Almost two and a half months after House Democrats passed the HEROES Act, as coronavirus is spiking and Americans are suffering, Senate Republicans plan to unveil today their coronavirus relief plan — one that falls short of meaningfully aiding Americans and controlling the virus.
Here’s what we know about Mitch McConnell’s bill:
1. UNEMPLOYMENT BENEFITS: Republicans Plan to Cut Unemployment Benefits By $1600 a Month, In Contrast With Democrats Who Want To Greenlight Expanded Payments Through The End Of The Year
- Republicans Plan To Cut Unemployment Benefits From $600 Weekly To $200 Weekly Until They Replace Expanded Insurance Aid With Seventy Percent Wage Replacement. “Senate Republicans propose cutting supplemental unemployment benefits to $200 weekly from $600 until states are able to create a system that would provide 70% of a laid-off worker’s previous pay, according to two people familiar with the plan. The plan, which was agreed to by the Trump administration, calls for a two-month transition and then allows states to apply for a waiver for up to two additional months if they can’t implement the new calculation, according to the people, who spoke on condition of anonymity because the plan hasn’t been made public.” [Bloomberg, 7/27/20]
- Democrats Want To Continue The $600 Weekly Payments Through The End Of The Year. “The plan for unemployment insurance is sure to draw strong opposition from Democrats, who wanted to continue the $600 payment that was part of the economic rescue package approved in March through the end of the year. House Speaker Nancy Pelosi has rejected cuts to the $600 level and on Monday called for negotiations to begin tonight on a bipartisan solution. The expanded unemployment benefits began running out Saturday.” [Bloomberg, 7/27/20]
2. SCHOOL FUNDING: Republicans Are Proposing A Quarter Of The School Funding Requested By Senate Democrats, And Conditioning At Least Some Of It On Reopening.
- The Republican Bill Offers $105 Billion For Education, With At Least Some Of It Contingent On Reopening. “The legislation would include $105 billion to help schools restart, with at least part of the funding contingent on them opening their doors in the fall.”[CNBC, 7/24/20]
- The Plan Is Expected To Condition Roughly Half Of The $70 Billion On Reopening. “Democrats have already panned the concept of tying coronavirus relief for schools to their physical reopening this fall. The Republican plan is expected to condition roughly half of the $70 billion for K-12 schools on their reopening. But we haven’t yet seen what the triggers would be or how the legislation would define ‘reopening.’” [Politico, “Weekly Education,” 7/27/20]
- Senate Democrats Introduced A $430 Billion Relief Bill To Address Child Care And Education. “U.S. Senator Patty Murray (D-WA), ranking member of the Senate Health, Education, Labor, and Pensions (HELP) Committee, and Senate Democratic Leader Chuck Schumer (D-NY), introduced the Coronavirus Child Care and Education Relief Act (CCCERA), a $430 billion dollar bill to address the national child care and education crises and provide relief to students, families, schools, and educators across the country during this pandemic. The legislation comes as part of a larger Senate Democratic effort to spark action on bold solutions to the COVID-19 crisis after months of unnecessary delay on the part of Senate Republican leaders.” [US Senate Committee On Health, Education, Labor and Pensions, Press Release, 6/30/20]
3. TESTING: Senate Republicans Bowed To Trump on Funding for Testing and Tracing Efforts; The New Bill Has Nearly $10 Billion Less Than Republicans Originally Requested After Trump Tried To Block Funding
- The New Bill Reportedly Only Allocates $16 Billion To Support Testing And Contact Tracing, Even Though Republicans Originally Wanted $25 Billion. “The breakthrough on testing money, though, was key after days of debate between Republicans and the White House, showing a potential shift in the administration’s thinking about the importance of tracking the spread of the virus. Republicans wanted $25 billion but the Trump administration said the $9 billion in unspent funds from a previous aid deal was sufficient. The two sides settled on adding $16 billion to the unspent funds to reach $25 billion, senators said.” [Associated Press, 7/22/20]
- The Washington Post Reports That The Trump Administration Initially Blocked The $25 Billion Requested By Republicans For Testing And Tracing. “One person involved in the talks said Senate Republicans were seeking to allocate $25 billion for states to conduct testing and contact tracing, but that certain administration officials want to zero out the testing and tracing money entirely.” [Washington Post, 7/18/20]
- House Democrats Designated $75 Billion For Testing And Contact Tracing In The HEROES Act. “In the HEROES Act, Democrats designated $75 billion for testing and contact tracing.” [Vox, 7/22/20]
4. SUPPORT FOR STATES, CITIES: Republicans Are Refusing to Provide Funding for Cash-Strapped States and Cities, While Democrats Want to Support Those Facing Increased Expenses and Lost Revenue
- Republicans Are Offering No New Money For Struggling States And Cities. “The rest of the legislation is taking shape even as key Senate Republicans are rejecting the overall rescue, which is almost certain to grow. There will be no new money for cash-strapped states and cities, which are clamoring for funds, but they will be provided with additional flexibility to tap existing aid funds.” [Associated Press, 7/22/20]
- Democrats Have Asked For $1 Trillion In Rescue Funds Requested By Both Republican And Democratic Governors Facing Lost Revenue. “Pelosi and Schumer have also insisted on nearly $1 trillion in aid for states and municipalities as governments facing lost revenue and increased expenses during the pandemic consider laying off workers. National Governors Association Chair Larry Hogan, a Republican from Maryland, and Vice Chair Andrew Cuomo, a New York Democrat, have repeatedly called on Congress to approve at least $500 billion more in relief for states.” [CNBC, 7/24/20]
5. LIABILITY PROTECTION FOR CORPORATIONS: Republicans Are Offering Protections For Businesses, Rather Than Americans, Against Coronavirus-Related Lawsuits
- The Bill Is Likely To Protect Businesses From Coronavirus-Related Lawsuits, A Provision McConnell Identified As A “Red Line” In Negotiations With Democrats. “[The bill] would protect businesses, doctors and universities from coronavirus-related lawsuits except for cases of ‘gross negligence and intentional misconduct,’ according to McConnell. He has described the provision as a ‘red line’ in talks with Democrats.” [CNBC, 7/24/20]