The Senate Majority Leader, Kentucky Republican Mitch McConnell, announced Sunday afternoon that the four congressional leaders had reached a final agreement on a new $ 900 billion pandemic economic aid package. which includes
direct payments of $ 600
for eligible Americans and additional weekly
benefits
of $
300 for the unemployed
.
The aid - although much less substantial than originally proposed - also includes
funds for the
COVID-19
vaccine
and subsidies for the payment of rent.
The economic stimulus, which will bring some relief to the national economy after the hit of a pandemic that has already lasted for almost 10 months, comes at the
worst moment of the health crisis
, when more than 40 states in the country report a rebound in cases.
["My nurses start to cry in the middle of the day," laments a doctor]
It is expected that along with the new aid package, Congress will
also approve the federal budget
for 2021
this Sunday
, which will avoid a government shutdown.
Unemployment assistance claims rise to 885,000
Dec. 18, 202000: 22
Lawmakers on Friday scrapped
two measures that were delaying a deal
between Democrats and Republicans: funding for state and local governments and a provision that protected companies from malpractice lawsuits in the pandemic.
Another point that delayed the negotiations at the last minute was around the inheritance that the incoming president, Joe Biden, will receive in January.
Democrats accused Republicans of seeking to paralyze the new Administration by cutting the Federal Reserve's emergency loan facilities created in the March aid package.
What help and benefits are included
While it brings relief to millions of American families, the new legislation stands in stark contrast to the CARES Act passed last March, when Congress agreed to a two trillion dollar aid package.
The one-time check or direct deposit eligible Americans will receive will consist of
just half of the $ 1,200 awarded in the first round of payments
.
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The proposals presented earlier this month in Congress did not include the check, but things changed after bipartisan pressure from Senators Bernie Sanders, an independent from Vermont, and Josh Hawley, a Republican from Missouri, as well as representatives like Alexandria Ocasio-Cortez. , Democrat of New York, said our sister network NBC News.
President Donald Trump has also been a strong supporter of cash payments.
The new package includes a renewal of federal unemployment benefits, due next week, with
additional payments of $ 300 per week
, as well as
$ 300
billion in financing for businesses.
Millions of families at risk of being evicted by losing their jobs and not being able to pay their rent
Dec. 18, 202001: 48
It also includes
funds to distribute the COVID-19 vaccine
, which was approved for emergency use on Dec. 11 and has already begun to be administered to front-line health workers and nursing home residents.
A large sum of resources will also go to finance areas such as education, transportation, and health care.
[Requests for unemployment benefits grow again but aid runs out]
Democrats also secured a $ 25 billion fund for a program that seeks to provide emergency rental assistance to families affected by the pandemic, which can be used to pay for a past or future month or related expenses.
Other aid included in the package is intended for food and agricultural subsidies, in addition to a fund of 10 billion for the Postal Service.
Why did it take so long and what was left out
The last aid check, for $ 1,200, was approved last March.
Then negotiations for a second round of payments stalled in Washington as the pandemic raged out of control.
Democrats have been advocating for major steps to provide financial relief and tackle the pandemic, while Republicans have tried to get economic activities back to avoid increasing federal government debt.
When the negotiation for a new stimulus package failed before the November presidential election, hope was put off until the end of the year.
The new stimulus package
leaves out the Democratic proposal to include $ 160 billion for state and local funding
, one of the points that generated the most disagreements during the negotiations.
This point was excluded from the package in exchange for not including a Republican-backed provision that would
protect businesses against malpractice lawsuits
related to the pandemic.
States with big tax problems like Illinois had already reacted to the foreclosure.
"It's heartbreaking for us," Illinois Sen. Dick Durbin said Thursday, where there are big fiscal problems.
A relief before Christmas
The new legislation comes just days before the end of 2020, and in the midst of a faltering economy: Unemployment applications continue to rise reaching record levels.
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Experts have repeatedly warned that without an injection of federal aid into the market, and with the end of the rent moratorium in sight, thousands of families will go hungry this winter.
Unemployment benefits end on December 26 for more than 10 million people in the country, while countless small businesses face the onslaught of months of pandemic.
With information from the Associated Press and NBC News.