House passes $1.9 trillion COVID relief plan

President Joe Biden scored his first legislative win as the House of Representatives passed his $1.9 trillion coronavirus relief package early Saturday. However, Democrats face challenges in their hopes of using the bill to raise the minimum wage.

Democrats who control the chamber passed the sweeping measure by a mostly party-line vote of 219 to 212 and sent it on to the Senate, where Democrats planned a legislative maneuver to allow them to pass it without the support of Republicans.

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House passes $1.9 trillion COVID relief plan

U.S. President Joe Biden speaks after the House of Representatives passed his $1.9 trillion coronavirus relief package in the White House’s Roosevelt Room in Washington, U.S., on February 27, 2021. REUTERS/Joshua Roberts

The American Rescue Plan would pay for vaccines and medical supplies and send a new round of emergency financial aid to households, small businesses, and state and local governments. The bill’s big-ticket items include $1,400 direct payments to individuals, a $400-per-week federal unemployment benefit through Aug. 29, and help for those in difficulty paying rents and home mortgages during the pandemic.

In brief remarks on Saturday from the White House’s Roosevelt Room, Biden said he called House Speaker Nancy Pelosi to thank her for her support and urged the Senate to take up the bill quickly.

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“I hope it will receive quick action. We have no time to waste,” Biden said, without taking questions. “The people of this country have suffered far too much for far too long.”

Democrats said the package was needed to fight a pandemic that has killed more than 500,000 Americans and thrown millions out of work.

“The American people need to know that their government is there for them,” Pelosi said in a debate on the House floor.

House passes $1.9 trillion COVID relief plan

U.S. House of Representatives Republican leader Kevin McCarthy speaks on the day the House of Representatives is expected to vote on legislation to provide $1.9 trillion in new coronavirus relief at the U.S. Capitol Washington, U.S., February 26, 2021. REUTERS/Kevin Lamarque

Republicans, who have broadly backed previous COVID-19 spending, said much of the current package was unnecessary, highlighting elements such as a subway near Pelosi’s San Francisco district. Only 9% of the total would go directly toward fighting the virus, they said.

“It just throws out money without accountability,” House Republican Leader Kevin McCarthy said.

Democrats pointed to a recent Quinnipiac University poll showing 68% of Americans supported the package, including 47% of Republicans, with just 37% of Republicans opposing it.

“This critical legislation has support from Americans across the country and the political spectrum, and yet Republicans in Congress are trying to stand in the way,” said Jamie Harrison, chairman of the Democratic National Committee.

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The House vote amounted to a successful first test for Democrats, who hold a narrow 221-211 majority in the chamber. Progressives and moderates in the party who are often at odds will face tougher battles ahead on immigration and climate change initiatives that Biden wants to push.

The president has focused his first weeks in the office on tackling the greatest U.S. public health crisis in a century, which has upended most American life aspects.

Democrats aim to get the bill to him to sign into law before mid-March when enhanced unemployment benefits and some other aid types are due to expire.

The action now moves to the Senate, where Democratic Vice President Kamala Harris may have to cast a tie-breaking vote in a chamber where Republicans control 50 seats and Democrats and their allies control the other 50.

FATE OF MINIMUM WAGE HIKE UNCLEAR

Democrats will have to sort out how to handle a proposed minimum-wage increase, which may have to be stripped from the bill due to the complicated rules that govern the Senate.

The House-passed bill would raise the national hourly minimum wage for the first time since 2009, to $15 from $7.25. The increase is a top priority for progressive Democrats.

However, the Senate’s rules expert said on Thursday that the wage hike did not qualify for special treatment that allows the rest of the bill to be passed with a simple majority, rather than the 60 votes needed to advance most legislation in the 100-seat chamber.

Pelosi predicted the relief bill would pass Congress with or without the increase and said Democrats would not give up on the matter.

It is not clear whether the minimum-wage hike would have survived the Senate even if it were to be kept in the bill. At least two Senate Democrats oppose it, along with most Republicans.

Some senators are floating a smaller increase, to the range of $10 to $12 per hour, while Democrats are considering a penalty for large corporations that do not voluntarily pay a $15 wage, according to a Democratic aide.

Efforts to craft a bipartisan coronavirus aid bill fizzled early on, shortly after Biden was sworn in as president on Jan. 20, following a series of bipartisan bills enacted in 2020.

(Reporting by Richard Cowan and Andy Sullivan; Additional reporting by Susan Cornwell, David Morgan, Eric Beech and Jarrett Renshaw; Writing by Andy Sullivan and John Whitesides; Editing by Scott Malone, Frances Kerry and Daniel Wallis)

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