Senate reaches $2 trillion relief package to help jolt economy during coronavirus pandemic
A major deal was struck by the White house and Senate leaders on March 25 for a $2 trillion package that will provide relief to the economy in the midst of the coronavirus pandemic. It is the biggest relief package in American history.
Senator Mitch McConnell called it as “a wartime level of investment into our nation” as the United States continues to see a rise in the number of coronavirus cases.
The package will provide much needed financial support to businesses forced to shut down and relief to American families and hospitals turned upside-down from the fast spreading disease and ensuing economic crisis.
Here are some of the key factors that were being negotiated in the stimulus package:
• $250 billion set aside for direct payments to individuals and families
• $350 billion in small business loans
• $250 billion in unemployment insurance benefits
• $500 billion in loans for distressed companies
• Individuals who earn $75,000 in adjusted gross income or less would get direct payments of $1,200 each
• Married couples earning up to $150,000 receiving $2,400 — and an additional $500 per each child
• Payment would scale down by income, phasing out entirely at $99,000 for singles and $198,000 for couples without children
Some other areas discussed by negotiators were providing four months of unemployment benefits, offered to self-employed workers as well. In addition, the bill would ensure the Small Business Administration could serve as a guarantor for loans of up to $10 billion for small businesses to make sure they can maintain their payrolls and pay off their debts.
The bill would provide $130 billion in funding to hospitals especially hard hit and $150 billion for state and local governments struggling due to response to battle coronavirus.