WASHINGTON (AP) – President Joe Biden planned a Republican alternative to his $ 1.9 trillion COVID bailout as inadequate as the Senate Democrats went ahead and voted to start a process that could pass its sweeping bailout package only if the Republicans refuse to back it.
Biden and Finance Minister Janet Yellen joined Democratic senators on Tuesday for a private virtual rally, with both announcing the Republicans’ $ 618 billion bid was too small. They pushed for major swift action to stop the coronavirus pandemic crisis and its economic consequences.
Biden would likely echo that message on Wednesday as he ramps up his public contacts with lawmakers on the matter. The White House announced that Biden would discuss the bailout with House Democrats over the phone, followed by an Oval Office meeting with Democratic senators.
As the White House reached for a bipartisan bill, Democrats rallied their ever-slim majority in the Senate, with a vote of 50-49, to initiate a lengthy process for the approval of Biden’s bill with or without GOP backing. The goal is to get COVID-19 emergency relief approved by March, when extra unemployment benefits and other pandemic relief ends.
“President Biden spoke of the need for Congress to respond boldly and quickly,” Senate leader Chuck Schumer said after the lunch meeting. “If we made such a small package, we would be in the COVID crisis for years.”
The rapid action of the Democrats on Capitol Hill underscores the urgency of delivering Biden’s highest legislative priority, even as there is private talks between Republicans and the White House, as well as centrist Democrats, on possible changes to the package to bring wider win bipartisan support.
Biden expressed his views at the virtual lunch meeting with the Democrats by talking about the need not to forget working and middle-class families – even those like nurses and pipe fitters who earn $ 150,000 for a family of four – who are struggling during the crisis, according to a person who provided anonymity to discuss the private conversation.
The night before, Biden met with 10 Republican senators pitch their $ 618 billion alternative, letting them know that it was insufficient to meet the country’s needs. The president made it clear that he will not delay aid in the hope of gaining GOP support.
While no compromise was reached during the late Monday session, White House talks with Republicans are underway privately.
The outcome will be a test for the new president who aims to unify the country but faces a rising COVID-19 death toll and persistently high numbers of unemployed, with political risks for all parties. Vaccine distributions, $ 1,400 direct payments to households, school reopenings, and business help are all at stake.
Republican Senate leader Mitch McConnell criticized the Democrats for continuing on their own. He said he spoke with Biden prior to his meeting with the 10 GOP senators.
“They have taken a totally biased path,” McConnell said. “That’s too bad.”
The two sides are far apart, with the Republican group of 10 senators focusing primarily on the health care crisis and less than $ 1,000 direct aid to Americans than the $ 1,400 payments Biden proposed as the president leads Democrats into a more sweeping bailout plan to support households, local governments and a partially closed economy.
In the White House, press secretary Jen Psaki reiterated Biden’s position that the risk is not in making too big a package, but in offering too little help. She said the president was hopeful that GOP ideas will be brought forward and that nothing is stopping Republicans from participating in the process.
“We have to make sure people get the help they need,” she said.
White House officials have previously cited the U.S. Chamber of Commerce as evidence of broad support for their plan, but the country’s most prominent corporate group has issued a letter On Tuesday, that pushed for a two-pronged compromise.
“There should be common ground for a bipartisan proposal that can become law,” said Neil Bradley, executive vice president and chief policy officer, in an interview.
The cornerstone of the GOP plan is $ 160 billion for health care response: vaccine distribution, a “massive expansion” of testing, protective equipment and funding for rural hospitals, similar to what Biden has proposed.
But from that point on, the two plans diverge drastically. Biden proposes $ 170 billion for schools, compared to $ 20 billion in the Republican plan. Republicans would also give nothing to states, money the Democrats say is just as important, with $ 350 billion in Biden’s plan to keep police, firefighters, and other workers working.
The $ 1,000 direct payments from the GOP would go to fewer households, with individuals making up to $ 40,000 per year, or $ 80,000 for couples. That’s less than Biden’s proposal of $ 1,400 direct payments at higher income levels, up to $ 300,000 for some households …
The Republicans are offering $ 40 billion in business support from the Paycheck Protection Program. But democratic priorities such as a gradual lifting of the federal minimum wage have disappeared up to $ 15 per hour.
According to Schumer, Biden told Democratic senators he had let Republicans know “that he is willing to make some changes.”
But both Biden and Yellen recalled lessons from the government’s response to the 2009 financial crisis, which some have since said was insufficient as conditions deteriorated. Biden said he told Republicans their offer was “way too small,” Schumer said.
Winning the support of 10 Republicans would be significant, potentially giving Biden the votes needed in the 50-50 Senate up to the 60 vote threshold typically required to advance legislation. Vice President Kamala Harris is the tie-breaker.
Wary Democrats continued with Tuesday’s vote, unwilling to spend too much time looking for GOP support that may not materialize or lead to an overly meager package.
The procedural steps form the basis for final approval in the budget reconciliation process, allowing the bill to be passed by a majority of 51 votes in the Senate, rather than the 60 votes usually required.
Tuesday’s vote opens 50 hours of debate on a budget resolution, and the vote on amendments is expected later this week. The House is ready to start a similar process.
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Associated Press authors Alan Fram, Jonathan Lemire, Alexandra Jaffe, Darlene Superville and Aamer Madhani contributed to this report.