Stimulus: House Votes to Approve New COVID-19 Relief Package

After months of negotiations, Democrats and Republicans finally agreed to compromise on a $900 billion stimulus package. (They also agreed on a $1.4 trillion government funding bill that incorporates some COVID-19 aid measures.) Both the House and the Senate are due to vote on the package on Monday. As of right now, the bill has officially passed in the Democrat-led House of Representatives, per CNN.

When it comes to what the plan entails, it does not measure up to the $2.2 trillion stimulus package, the CARES Act, that Congress and the White House agreed to back in March. Under that plan, eligible Americans were entitled to a one-time check worth $1,200. This $900 billion package is much more pared down in comparison to the CARES Act. However, it was pushed forward with the intention of holding Americans over until President-elect Joe Biden takes office on Jan. 20. Just like the CARES Act, this new bill would provide stimulus checks to Americans. The same qualifications that they used for the CARES Act are in place for this new bill. Although, eligible Americans would receive only half the money.

Taxpayers who earn $75,000 per year or less will receive a $600 stimulus check. Couples who file a joint tax return will receive a check worth $1,200. Additionally, individuals will receive $600 per child that they claim as a dependent. As far as unemployment is concerned, this new package revives federal unemployment enhancements through March 14. Once this bill is passed in both the House and the Senate and is then signed into law, those collecting unemployment will receive an additional $300 per week rather than the $600 additional per week offered via the CARES Act.

Much of the funding in this new package will go towards coronavirus-related measures. The bill includes $20 million for the purchase of vaccines, $9 billion for vaccine distribution, and $22 billion to fund testing, tracing, and coronavirus mitigation programs. This funding will go to the states, as they will operate those programs individually. Now that this bill has passed in the House of Representatives, it will now go to the Senate. Given that Senate Majority Leader Mitch McConnell has been vocal about coming to an agreement with the Democrats on this new package, it will likely go on to pass in the Senate, as well.