Americans from all over the nation are wondering if a second stimulus check plan will ever be approved, and now we have a good idea where Congress stands on the next coronavirus relief bill as they prepare to reconvene. According to Forbes, the Senate is back in session on Tuesday, following a summer recess. The House of Representatives will get back into session soon as well, reconvening on Sept. 14.
At this time, the biggest divide between Democrat and Republican leaders seems to be the price tag of the relief bill. Democrats initially wanted a bill that provided $3 trillion in funding for the country, but Republicans wanted it to be $1 trillion. The reason GOP members want to keep the bill cost low is due to their concerns over the national debt. Democrats were willing to decrease their $3 trillion budget by $1 trillion, but Speaker Nancy Pelosi said that Republicans have not been keen to meet in the middle by increasing their limit by the same amount. Other factors that have held up the bill have been provisions such as postal service funding and stimulus checks.
Congress is back in session with no clear path ahead for the next stimulus package https://t.co/dfx5zpYj4y— Business Insider (@businessinsider) September 8, 2020
There is no way of knowing how the negotiations over the next stimulus payment amount will go, but it is possible that lawmakers could approve a bill that gives $1,200 to all citizens and their dependents, up to three. Married couples who file their taxes jointly would get $2,400. This is the same amount outlined in the HEROES Act, which was passed by the House in May.
The Cares Act only provided $500 for dependents. Under the HEROES Act amount, the most a family of 5 (a married couple who files their taxes jointly and three children) would get is $6,000. This would be the maximum amount, meaning that any family unit with more than 3 dependents would still only get $6,000. Under the CARES Act amount, citizens could expect to receive the same amount that they were sent initially.
Notable: Morgan Stanley now predicts Congress will pass a $1.5 to $2 trillion 'CARES 2' in September and that will usher in a faster rebound than previously anticipated.
GDP back to pre-COIVD19 levels by mid-2021— Heather Long (@byHeatherLong) September 8, 2020
Unemployment 7.6% at the end of this year, 5.5% at the end of 2021 pic.twitter.com/W2RRXjNDoE
With no certainty of new stimulus payments anytime soon, President Trump has suggested using some leftover funds from the CARES Act to send out a second round of checks to citizens. "Now, we have $300 billion in an account that we didn’t use. $300 billion. And we are willing to use that," Trump said. "I would be willing to release it, subject to Congress, and use that as stimulus money, and it would go right to the American people. So we have $300 billion sitting in an account that we didn’t need because things are going so well with the economy."