Major news outlets are currently reporting that Democrats are planning to introduce a massive new stimulus plan. The new stimulus plan could see a vote as early as Friday. It could cross the $2 trillion mark touched by the CARES package in March.
Even though Congress dispersed for the last few weeks, Democrats were reportedly working on a new stimulus package. With members of Congress returning, news of a new stimulus plan is likely to put Democrats in a collision course against GOP lawmakers and the Trump administration.
Speaker Pelosi has led the push for bold economic measures. In a letter to her colleagues today morning, Pelosi called for members to think big or risk greater consequences down the road. The new stimulus plan will be the fourth phase of economic relief introduced in Congress since the pandemic took root in America.
The stimulus package of the Democrats includes a variety of progressive economic measures. They include $2000 monthly relief to all Americans, student loan relief, stronger unemployment insurance, giving aid to states and cities in need, provisions for small business, funds for mail-in voting, and relief for rent and mortgage payments.
GOP lawmakers have already expressed their scepticism to pass more relief packages. Senator Rick Scott from Florida only recently blocked legislation proposed by a member of his own party. The legislation would’ve helped states appropriate relief funding as revenue.
Impending Clash Between Democrats and Republicans on Stimulus Plan
While some GOP lawmakers have shown interest in passing relief plans, there is a clear wait-and-watch policy in the leadership. Senate Majority Leader McConnell said he wasn’t ruling out additional relief. However, he wanted to wait for some time to analyse the developing economic situation of the country.
The stimulus plan Democrats are shaping could scare away many GOP lawmakers in the Senate. While the Democrats would get it through in the House, the fate of the stimulus package would be on shaky ground in the Senate.
President Trump is not ruling out a big enemy of a relief package either. After passing CARES in March, Trump proposed another $2 trillion to rebuild the infrastructure of the country. Majority Leader McConnel didn’t allow the proposal to get a lot of traction and shot it down.
To pass their stimulus plan, Democrats could work with the Trump administration instead of Senate Republicans. Unlike Republican Senators, Trump is much less fiscally conservative. If the President does back the stimulus package, many Senate Republicans could flip and support the Democrats in passing the plan.