House Democrats Pass $1.9 Trillion COVID-19 Relief Bill
If it clears the Senate, the package would include a new round of stimulus checks and a boost in jobless benefits, among other coronavirus pandemic aid.
WASHINGTON ― After hours of delays, the House passed a $1.9 trillion COVID-19 relief bill early Saturday morning, taking the first step toward delivering another round of stimulus checks, enhanced unemployment benefits, increased child tax credits and an influx of cash for state and local governments.
The House passed the bill almost entirely along partisan lines, 219-212, with two Democrats, Kurt Schrader of Oregon and Jared Golden of Maine, voting no.
The measure will now go to the Senate, where it’s set to pass by a “reconciliation” process that requires a simple majority. But not before one key provision is stripped.
The Senate parliamentarian ruled Thursday that a section providing for a $15-an-hour minimum wage could not be done through the reconciliation process, deciding that it did not have enough of an impact on the federal budget to qualify. It left that provision subject to a 60-vote threshold.
Democrats have only 50 seats in the Senate ― with Vice President Kamala Harris able to break a tie in favor of the Democrats ― and the $15 minimum wage was already imperiled because of opposition from Sen. Joe Manchin ( .). But even though the Senate parliamentarian had ruled that the minimum wage provisions couldn’t be done through reconciliation, House Democrats still included it.
That means the bill will still have to come back to the House for a final vote after the Senate amends the legislation. However, House Speaker Nancy Pelosi (D-Calif.) kept the minimum wage hike in after progressives argued they had already compromised on other items they wanted in the COVID-19 relief bill.
Pelosi also argued that if Congress didn’t pass this package, “the results could be catastrophic.”
She said not passing the bill would cost the economy 4 million jobs, delay a return to full employment by a year and push back a return to pre-pandemic levels of the GDP by four years.
“As President Biden has said, ‘Help is on the way,’” Pelosi said.
After passing five other COVID-19 relief bills under President Donald Trump on a bipartisan basis, Democrats went ahead with the partisan reconciliation process for their sixth bill. Republicans have previously stifled spending on a number of priorities, particularly state and local governments, and Democrats felt they needed a large enough economic response to bolster the economy and get Americans through the final months of the coronavirus pandemic as more people get vaccinated. That meant not trying to appease GOP demands and instead satiating their own caucus.
Though the removal of a $15 minimum wage will be a blow to progressives, the overall legislation should provide enough aid to keep them on board throughout the process ― even after the wage hike is stripped in the Senate.
However, progressives are exploring a number of options to keep the minimum wage increase in the bill. Senate Budget Chair Bernie Sanders (I-Vt.) and Senate Finance Chair Ron Wyden (D-Ore.) are exploring a system that would revoke certain tax benefits to corporations if they don’t meet those wage requirements, and House progressives are exploring ways to pressure their Senate colleagues to overrule the parliamentarian.
But without Manchin’s consent, it might be impossible to substantially increase the minimum wage. Other Democratic senators, including Kyrsten Sinema (D-Ariz.), have said they won’t get rid of the filibuster or undermine it by working around the parliamentarian’s rulings on reconciliation. And Congress is already pressed for time on this COVID-19 relief package. A number of provisions, such as the increased unemployment benefits, are due to run out in two weeks.
President Joe Biden has made it clear he wants the bill passed soon to avert any lapse in benefits, and he has adamantly defended the cost of the legislation.
“Critics say the plan is too big,” Biden said earlier this week. “Let me ask them a rhetorical question: What would you have me cut?”