After passing the House last week, President Biden’s COVID relief plan, the American Rescue Plan, is under debate in the Senate and could pass in the chamber as early as tomorrow. The bill includes another unemployment boost, funding for local governments, and most notably $1400 stimulus checks for many Americans. Once it passes the Senate, the bill has a smooth path to become law. Here’s a quick Friday update for you with the latest news and when we could expect stimulus checks to arrive. Let's dive in.
What’s the Bill’s Status in the Senate?
The Senate is debating the bill, and likely will be into the night. They’re currently deadlocked over unemployment provisions. Senator Joe Manchin of West Virginia, the most conservative Democrat in the chamber, is a crucial swing vote that the Democrats need to pass the bill (it currently has no Republican support), and he remains dissatisfied with the current unemployment extensions in the bill. Originally, Democrats wanted to boost the federal unemployment supplement to $400 a week until August, but have agreed to a compromise: they will keep the unemployment boost to $300 a week but extend it through October 4. So far, however, that hasn’t been enough to guarantee Manchin’s vote, as he is concerned about the cost of the boost.
The compromise does have wide support from the rest of the Democratic party, and it’s possible that continued pressure from his peers will bring Manchin to change his position. Some moderate Republicans also could be swayed.
Assuming that the bill gets 50 senators’ support, Vice President Kamala Harris will cast her tie-breaking vote to pass, likely tomorrow. Through a process called budget reconciliation, an expediting process for budget-related bills, Democrats will be able to pass the bill with a simple majority.
What Happens After the Package Passes in the Senate?
Once the bill passes the Senate, it will return to the House. Since the bill that passed the House was slightly different than the Senate version, the House will need to agree to pass the Senate bill (which House Speaker Nancy Pelosi has already said they will do). Finally, the bill will be sent to President Biden for his signature, hopefully before March 14th, which is when the current federal unemployment boost expires. The goal is for the bill to become law by mid-March at the latest.
When Will Stimulus Checks Arrive?
If the bill becomes law by mid-March, Americans could begin to receive their third, $1400 stimulus checks within days, and distribution could begin in earnest by April. The $1400 checks will not go to all Americans, however; Democrats agreed to a compromise this week that cuts off the checks entirely to everyone earning above $80,000 a year.
Conclusion: The American Rescue Plan Could Become Law Next Week
The final hurdle to passing the American Rescue Plan is the senate. Once the Senate votes to pass the bill, which they likely will this weekend, the House has already agreed to pass the revised bill quickly and send it back to the President for his signature. That could happen next week, or the week after at the latest. Now that the IRS has distributed two rounds of stimulus checks, they are able to distribute much more quickly and Americans could begin to see funds in their bank accounts by March 15th. We will keep you up to date on the bill’s progress here on the Skip blog and of course on our app.
