Fate of CASH Act stimulus bill is in the hands of Senate

Jan. 6, 2021 | G. Michael Dobbs
news@thereminder.com

Neal is seen here at a press conference in May where he spoke about The Heroes Act passed by the House as the second COVID-19 relief package. The Heroes Act stalled in the Senate and it’s taken months for the House, Senate and the Trump Administration to agree on a second bill, which was recently signed into law.
Reminder Publishing file photo

At press time the fate of the bill initially introduced by Congressman Richard Neal that would have increased personal stimulus checks to $2,000 is in the hands of Senate Majority Leader Mitch McConnell.

The story of the legislation took place over the course of about a week and started with the passing of the second COVID-19 relief bill.

Neal, the chairman of the House Ways & Means Committee, commented about the passage of long-awaited legislation on Dec. 21, “This agreement isn’t perfect, but it will offer struggling workers, families, and businesses desperately needed support. Americans are suffering, wondering how they’ll afford basics like food, medications, and rent payments. Democrats ensured that the reinstatement and extension of critical unemployment assistance and a second round of direct payments made it in this package so that people will be able to cover their most immediate needs. Notably, eligibility for this new round of checks includes many mixed-status families who missed out on the first round of payments but will now have access to the federal aid.”

He added, “There are a number of additional tax measures in the packages that will go a long way in supporting folks facing hardships while also helping get our economy back on track. We put more money in the pockets of working families by providing greater flexibility for those who are eligible to claim the Earned Income Tax Credit and Additional Child Tax Credit. Though we faced resistance, Democrats fought for and successfully secured inclusion of the expanded Employee Retention Tax Credit and the deductibility of expenses paid for using PPP loans, two provisions that incentivize the hiring and retention of workers.

“We also made sure that the legislation includes key measures that will help us combat the public health emergency and save lives. Until we effectively address the virus and people are safe, our economy cannot fully recover. I’m extremely pleased that the package contains our bipartisan, bicameral agreement to protect patients from surprise medical bills – this is particularly crucial as the pandemic continues to spread and thrust Americans into unexpected health and financial peril.

He concluded, “This deal is a good starting point and an important step in the short-term, but more must be done as the pandemic continues to grip the nation and the recession persists. Congress will need to pass additional, substantial relief and stimulus legislation in 2021. Big investments must be made to create jobs, support families, and ensure states and localities have the resources necessary to continue providing essential services and distribute COVID vaccines quickly and fairly. Any Republican push for austerity in the 117th Congress would be a dangerous attack on the future of our economy and the wellbeing of Americans in communities across the country.”

The discussion of the $600 stimulus checks that would be mailed to individuals Americans took a turn when President Donald Trump made an announcement he might veto the bill because he believed Americans needed a larger stimulus check.

Neal responded on Dec. 24 at a press conference in Springfield announcing Caring for Americans with Supplemental Help (CASH) Act of 2020. He said, “For months, Democrats have consistently sought to provide Americans with a substantial second round of direct financial assistance. Now that the President has finally endorsed that idea as well, we’re ready to immediately pass the CASH Act to put an additional $2,000 into the pockets of folks in need. Congressional Republicans must join us in this effort and not block critical relief from reaching families who are hurting.”

He explained the legislation was being fast tracked through the House by “a pretty arcane procedural motion” that could be stopped by a single objection. As Neal explained this point, a reporter noted the bill had been stopped.

Neal was prepared for that outcome, and immediately handed out a press release with his reaction. It read, “If not for congressional Republicans, $2,000 checks would be heading to Americans in need. Instead, on this Christmas Eve morning, Minority Leader McCarthy directly undermined President Trump and led the charge to block this crucial relief from reaching millions of families. This heartless obstruction comes at a time when folks across the country are wondering how they’ll put food on the table and cover next month’s rent payment. Democrats will continue to fight to provide Americans with the substantial support they require to make ends meet during the ongoing COVID crisis.”

He noted “the irony” of  Trump opposing the result of seven months of negotiations between Congress and the administration to agree on the sum of $600. Trump’s initial opposition  – he did eventually sign the relief bill – “caused a lot of heartburn in the Republican Party,” Neal said.

On Dec. 28, the CASH Act was approved by the House and went on to the Senate. Neal commented, “House Democrats have always favored sending more substantial relief to struggling families, and the CASH Act does just that. Increasing the second round of economic impact payments to $2,000 will make a real difference for Americans experiencing extreme financial hardship. Now that the House has approved these larger checks, it is up to Senate Republicans to do the same. Even if the CASH Act does pass the Senate and becomes law, it must not be the last COVID relief we provide to workers and families. The pandemic will not suddenly disappear when the calendar turns to 2021, and the economy will not immediately make a full recovery. Congress will need to work with the Biden Administration to create new jobs, successfully address the public health crisis, and ensure that Americans have the support they require to get back on their feet.”

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