Trump tries to push for a coronavirus stimulus deal — after Congress has left town

President Donald Trump agitated Friday for coronavirus aid, after Congress left town following more than two weeks of flailing in efforts to boost the U.S. economy and health-care system. 

Trump, who has not personally joined in pandemic relief talks this month, pushed for direct payments to Americans, small business loan funding, state and local government relief and rental assistance payments. The policies Trump backed in a series of tweets and in a later news conference would need congressional approval. The plans have appeared in some form in the aid packages lawmakers have proposed since May. 

The president’s comments underscore the pressure he faces to provide assistance to Americans during a year in which his inability to contain the virus has hindered his reelection prospects. Trump tried to get more involved in the effort Friday, a week after talks between his administration and Democratic leaders collapsed. 

As the stalemate in Washington drags on, Trump took executive action to temporarily extend extra unemployment benefits, offer protections from eviction, sustain existing student loan aid and create a payroll tax holiday. The orders are limited in scope. Some may not be constitutional because Congress controls federal spending. 

Both chambers of Congress have left for their August recesses and do not plan to return until September unless they strike a coronavirus aid agreement. The lack of a deal leaves millions of Americans in financial peril, as a $600 per week federal unemployment benefit, a moratorium on evictions and the window to apply for Paycheck Protection Program small business loans have all expired. Federal Reserve Chairman Jerome Powell has warned a lack of fiscal stimulus could jeopardize the U.S. economic recovery. 

In his tweets Friday, Trump claimed he is “ready” to take action on stimulus checks, state and municipal aid and small business loans. But on every issue, he contended, “DEMOCRATS ARE HOLDING THIS UP!” 

Speaking to reporters later, he clarified that he did not plan to take unilateral action on those issues, but instead was “waiting for the Democrats to approve” the policies. 

The impasse in Washington over aid is more complicated than Trump portrayed it Friday. 

Democrats passed a $3 trillion coronavirus relief package in May that they considered their opening offer for a fifth aid bill. It included a second round of direct payments of up to $1,200 to individuals, with a maximum of $6,000 per household. 

It also had more than $900 billion in aid for cash-crunched state and local governments. Officials have considered whether to trim essential services as they lose revenue and spend more during the pandemic. The bipartisan National Governors Association has asked Congress for at least $500 billion in relief.

At that time, Republicans questioned the need for more aid and said they wanted to see how effective an earlier $2 trillion rescue package was. The Senate GOP then released its coronavirus bill, a counter offer to the Democrats, in late July as the extra jobless benefits and eviction moratorium were expiring. It started the talks on another relief package, which have since made little progress.

Article source: https://www.cnbc.com/2020/08/14/coronavirus-stimulus-trump-calls-for-relief-deal-after-congress-leaves.html