package in May. Earlier this month, Senate Democrats blocked a roughly $ 500 billion Republican plan.

The GOP came up with a scaled-down bill after a measure costing around $ 1 trillion they released in July failed to result in a bipartisan breakthrough.

Discussions over a relief proposal come as concerns grow about the potential for an economic recovery in the United States, spurred by the trillions in relief that Congress voted this year, to falter. Federal Reserve Chairman Jerome Powell, among other economic experts, has warned the economy could be hit without more fiscal stimulus.

While the United States has seen several months of strong job growth after coronavirus-related closures led to widespread layoffs, the national unemployment rate was still 8.4% when last measured in August. . On Thursday, the Labor Department said initial jobless claims edged up to 870,000 last week.

The November 3 elections of course took into account the calculations made by lawmakers on whether to pass on more aid and on how to structure it. Vulnerable Senate Republicans and House Democrats have been pushing for concrete actions they can show voters when they campaign, with both parties trying to keep their majority.

As Pelosi has repeatedly said that she will only adopt a comprehensive pandemic assistance plan, some House Democrats have pushed to approve more targeted legislation.

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