Here’s what’s in the House’s $ 1.9 trillion American bailout plan

In an effort to provide financial relief to struggling families and increase the distribution of vaccinations across the country, House Democrats passed the $ 1.9 trillion American Rescue Plan on Saturday morning.

The project, which largely follows the economic plan that President Joe Biden released in January, includes funding for vaccine production and distribution, another round of stimulus payments for many families, an extension of federal unemployment benefits and more . House Speaker Nancy Pelosi (D-Calif.) Called this a “transformator” during the plenary debate on Friday night.

“The American people need to know that their government is on their side and, as President Biden said, help is on the way,” said Pelosi.

No Republicans voted for the bill. Conservatives are largely opposed to the size of the bill and the inclusion of clauses they say have nothing to do with the pandemic.

“Democrats are so ashamed of all the non-greedy waste of this bill that they are trying to pass it in the dead of night,” Republican Party leader Kevin McCarthy said during the debate.

The bill now goes to the Senate, where it must be approved, albeit with some potential changes. Here is a breakdown of some of the main provisions of the Chamber version.

In one of the most ambitious provisions, the bill institutes a fully refundable child tax credit for 2021, increasing the amount from $ 2,000 to $ 3,000 per child aged 6 to 17 and to $ 3,600 for children under 6.

These payments begin to decline for individuals who earn more than $ 75,000 a year or couples who earn more than $ 150,000.

Because they are fully reimbursable, qualified families would qualify for credit, no matter how little income they receive each year. These families would receive a check from the IRS.

The bill includes $ 30 billion in emergency rental assistance and an additional $ 5 billion to prevent Covid-19 outbreaks among homeless populations. Another $ 10 billion is earmarked for mortgage assistance. The bill does not directly extend the nationwide eviction moratorium, which is currently scheduled to expire at the end of March.

The stimulus project approved in late December also included $ 25 billion in emergency rentals.

One of the most controversial provisions in drafting the bill, an increase in the minimum wage to $ 15 an hour by 2025, was included in the House bill – but it is unlikely to reach the final law.

The Senate parliamentarian, a non-partisan official who decides which projects qualify for approval in the upper house via reconciliation, determined on Thursday that the minimum wage increase did not meet the standards that the legislation must meet in order to be approved by a simple majority. . Pelosi promised that Congress would address the minimum wage soon.

“The $ 7.25 minimum wage that exists now is, in many cases, an exploitation of the American worker,” said Pelosi. “And it is a cost for taxpayers because the minimum wage workers need food and housing assistance”.

The project provides financing for a third economic impact payment, in the amount of up to $ 1,400 per individual and dependent.

This time, individuals earning an adjusted gross income (AGI) of up to $ 75,000 (and couples earning up to $ 150,000) will receive $ 1,400 each, plus $ 1,400 for each dependent. Unlike previous stimulus payments, adult dependents qualify for this round. This means that many college students, adults with disabilities and elderly Americans will receive a check for the first time.

Payments are phased out, reaching $ 0 for individuals who earn an AGI above $ 100,000 a year and couples who earn more than $ 200,000 a year. Payments are based on 2019 or 2020 revenue, depending on when the taxpayer submits his 2020 income tax return.

Along with the $ 600 payments disbursed in January, the goal is to fulfill Biden’s promise of $ 2,000 in stimulus payments. Some critics disagree that this keeps the promise, arguing that the federal government should send payments of $ 2,000 in addition to the $ 600 check in January.

The project also extends the main unemployment programs after the current due date of March 14 to August 29. This is a month less than what Biden proposed in his original plan.

In addition to extending benefits to show workers and others who were not eligible to receive benefits before the pandemic, it also increases the enhanced federal payments from an extra $ 300 per week to $ 400.

The project allocates $ 20 billion to create a national Covid-19 vaccination program and an additional $ 50 billion for virus testing. The program aims to help establish community vaccination sites across the country and eliminate vaccine shortages.

Finally, the American Rescue Plan also provides financing for schools, restaurants and bars, state and local aid, production and distribution of vaccines and paid leave, among other provisions.

Now, the Senate is likely to approve a different version of the bill. The Chamber will then have to approve the new version. Democrats expect Biden to sign the legislation by March 14, when many federal unemployment clauses will expire.

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