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http://virusreports.net/tag/stimulus/
Tue, 15 Sep 2020 12:21:24 +0000en-US
hourly
1 https://wordpress.org/?v=6.7.7https://s3.us-west-1.wasabisys.com/virusreports/2020/05/cropped-virus-favicon-32x32.pngstimulus Archives - Virus Reports
http://virusreports.net/tag/stimulus/
3232Amid Stimulus Impasse, Bipartisan Group Offers $1.5 Trillion Compromise
https://virusreports.net/amid-stimulus-impasse-bipartisan-group-offers-1-5-trillion-compromise/
https://virusreports.net/amid-stimulus-impasse-bipartisan-group-offers-1-5-trillion-compromise/#respondTue, 15 Sep 2020 12:21:24 +0000https://virusreports.net/amid-stimulus-impasse-bipartisan-group-offers-1-5-trillion-compromise/Politics|Amid Stimulus Impasse, Bipartisan Group Offers $1.5 Trillion CompromiseMembers of the House Problem Solvers Caucus plan to map out a recovery package they hope can push top Democrats and White House officials back to the negotiating table.The self-proclaimed House Problem Solvers Caucus will present a $1.5 trillion plan to support the coronavirus-wracked economy on Tuesday.Credit...Stefani…
Politics|Amid Stimulus Impasse, Bipartisan Group Offers $1.5 Trillion Compromise
Members of the House Problem Solvers Caucus plan to map out a recovery package they hope can push top Democrats and White House officials back to the negotiating table.
The self-proclaimed House Problem Solvers Caucus will present a $1.5 trillion plan to support the coronavirus-wracked economy on Tuesday.Credit…Stefani Reynolds for The New York Times
A bipartisan group of 50 centrist lawmakers plans on Tuesday to present a $1.5 trillion plan to prop up the coronavirus-ravaged economy, making a last-ditch attempt to broach a compromise in hopes of breaking a stalemate in stimulus talks before November’s elections.
The proposal faces long odds amid partisan divisions over what should be included in such a package, and members of the group — which calls itself the House Problem Solvers Caucus — concede privately that their framework stands little chance of becoming law. But the decision to offer it up publicly reflects frustration among rank-and-file lawmakers in both parties at the failure by their leaders to agree to another round of pandemic aid, and a reluctance to return home weeks before Election Day without cementing such help.
Aiming for a middle ground between Republican and Democratic positions, the proposal includes measures that enjoy bipartisan support, like reviving the popular Paycheck Protection Program for small businesses and direct checks of $1,200 or more for American taxpayers, as well as more contentious ones like new legal rights and protections for workers and their employers.
But the bulk of its proposed spending would fall somewhere in the middle of what the two parties have championed. The measure would reinstate lapsed federal jobless aid at $450 per week for eight weeks, then replace up to $600 weekly in lost wages for an additional five weeks. That is more than Republicans wanted, but less than the flat, $600-a-week benefit that lapsed at the end of July, which Democrats have insisted must be extended in full. And the proposal would send $500 billion to strapped state and local governments, less than the nearly $1 trillion Democrats included in their $3.4 trillion stimulus plan that passed the House in May, but roughly double what the White House has signaled it could support.
The coalition proposing the measure is led by Representatives Josh Gottheimer, Democrat of New Jersey, and Tom Reed, Republican of New York. In unveiling it, the group is seeking to send a signal to Speaker Nancy Pelosi and the lead White House negotiators — Mark Meadows, the chief of staff, and Steven Mnuchin, the Treasury secretary — that there is ample common ground to be found in talks that have been dormant for weeks.
But reviving the talks is a tall order. Negotiations all but broke down in August after a brief but intense round of discussions between Democrats and White House officials to reconcile vast differences in priorities and cost, principally over money for states and those out of work. The primary negotiators have all but given up on passing something into law before the election, and are now focused on agreeing to a stopgap spending measure to keep the government funded through the fall.
In the meantime, millions of jobless Americans are beginning to exhaust traditional unemployment aid that has kept them afloat and stimulated the economy, and many small businesses, including restaurants, have been left to contend with a steep drop in revenue and coming cold weather on their own.
Members of the Problem Solvers Caucus, which is composed of moderate members and has few significant policy achievements to its name, set out to draft their own proposal in early August as they, like most other lawmakers in the House, were frozen out of the talks.
In addition to Mr. Gottheimer and Mr. Reed, Representatives Dean Phillips, Democrat of Minnesota, and Dusty Johnson, Republican of South Dakota, helped write the framework, which took about six weeks to draft.
Though the price tag falls well below that of the $2.2 trillion stimulus law Congress unanimously passed in March, or House Democrats’ $3.4 trillion bill, its effects would be far-reaching.
In addition to money for state and local governments and for schools, lawmakers included $100 billion for testing, contact tracing and other health initiatives to try to increase the nation’s testing capacity to three million tests a day. There is money for expanding rural and urban broadband, supporting agricultural workers and extending the 2020 census to ensure an accurate count.
The bill would allocate $25 billion for mortgage and rental assistance, $130 billion for schools and $15 billion for the beleaguered Postal Service, as well as separate funds to administer the 2020 elections during a health crisis and for food assistance programs.
The group also proposed building in automatic triggers that would extend jobless aid and provide for another round of stimulus checks if the economy remains hobbled in January, potentially driving up the measure’s cost.
]]>https://virusreports.net/amid-stimulus-impasse-bipartisan-group-offers-1-5-trillion-compromise/feed/0Stimulus bill, Michael Cohen’s tell-all book, California wildfires: 5 things to know Tuesday
https://virusreports.net/stimulus-bill-michael-cohens-tell-all-book-california-wildfires-5-things-to-know-tuesday/
https://virusreports.net/stimulus-bill-michael-cohens-tell-all-book-california-wildfires-5-things-to-know-tuesday/#respondTue, 08 Sep 2020 09:21:10 +0000https://virusreports.net/stimulus-bill-michael-cohens-tell-all-book-california-wildfires-5-things-to-know-tuesday/Editors, USA TODAY Published 1:24 a.m. ET Sept. 8, 2020 CLOSESenate likely to take up coronavirus stimulus bill The GOP-controlled Senate is expected to take up a new coronavirus stimulus bill this week to help Americans and businesses weathering the coronavirus pandemic, though it faces likely opposition in the Democratic-led House. Congress has remained deadlocked on…
Editors, USA TODAY
Published 1:24 a.m. ET Sept. 8, 2020
CLOSE
Senate likely to take up coronavirus stimulus bill
The GOP-controlled Senate is expected to take up a new coronavirus stimulus bill this week to help Americans and businesses weathering the coronavirus pandemic, though it faces likely opposition in the Democratic-led House. Congress has remained deadlocked on stimulus negotiations for weeks as lawmakers struggle to agree on a number of key sticking points for a second deal, including boosting unemployment. The COVID-19 outbreak has caused a financial crisis unlike any other Americans have experienced, putting millions out of work, hobbling businesses and leaving local governments scraping for money. Many relief programs that Congress approved in the spring have since dried up, putting pressure on the House and Senate to come up with a new round of stimulus funding. But weeks of negotiations failed to result in a deal.
The new GOP plan includes another check for Americans and continued help for the unemployed.
USA TODAY
Michael Cohen’s tell-all Trump book drops
Michael Cohen, Donald Trump’s former personal lawyer and “fixer,” is releasing his tell-all memoir about the president Tuesday. In the book, “Disloyal: A Memoir: The True Story of the Former Personal Attorney to President Donald J. Trump,” Cohen describes Trump as a “mob boss” who “wouldn’t mind if I was dead.” In 2018, Cohen pleaded guilty to lying to Congress about plans to build a Trump Tower in Russia and, in a separate case, to coordinating hush money payoffs to two women who claimed to have had sex with Trump before he was elected. Cohen was sentenced to three years in federal prison and was recently released because of the COVID-19 pandemic. He says he started writing the memoir “longhand on a yellow legal pad” from his upstate New York prison.
President Donald Trump’s former lawyer and longtime fixer Michael Cohen will be released from federal prison to serve the remainder of his sentence in home confinement because of the coronavirus pandemic. (April 17)
AP Domestic
California sets wildfire record as scorching continues
As California struggles with a record-breaking fire season, a utility company warned customers in the state that power might be cut Tuesday due to fire danger. Intense heat, parched conditions and high winds fueled record-shattering wildfires and strained the electrical grid across much of California on Monday, forcing the Forest Service to close eight national forests. At least one person died, said Fresno Battalion Chief Tony Escobedo. More than 12,000 lightning strikes in the past three weeks have sparked almost two dozen major fires, according to Cal Fire. The fires have burned tens of thousands of acres, destroyed homes and caused thousands of residents to flee. The days ahead look equally grim. Officials say September and October are historically the worst fire months.
Authorities say around 150 people were trapped and 10 were injured at a Mammoth Pool campground after flames blocked the only road out of the area.
Wochit
Global Entry applicants can complete enrollment interviews
Global Entry applicants can complete their enrollment interviews starting Tuesday, resuming a process that has been on pause since March because of the coronavirus pandemic. Global Entry allows U.S. travelers to use kiosks at major airports nationwide and globally that allow them to bypass lines with no paperwork and reduced wait times. Changes that applicants may encounter at reopened enrollment centers includes staggered or reduced appointments, the elimination of sign-in sheets, plexiglass barriers and measures to encourage social distancing. Because the Canadian and Mexican borders remain closed to nonessential travel, enrollment for the NEXUS and FAST programs remain suspended.
Looking to get global entry? This is how you get an interview on arrival.
Buzz60
McDonald’s to serve Travis Scott Meal
McDonald’s will serve up its first celebrity meal in nearly 30 years with the founder of Cactus Jack Records. Starting Tuesday and through Oct. 4, the fast food giant will sell a “Travis Scott Meal” at participating restaurants nationwide. “Travis is a true McDonald’s fan having grown up visiting our restaurants in Houston, not to mention one of the biggest musical acts and cultural icons in the world,” said McDonald’s U.S. Chief Marketing Officer Morgan Flatley. The $6 collab meal includes the Quarter Pounder with Cheese, bacon and lettuce, a medium order of fries with BBQ sauce and a Sprite. It will be available to order in-restaurant, for carry-out, at the Drive Thru and with the McDonald’s app.
McDonald’s is permanently closing 200 of its 14,000 U.S. locations this year. Company officials also said the COVID-19 pandemic is impacting global sales.
USA TODAY
Read or Share this story: https://www.usatoday.com/story/news/2020/09/08/stimulus-bill-michael-cohen-ca-wildfires-5-things-know-tuesday/5698326002/
]]>https://virusreports.net/stimulus-bill-michael-cohens-tell-all-book-california-wildfires-5-things-to-know-tuesday/feed/0Pelosi says stimulus talks are complicated by ‘complete disarray on the Republican side’
https://virusreports.net/pelosi-says-stimulus-talks-are-complicated-by-complete-disarray-on-the-republican-side/
https://virusreports.net/pelosi-says-stimulus-talks-are-complicated-by-complete-disarray-on-the-republican-side/#respondSun, 16 Aug 2020 02:21:09 +0000https://virusreports.net/pelosi-says-stimulus-talks-are-complicated-by-complete-disarray-on-the-republican-side/(CNN)House Speaker Nancy Pelosi on Saturday continued her blame of Republicans for the stalemate in negotiations over another round of coronavirus relief funding for Americans. In a letter to her De…
]]>(CNN)House Speaker Nancy Pelosi on Saturday continued her blame of Republicans for the stalemate in negotiations over another round of coronavirus relief funding for Americans.
In a letter to her De… Read More
]]>https://virusreports.net/at-least-20-republicans-wont-vote-for-stimulus-deal-rep-lance-gooden/feed/0Dems, GOP lash out as stimulus package talks turn sour, $600 unemployment boost ends
https://virusreports.net/dems-gop-lash-out-as-stimulus-package-talks-turn-sour-600-unemployment-boost-ends/
https://virusreports.net/dems-gop-lash-out-as-stimulus-package-talks-turn-sour-600-unemployment-boost-ends/#respondFri, 31 Jul 2020 18:22:00 +0000https://virusreports.net/dems-gop-lash-out-as-stimulus-package-talks-turn-sour-600-unemployment-boost-ends/CLOSE Senate Minority Leader Chuck Schumer excoriated Senate Republicans over the deadlock on providing additional relief to deal with the coronavirus pandemic. (July 30) AP DomesticWASHINGTON – The discussions over another stimulus package turned testy Friday as Democrats and Republicans each blamed the other for their inability to come to an agreement just hours before a $600 weekly unemployment…
Senate Minority Leader Chuck Schumer excoriated Senate Republicans over the deadlock on providing additional relief to deal with the coronavirus pandemic. (July 30)
AP Domestic
WASHINGTON – The discussions over another stimulus package turned testy Friday as Democrats and Republicans each blamed the other for their inability to come to an agreement just hours before a $600 weekly unemployment benefit for Americans officially ends.
In dueling press conferences, White House Chief of Staff Mark Meadows laid into Democrats for rejecting a short-term deal to continue the bolstered unemployment benefit for one week, while House Speaker Nancy Pelosi railed against Republicans and the Trump administration for attempting to take a piecemeal approach to helping Americans as COVID-19 cases continue to surge nationally.
“What we’re seeing is politics as usual from Democrats up on Capitol Hill,” Meadows said from the White House podium. “The Democrats believe that they have all the cards on their side, and they’re willing to play those cards at the expense of those that are hurting.”
Pelosi, D-Calif., criticized Republicans for waiting months before attempting to take up another emergency package, noting the surge of coronavirus cases and high unemployment rate.
“They do not understand the gravity of the situation,” she said of Republicans. “We don’t have shared values. That’s just the way it is.”
She argued a deal to extend the unemployment benefit by one week would only be meaningful if a larger bill was nearly worked out, noting the time it would take for the measure to pass and for money to reach families. Pelosi also said the Senate, which has remained divided on unemployment, likely would not have the votes to approve a continuation of the $600 weekly benefit, which bolsters state benefits that average nationally about $370 a week.
Though the back-and-forth attacks signal a deal is still far off, both Meadows and Pelosi said they plan to meet again to continue talks.
Friday’s news conferences cap off a week filled with negotiations over another stimulus bill, talks that have all but stalled as Republicans are divided over what should be included in the measure and Democrats remain against a smaller bill to keep unemployment flowing for a short period.
On Thursday, Meadows and Treasury Secretary Steven Mnuchin met with Pelosi and Senate Minority Leader Chuck Schumer, D-N.Y., for a lengthy meeting where both sides attempted once more to come to a deal before millions saw their unemployment benefits rolled back significantly.
Meadows said Democrats were given four separate offers throughout the day but rejected all of them.
“We’re going in the wrong direction. They’re going in the wrong direction because of partisan politics. It is very disappointing,” Meadows said. “It surprises me that when we talk about compassion and caring about those that truly are in need, that a temporary solution to make sure that unemployment, enhanced unemployment continues has been rejected not once but multiple times.”
House Democrats passed their version of the next stimulus package in May, a $3 trillion measure that would have extended the $600 boost in weekly unemployment compensation until at least January. The proposal has not been taken up by the Republican-held Senate.
Democrats, including Pelosi, have balked at taking up unemployment assistance as a separate measure, arguing Republicans should come to the table for a larger deal on a host of pressing policy items, including more funds for local and state governments. House Democrats’ bill included not only an extension of unemployment but also another round of $1,200 stimulus checks and increased funds for state and local governments.
Senate Republicans, meanwhile, have had trouble negotiating their demands as the conference remains divided on what the next stimulus package should include. Some even expressed doubt that another bill is needed. The divisions remained even after Republicans unveiled their own proposal this week that included $1,200 stimulus checks, funds for schools and small businesses, and a scaled-back unemployment benefits of $200 per week.
Many Republicans have spent weeks railing against the $600 unemployment benefit, which is paid to Americans in addition to state claims. They argue it should be changed or replaced with a back-to-work incentive in hopes of jump-starting the economy and getting shuttered businesses to rehire laid-off workers.
Senate Majority Leader Mitch McConnell started the process on Thursday for the Senate to take up a measure that could tackle unemployment, meaning boosted unemployment could be approved by the chamber early next week, though currently the House is not expected to approve such a proposal.
While unemployment benefits have remained a point of contention, both sides have butted heads over a number of proposals, including Republican demands that companies be shielded from coronavirus-related lawsuits and Democratic requirements that state and local governments be given more funds to offset their budgets after the pandemic.
But both sides appeared mostly opposed to a request from the administration for $377 million to modernize the West Wing along with more than a $1 billion to keep the new FBI headquarters in Washington, D.C.
On Friday, White House Press Secretary Kayleigh McEnany defended the requests. While pointing out previous coronavirus relief bills had “plenty of other things” that were unrelated to the pandemic, McEnany insisted the FBI funding “is not a red line for us.”
“It was part of the initial bill but it is certainly not a red line priority,” she said.
Read or Share this story: https://www.usatoday.com/story/news/politics/2020/07/31/coronavirus-stimulus-trump-pelosi-cast-blame-unemployment-ends/5554365002/
]]>https://virusreports.net/dems-gop-lash-out-as-stimulus-package-talks-turn-sour-600-unemployment-boost-ends/feed/0Stimulus negotiations latest: The Senate’s not in town as $600 unemployment benefits are set to expire
https://virusreports.net/stimulus-negotiations-latest-the-senates-not-in-town-as-600-unemployment-benefits-are-set-to-expire/
https://virusreports.net/stimulus-negotiations-latest-the-senates-not-in-town-as-600-unemployment-benefits-are-set-to-expire/#respondFri, 31 Jul 2020 15:21:38 +0000https://virusreports.net/stimulus-negotiations-latest-the-senates-not-in-town-as-600-unemployment-benefits-are-set-to-expire/Washington (CNN)The unemployment benefit that has kept millions afloat amid the worst economic crisis in decades officially expires at midnight. Weekly jobless claims continue to rise. Economic forec…
]]>Washington (CNN)The unemployment benefit that has kept millions afloat amid the worst economic crisis in decades officially expires at midnight. Weekly jobless claims continue to rise. Economic forec… Read More
]]>https://virusreports.net/stimulus-negotiations-latest-the-senates-not-in-town-as-600-unemployment-benefits-are-set-to-expire/feed/0Coronavirus stimulus plan could include controversial Social Security fix
https://virusreports.net/coronavirus-stimulus-plan-could-include-controversial-social-security-fix/
https://virusreports.net/coronavirus-stimulus-plan-could-include-controversial-social-security-fix/#respondThu, 30 Jul 2020 17:21:23 +0000https://virusreports.net/coronavirus-stimulus-plan-could-include-controversial-social-security-fix/As Congress and the White House intensify negotiations on the fifth round of emergency coronavirus aid, a bipartisan group of senators is hoping the relief package will include a controversial proposal to fix diminishing funds for Social Security, Medicare and the nation's highways.This week, Sen. Mitt Romney, R-Utah, and 14 co-sponsors introduced the TRUST Act, or…
As Congress and the White House intensify negotiations on the fifth round of emergency coronavirus aid, a bipartisan group of senators is hoping the relief package will include a controversial proposal to fix diminishing funds for Social Security, Medicare and the nation’s highways.
This week, Sen. Mitt Romney, R-Utah, and 14 co-sponsors introduced the TRUST Act, or the Time to Rescue United States’ Trusts Act, to be included in the next stimulus legislation. It’s an updated version of a bill that Romney introduced in 2019.
“Among its many devastating effects, COVID-19 has threatened the fiscal health of essential programs like Medicare and Social Security,” Romney said in a statement. “If Congress does not respond quickly, the day of insolvency for these programs will now come years sooner than expected.”
The proposal would require the Treasury Department to deliver a report on the solvency of the trust funds by January 2021.
Congress would then be charged with creating bipartisan “Rescue Committees” to come up with plans to restore the solvency of the trust funds. Each group would include at least two members from each party. The goal would be to come up with legislation to create a plan to bring the funds back to solvency; bills advanced from the committees would be expedited for consideration by the House and Senate.
At least 60 votes would be needed before they could clear the Senate.
Romney said the bill would also address the nation’s skyrocketing deficit and rein in the debt. The deficit for fiscal 2020 is expected to hit $3.7 trillion, a record, according to a projection from the Congressional Budget Office.
Although the bill has bipartisan support, some advocacy organizations for retirees have attacked the proposal as a Republican attempt to cut Social Security.
“The TRUST Act creates a closed-door process to fast track cuts to Social Security. It is a way to undermine the economic security of Americans without political accountability,” said Nancy Altman, president of Social Security Works.
Senators who support the bill include: Joe Manchin, D-W.V.; Todd Young, R-Ind.; Kyrsten Sinema, D-Ariz.; Shelley Moore Capito, R-W.V.; Doug Jones, D-Ala.; Lamar Alexander, R-Tenn.; Angus King, I-Maine; Rob Portman, R-Ohio; Mark Warner, D-Va.; David Perdue, R-Ga.; John Cornyn, R-Texas; Martha McSally, R-Ariz; Mike Rounds, R-S.D.; and Dan Sullivan, R-Ark.
At the end of April, the governmentprojected Social Security, one of the biggest federal benefit programs, would be unable to pay full benefits starting in 2035. At that point, only 76 percent of benefits could be paid out. But that was before officials accounted for the virus outbreak, which they agree will deal a substantial blow to the program.
When factoring the crisis, the Bipartisan Policy Institute estimated that the depletion date would jump from 2035 to 2029.
The bulk of the money that Social Security pays out in retirement and disability benefits stems from payroll taxes; the program receives some additional funding from the taxation of benefits and interest earned on securities held by the trust fund.
“All three revenue sources are threatened by the current recession,” the Washington-based think tank wrote at the time.
In 2019, 54.1 million people received Social Security benefits. About 40 percent of Americans over the age of 60 who are no longer working full-time rely solely on Social Security benefits for their income, according to the National Institute on Retirement Security. The annual benefit is about $17,000.
]]>https://virusreports.net/coronavirus-stimulus-plan-could-include-controversial-social-security-fix/feed/05 things to know for July 29: Stimulus, William Barr, election 2020, DACA, tech hearing
https://virusreports.net/5-things-to-know-for-july-29-stimulus-william-barr-election-2020-daca-tech-hearing/
https://virusreports.net/5-things-to-know-for-july-29-stimulus-william-barr-election-2020-daca-tech-hearing/#respondWed, 29 Jul 2020 12:21:14 +0000https://virusreports.net/5-things-to-know-for-july-29-stimulus-william-barr-election-2020-daca-tech-hearing/Get '5 Things' in your inbox If your day doesn't start until you're up to speed on the latest headlines, then let us introduce you to your new favorite morning fix. Sign up here for the '5 Things' n…
]]>Get ‘5 Things’ in your inbox
If your day doesn’t start until you’re up to speed on the latest headlines, then let us introduce you to your new favorite morning fix. Sign up here for the ‘5 Things’ n… Read More
]]>https://virusreports.net/5-things-to-know-for-july-29-stimulus-william-barr-election-2020-daca-tech-hearing/feed/0How The Second Stimulus Check Is Similar Yet Different Than The First Stimulus Check
https://virusreports.net/how-the-second-stimulus-check-is-similar-yet-different-than-the-first-stimulus-check/
https://virusreports.net/how-the-second-stimulus-check-is-similar-yet-different-than-the-first-stimulus-check/#respondTue, 28 Jul 2020 12:21:41 +0000https://virusreports.net/how-the-second-stimulus-check-is-similar-yet-different-than-the-first-stimulus-check/UNITED STATES - JULY 21: Chairman Chuck Grassley, R-Iowa, fixes his hair during the Senate Finance ... [+] Committee confirmation hearing for Michael N. Nemelka, nominee to be a deputy U.S. Trade Representative, in Dirksen Building on Tuesday, July 21, 2020. (Photo By Tom Williams/CQ-Roll Call, Inc via Getty Images) CQ-Roll Call, Inc via Getty…
UNITED STATES – JULY 21: Chairman Chuck Grassley, R-Iowa, fixes his hair during the Senate Finance … [+] Committee confirmation hearing for Michael N. Nemelka, nominee to be a deputy U.S. Trade Representative, in Dirksen Building on Tuesday, July 21, 2020. (Photo By Tom Williams/CQ-Roll Call, Inc via Getty Images)
CQ-Roll Call, Inc via Getty Images
Yesterday, Senate Leader Mitch McConnell (R-KY) announced the HEALS Act on the Senate floor and a number of Senators proposed their respective parts.
One of the most await parts of the future bill is the next stimulus check, which fell under the purview of Senator Chuck Grassley (R-IA), the Chairman of the Senate Finance Committee.
In many ways, the second stimulus check is a repeat of the first. In some ways, it’s slightly more generous. Let’s take a closer look.
How The Next Stimulus Check Is The Same
The Base Amount of the Check
The amount of the check is the same – single filers get $1,200 and joint filers get $2,400. You get an additional $500 per dependent, though the definition of a dependent was expanded (more on that below in the section on differences).
If you have an AGI greater than those limits, your check is reduced by 5% of your AGI above the limit.
For example, a single filer with an AGI of $80,000 would see a reduction of their check of $250. 5% of $5,000, the amount over $75,000, is $250.
The Tax Year Used for Income Determination
The second stimulus check will also use the 2019 tax year income for calculating your check amount, if available. If they do not have that information they can still use 2018 tax year information as an alternative.
This is the same as with the Cares Act, except the Cares Act also extended the due date of your 2019 tax return to July 15th. This meant that when the IRS was sending out the checks, a lot of Americans hadn’t yet filed their tax returns.
Your second stimulus check may be for a different amount depending on how much your income changed from year to year.
The Tax Structure of the Check
Both checks are advances on a refundable tax credit for the 2020 tax year. This means that the bill would create a new refundable tax credit based on your income and will pay that to you now as an advance.
The credit is based on your 2019 tax return, if you filed one, otherwise it can use your 2018 tax return as a default. It is widely expected that if you don’t file a tax return, you can update your information on the IRS Non-Filers: Enter Payment Info Here form if you didn’t do so already for the first check.
It Is Protected Against Federal or State Debts
The second check will also be protected against federal or state debts, with the exception of past due child support payments.
How The Next Stimulus Check Is The Different
The key difference between the first and second check has to do with three areas.
Expanded Definition of a Dependent
With both stimulus checks, you get $500 for each dependent regardless of their age. In the Cares Act, you only received an extra $500 per dependent if they were a qualifying child for the purposes of the Child Tax Credit. This essentially only applied to children under the age of 17.
This left out a lot of dependents, most notably children in college who are still dependent on their parents but who are older than 16 and elder family members. The American Workers, Families, and Employers Assistance Act removes any age qualification.
Deceased & Incarcerated Explicitly Excluded
The second stimulus check will not be given to those who died before January 1st, 2020 or those who are in jail for the entirety of 2020.
The Cares Act didn’t include any language covering this but the Treasury Department took away payments, and canceled uncashed checks, to these two groups. The bill now clearly states that both groups are excluded from receiving this second check.
It is Protected Against Creditors & Debt Collectors
The Act would also add additional protections against bank garnishment or levy by debt collectors. In fact, the new law would amend the Cares Act to offer those protections to the first check as well.
How The Next Stimulus Check Differs from Heroes Act
Since Senator Grassley’s bill is, at this point, only a proposal – how will it be perceived by the Democrats?
The Heroes Act was passed by the House of Representatives in the middle of May and it also included a similar stimulus check. As we look towards the negotiations between the two parties, we can use this as a gauge of how contentious this aspect of the bill might be.
The Heroes Act offered up a identical base stimulus check of $1,200 for single filers ($2,400 for joint filers) with the same income limitations. It differed in that it offered a higher $1,200 per dependent addition, with a limit of three dependents.
As we monitor how both parties are responding to the HEALS Act proposals, it doesn’t appear that there is much controversy around the second stimulus check. Of the items proposed in the American Workers, Families, and Employers Assistance Act, the biggest argument appears to be over the reduced federal unemployment insurance benefits.
The proposed bill looks to reduce the federal benefit to 70% of an employed worker’s lost wages. Since this is going to be difficult for many states to implement, the bill would first provide a $200 per week bebefit through September as the states revamp their systems to support a percentage based benefit.
To make matters even more complicated, the bill is part of a series of bills that will make up the HEALS Act. This likely sets up a bit legislative battle that will be difficult to resolve before the Senate is scheduled to go to recess on August 7th.
]]>https://virusreports.net/how-the-second-stimulus-check-is-similar-yet-different-than-the-first-stimulus-check/feed/0New Stimulus Bill—What You Need To Know About A Second Stimulus Check, $200 Unemployment Benefits, PPP And More
https://virusreports.net/new-stimulus-bill-what-you-need-to-know-about-a-second-stimulus-check-200-unemployment-benefits-ppp-and-more/
https://virusreports.net/new-stimulus-bill-what-you-need-to-know-about-a-second-stimulus-check-200-unemployment-benefits-ppp-and-more/#respondTue, 28 Jul 2020 08:21:05 +0000https://virusreports.net/new-stimulus-bill-what-you-need-to-know-about-a-second-stimulus-check-200-unemployment-benefits-ppp-and-more/By Richard Harroch On July 27, 2020, Republicans put forth their new stimulus package proposal of approximately $1 trillion called the HEALS Act (the Health, Economic Assistance Liability Protection & Schools Act). The Democrats had previously proposed a $3 trillion+ stimulus package under the “Heroes Act,” but Republicans had rejected it as too broad and…
On July 27, 2020, Republicans put forth their new stimulus package proposal of approximately $1 trillion called the HEALS Act (the Health, Economic Assistance Liability Protection & Schools Act). The Democrats had previously proposed a $3 trillion+ stimulus package under the “Heroes Act,” but Republicans had rejected it as too broad and too big.
There have been so many news stories and statements about a new stimulus package that it’s difficult to discern what will actually become law. This article describes what you need to know about the likely provisions of the next stimulus bill by answering the most important questions.
Here’s what you need to know about the likely provisions of the next stimulus bill.
Yes, there will almost certainly be a second stimulus payment, although the specific details are in flux. The most likely result is a second stimulus payment similar to the first payment.
2. How much will the second stimulus payment be?
The second stimulus payment, as proposed by the Republicans on July 27, will likely be:
A onetime stimulus payment of $1,200 for each individual
A onetime stimulus payment of $2,400 for married or joint filers
A onetime stimulus payment of $500 for dependents, with no age restrictions (the CARES Act required dependents to be under 17 years of age)
3. What are the income requirements for eligibility for a second stimulus payment?
In order to qualify for the second stimulus payment, you will likely need to have earned (likely in 2019) less than $75,000 (for individuals) or $150,000 (for married/joint filers).
The original stimulus payment provided that if your income was higher than those limits, then the stimulus payment was reduced by 5% of your adjusted gross income above those limits. It is expected that the second stimulus payment will have a similar provision.
The Republicans initially proposed a $40,000 threshold instead of a $75,000 threshold, but that proposal appears abandoned. The Democrats had proposed a larger stimulus payment (of $2,000 a month) but that will likely not be included in the final package.
4. Will the $600 per week federal supplemental benefit for laid off employees be extended?
The original CARES Act provided for a $600 per week federal supplemental unemployment benefit payments to laid off employees. These supplemental benefits expired on July 25 or July 26, depending on the state.
The Democrats want to extend such benefits. The Republicans complained that the $600 is too high because it exceeds the wages of many workers, discouraging them from returning to work.
The Republican package proposed on July 27 offered instead a $200 a week temporary supplement to state unemployment payments. That $200 would then be replaced with a more complicated program that would pay workers 70% of the income they collected before they lost their job. Under the Republican proposal, the states would phase in the 70% formula within two months. Given how arduous it has been for states to handle the massive volume of unemployment claims, it is difficult to see how such an approach is feasible within a reasonable period of time.
This is probably the most contested issue; however, it is expected that some compromise will be reached in the next few weeks.
On July 27, certain California legislators indicated that they would move to pass legislation to fill any gaps in the $600 unemployment benefits if Congress approves a smaller amount, to help Californians during the economic downturn. Legislative leaders expressed the view that such an additional benefit would be crucial to prevent an economic collapse and ensure working families can keep their housing and pay for necessities.
5. Will independent contractors, freelancers, and gig workers continue to receive the extra $600 a week in benefits?
The Pandemic Unemployment Assistance (PUA) program contained in the original CARES Act provided federal aid of an extra $600 per week for independent contractors, freelancers, and gig workers adversely affected by Covid-19 and not otherwise eligible for standard unemployment insurance benefits. Under the CARES Act, this aid is scheduled to continue until December 31, 2020. But there is some uncertainty as to how independent contractors, freelancers, and gig workers will be treated, so we may need to wait for the final stimulus bill to alleviate the uncertainty.
6. Will the Payroll Protection Program (PPP) be extended or expanded?
The PPP loan program is due to expire on August 8, 2020, for any new loans. The PPP has been enormously helpful to small businesses by granting favorable forgivable loans.
The Republicans in their new stimulus package proposed an expansion of the PPP, including a streamlined forgiveness process and a provision that would allow smaller businesses to take out second PPP loans.
7. Will the new stimulus package include a payroll tax cut?
No. President Trump previously insisted on a payroll tax cut as part of any new stimulus bill. But Treasury Secretary Mnuchin recently proclaimed that a payroll tax cut or payroll tax deferral would not be included initially, but could be added at a later date.
8. Will there be any new student loan forgiveness provisions in the next stimulus package?
While the Democrats included student loan forgiveness provisions as part of their proposed Heroes Act, the Republicans did not, and it is unlikely that any additional student loan forgiveness/deferral provisions will be contained in a final stimulus package.
9. Will there be a “return-to-work” bonus for employees?
Senator Rob Portman (R-OH) had proposed a “return-to-work” bonus, which would provide financial incentive for people to return to work. The bonus proposed was $450 a week for some period of time if you returned to work by a designated date.
At the moment, it is uncertain as to whether the final stimulus package will include such a bonus.
10. Will there be aid for states and cities in the new stimulus package?
Republicans and Democrats both recognize that states and cities have been significantly adversely affected by the Covid-19 pandemic.
Democrats have proposed approximately $1 trillion for state and local aid. The Republican proposal of July 27 did not offer state and local government any additional funds, but it does grant them more flexibility in using the existing federal assistance.
Some compromise will be reached on this issue, and thus there is likely to be a meaningful amount available to assist states and cities.
11. Will there be liability protection for litigation arising from the pandemic?
The July 27 Republican package proposes liability protection from lawsuits arising out of the pandemic for businesses, hospitals, and schools, for five years.
The protection would raise the burden of proof for plaintiffs in that they would have to prove that a defendant was “grossly negligent or engaged in willful misconduct,” and also that they violated state and local public health guidelines at the time.
Democrats have expressed opposition to this concept, so expect negotiations on this issue.
12. Will renters living in houses with federally backed mortgages still be protected from evictions for not paying rent?
The CARES Act provided for a moratorium on evictions for renters living in homes with federally backed mortgages, but that expired on July 25, 2020. Landlords, however, are still required to give 30 days’ notice before beginning eviction proceedings. With many courts closed because of the pandemic, eviction proceedings will likely take much longer than 30 days.
The new Republican stimulus package of July 27 proposed extending the moratorium but the extension date is unclear at the moment.
The Republican stimulus package does not provide help for tenants of buildings backed by privately issued mortgages.
13. Will there be funds allocated for testing of Covid-19?
The July 27 Republican proposal provides for $16 billion in new funding for coronavirus testing, as well as clarifying that $9 billion in previously approved funds under the CARES Act will be used for testing.
14. Will there be funds allocated for schools?
The July 27 Republican proposal allocates $100 billion towards schools, with $70 billion targeted for kindergarten through 12th grade schools and $30 billion for colleges and universities. An additional $5 billion has been proposed to go to Governor’s funds to be allocated for education as the governors see fit.
The Democrats had previously proposed $430 billion for schools.
15. When will a new stimulus bill be passed into law and become effective?
The timing of a new stimulus bill is all dependent on the negotiations between the Democrats and Republicans resulting in a final bill, that is then signed by the president. The best estimate is early August.
The Senate is scheduled to go into recess on August 7. If a new stimulus bill can’t be passed by then or if there isn’t a delay in the recess, neither the House nor the Senate is scheduled to return until after Labor Day (September 7).
Richard D. Harroch is a Managing Director and Global Head of M&A at VantagePoint Capital Partners, a venture capital fund in the San Francisco area. His focus is on Internet, digital media, and software companies, and he was the founder of several Internet companies. His articles have appeared online in Forbes, Fortune, MSN, Yahoo, FoxBusiness, and AllBusiness.com. Richard is the author of several books on start-ups and entrepreneurship as well as the co-author of Poker for Dummies and a Wall Street Journal-bestselling book on small business. He is the co-author of a 1,500-page book by Bloomberg—Mergers and Acquisitions of Privately Held Companies: Analysis, Forms and Agreements. He was also a corporate and M&A partner at the law firm of Orrick, with experience in startups, mergers and acquisitions, and venture capital. He has been involved in over 200 M&A transactions and 500 start-ups. He can be reached through LinkedIn.
This article was originally published on AllBusiness.com. See all articles by Richard Harroch.