Mitch McConnell’s Skinny Bill Fails to Meet the Urgency of the United States’ Deepening Economic Crisis

While McConnell Blocks Real Relief, Eight Million Americans Have Fallen Into Poverty Since May, Food Insecurity Doubled

67 Million Americans Have Filed For Unemployment Since Beginning Of Pandemic

Millions Face Eviction, Countless Businesses Face Closure Without Relief

As coronavirus cases surge and a catastrophic winter looms, Mitch McConnell and Senate Republicans continue to stonewall relief efforts.

Millions of Americans are unemployed, more than 700,000 filing for benefits last week alone. Eight million people have slipped into poverty since May. Food insecurity has more than doubled since the pandemic began, and as many as 34 million people face evictions.

But rather than working with the House and the incoming Biden administration to support American families, McConnell is proposing narrow bills that fail to meet the urgency of this crisis. 

McConnell Is Refusing to Work With the House and Senate Democrats and Is Proposing a Relief Bill That Falls Short of Protecting Struggling Americans

• Mitch McConnell Continues To Push A “Targeted” Relief Bill Similar To The One Brought To The Floor In September And October. “Senate Majority Leader Mitch McConnell said on Tuesday he did not see a need for a giant coronavirus relief bill and there was bipartisan interest in passing an omnibus appropriations bill before the end of year. ‘We need to think about, if we’re gonna come up with a bipartisan package here, about what size is appropriate,’ the Republican McConnell told reporters. ‘It seems to me that snag that hung us up for months is still there. I don’t think the current situation demands a multi-trillion dollar package. So I think it should be highly targeted, very similar to what I put on the floor in both October and September.’” [Reuters, 11/10/20]
  

• The Senate GOP’s September/October “Skinny” Bill Did Not Allocate Funds For Direct Payments To American Families, And Slashes Enhanced Unemployment Benefits From $600 A Week To $300 A Week.  “The legislation before the Senate on Wednesday included funds for a second Paycheck Protection Program loan for struggling small businesses, a $300 per week supplemental unemployment insurance benefit, and liability protections for businesses, among other provisions. It did not include another round of direct payments to people.” [CNBC, 10/21/20]
  

• The Senate GOP’s “Skinny” Bill Included Liability Protections For Corporations, Rather Than Support For Frontline Workers. “[The bill] would provide protections for employers against liability in any coronavirus-related lawsuits brought by workers. Employers would not be held liable unless workers’ claims met a stringent test. The bill states they must provide ‘clear and convincing evidence’ that 1) the employer was not ‘making reasonable efforts’ to comply with the latest pandemic-related safety guidance and standards; 2) that the employer was grossly negligent or willfully did something that caused ‘actual’ exposure to the coronavirus; and 3) that the ‘actual’ exposure caused personal injury to the workers.” [CNN, 9/8/20]
  • The GOP’s Relief Bill Does Not Provide Support For Rental And Mortgage Assistance. “Among the things [the bill] left out: an additional round of stimulus checks and rental and mortgage assistance, which also lapsed at the end of July.” [CPR, 9/8/20]
    

• • The GOP’s Bill Does Not Offer Funding To Cash-Strapped States And Localities, Which Are Facing Surging Outbreaks. “The so-called ‘skinny’ bill… doesn’t offer new funding for cash-strapped states, which Democrats support.” [CNN, 9/8/20]
    
• While The House HEROES Act Increases Funding For SNAP Benefits And Nutritional Assistance, The Senate GOP Bill Does Not Address Food Security. “[The House HEROES Act] maintains key priorities from the legislation that passed the House in May. Among the bill’s many provisions, it: …Strengthens food security, addressing rising hunger with a 15 percent increase to the maximum SNAP benefit and additional funding for nutrition programs that help families put food on the table as well as targeted support for farmers and producers impacted by the crisis.” [House Committee On Appropriations, Press Release, 9/28/20]

The US Is Facing a Worsening Economic Crisis, Americans Are Struggling to Make Ends Meet and the Economy Is Showing No Signs of a Recovery

• More Than 67 Million Americans Have Filed For Unemployment Since The Beginning Of The Pandemic. “The latest initial jobless claims brought the number filed during the COVID-19 pandemic to a seasonally adjusted total of more than 67.4 million — a figure larger than the population of the United Kingdom, the US Department of Labor data show.” [New York Post, 11/12/20]
• Another 709,000 Americans Filed For Unemployment Last Week, More Than Any Week During The Great Recession. “First-time claims for unemployment insurance continued their decline last week, hitting another pandemic-era low in a sign that the labor market is gradually improving. The Labor Department reported Thursday that jobless claims hit 709,000 for the week ended Nov. 7, down from 757,000 the week before. Economists surveyed by Dow Jones had been looking for 740,000 new claims. This marked the fourth consecutive week that the total declined from the previous period, though claims remain above the pre-coronavirus pandemic record 695,000 in 1982.” [CNBC, 11/12/20]
• More Than 21 Million Americans Are Collecting Some Form Of Unemployment Assistance. “As of Oct. 24, 21.16 million Americans were collecting some form of assistance, a decrease of 374,179. A year ago, that total was 1.45 million.” [CNBC, 11/12/20] 
• An Estimated 5 Million Americans Will Exhaust All Their Unemployment Benefits Next Month. “If Congress fails to pass another coronavirus stimulus deal, an estimated 5 million people will exhaust all of their unemployment benefits next month, according to a letter sent by Democratic House Speaker Nancy Pelosi last week.” [CNBC, 11/2/20]
• • As Many As 34 Million People In The US Are Facing Eviction. “If you’re scared that you won’t be able to come up with your rent, you’re not alone. As many as 1 in 5 renters say they’ve fallen behind during the pandemic, according to the Center on Budget Policies and Priorities. For Black renters, the share who are in trouble is closer to a third. And as many as 34 million people in the U.S. may be at risk of eviction, a new analysis by global advisory firm Stout Risius Ross found. ‘The United States is facing the most severe housing crisis in history,’ said Emily Benfer, an eviction expert and visiting professor of law at Wake Forest University.” [CNBC, 11/5/20]
    
• After A Federal Moratorium On Evictions Ends In December, Billions Will Be Needed In Emergency Rental Assistance To Prevent An Eviction Crisis. “Come the end of December when the CDC’s order expires, households will owe back rent and any associated late fees for potentially half a years’ worth of rent or more. Landlords are already preparing to take their tenants to court in the new year…. Federal rental assistance paid directly to landlords would keep people housed and prevent a larger housing crisis from spiraling out of control… The National Low Income Housing Coalition estimates that $100 billion in emergency rental assistance is necessary to prevent an eviction crisis. Otherwise, an untold number of people won’t be able to repay their landlords for months of missed payments.” [CNBC, 11/9/20]
• 8 Million Americans Have Fallen Into Poverty Since May. “The number of Americans living in poverty grew by 8 million since May, according to a Columbia University study, which found an increase in poverty rates after early coronavirus relief ended without more to follow. Although the federal Cares Act, which gave Americans a one-time stimulus check of $1,200 and unemployed workers an extra $600 each week, was successful at offsetting growing poverty rates in the spring, the effects were short-lived, researchers found in the study published Thursday.” [NBC News, 10/16/20]
• Food Insecurity Has More Than Doubled Since The Beginning Of The Pandemic. “Food insecurity has more than doubled as a result of the Covid-19-induced economic crisis and affects almost a quarter of all U.S. households, according to researchers at Northwestern University.” [CNBC, 11/2/20]
• The National Energy Assistance Directors’ Associations Warned In Early October That Roughly 179 Million Americans Were At Risk Of Losing Power Or Other Utilities. “At the start of the coronavirus pandemic, many states acted quickly to ensure their residents would not lose their power or other utilities if their jobs or wages were slashed. Now, however, only 21 states and the District of Columbia still have such disconnection bans in place. That leaves roughly 179 million Americans at risk of losing service even as the economy continues sputtering, according to the National Energy Assistance Directors’ Association, which is tracking the moratoria. Millions more in nine other states are set to lose their protections starting Thursday and throughout the fall, the group found.” [Washington Post, 10/1/20]
• The Yelp Economic Average Showed That 163,735 Closed Between The Beginning Of The Pandemic And The End Of August. “The last Yelp Economic Average showed a decreasing number of overall closures, 132,580 in total. As of August 31, 163,735 total U.S. businesses on Yelp have closed since the beginning of the pandemic (observed as March 1), a 23% increase since July 10. In the wake of COVID-19 cases increasing and local restrictions continuing to change in many states we’re seeing both permanent and temporary closures rise across the nation, with 60% of those closed businesses not reopening (97,966 permanently closed).” [Yelp Economic Average, September 2020]
• According To A Survey By The National Restaurant Association, Around 40 Percent Of Restaurants Answered That They Would Be Forced To Close Without Relief. “Around 40% of restaurants in the US said they would close within the next six months without more support, per a survey released from the National Restaurant Association.” [Business Insider, 11/1/20]