Second Stimulus Checks: New Proposal Taps Unused Fed Funds, Lawmakers Call for Relief Now

Americans are anxiously waiting to hear if they will receive a second round of stimulus checks as many are suffering due to the coronavirus-led economic crisis. Treasury Secretary Steven Mnuchin has a new proposal to immediately provide relief aid, while Nancy Pelosi has been discussing stimulus plans with Mitch McConnell, Joe Biden, Kamala Harris, and Chuck Schumer.

New Stimulus Proposal and Status of Second Stimulus Checks

U.S. lawmakers have been actively discussing stimulus packages this past week with the aim to help Americans cope with the coronavirus-led economic crisis. A number of critical Covid-19 economic relief programs will expire at the end of this year.

House Speaker Nancy Pelosi has continued to push for her $2.2 trillion revised Heroes Act, while Senate Majority Leader Mitch McConnell has proposed a $500 billion stimulus bill targeting specific needs. While Pelosi’s stimulus package provides a second round of stimulus checks for Americans, McConnell’s stimulus bill does not.

On Friday, Treasury Secretary Steven Mnuchin and White House Chief of Staff Mark Meadows met with Republican congressional leaders to discuss stimulus support. “We are going to come up with a plan to sit down with Pelosi and Schumer and try to get a targeted bill done for the people that really need it. And hopefully, the Democrats will work with us,” Mnuchin said.

Before the presidential election, Mnuchin met with Pelosi almost daily to discuss stimulus terms but the two have yet to come to an agreement. The treasury secretary said in an interview on Thursday that lawmakers should redirect unspent stimulus funding, including money he’s pulling back from the Federal Reserve, to support the economy, elaborating:

I hope that Congress will seriously consider reallocating $580 billion of funds that have already been appropriated that wouldn’t cost taxpayers an additional penny.

McConnell supports Mnuchin’s proposal. He issued a…

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