The U.S. economy added 379,000 jobs in February beating economists’ estimates of 210,000, and indicating that one year into the pandemic, the labor market is finally showing signs of recovery. In the first full monthly employment report under President Joe Biden, the unemployment rate fell to 6.2 percent, from 6.3 percent in January, according to data released Friday by the Bureau of Labor Statistics. The White House put out statement emphasizing that the economy remains down 9.5 million jobs from February 2020 and will require more than two years of job growth at February’s pace just to get back to pre-pandemic levels and urging for passage of the COVID relief bill.
After a ten hour and 44 minute reading of the entire 628-page COVID relief bill that Wisconsin Republican Senator Ron Johnson insisted on wrapped up after 2 am, the Senate began a vote-a-rama at noon. Today’s amendment votes are the last step before the Senate votes on final passage of the coronavirus relief package, which is now expected Saturday. All 50 Senate Democrats plus Vice President Harris voted to move forward on the bill Thursday, suggesting that the caucus will be united in delivering President Biden’s first major legislative priority. While nearly everyone expects the legislation to pass, Republicans are aiming to make the process as painful for Democrats as possible and drag the process into the weekend. Democratic leaders plan to push through the amendment process and emerge with a bill that gets the votes of all 50 Democrats without risking a revolt from progressives in the House, which will have to agree on the Senate version before it goes to Biden for his signature.
Senate Democrats reached agreement Friday to reduce the federal unemployment insurance payment in the COVID-19 bill from $400 to $300 per week and extend the length of the program from the end of August through the end of September. The amendment, from Delaware Senator Tom Carper (D), would also exempt $10,200 in unemployment insurance from taxes to prevent surprise bills for unemployed at the end of year. The change would keep the new federal unemployment insurance plus-up equal to the level approved in the last pandemic aid package, which is set to expire on March 14th. The change was announced shortly after senators began debating the $1.9 trillion COVID-19 package on Friday — one year to the day after that chamber passed the first $8.3 billion pandemic relief package.
Senate Democrats made several tweaks to their version of the COVID relief package. The latest version includes more funding for rural hospitals, increased money for the Shuttered Venue Operations Grants (SVOG), changes to the student-loan borrowing, and changes to the $350 billion pot of state and local aid. These changes come after announcing that they will narrow the eligibility for receiving the latest round of $1,400 stimulus checks. The Senate bill also made some changes to some of the school funding provisions. They shifted $2.75 billion of the K-12 school funding to governors to provide services or assistance to non-public schools that enroll a “significant percentage” of low-income students and are most impacted” by the pandemic. Also, $3 billion would be set aside for education technology, plus $1.25 billion each for summer and afterschool programs. Also, student loan forgiveness will be made to be tax-free.
Thus far, the Senate defeated an attempt by Senator Bernie Sanders (I-Vermont) to restore a $15 minimum wage to the bill, with Republicans voting unanimously against the provision and more than a half-dozen Democrats joining them.
President Biden plans to make a public pitch for his $1.9 trillion coronavirus relief package Friday, as the Senate resumes debate of the sprawling legislation that Democrats are prepared to pass without Republican votes. Biden has a scheduled an afternoon roundtable on his American Rescue Plan at the White House.
Adam S. Olsen, Washington, D.C.
