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Tribune News Service
Tribune News Service
National
Jennifer Shutt, Bridget Bowman and Mary Ellen McIntire

GOP mulls possible fallbacks as coronavirus aid talks stumble

WASHINGTON _ As Senate Majority Leader Mitch McConnell prepares to unveil the GOP's opening pandemic relief bid, Republicans and the White House have discussed a possible short-term extension of expanded unemployment insurance benefits that would otherwise expire at the end of July.

Several GOP lawmakers said Wednesday they are trying to figure out a way to avoid millions of Americans losing the entire $600 weekly increase above state benefits that Congress approved back in March.

One possibility floated was a temporary extension, perhaps at a lesser amount, while states are given time to ramp up a new pandemic unemployment relief system that would calculate benefits for individuals that don't exceed what they were earning previously.

"I think it would be probably smart for us to allow the states to come up with a system that's fair and works better," said Rob Portman, R-Ohio. "And that would probably be a percentage of the state benefit. But it's going to take a couple months for states to get up to speed on that. Probably a two-month period."

According to an analysis by House Ways and Means Committee Democrats, the average nationwide loss in weekly benefits if the current expanded unemployment insurance program lapses will be 64%. In states that paid less to begin with, which are more typically GOP-leaning, the average loss will be greater than in states that paid higher benefits, like Massachusetts, New Jersey and Hawaii.

The benefit cut will actually kick in next week in most states, since they pay unemployment insurance for weeks ending on Saturday, not Friday, which is when July 31 falls this year.

Senate Republicans are also trying to figure out how to address a pending expiration of rental and mortgage assistance _ possibly forcing a wave of evictions and spike in homelessness.

Talk of temporary Band-Aids indicate Republican leaders on Capitol Hill don't think a massive COVID-19 aid package can be enacted by the end of next week, and that some temporary relief may be needed until congressional leaders and the Trump administration can reach an agreement.

"It's still in the mix and the discussions come down to both the duration _ how long _ and at what price point," Senate Republican Conference Chairman John Barrasso of Wyoming told reporters regarding a short-term extension of higher unemployment insurance benefits.

Marco Rubio, R-Fla., said he would consider supporting a short-term extension of the unemployment benefits depending on bill language.

"It would depend on how long that extension is for. If it's for two more weeks to get us to August 6 or something like that, that might be something I consider," he said.

Portman said he'd prefer to wrap up negotiations and votes on the next aid package before the end of next week. If that cannot happen, however, he said Congress must address unemployment benefits. "We don't want to have a cliff," Portman said.

Not all Republicans are supportive, citing ongoing frustration that the increase to unemployment benefits led some Americans to earn more while out of work than if they had returned to the workforce in the middle of the pandemic.

"I'm not in favor of any premium extension for unemployment," said David Perdue, R-Ga. "What I'd prefer is if you want to give a few bucks to people, put it in a direct payment. But right now, we have provided an incentive not to go back to work, which is what that's been."

The administration has extended a moratorium enacted in the March relief package on evictions from federally backed housing, estimated to impact roughly 12.3 million households, set to expire this Friday, through Aug. 31. But that's during a recess and there's no guarantee of further extensions without codifying it in statute.

Sen. Elizabeth Warren, D-Mass., and Chris Van Hollen, D-Md., advocated Wednesday for provisions in a House-passed relief package as well as separate Senate legislation that provide $175 billion to help people pay their rent or mortgages, as well as instituting a yearlong ban on evictions and foreclosures.

"This bill protects renters from losing their housing, if they lose their job or have their hours cut during this crisis and can't make their housing payment. The bill extends the federal eviction moratorium to last one year, instead of expiring this week," Warren said during a news conference.

Senate Banking Chairman Michael D. Crapo, R-Idaho, told reporters the emerging GOP proposal would likely address the eviction issue in some form but declined to comment on specifics.

"I think the issue is important, and it does need to be dealt with in this legislation. The exact form of how it's dealt with depends on a number of the other pieces of the bill that is being put together right now. So I can't give you specifics," he said. "We've got to look at the entire picture before we can describe exactly how any single piece will look."

Trump administration officials have met with congressional leaders several times this week and more meetings are in the offing, including with top Senate GOP appropriators Wednesday night.

Republicans remain committed to introducing their own legislative proposal as a starting point for talks, despite heavy lifting so far just to get on the same page internally.

"I understood it's imminent but I don't know what that means," said John Cornyn, R-Texas, after eating lunch with other GOP senators. "But it's _ this is just going to be a starting place for further discussion."

McConnell did not mention the virus or negotiations during his opening remarks on the Senate floor Wednesday.

His Democratic counterpart, Charles E. Schumer, criticized Republicans for getting so close to the deadline before starting to draft their opening bid together.

"I have never seen a political party in the middle of a crisis so tied into a knot that the Republican leader can't even mention it in his speech and spends time ranting against favorite targets of the far right," Schumer said.

McConnell later told reporters that he's "hopeful," declining to mention specifics.

"Well we're hopeful we'll be able to get there," he said. "This discussion's just really just begun in earnest."

Kevin Cramer, R-N.D., said "it's definitely feasible" the Senate leaves for August recess without passing a broader aid package. But he predicted McConnell may use scheduling threats to get obstinate senators to move.

"The leader is a very savvy manager of the calendar and a threat to come back during recess would be probably just the thing to get us to pass something before recess," he said.

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