Senate Republicans and the White House have reached a fundamental agreement on the next phase of the CARES ACT, a stimulus plan enacted to offset the adverse effects of the slumping economy due to the government’s reaction to the Covid-19 Corona Virus. The first phases of the ACT proved to be very effective in keeping the economy stimulated throughout these trying times. The Act was conceived and spear-headed by Treasury Secretary Steven Mnuchin, a former investment banker and partner with Goldman Sachs.
The new $1 trillion package should be similar to the first. "We’re talking about the same provision as last time. Our proposal is the exact same provision as last time," Mnuchin told reporters, according to multiple media outlets.
The original stimulus checks started going out in April to most U.S. adults, though the $1,200 payments phased out for taxpayers with adjusted gross incomes over $75,000. Single earners making more than $99,000 and married couples with adjusted gross incomes above $198,000 got no money at all.
The only thing standing in the way of the new round of funding are House Democrats lead by Speaker Nancy Pelosi. She had opposed Phase 1 of the CARES ACT because it lacked adequate funding for pet Democratic projects such as renovation of the Lincoln Center in New York City. This opposition caused a weeks-long delay in citizens receiving these funds. This time they seem much more determined to block any efforts by the Trump administration that might off-set the ill-effects of the Covid-19 pandemic in this, an election year.
The debate is scheduled to take place next week - before Congress is scheduled for another recess.