Biden, Yellen say GOP virus aid too small, Democrats push on

President Joe Biden panned a Republican alternative to his $1.9 trillion COVID rescue plan as insufficient as Senate Democrats pushed ahead, voting to launch a process that could approve his sweeping rescue package on their own, if Republicans refuse to support it.
Biden
and Treasury Secretary Janet Yellen joined the Democratic senators for a
private virtual meeting Tuesday, both declaring the Republicans’ $618 billion
offer was too small. They urged big fast action to stem the pandemic crisis and
economic fallout.
As the
White House reaches for a bipartisan bill, Democrats marshaled their ever-slim
Senate majority, voting 50-49, to start a lengthy process for approving Biden’s
bill with or without GOP support. The goal is to have COVID-19 relief approved
by March, when extra unemployment assistance and other pandemic aid expires.
“President Biden
spoke about the need for Congress to respond boldly and quickly,” Senate
Majority Leader Chuck Schumer said after the lunch meeting.
“If we did a package
that small, we’d be mired in the COVID crisis for years.”
The
swift action from Democrats on Capitol Hill underscores the urgency of
delivering Biden’s top legislative priority even as talks are progressing
privately between Republicans and the White House, as well as with centrist
Democrats, on potential changes to the package to win over broader bipartisan
support.
Biden
framed his views during the virtual lunch meeting with Democrats by talking
about the need not to forget working and middle-class families — even those
like nurses and pipefitters making $150,000 for a family of four — who are
straining during the crisis, according to a person granted anonymity to discuss
the private call.
The
night before, Biden met with 10 Republican senators pitching their $618 billion
alternative, and let them know it was insufficient to meet the country’s needs.
The president made it clear that he won’t delay aid in hopes of winning GOP
support.
While
no compromise was reached during the late Monday session, White House talks
with Republicans are privately underway.
The
outcome will test the new president striving to unify the country but
confronting a rising COVID-19 death toll and stubbornly high jobless numbers,
with political risks for all sides. Vaccine distributions, direct $1,400
payments to households, school reopenings and business aid are all on the line.
Senate
Republican leader Mitch McConnell criticized the Democrats for pressing ahead
on their own. He said he had spoken to Biden ahead of his meeting with the 10
GOP senators.
“They’ve chosen a
totally partisan path,” McConnell said. “That’s unfortunate.”
The two
sides are far apart, with the Republican group of 10 senators focused primarily
on the health care crisis and smaller $1,000 direct aid to Americans than the
$1,400 payments Biden proposed, while the president is leading Democrats toward
a more sweeping rescue plan to shore up households, local governments and a
partly shuttered economy.
At the
White House, press secretary Jen Psaki reiterated Biden’s view that the risk is
not in crafting too large a package, but in providing too little aid. She said
the president was hopeful GOP ideas will be brought forward, and said nothing
precludes Republicans from participating in the process.
“We need to make sure
people get the relief 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 nation’s most prominent business group
issued a letter Tuesday that urged a bipartisan compromise.
“There ought to be
common ground for a bipartisan proposal that can become law,” Neil Bradley,
executive vice president and chief policy officer, said in an interview.
The
cornerstone of the GOP plan is $160 billion for the health care response —
vaccine distribution, a “massive expansion” of testing, protective gear and
funds for rural hospitals, similar to what Biden has proposed.
But
from there, the two plans drastically diverge. Biden proposes $170 billion for
schools, compared to $20 billion in the Republican plan. Republicans also would
give nothing to states, money that Democrats argue is just as important, with
$350 billion in Biden’s plan to keep police, fire and other workers on the job.
The
GOP’s $1,000 direct payments would go to fewer households, individuals earning
up to $40,000 a 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 offer $40 billion for Paycheck Protection Program business aid. But
gone are Democratic priorities such as a gradual lifting of the federal minimum
wage to $15 an hour.
According
to Schumer, Biden told Democratic senators he had let the Republicans know
“he’s willing to make some modifications.”
But
both Biden and Yellen recalled the lessons of the government response to the
2009 financial crisis, which some have since said was inadequate as conditions
worsened. Biden said he told the 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 to the 60-vote threshold typically
required to advance legislation. Vice President Kamala Harris is the
tie-breaker.
Wary
Democrats pushed ahead with Tuesday’s vote, unwilling to take too much time in
courting GOP support that may not materialize or may lead to too meager a
package.
The
procedural steps are groundwork for eventual approval under the budget
reconciliation process that would allow the bill to pass with a 51-vote
majority in the Senate, rather than the 60 votes typically needed.
The vote Tuesday opens 50 hours of debate on a budget resolution, with amendment votes expected later this week. The House is poised to launch a similar process.