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National Govt & Politics
In the fine print of the $2 trillion economic rescue package
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In the fine print of the $2 trillion economic rescue package

In the fine print of the $2 trillion economic rescue package

In the fine print of the $2 trillion economic rescue package

As Congress pushes ahead with a landmark economic stimulus plan to offset the negative impact of the Coronavirus, lawmakers not only put in provisions to funnel money to Americans and help businesses stay afloat, but also structured oversight for the billions in loans going to big businesses, and helped out a few specific players along the way.

First, if you want to read through the text of the bill as approved by the Senate on Wednesday night, you can find the 880 page bill here.

For those who want the short version, the table of contents for the bill gives you a good preview of what's to come.

Close

In the fine print of the $2 trillion economic rescue package

Now let's jump in and find a few interesting items in the bill.

+ 1. Restrictions aimed squarely at President Trump and his family. Section 4019 of the bill is titled, "Conflicts of Interest," and is intended to prohibit top government officials from benefiting in any way from the emergency aid being delivered in this bill. It lists the President, Vice President, member of Congress, top Executive Branch officials as people covered by this prohibition. But it goes further - adding, 'spouse, child, son-in-law, or daughter-in-law' as well. One GOP Senator pointed out the 'son-in-law' provision. "I wonder who that could be targeted towards," said Sen. James Lankford (R-OK) in a mocking tone, referring to Jared Kushner, as Lankford said Democrats were wrong to pursue such provisions. "A lot of this fight that we've had over the last three days is because they were demanding that there was no way the President, or any member of his family could get any benefit from this loan program at all," Lankford said. Democrats won those provisions.

Close

In the fine print of the $2 trillion economic rescue package

+ 2. Temporary tax break for makers of hand sanitizer. With various alcohol producers switching over some of their production in recent weeks to make hand sanitizer, this bill also provides a temporary exception to the excise tax on the alcohol used to make hand sanitizer products. To an outsider, it shouldn't be any big deal for a liquor producer to shift into production of hand sanitizer, but in reality - it can have pretty big tax implications in how the federal government deals with the process. For example, after a company makes over 100,000 gallons of alcohol, the tax goes from $2.70 per gallon to over $13 per gallon. This provision on page 212 would allow those hand sanitizer products to be made without being hit by those higher taxes. Here was the social media appeal from one company in Maryland.

3. Special oversight for economic recovery spending. As part of provisions providing public insight into what companies get what kind of aid from the federal government, this bill sets up a special Inspector General inside the Treasury Department dealing with the 'Pandemic Recovery.' The internal watchdog would be charged with "audits and investigations of the making, purchase, management, and sale of loans, loan guarantees, and other investments made by the Secretary of the Treasury under any program established by the Secretary under this Act." There is also a new 'Congressional Oversight Commission,' with members appointed by various parts of the government, to oversee the operations of this economic recovery effort - all to guide against favoritism, and any questionable financial awards - much like there was with the Obama stimulus in 2009.

Close

In the fine print of the $2 trillion economic rescue package

4. Postal Service gets special loan help. Just like after the anthrax attacks following Nine Eleven, the U.S. Postal Service finds itself in a crunch with the Coronavirus. Not only are some employees getting sick, but mail volume is going down - and that's leading to an even bleaker financial outlook. The Coronavirus rescue bill does not give a blank check to the Postal Service, but instead allows it to borrow up to $10 billion from the U.S. Treasury. Page 607 of the bill specifically says the money can only be used to pay for operating expenses - and not any outstanding debt of the Postal Service. The bill also orders the Postal Service to prioritize the delivery of medical products related to the Coronavirus, and also gives the Postal Service the right to establish "temporary delivery points" during the outbreak, in order to shield employees from the virus.

5. Miscellaneous Provisions. Any reporter who has gone through Congressional spending bills starts to get a little excited when you get to the section labeled 'Miscellaneous Provisions' - and this bill does not disappoint. Starting on page 609, there is a laundry list of extra money sent to various government agencies to deal with the Coronavirus. Some, like money for food safety won't raise any eyebrows. But others were quickly getting the thumbs down from some GOP lawmakers who actually read their way through the details of the bill.

6. There is no Congressional Pay Raise. Let me say it again. There is no pay raise for members of the House and Senate, no matter what you read on Twitter or Facebook. The troublemakers on Twitter didn't take long in spreading fake news about the details of this bill, accusing lawmakers of voting themselves a pay raise. Let me be very clear - that did *not* happen in this bill. There is no reference to the underlying federal code which governs the pay of lawmakers (section 601(a) of the Legislative Reorganization Act of 1946 (2 U.S.C. 4501)).  Is there extra money for Congress in this bill? Yes, there is. The Senate gets $10 million, and the House gets $25 million. Where would that money go? It doesn't take too much imagination to come up with items like extra medical, safety, and security precautions for 435 members of the House. Expanded telework with laptops, servers, and more. Cleaning crews to deal with any outbreaks that might touch Congressional offices or the Capitol complex. And finally, even if lawmakers voted themselves a pay raise, they would not be allowed to get any extra money until the new Congress. That's not a law - that's in the Constitution.

Close

In the fine print of the $2 trillion economic rescue package

Read More
  • After talking for days about relaxing federal calls for Americans to drastically restrict their social activities in order to curb the spread of the Coronavirus, President Donald Trump said on Sunday that he would be extending those guidelines through the end of April, after new estimates showed the threat of a huge number of deaths from the virus outbreak. 'The peak in death rate is likely to hit in two weeks,' the President told reporters gathered in the Rose Garden. 'Nothing would be worse than declaring victory before the victory is won.' 'We will be extending our guidelines to April 30, to slow the spread,' Mr. Trump said, urging Americans to help by limiting their social activities.  'The better you do, the faster this whole nightmare will end,' the President added. The President said the decision was made after new modeling made available to the White House estimated the death totals from the Coronavirus could run over 1 million unless strong mitigation efforts were taken by Americans. At the White House, top federal experts endorsed the President's course change. 'We feel that the mitigation we are doing right now is having an effect 'The decision to prolong - not prolong, but extend - this mitigation process until the end of April, I think was a wise and prudent decision,' said Dr. Anthony Fauci. White House Coronavirus expert Dr. Deborah Birx said the 'growing number of potential fatalities' shown by the models made clear the need for more action to hold down the spread of the virus. Birx told reporters it is 'not a simple situation when you ask people to stay home for another 30 days, so they have to know that we really built this on scientific evidence and the potential to save hundreds of thousands of American lives.' “To every metro area out there, we have to do better,' Dr. Birx said at the Sunday briefing.
  • The mayors of OKlahoma's two largest cities have announced they will expand and more closely enforce “stay at home” measures for the general public as part of the response to the coronavirus pandemic. Tulsa Mayor G.T. Bynum enacted a 'Shelter in Place' order on Saturday for all age groups in the city to last from March 28 to April 16.  The 'Safer at Home' order mirrors the executive order made by Governor Stitt on Tuesday.   Mayor Bynum's order was announced hours after 7 more COVID-19 deaths were reported by the Oklahoma State Department of Health.
  • With some public friction over the federal Coronavirus response, President Donald Trump on Friday again singled out the Governor of Michigan and the Governor of Washington State for criticism, telling reporters that he had discouraged Vice President Mike Pence from calling either one to discuss the virus response. 'When they're not appreciative to me, they're not appreciative to the Army Corps (of Engineers), they're not appreciative to FEMA. It's not right,' President Trump said at a Friday White House briefing. 'All I want them to do, very simple, I want them to be appreciative,' the President added. 'We've done a great job,' the President said. 'I think the media and governors should appreciate it.' The President's comments came as he continued to spar long distance with Gov. Jay Inslee (D) of Washington State, and Gov. Gretchen Whitmer (D) of Michigan. Inslee has already been a frequent target of the President - who referred to him in one briefing as a 'snake' - acknowledging that he has urged Vice President Pence not to call the Washington Democrat. 'I say Mike, don't call the Governor of Washington, you're wasting your time with him,' Mr. Trump said. 'Don't call the woman in Michigan.' In an interview Thursday night with Sean Hannity on Fox News, the President took aim at Whitmer, who has complained of troubles in getting medical supplies for hospitals to combat the virus outbreak. 'We’ve had a big problem with the young, a woman governor, you know who I’m talking about from Michigan,' the President said. While Gov. Whitmer went on TV to respond to the President, Inslee used Mr. Trump's favored mode of social media. 'I’m not going to let personal attacks from the president distract me from what matters: beating this virus and keeping Washingtonians healthy,' Inslee tweeted. While Inslee avoided barbs from the White House on Friday night, Whitmer did not. “Governor, Gretchen “Half” Whitmer is way in over her ahead, she doesn’t have a clue,” the President tweeted. Michigan has become a flash point in recent days in the fight to stop the Coronavirus; 32 deaths were announced on Friday, almost as many as the two previous days combined. 28 deaths were announced on Friday in Washington State, raising the death toll there to 175 people, second most of any state.
  • It was a scary day on Friday for Oklahoma Congressman Markwayne Mullin, who sent a message on Twitter that his son Jim took a bad fall while playing with his brothers at the family's ranch and hit his head. “He was unconscious and his vitals were very weak.  They had to life-flight him to Tulsa,” Mullin said in a video clip that he posted to Twitter as he was on his way back to Tulsa from Washington D.C. Since he first got word about the accident from his wife, he says his son has improved and was due released soon, Mullin citing the need to free up beds at the hospital for the Covid-19 crisis. He also voiced his appreciation for the prayers that were sent to him by friends and supporters.
  • With the backing of the White House and leaders in both parties, the U.S. House on Friday approved an emergency economic rescue plan to help the economy deal with the negative impact of the Coronavirus outbreak, as lawmakers on both sides put aside their differences on the details of the over $2 trillion package.  President Trump signed it into law several hours later. 'We need to support this bill now,' said Rep. Donna Shalala (D-FL). 'The coronavirus has been a nuclear bomb to our economy,' said Rep. Bill Johnson (R-OH). 'We've never faced a public health crisis of this magnitude,' said Rep. Sylvia Garcia (D-TX). The main theater in the House Chamber during debate was not about who was for or against the bill, but whether Rep. Tom Massie (R-KY) would follow through on his threat to force a recorded vote on the measure, amid questions about whether enough lawmakers were present for a quorum. Under the rules, Massie - who did not speak during the debate - needed the support of several dozen lawmakers to force a vote. But Massie did not get that backing, and the bill was approved on a voice vote, to the applause of lawmakers, who sat both on the House floor, and in the galleries above. In debate, lawmakers of both parties expressed concerns about how their local hospitals might not be able to deal with an outbreak of the virus. 'For those from rural districts like mine, our hospitals cannot handle the onslaught of patients,' said Rep. Mike Rogers (R-AL). 'Hospitals in my district face a situation as dire as it has been in my 18 years in Congress.' Lawmakers who flew back to Washington for the debate said the impact on the airline industry was obvious. 'There were two members of Congress on the plane out of a total of four passengers,' said Rep. Rodney Davis (R-IL), who flew from St. Louis.  'You don't think that industry is on the brink of collapse - use it right now, and you will see,' Davis added. The House vote came as a third member of the House announced that he had tested positive, Rep. Joe Cunningham, a freshman Democrat from South Carolina. The package includes direct checks to Americans, billions in emergency aid for businesses big and small, money for state and local governments, and help for hospitals fighting the Coronavirus. “This is the biggest economic and health crisis the country has ever faced,” said Rep. Rosa DeLauro (D-CT).

Washington Insider

  • After talking for days about relaxing federal calls for Americans to drastically restrict their social activities in order to curb the spread of the Coronavirus, President Donald Trump said on Sunday that he would be extending those guidelines through the end of April, after new estimates showed the threat of a huge number of deaths from the virus outbreak. 'The peak in death rate is likely to hit in two weeks,' the President told reporters gathered in the Rose Garden. 'Nothing would be worse than declaring victory before the victory is won.' 'We will be extending our guidelines to April 30, to slow the spread,' Mr. Trump said, urging Americans to help by limiting their social activities.  'The better you do, the faster this whole nightmare will end,' the President added. The President said the decision was made after new modeling made available to the White House estimated the death totals from the Coronavirus could run over 1 million unless strong mitigation efforts were taken by Americans. At the White House, top federal experts endorsed the President's course change. 'We feel that the mitigation we are doing right now is having an effect 'The decision to prolong - not prolong, but extend - this mitigation process until the end of April, I think was a wise and prudent decision,' said Dr. Anthony Fauci. White House Coronavirus expert Dr. Deborah Birx said the 'growing number of potential fatalities' shown by the models made clear the need for more action to hold down the spread of the virus. Birx told reporters it is 'not a simple situation when you ask people to stay home for another 30 days, so they have to know that we really built this on scientific evidence and the potential to save hundreds of thousands of American lives.' “To every metro area out there, we have to do better,' Dr. Birx said at the Sunday briefing.
  • With some public friction over the federal Coronavirus response, President Donald Trump on Friday again singled out the Governor of Michigan and the Governor of Washington State for criticism, telling reporters that he had discouraged Vice President Mike Pence from calling either one to discuss the virus response. 'When they're not appreciative to me, they're not appreciative to the Army Corps (of Engineers), they're not appreciative to FEMA. It's not right,' President Trump said at a Friday White House briefing. 'All I want them to do, very simple, I want them to be appreciative,' the President added. 'We've done a great job,' the President said. 'I think the media and governors should appreciate it.' The President's comments came as he continued to spar long distance with Gov. Jay Inslee (D) of Washington State, and Gov. Gretchen Whitmer (D) of Michigan. Inslee has already been a frequent target of the President - who referred to him in one briefing as a 'snake' - acknowledging that he has urged Vice President Pence not to call the Washington Democrat. 'I say Mike, don't call the Governor of Washington, you're wasting your time with him,' Mr. Trump said. 'Don't call the woman in Michigan.' In an interview Thursday night with Sean Hannity on Fox News, the President took aim at Whitmer, who has complained of troubles in getting medical supplies for hospitals to combat the virus outbreak. 'We’ve had a big problem with the young, a woman governor, you know who I’m talking about from Michigan,' the President said. While Gov. Whitmer went on TV to respond to the President, Inslee used Mr. Trump's favored mode of social media. 'I’m not going to let personal attacks from the president distract me from what matters: beating this virus and keeping Washingtonians healthy,' Inslee tweeted. While Inslee avoided barbs from the White House on Friday night, Whitmer did not. “Governor, Gretchen “Half” Whitmer is way in over her ahead, she doesn’t have a clue,” the President tweeted. Michigan has become a flash point in recent days in the fight to stop the Coronavirus; 32 deaths were announced on Friday, almost as many as the two previous days combined. 28 deaths were announced on Friday in Washington State, raising the death toll there to 175 people, second most of any state.
  • With the backing of the White House and leaders in both parties, the U.S. House on Friday approved an emergency economic rescue plan to help the economy deal with the negative impact of the Coronavirus outbreak, as lawmakers on both sides put aside their differences on the details of the over $2 trillion package.  President Trump signed it into law several hours later. 'We need to support this bill now,' said Rep. Donna Shalala (D-FL). 'The coronavirus has been a nuclear bomb to our economy,' said Rep. Bill Johnson (R-OH). 'We've never faced a public health crisis of this magnitude,' said Rep. Sylvia Garcia (D-TX). The main theater in the House Chamber during debate was not about who was for or against the bill, but whether Rep. Tom Massie (R-KY) would follow through on his threat to force a recorded vote on the measure, amid questions about whether enough lawmakers were present for a quorum. Under the rules, Massie - who did not speak during the debate - needed the support of several dozen lawmakers to force a vote. But Massie did not get that backing, and the bill was approved on a voice vote, to the applause of lawmakers, who sat both on the House floor, and in the galleries above. In debate, lawmakers of both parties expressed concerns about how their local hospitals might not be able to deal with an outbreak of the virus. 'For those from rural districts like mine, our hospitals cannot handle the onslaught of patients,' said Rep. Mike Rogers (R-AL). 'Hospitals in my district face a situation as dire as it has been in my 18 years in Congress.' Lawmakers who flew back to Washington for the debate said the impact on the airline industry was obvious. 'There were two members of Congress on the plane out of a total of four passengers,' said Rep. Rodney Davis (R-IL), who flew from St. Louis.  'You don't think that industry is on the brink of collapse - use it right now, and you will see,' Davis added. The House vote came as a third member of the House announced that he had tested positive, Rep. Joe Cunningham, a freshman Democrat from South Carolina. The package includes direct checks to Americans, billions in emergency aid for businesses big and small, money for state and local governments, and help for hospitals fighting the Coronavirus. “This is the biggest economic and health crisis the country has ever faced,” said Rep. Rosa DeLauro (D-CT).
  • As Congress pushes ahead with a landmark economic stimulus plan to offset the negative impact of the Coronavirus, lawmakers not only put in provisions to funnel money to Americans and help businesses stay afloat, but also structured oversight for the billions in loans going to big businesses, and helped out a few specific players along the way. First, if you want to read through the text of the bill as approved by the Senate on Wednesday night, you can find the 880 page bill here. For those who want the short version, the table of contents for the bill gives you a good preview of what's to come. Now let's jump in and find a few interesting items in the bill. + 1. Restrictions aimed squarely at President Trump and his family. Section 4019 of the bill is titled, 'Conflicts of Interest,' and is intended to prohibit top government officials from benefiting in any way from the emergency aid being delivered in this bill. It lists the President, Vice President, member of Congress, top Executive Branch officials as people covered by this prohibition. But it goes further - adding, 'spouse, child, son-in-law, or daughter-in-law' as well. One GOP Senator pointed out the 'son-in-law' provision. 'I wonder who that could be targeted towards,' said Sen. James Lankford (R-OK) in a mocking tone, referring to Jared Kushner, as Lankford said Democrats were wrong to pursue such provisions. 'A lot of this fight that we've had over the last three days is because they were demanding that there was no way the President, or any member of his family could get any benefit from this loan program at all,' Lankford said. Democrats won those provisions. + 2. Temporary tax break for makers of hand sanitizer. With various alcohol producers switching over some of their production in recent weeks to make hand sanitizer, this bill also provides a temporary exception to the excise tax on the alcohol used to make hand sanitizer products. To an outsider, it shouldn't be any big deal for a liquor producer to shift into production of hand sanitizer, but in reality - it can have pretty big tax implications in how the federal government deals with the process. For example, after a company makes over 100,000 gallons of alcohol, the tax goes from $2.70 per gallon to over $13 per gallon. This provision on page 212 would allow those hand sanitizer products to be made without being hit by those higher taxes. Here was the social media appeal from one company in Maryland. 3. Special oversight for economic recovery spending. As part of provisions providing public insight into what companies get what kind of aid from the federal government, this bill sets up a special Inspector General inside the Treasury Department dealing with the 'Pandemic Recovery.' The internal watchdog would be charged with 'audits and investigations of the making, purchase, management, and sale of loans, loan guarantees, and other investments made by the Secretary of the Treasury under any program established by the Secretary under this Act.' There is also a new 'Congressional Oversight Commission,' with members appointed by various parts of the government, to oversee the operations of this economic recovery effort - all to guide against favoritism, and any questionable financial awards - much like there was with the Obama stimulus in 2009. 4. Postal Service gets special loan help. Just like after the anthrax attacks following Nine Eleven, the U.S. Postal Service finds itself in a crunch with the Coronavirus. Not only are some employees getting sick, but mail volume is going down - and that's leading to an even bleaker financial outlook. The Coronavirus rescue bill does not give a blank check to the Postal Service, but instead allows it to borrow up to $10 billion from the U.S. Treasury. Page 607 of the bill specifically says the money can only be used to pay for operating expenses - and not any outstanding debt of the Postal Service. The bill also orders the Postal Service to prioritize the delivery of medical products related to the Coronavirus, and also gives the Postal Service the right to establish 'temporary delivery points' during the outbreak, in order to shield employees from the virus. 5. Miscellaneous Provisions. Any reporter who has gone through Congressional spending bills starts to get a little excited when you get to the section labeled 'Miscellaneous Provisions' - and this bill does not disappoint. Starting on page 609, there is a laundry list of extra money sent to various government agencies to deal with the Coronavirus. Some, like money for food safety won't raise any eyebrows. But others were quickly getting the thumbs down from some GOP lawmakers who actually read their way through the details of the bill. 6. There is no Congressional Pay Raise. Let me say it again. There is no pay raise for members of the House and Senate, no matter what you read on Twitter or Facebook. The troublemakers on Twitter didn't take long in spreading fake news about the details of this bill, accusing lawmakers of voting themselves a pay raise. Let me be very clear - that did *not* happen in this bill. There is no reference to the underlying federal code which governs the pay of lawmakers (section 601(a) of the Legislative Reorganization Act of 1946 (2 U.S.C. 4501)).  Is there extra money for Congress in this bill? Yes, there is. The Senate gets $10 million, and the House gets $25 million. Where would that money go? It doesn't take too much imagination to come up with items like extra medical, safety, and security precautions for 435 members of the House. Expanded telework with laptops, servers, and more. Cleaning crews to deal with any outbreaks that might touch Congressional offices or the Capitol complex. And finally, even if lawmakers voted themselves a pay raise, they would not be allowed to get any extra money until the new Congress. That's not a law - that's in the Constitution.
  • The morning after the U.S. Senate unanimously approved an unprecedented $2 trillion economic rescue package to confront the negative impact of the Coronavirus outbreak, House Speaker Nancy Pelosi told reporters that she was already thinking ahead to the next Congressional move to spur economic growth. 'We have to do more,' the Speaker said at a U.S. Capitol news conference, as she told reporters about a phone conversation with Jerome Powell, the Chairman of the Federal Reserve. 'The Chairman of the Fed, Mr. Powell said to me, interest rates are low, think big,'  'There's no question that more money will be needed,' Pelosi added, as she indicated there would be support to funnel more money directly to Americans. 'I don't think we've seen the end of direct payments,' the Speaker said. Pelosi said the House would vote Friday to approve the $2 trillion economic package, most likely by a voice vote. 'We will have a victory tomorrow for America's workers. If somebody has a different point of view they can put that in the record,' the Speaker said.