Published: Thu, March 26, 2020
Markets | By Otis Pena

Schumer makes sure Trump's business can't benefit from rescue package

Schumer makes sure Trump's business can't benefit from rescue package

This is also the largest-ever rescue package in the nation's history and provides a lifeline to suffering Americans, depleted hospitals and an economy ravaged by the rapid spread of the novel coronavirus, or COVID-19 outbreak.

The gargantuan $2 trillion package contains provisions for everything from individual payments to many Americans to health care funding to expanded unemployment benefits and, very importantly, loans for businesses.

House Democratic and Republican leaders have hoped to clear the measure for President Trump's signature by a voice vote without having to call lawmakers back to Washington. "We don't have time for delay; Iowans need this aid right now", she added.

Schumer was the point person for negotiations in the Senate, but he was backed-up by Nancy Pelosi in the house, who flexed big time in other recent negotiations by ignoring the GOP entirely and talking directly to the treasury. The Senate stayed in session in anticipation of still passing the bill after days of delays. Jared Bernstein, who worked on the Recovery Act as chief economist to former Vice President Joe Biden in the Obama White House, said during an interview with Politico.

Legislative text of the final deal was released Wednesday evening ahead of a final vote.

It also funnels $130 billion into the stretched-thin health-care system to get more resources and equipment to those directly fighting the disease.

President Donald Trump, whose top aides helped negotiate the bipartisan measure, promised to sign it into law as soon as it reaches his desk.

Questions remain about how the House will pass the measure.

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The online sales rush has pushed Amazon to hire around 100,000 new workers, adding to the 800,000 that they now employ. Amazon workers state the firm requires to do even more to safeguard its individuals.

Treasury Secretary Steven Mnuchin rebuffed the Republican senators' concerns over the bill, contending this will help those who involuntarily lost their jobs.

Sen. Cory Gardner, R-Colo., who finished a self-quarantine period Wednesday morning, said he supported the original version of the bill introduced by Senate Majority Leader Mitch McConnell, R-Ky., but announced on Twitter this morning that he is ready to vote in support of the bill as "it has already taken too long to pass this urgently needed relief for the American people".

"The legislation now before us now is historic because it is meant to match a historic crisis", said Democratic Senate Minority Leader Chuck Schumer.

For individuals the package provides direct payments to lower- and middle-income Americans of $1,200 for each adult, as well as $500 for each child. House members are scattered around the country and the timetable for votes in that chamber was unclear. Weekly benefits will rise by $600 as well and more types of workers will be covered under the unemployment insurance scheme.

Another $25 billion goes to public transit systems, $4.35 billion of that to NY - with $3.8 billion for the Metropolitan Transportation Authority, whose ridership collapsed as COVID-19 spread.

$150 billion to state and local governments to address spending shortages related to the coronavirus pandemic.

Those companies will also have to limit executive bonuses. Mnuchin said every federally insured bank would be authorized to make the loans, and that "by the end of next week" small businesses could apply and be approved on the same day.

Together with Fed intervention, the proposed legislation amounted to a $6 trillion stimulus, according to White House economic adviser Larry Kudlow, or about 30 per cent of annual GDP. "So many people are being put out of work through no fault of their own".

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