After months of talks, Republicans and Democrats in Congress have reached a bipartisan agreement that will see the passage into law of one of the largest stimulus packages in America’s history. This package is set to provide the required funds for families and small businesses across America that have struggled from the devastating impact of the coronavirus pandemic this year, CNBC reports.
Lawmakers announced that the relief bill, which amounts to nearly $1 trillion, will provide a stimulus check of $600 for Americans, with an added $300 in enhanced unemployment insurance that will run for 11 weeks. Also provided in the package are the continuation of key unemployment programs for struggling citizens unable to find jobs due to the economic downturn, funding for food and rental assistance, and other significant provisions.
The new bill is coming through just a few days before about 12 million Americans were set to lose unemployment benefits that they have enjoyed for some months now. However, a lot of congressmen are of the opinion that the stimulus package would not be enough to alleviate the sufferings of Americans who must have lost their jobs or source of income to the pandemic. On Sunday night, Sen. Chuck Schumer said a lot still needed to be done to give the economy a chance at a full recovery.
The current stimulus package is coming a little too late for many Americans who would be having low-key Christmas celebrations this year. The long bureaucratic processes involved in the stimulus package release mean that it could take weeks before this money gets into the hands of people who earnestly need them, CNN writes.
While lawmakers are expected to vote on the bill on Monday, speculations are rife that a second bill is in the offing. This other bill will provide liability protections for lots of businesses while offering to fund states and local governments.
A breakdown of the new stimulus package bill shows that unemployment insurance is a key provision. It is actually one of the largest provisions in the bill. Every American that must have benefited from the Pandemic Unemployment Assistance (PUA) program and Pandemic Emergency Unemployment Compensation would be able to access payments for an additional eleven weeks, ending on March 14, 2021. There is also the provision of an extra $300 for enhanced federal jobless benefits, set to run through March 14, 2021, and an additional $100 per week for workers who meet the UI provisions requirements.
Small businesses are a major beneficiary of the relief bill, with a provision of $248 billion in the Paycheck Protection Program. While $12 billion is reserved for businesses owned by minorities, $15 billion is dedicated to living venues, cinemas, and cultural facilities. Local newspapers, broadcasters, and nonprofits are also eligible.
Sen. Josh Hawley, who alongside Sen. Bernie Sanders pushed for the inclusion of direct stimulus checks, said on Sunday night that he was happy about the inclusion.
There is the provision of $25 billion in rental relief, necessary for the payment of rent and utilities left unpaid since the start of the pandemic. The respite placed on eviction was also extended until the ending of January 2021. However, the president and CEO of the National Low-Income Housing Coalition (NLIHC), Diane Yentel, said this stipulated amount was not enough. She noted that low-income renters currently owe about $30 to $70 billion in unpaid rent.
The relief bill earmarked $13 billion for food assistance.
In the new bill, there is no provision for state and local governments, as proposed by the Democrats. There are also no liability protections for businesses, as demanded by the Republicans. There are no provisions of hazard allowance for workers and checks for adult dependents.
Source: cnbc.com
