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Coronavirus Relief Bill Talks Remain in Limbo

Posted on Oct. 9, 2020

The question marks surrounding a COVID-19 relief package persist as congressional Democrats rejected a piecemeal approach without agreement on a broader package.

House Speaker Nancy Pelosi, D-Calif., told reporters October 8 that there won’t be a stand-alone bill for the airline industry without a bigger bill to “crush” the virus.

Pelosi’s statement came after President Trump reversed his earlier stance that the White House would be abandoning negotiations and instead signaled potential support for a “skinny” package.

White House spokesperson Alyssa Farah confirmed the same day that the White House supports a limited package that would include direct stimulus payments to individuals, an extension of the Paycheck Protection Program, and an “airline bailout.” Trump said on Twitter that he would immediately sign legislation that would provide individual taxpayers with $1,200 economic impact payments.

But Democrats continue to push for a larger package that would provide states with funding to combat the virus through increased testing and tracing. The House has passed two broad bills since May that included stimulus payments, PPP expansions, and Democrats’ other priorities, but the Senate hasn’t been able to pass its own bill.

There was some hope that both sides would reach an agreement to help the airline industry after several airline companies announced that they would have mass layoffs without further government support. But there isn’t any guarantee that whatever is put forward by the House and the Trump administration would sail through the Senate.

Senate Finance Committee member Patrick J. Toomey, R-Pa., and Sen. Mike Lee, R-Utah, questioned the use of grants for airlines instead of low-interest loans. “Consideration of legislation providing grants to the airlines should not happen unless there are adequate protections for taxpayers and the opportunity to offer related amendments,” they said in a statement.

House Ways and Means Committee ranking member Kevin Brady, R-Texas, told reporters October 7 that he remained optimistic that the two sides could still agree to a targeted bill addressing the PPP, airlines, and schools.

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