U.S. House approves $2,000 COVID-19 aid cheques sought by Trump

The Democratic-led U.S. House of Representatives voted 275-134 to meet President Donald Trump’s demand for $2,000 COVID-19 relief cheques on Monday, sending the measure on to an uncertain future in the Republican-controlled Senate.

Mr. Trump, a Republican, last week threatened to block a massive pandemic aid and spending package if Congress did not boost stimulus payments from US$600 to US$2,000 and cut other spending. He backed down from his demands on Sunday as a possible government shutdown loomed, brought on by the fight with lawmakers.

But Democratic lawmakers have long wanted US$2,000 relief cheques and used the rare point of agreement with Mr. Trump to advance the proposal – or at least to put Republicans on record as being against it – in the vote on Monday, less than a month before the President leaves office.

A total of 130 Republicans, two independents and two Democrats opposed the increase on Monday, which required two-thirds of those present and voting to pass it.

Mr. Trump, who lost November’s election to Democratic challenger Joe Biden but has refused to concede defeat, finally signed the US$2.3-trillion package into law after holding it up with a veiled veto threat. But he continued demanding US$2,000 cheques.

The US$2.3-trillion includes US$1.4-trillion in spending to fund government agencies and US$892-billion in COVID-19 relief.

It is not clear how the measure to increase aid cheques will fare in the Senate, where individual Republican lawmakers have complained the higher amount would add hundreds of billions of dollars to the latest relief bill.

Increasing the cheques would cost US$464-billion, according to the Joint Committee on Taxation, which prepares cost estimates for legislation before Congress.

The Senate is slated to convene on Tuesday. Senate Majority Leader Mitch McConnell on Sunday made no mention of Senate plans for a vote, after welcoming Mr. Trump’s signing of the relief bill.

The coronavirus pandemic has killed more than 330,000 people in the United States and led to widespread economic hardship, with millions of families relying on unemployment benefits and COVID-19 relief funds.

Global markets were buoyed on Monday after Mr. Trump approved the package.

Wall Street’s main indexes hit record highs as Mr. Trump’s signing of the aid bill bolstered bets on an economic recovery and drove gains in financial and energy stocks.

House lawmakers on Monday will also seek to override Mr. Trump’s recent veto of a US$740-billion bill setting policy for the Defence Department. If successful, it would be the first veto override of Mr. Trump’s presidency.

Asked at the end of an event in Wilmington, Del., whether he supported expanding the payments to US$2,000, Mr. Biden replied: “Yes.”

Georgia Republicans Kelly Loeffler and David Perdue, who face crucial Senate runoffs next month that could determine who controls the chamber, welcomed Mr. Trump’s move, without saying whether the payments should be increased.

As the floor debate was under way, House Speaker Nancy Pelosi said: “Republicans have a choice, vote for this legislation, or vote to deny the American people the bigger paycheques that they need.”

And Democratic U.S. Representative Dan Kildee said: “We would have included much larger payments in the legislation had he (Mr. Trump) spoken up sooner. But it’s never too late to do the right thing.”

But Republican Representative Kevin Brady said the bill does nothing to help people get back to work. “I worry that as we spend another half a trillion dollars so hastily, that we are not targeting this help to the Americans who are struggling the most and need that help,” he said.

The U.S. Treasury Department is anticipating sending the first wave of US$600 stimulus cheques to U.S. individuals and households as early as this week, as previously planned, a senior Treasury official said on Monday.

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