The Mercury News

In virus talks, Pelosi not blinking.

- By Lisa Mascaro

WASHINGTON >> 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 then-Speaker 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 unemployme­nt assistance, eviction protection­s and other aid that has expired. But there are limits, and legal pitfalls, in trying to make an end run around the legislativ­e branch.

Pelosi dismissed Trump’s proposals Monday as an “illusion” in an interview on MSNBC.

Trump acknowledg­ed he’s still quite open to a deal with Congress.

“So now Schumer and Pelosi want to meet to make a deal. Amazing how it all works, isn’t it,” he tweeted Monday. “They know my phone number.”

With Trump now having played his hand, however, 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 the 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.

Pelosi has been here before, at the start of the last recession, when George W. Bush’s Treasury Secretary Hank Paulson dropped to a knee at the White House and all but begged her not to let a financial rescue plan fail in Congress.

She told The Associated Press earlier this year that Mnuchin is a “good listener” and they have a good rapport, having negotiated a relief package in March.

But she said, “When President Bush was president he would say to me, ‘Secretary Paulson speaks for me.’ This case, I don’t — I’m not sure.”

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