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Yesterday, I wrote about the new stimulus check proposal that was drawn up by the Problem Solvers Caucus.
The Problem Solvers Caucus “is a bipartisan group in the United States House of Representatives that includes 48 members, equally divided between Democrats and Republicans, who seek to foster bipartisan cooperation on key policy issues.”
Something interesting about their proposal that I did not catch until today is that they are proposing up to two additional rounds of stimulus checks.
Basically, they want to send out stimulus payments up to $1,200 per person with an additional $500 for a dependent right now.
And then if conditions calls for additional aid, they want a third round of stimulus payments to go out around March 2021.
These conditions would relate to the number of coronavirus hospitalizations and also progress on the vaccine.
This is one of the first times that we have seen a plan realistically call for more than just one more round of direct payments. And it is also worth noting that this proposal is coming from both Republicans and Democrats so it’s not just some left-wing wish list.
Now, obviously certain conditions would have to be met for us to get to a third stimulus payment and it’s not even guaranteed that we will see a second.
But it is encouraging to see lawmakers on both sides of the aisle already discussing the potential for more aid that might be needed next spring, possibly after you have to deal with a second wave.
I’m still not optimistic about this particular proposal passing but I do take it as a good sign that negotiations might resume regarding more stimulus aid.
There is a new hope in Washington that another stimulus package will be approved soon.
A bi-partisan group of House members is introducing a new stimulus proposal with a price tag of $1.5 trillion.
Under this proposal, more stimulus checks will go out as well as additional unemployment benefits and aid to small businesses and schools.
The stimulus checks will involve the eligibility that we are used to seeing that allow payments of up to $1,200 to go to individuals along with an additional $500 for dependents.
$120 billion will be allocated for unemployment assistance. This proposal will also allow workers to get an extra $450 a week for eight weeks beginning in the middle of October and that will be followed up by $600 a week through January 2021.
Although this $1.5 trillion proposal seems to hit a middle ground between parties, some are worried that it’s still not going to move the needle.
“The problem underlying the stalemate isn’t a lack of centrist proposals,” Sarah Binder, a professor of political science at George Washington University and senior fellow at the Brookings Institute, told Yahoo Money.
“The dilemma is that both parties have to feel the electoral heat from refusing to go back to the bargaining table.”
As I’ve talked about before, both parties are still unwilling to budge from their negotiating positions, with the Democrats refusing to go below a $2.2 trillion price tag.
Republicans have offered a package valued at around $1.3 trillion so this $1.5 trillion package might actually strike the proper middle ground between the parties.
However, some believe that Republicans may not want to even entertain the $1.5 trillion cost.
“Senate Republicans, in particular, seem to have little interest in a proposal any larger than their skinny bill,” Binder said.
“I’m somewhat skeptical that the Problem Solvers’ proposal can generate enough heat to convince both parties to move off their most recent positions this close to the election.”
Another issue is that people are worried that politicians are trying to avoid passing aid until after the elections due to political reasons.
Perhaps this proposal will encourage lawmakers to come together to negotiate before the October recess.
“It’s certainly possible that the Problem Solvers’ proposal pushes the House Democratic leadership to bring another package of COVID relief to the floor before they recess in October,” Binder said.
“That would allow moderates to campaign on a new package and to blame Republicans and the White House for their continued inaction.”
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Daniel Gillaspia is the Founder of UponArriving.com and creator of the credit card app, WalletFlo. He is a former attorney turned full-time credit card rewards/travel expert and has earned and redeemed millions of miles to travel the globe. Since 2014, his content has been featured in major publications such as National Geographic, Smithsonian Magazine, Forbes, CNBC, US News, and Business Insider. Find his full bio here.