Earlier this month, President Donald Trump called for Congress to move on approving a second round of $1,200 stimulus checks to millions of Americans to supplement the earlier CARES Act stimulus package. But don’t count the money just yet.
The Democrats have proposed a bill called the HEROES Act (Health and Economic Recovery Omnibus Emergency Solutions Act) with $3 trillion appropriation. On the other hand, The White House proposes the HEALS Act (Health, Economic Assistance, Liability Protection and Schools Act) with only $1 trillion dollar appropriation.
Both parties have proposed trillions of dollars for the stimulus checks but the huge difference between the exact amount for each party have painstakingly delayed the negotiation.
Democrats are pushing for around $3 trillion in relief while White House is offering around 1 trillion – a hefty amount of difference!
A series of negotiations were in place to close the gap between the two bills. As of recently, the gap has been down to $1 trillion making it to $2 trillion total budget, but it is still up for approval.
Both parties have agreed that the second stimulus checks will be on direct payment, modeled after the ones issued earlier this year.
Less than two weeks from election, chief negotiators from each party remain deadlocked due to a huge appropriation gap and the varied aids to states and business liability protections.
Goldman Sachs’ economist Alec Phillips shared that some of the biggest issues remain unresolved and a deal doesn’t seem particularly closed.
“With big differences and little time, it seems unlikely that Pelosi and Mnuchin will reach a deal before the election.
