WASHINGTON – Senate Democrats are divided over who should receive the next round of stimulus payments, creating a dispute as they try to approve checks for $ 1,400 in the next Covid-19 aid package.
The most recent round of stimulus checks has been cut for people who earn over $ 99,000 a year or couples who earn over $ 198,000. President Joe Biden recommended the same limit in his $ 1.9 trillion Covid-19 aid package.
But some Democrats want that income cap to be lowered.
Senator Joe Manchin, DW.Va., wants to “ensure that high-income taxpayers are not eligible” for checks, according to a non-binding amendment that he and several other Democrats plan to make during the vote on budget documents.
But Manchin’s text does not define “higher income” – a term that has been used by lawmakers to describe a wide range of wealth.
And even the co-sponsors of the Manchin amendment disagree about what the limit should be.
Manchin does not want checks for individuals who earn more than $ 75,000 a year, or couples who earn $ 150,000, his office said. He wants the amount to start decreasing to $ 50,000 per person, or $ 100,000 per couple.
Senator Angus King, I-Maine, who supports the Manchin amendment, said he did not have a “detailed limit in mind”, but believes it should be “refined”.
“I think it needs to be reduced from what the president proposed,” said King.
The Manchin amendment was passed by a 99-1 vote as part of the “vote-a-rama” on Thursday, as part of the budget vehicle Democrats are using to pass a bill without requiring the support of the Republican Party . But that was not an indicator of agreement – after all, senators define “high income” differently.
In addition to Manchin and King, Democratic co-sponsors were Jon Tester of Montana, Kyrsten Sinema and Mark Kelly of Arizona, Maggie Hassan and Jeanne Shaheen of New Hampshire, John Hickenlooper of Colorado and Mark Warner of Virginia.
The amendment comes after Biden told Democrats in a conference call on Wednesday that he would not give up the $ 1,400 payment amount because he “will not start my government by breaking a promise to the American people”. But he opened the door to adjust income levels.
“Maybe we can – I think we can target that number better. I’m fine with that,” he told Democrats, according to a source on the call.
Asked how he defines higher income, Tester said: “I think beauty is in the eye of the beholder, it depends on who you want to talk to. But I think the purpose of the change is that it is negotiable, so we can try to get some people on board. “
“Joe warned me and I said, ‘Joe, it looks reasonable.’ That’s the reason Joe gave it to me. And I agree, “said Tester.
But some leading Democrats do not want to decrease the level of eligibility for checks.
Senate finance president Ron Wyden, D-Ore., Who will be a key figure in drafting reconciliation legislation, told NBC News that “it is not to change the limit” because that would exclude many Americans who are expecting relief .
“People who have received two checks are already expecting a third one based on the promises and what was said during the campaign,” he said on Thursday. “They have accumulating bills and have trouble paying for car insurance.”
Senate Budget President Bernie Sanders, I-Vt., Who is leading the reconciliation process, said he would “insist” on a limit of $ 75,000 per person and $ 150,000 per couple before starting to decrease – the same eligibility the last direct payment.
He said Democrats agree that Americans who earn more than that should not be paid.
“I don’t think there is much argument – we don’t want to see people making $ 300,000 to $ 400,000 from it,” he said.
Among the Democrats opposed to a lower cut is Georgia’s Senator Jon Ossoff, who won the January 6 competitive second round after campaigning heavily with stimulus checks.
“I am advocating that we should grow and deliver as much direct relief as possible to people,” said Ossoff on Thursday.