Lawmakers block Trump’s requested changes on coronavirus bill

By Andy Sullivan and Richard Cowan

WASHINGTON (Reuters) – Republicans and Democrats in the U.S. House of Representatives on Thursday blocked attempts to alter a $2.3 trillion coronavirus aid and government spending package, leaving its status in doubt after President Donald Trump demanded extensive changes to the legislation.

Democrats sought to increase direct payments to Americans included in the bill from $600 to $2,000 per person as part of a coronavirus economic relief initiative, acting on one of Trump’s requests. Republicans, who oppose the higher amount, blocked that request.

Republicans then moved to change the amount of foreign aid included in the package, seeking to address another one of Trump’s complaints. Democrats blocked that effort.

The flurry of activity on the House floor did nothing to break a standoff that threatens desperately needed assistance for millions of Americans and raises the prospect of a partial government shutdown at a time when officials are trying to distribute two coronavirus vaccines.

The 5,500-page bill took months to negotiate and was supported by Trump’s administration.

With the status quo unchanged, it was unclear whether Trump would sign the package into law or hold out for further action.

Without his signature, unemployment benefits for those thrown out of work by the pandemic are due to expire as soon as Saturday, and the U.S. government would be forced into a partial shutdown starting on Tuesday.

(Reporting by Andy Sullivan; Editing by Noeleen Walder and Howard Goller)

U.S. Congress in sprint to fund government, approve COVID-19 emergency aid

By Richard Cowan

WASHINGTON (Reuters) – The U.S. Congress will try this week to end months of indecision and infighting over the federal government’s budget priorities and coronavirus aid, with more than $2 trillion in funding from Washington potentially at stake.

Lawmakers, facing a midnight Friday deadline, will scurry to put the finishing touches on a $1.4 trillion spending bill for the fiscal year that began Oct. 1.

At stake are funds for federally run programs ranging from healthcare, homeland security and military readiness to foreign aid, national parks and nutrition programs. They have been operating on temporary funding since October.

Without a deal, the government must begin shutting non-emergency programs and furloughing many workers.

Members of the Republican-run Senate and Democratic-led House of Representatives, who fear negotiations could extend through the Christmas holiday, have a second major task: deciding the contours of a coronavirus aid bill that could approach $1 trillion amid a worsening pandemic that has claimed the lives of nearly 300,000 Americans.

Some moderate lawmakers on Sunday dismissed suggestions that a $908 billion bipartisan coronavirus aid proposal was languishing.

“The plan is alive and well and there’s no way, no way that we are going to leave Washington without taking care of the emergency needs of our people,” Democratic Senator Joe Manchin told Fox News, saying the proposal would be introduced formally on Monday.

A person briefed on the matter said the authors now planned to divide the measure into two separate proposals, which could be voted on separately. One would be a $748 billion proposal including small businesses, the jobless and COVID-19 vaccine distribution.

The other would include major sticking points such as coronavirus-related liability protections for business, which are backed by Republicans, and $160 billion for state and local governments, a Democratic priority.

Lawmakers are hoping to attach the aid to the government funding measure.

Local public health agencies worry that without a deal on either of the two bills, they will not have enough money to carry out a massive COVID-19 vaccination program.

The first shipments of Pfizer Inc’s newly approved vaccine were delivered on Sunday.

WHO WINS AND WHO LOSES?

With the twin goals of stimulating the struggling U.S. economy and financing purchases of medical supplies, Democrats and Republicans in Congress are faced with deciding who should receive new help from Washington – beyond over $3 trillion appropriated last spring – and who should not.

Democrats have been pushing hard for aid to state and local governments to insure against laying off more workers, including police, firefighters and emergency medical personnel.

Senate Majority Leader Mitch McConnell, a Republican, dismissed that on Friday as a “preposterous” federal handout for Democratic-leaning states that he says do not need it.

But even some of McConnell’s own Republicans disagreed.

Senator Lisa Murkowski of Alaska told reporters her state’s revenues had seen a 33 percent decline during the pandemic in an economy heavily dependent on summertime tourism.

“We’re a state that is really, really hurting right now,” Murkowski said on Friday, adding that many others are in the same situation.

The House’s No. 2 Democrat, Steny Hoyer, offered a glimmer of hope that a breakthrough might be possible, telling CNN on Sunday that Democrats “are not going to get everything we want. We think state and local (aid) is important. And if we can get that, we want to get it. But we want to get aid out to the people who are really, really struggling and are at grave risk.”

Congress also is divided over whether to do a second round of direct payments to Americans to help stimulate the economy.

“We have a history now of going to the 11th hour and 59th minute on all of this and it’s very unfortunate. That’s where we are,” lamented Republican Senator Pat Roberts, who is retiring at year’s end.

(Reporting by Richard Cowan; Additional reporting by Susan Cornwell and David Shepardson; Editing by Peter Cooney)

President-elect Biden’s hopes for Democratic agenda hang on Georgia runoffs

By Susan Cornwell

WASHINGTON (Reuters) – President-elect Joe Biden’s hopes of enacting major Democratic priorities like expanding healthcare access, fighting climate change and providing more coronavirus aid are going to hang on a pair of U.S. Senate races in Georgia in January.

Democrats fell short of their goal of taking a Senate majority and actually lost seats in the House of Representatives, making Republicans well positioned to block major Biden legislative initiatives.

That leaves Biden’s party with the daunting task of trying to unseat two incumbent Republican senators in the traditionally Republican-leaning state, where Biden himself holds just a narrow lead over President Donald Trump as vote-counting continues.

“We take Georgia, then we change the world,” Senate Democratic Leader Chuck Schumer declared in New York on Saturday. Georgia’s Republican Governor Brian Kemp also heralded the high-stakes January voting, calling on Republicans to unite and saying “the fight is far from over.”

Republicans appear poised to hold at least 50 of the Senate’s 100 seats next year, presuming that leads in North Carolina and Alaska hold. That makes winning the two Georgia runoffs pivotal in getting control of the Senate for Democrats. Vice President-elect Kamala Harris would be able to cast the tie-breaking vote in the Senate.

Georgia Republican Senator David Perdue, who is seeking a second term, received 49.8 % of the vote, compared to Democrat Jon Ossoff, who got 47.9%.

In the other contest, Black Democrat Reverend Raphael Warnock got 32.9% to Republican Senator Kelly Loeffler’s 25.9%. A third Republican, Representative Doug Collins, failed to make the runoff after coming in third with 20%.

DEMOCRATS HAVE A CHANCE

Georgia has not elected a Democratic senator for two decades, but changing demographics and the gradually improving Democratic performances in recent contests suggest the party has a chance at winning the Jan. 5 runoffs, political scientists say.

But those odds will largely depend on keeping voters engaged, said Andra Gillespie, a professor of political science at Emory University.

“Whichever party has the better turnout operation is the one that wins,” Gillespie said.

Voter mobilization efforts have boosted Democrats’ fortunes, she said. Registration campaigns, like the one led by Stacey Abrams, who narrowly lost the governor’s race in 2018, helped register thousands. But it remains to be seen if Georgia voters will come out in January as they did for November’s election, which featured the presidential ticket.

Both Perdue and Loeffler are Trump allies. But Loeffler ran strongly to the right this year to defeat fellow Republican Collins.

She accepted an endorsement from Marjorie Taylor Greene, a Republican congresswoman-elect who has promoted the baseless pro-Trump conspiracy theory QAnon. Loeffler has posted photos with herself on Twitter with members of a private militia group, and has called the Black Lives Matter movement, which protests police violence and racial injustice, a “Marxist” group.

Amy Steigerwalt, a political science professor at Georgia State University, asked whether Loeffler’s actions might now work against her in the runoff with Warnock — and in turn pull Perdue down since both Republicans will be on the ballot at the same time.

“Will she get a boost on some level from Perdue also running? … Or is it possible that now that there is more attention given to her and given to some of the positions that she took, that (could) honestly harm both of the Republican candidates?” Steigerwalt said.

“Democratic voters in particular in the exit polls mentioned that one of the main things that caused them to turn out was racial justice,” Steigerwalt said.

BIDEN GOALS AT STAKE

Biden’s cabinet picks and policy proposals would face choppy water if Republicans maintain a Senate majority. He pledged to strengthen and build on the Obamacare healthcare program. He also campaigned on a multi-trillion-dollar plan to curb carbon emissions and create jobs, and said he favored raising taxes on corporations and wealthy individuals.

Those goals would face stiff opposition with Republicans in charge of the Senate. There would likely be hard bargaining over any additional coronavirus aid, which a number of Republicans oppose.

On the other hand Biden, a former senator who campaigned as a centrist, has known the leader of the Senate Republicans, Majority Leader Mitch McConnell for years. They have struck deals together before, including an agreement to allow tax rates to rise on the wealthy late in 2012, when Biden was vice president. Last week, McConnell referred to Biden as an “old friend.”

“Look for him to drive long-standing priorities of his like infrastructure, where he could perhaps find support from a moderate Republican or two,” said Scott Mulhauser, a Democratic strategist who worked for Biden in the 2012 presidential election.

(Additional reporting by Andy Sullivan; Editing by Scott Malone and Aurora Ellis)

U.S. Senate kills $300 billion coronavirus aid bill

WASHINGTON (Reuters) – The U.S. Senate on Thursday killed a $300 billion coronavirus aid bill written by Senate Republican leadership, as Democrats blocked the measure on a procedural vote.

The Senate voted 52-47 to advance the bill, short of the 60 votes needed to continue debate on the measure.

(Reporting by Richard Cowan and Susan Cornwell; Editing by Doina Chiacu)

White House, Democrats show no sign of budging on U.S. coronavirus aid

By Susan Cornwell and Susan Heavey

WASHINGTON (Reuters) – A breakdown in talks between the White House and top Democrats in Congress over how to help tens of millions of Americans suffering in the coronavirus pandemic entered a fifth day on Wednesday, with neither side ready to resume negotiations.

U.S. Treasury Secretary Steven Mnuchin said there may be no deal to reach with House of Representatives Speaker Nancy Pelosi and Senate Democratic leader Chuck Schumer, with more than 5.16 million COVID-19 cases in the United States.

Pelosi described the two sides as “miles apart” with a “chasm” between them.

The global pandemic has taken a particularly heavy toll on the United States, where it has killed more than 164,000 people, more than any other country, and made tens of millions of workers jobless, who have now seen a further hit after $600 per week in additional federal unemployment benefits expired last month.

Congress has already approved about $3 trillion in assistance for families, hospitals, healthcare workers, state and local governments, vaccine research and testing.

Talks on a new package broke down last Friday after Democrats offered to reduce their demand for more than $3 trillion in additional aid by about $1 trillion, if the White House agreed to come up by a similar amount from an initial $1 trillion Republican proposal.

Sticking points include the size of an extended unemployment benefit, aid to state and local governments, money for schools to reopen and other issues.

Asked if deal was still possible, Mnuchin told Fox Business Network: “I can’t speculate. If the Democrats are willing to be reasonable, there’s a compromise. If the Democrats are focused on politics and don’t want to do anything that’s going to succeed for the president, there won’t be a deal.”

But Pelosi reiterated Democratic calls for the White House to “meet in the middle.”

“Until they’re ready to do that, it’s no use sitting in a room and letting them tell us that states should go bankrupt,” she told MSNBC. “As a practical matter, they’re going to have to come to the table.”

Senate Majority Leader Mitch McConnell, who did not join any of the negotiating sessions, blamed Pelosi and Schumer for the ongoing impasse.

“Republicans wanted to reach agreement on all these issues where we could find common ground and fight over the last few issues later.” McConnell said on the Senate floor.

“But the speaker and the Democratic leader say nothing can move unless very one of these unrelated far-left items tags along.”

A Reuters/Ipsos poll released on Wednesday found that Americans divide blame pretty evenly between Democrats and Republicans.

(Reporting by Susan Cornwell and Susan Heavey; Writing by David Morgan; Editing by Toby Chopra, Chizu Nomiyama and Jonathan Oatis)