Virus talks
Democrats hold their ground, pushing for larger aid package
Pelosi holds firm; Mnuchin wants a deal.
Speaker Nancy Pelosi is not about to blink.
The Democratic leader has been here before, negotiating a deal with the White House to save the U.S. economy, and lessons from the Great Recession are now punctuating the coronavirus talks. With Republicans again balking at big government bailouts, the Democrats believe they have the leverage, forcing President Donald Trump into a politically risky standoff over help for millions of Americans.
“It’s impossible to know whether she has overplayed her hand until we see if there is a COVID package,” says Michael Steel, a former top aide to thenspeaker John Boehner.
Monday brought no new talks between Trump’s team and negotiators on Capitol Hill as the president tries a go-it-alone strategy. Over the weekend, he launched a series of executive actions that give the appearance of a White House taking charge but may end up providing little help for ordinary Americans.
The president’s orders seek to reverse the devastating fallout from the expiration of unemployment assistance, eviction protections and other aid. But there are limits, and legal pitfalls, in trying to make an end run around the legislative branch. And with Trump having played his hand, Democrats appear in no rush to show theirs. It will take days, if not weeks, to sort out what Trump intended with his executive actions, as guidance from the administration is sent to the states. Already, the Department of Labor is telling governors that Trump’s promised $400 weekly jobless benefit boost will actually amount to just $300 if states are unable to provide the rest, according to information obtained Monday by The Associated Press.
Senate Democratic leader
Chuck Schumer dismissed Trump’s administrative actions as “all sizzle and no steak,” held together by “spit and glue.”
In the meantime, countless Americans are already feeling the squeeze. What had been a $600 weekly unemployment benefit boost is gone, as are federal eviction protections. Schools that had been eyeing federal help now face the prospect of reopening on shoestring budgets.
The virus shows no signs of easing, with more than 5 million infections and 160,000 deaths nationwide and stark new evidence that many Americans’ jobs may never return.
Treasury Secretary Steven Mnuchin, on a conference call with governors on Monday, said action by Congress remains the administration’s “first choice.” Mnuchin and Vice President Mike Pence urged the governors to reach out to congressional leaders and push for legislation, according to audio of the call obtained by AP.
Negotiations over the latest coronavirus bill shifted with the arrival of Mark Meadows, the president’s new chief of staff, a conservative former head of the House Freedom Caucus who is widely seen as a counter-force to Mnuchin. During days of closed-door talks, Meadows often declared one issue after another a “nonstarter,” according to an aide.
Pelosi and Schumer have put their latest compromise offer on the table, dropping their $3 trillion-plus package of relief by $1 trillion to $2.5 trillion, and asking the White House to do the same, raising its $1 trillion proposal to at least $2 trillion. That was rejected last week.