On the economic front, the Federal Reserve announced Monday it will lend to small and large businesses and local governments as well as extend its bond-buying programs as part of a series of sweeping steps to support the flow of credit through an economy ravaged by the viral outbreak.
With a population on edge and shell-shocked financial markets entering a new work week, Washington labored under the size and scope of a rescue package that’s more ambitious than any in recent times — larger than the 2008 bank bailout and 2009 recovery act combined.
Democrats are particularly fighting for constraints on the largely Republican-led effort to provide $500 billion for corporations. Democrats call that a “slush fund.”
Democrats won a concession — to provide four months of expanded unemployment benefits, rather than just three as proposed, according to an official granted anonymity to discuss the private talks. The jobless pay also would extend to self-employed and so-called gig workers.
But Republicans complained Democrats were holding out for more labor protections for workers, wanting assurances that corporations taking federal aid will commit to retaining their employees.
Alarms were being sounded from coast to coast about the wave of coronavirus cases about to crash onto the nation’s health system.
New York City Mayor Bill de Blasio said from the pandemic’s U.S. epicenter: “April and May are going to be a lot worse.” On NBC’s “Meet the Press,” he all but begged Washington to help procure ventilators and other medical supplies and accused the Republican president of “not lifting a finger” to help.
Trump urged Congress to get a deal done and, during the Sunday briefing, responded to criticism that his administration was sluggish to act. He cited his cooperation with the three states hardest hit — New York, Washington and California — and invoked a measure to give governors flexibility in calling up the national guard under their control, while the federal government covers the bill.
But even as Trump stressed federal-local partnerships, some governors, including Republican Greg Abbott of Texas, expressed unhappiness with Washington’s response. The president himself took a swipe at Democratic Gov. J. B. Pritzker of Illinois, saying that he and “a very small group of certain other Governors, together with Fake News” should not be “blaming the Federal Government for their own shortcomings.”
The urgency to act is mounting, as jobless claims skyrocket and financial markets are eager for signs that Washington can soften the blow of the health-care crisis and what experts say is a looming recession.
Central to the package is as much as $350 billion for small businesses to keep making payroll while workers are forced to stay home. There is also a one-time rebate check of about $1,200 per person, or $3,000 for a family of four, as well as the extended unemployment benefits.
Hospitals would get about $110 billion for the expected influx of sick patients, said Mnuchin.
For most people, the new coronavirus causes only mild or moderate symptoms, such as fever and cough. For some, especially older adults and people with existing health problems, it can cause more severe illness, including pneumonia. The vast majority of people recover from the new virus. According to the World Health Organization, people with mild illness recover in about two weeks, while those with more severe illness may take three to six weeks to recover.
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Bev Banks contributed. Associated Press writers Jill Colvin, Colleen Long, Hope Yen, Mary Clare Jalonick, Ricardo Alonso-Zaldivar, Alan Fram and Padmananda Rama contributed to this report.