How Many Trillions? Republicans Clash Over Coronavirus Relief Package Price

July 22, 2020 Topic: Politics Blog Brand: Coronavirus Tags: CoronavirusCOVID-19HealthEconomyDonald Trump

How Many Trillions? Republicans Clash Over Coronavirus Relief Package Price

“We cannot use the crisis to justify opening the spending floodgates and borrowing from future generations to fund nonemergency priorities,” Sen. Mike Enzi (R-Wyo.), who’s known to be more fiscally conservative, said on the Senate floor.

After just three days being back on Capitol Hill, GOP senators, Democrats and the White House continue to clash over the next coronavirus relief package. But this time, lawmakers can’t come to an agreement over the final price of the legislation.

Senate Majority Leader Mitch McConnell (R-Ky.), leader of the talks, wants to limit the price of the next package to $1 trillion, but that goal has become more difficult as lawmakers push colliding provisions to be a part of the legislation.

“We cannot use the crisis to justify opening the spending floodgates and borrowing from future generations to fund nonemergency priorities,” Sen. Mike Enzi (R-Wyo.), who’s known to be more fiscally conservative, said on the Senate floor.

“I don’t know how we’re going to pay for what we got already. “One of the new mechanisms here is, ‘I’ll give you everything you want if you give me everything I want,’ and that’s considered compromise,” Enzi said.

After convening with White House chief of staff Mark Meadows, Treasury Secretary Steven Mnuchin and National Economic Council Director Larry Kudlow, Sen. Ron Johnson (R-Wis.) said, “it’s already spiraled out of control.”

Johnson added that he disagrees with his Republican colleagues who believe a $1 trillion settlement is a “real fiscal constraint” considering the overwhelming national deficit and the $2.2 trillion CARES Act passed in March.

The senator from Wisconsin said that instead of big spending, the party needs to collaborate and prioritize on which provisions to include in the final legislation. But, Republican senators and President Trump’s Administration remain divided on a number of provisions that should be featured in the bill, as opposed to prior coronavirus relief packages where there was little to no opposition from both parties, which will likely push back Mnuchin’s deadline to pass the legislation by the end of the month.

Trump told Fox News’ Chris Wallace he would “consider not signing” the legislation if it didn’t include a payroll tax cut, a push that GOP senators have disapproved of. Sen. John Thune (R-S.D.) said that he’s “not a fan” of the tax cut because it doesn't have much of a “direct benefit to the economy.”

The president has also said he wants $1,200 direct stimulus checks, another massive spending provision Republican senators are hesitant to support because people are returning to work or some are still collecting unemployment.

“Somebody did raise the point that to stay under a trillion dollars you’re going to be limited on how many things you can do,” Sen. Kevin Cramer (R-N.D.) said. “If you set a top-line number or a ceiling of a trillion, you’re going to be limited on how many $1,200 checks you send out and how much of a payroll tax cut you can provide. You might have to pick one.”

McConnell mentioned a salary cap of $40,000 for the next round of stimulus checks, targeting primarily low-income families to receive the economic relief.

Other GOP senators are advocating for provisions that’ll boost the economy, aid the reopening of schools for the fall and more access to testing nationwide.

The split in the Republican party has given Democrats a glimpse of what different members of the party want in the package.

“They outlined some of their thoughts and ideas. They weren't that specific," Senate Minority Leader Chuck Schumer said. "They're all in disarray.”

It’s unclear when bi-party negotiations will begin, as Republicans can’t agree on what to include on the estimated $1 trillion bill.

Rachel Bucchino is a reporter at the National Interest. Her work has appeared in The Washington Post, U.S. News & World Report and The Hill.

Image: Reuters.