5 Things Holding Up the Second Stimulus Package | Personal Finance

By | August 22, 2020

The HEROES Act, which cost a little north of $3 trillion, apportions approximately $500 billion in funding for state and local governments dealing with massive budget deficits tied to the pandemic. This funding would be split up over two years, with highly populated states like California, New York, Texas, and Florida accounting for $49.4 billion, $34.8 billion, $34.2 billion, and $24.2 billion in respective proposed payouts, according to estimates from the Center on Budget and Policy Priorities.

Republicans are staunchly opposed to the idea of using federal dollars as a budgetary stopgap for states — especially when a significant amount of this funding would go to “blue” states. It’s unclear if the GOP will budge on this stance.

Image source: Getty Images.

4. Liability shield protection

Keep in mind it’s not just line items from the HEROES Act that are holding the next stimulus package up. A key component of the HEALS Act doesn’t exactly have the support of the Democrat-led House of Representatives.

When introducing the HEALS Act a little over two weeks ago, Senate Majority Leader Mitch McConnell was adamant about including a liability shield for businesses and other entities, such as schools and hospitals.

https://www.google.com/url?q=https://mcdowellnews.com/business/investment/personal-finance/5-things-holding-up-the-second-stimulus-package/article_6b97387f-f713-5848-b720-7085ad78e40e.html&sa=U&ved=2ahUKEwjGwO6Q6p3rAhUUheYKHSLoA1QQxfQBMAh6BAgCEAE&usg=AOvVaw2U9r6aWImcME4hPn0w9shp