On March 18, the Senate will continue work to approve the House-passed Families First Coronavirus Response Act (H.R. 6201), the second congressional bill to address the crisis, and will begin considering proposals for a third package. Senator Rand Paul (R-KY) wants an amendment to the pending second bill considered, which has prevented Senate passage thus far. For Republicans, work on a third bill is being conducted through a Task Force process and with the input of the Administration through Treasury Secretary Steven Mnuchin. The House is set to remain out of session until there is a third package to vote on.

Bill #2

Reporters indicated that the Senate was targeting an agreement that could provide for mid-day votes on Senator Paul's amendment to pay for the relief in the bill — which is expected to be voted down — then passage of H.R. 6201, which arrived in the chamber only yesterday morning after the House made corrections that include limiting to parents of children whose school or day care is closed some paid leave benefits that were provided more broadly in the base bill. Other amendment votes are possible. No agreement for votes with respect to the House-passed bill was entered before the Senate adjourned last night. House Ways and Means Republicans posted a summary of the tax credit provisions.

Bill #3, Senate

The Task Force approach among Senate Republicans was announced yesterday by Majority Leader Mitch McConnell (R-KY), who said that Republicans are — like the President — examining policy tools to put money directly and quickly into the hands of Americans and to help businesses. Senate Republicans are adopting the Task Force format because it is a "Herculean task" to craft a bill of this magnitude with 53 GOP Senators, he said. Senator McConnell said Republicans will eventually negotiate a package with Democrats and will not leave Washington until they have constructed and passed another bill on "phase 3." Bloomberg reported second-ranking Senate Republican John Thune (R-SD) as saying there is "a high level of interest" in cash payments to people and that it seems to have more backing than a payroll tax cut.

The Task Forces haven't been formally outlined, but some preliminary indications suggest the make-up could include groups on:

• Direct financial assistance to individuals and businesses — led by Senate Finance Committee Chairman Chuck Grassley (R-IA) and including Committee members Thune, Rob Portman (R-OH), Pat Toomey (R-PA) and Tim Scott (R-SC), plus Senators Tom Cotton (R-AR) and Mitt Romney (R-UT)
• Airline loans/grants — led by Senator Roger Wicker (R-MS) and possibly including Senators Thune and Richard Shelby (R-AL)
• Small business liquidity — led by Senators Marco Rubio (R-FL) and Mike Crapo (R-ID)

Senate Democratic leader Chuck Schumer (D-NY) called for a $750 billion package on items like medical equipment, paid family leave and sick leave, unemployment insurance, and helping small businesses.

Bill #3, House

The House remains out of session, but leaders are working by phone and attention was paid to tweets by a top aide to Nancy Pelosi (D-CA) saying of future legislation, "the Speaker believes we should look at refundable tax credits, expanded UI & direct payments — but MUST be targeted," and that there is recognition of the "crucial contribution aviation workers provide to the nation's economy; the need for big, immediate action; and that assistance must put workers' paychecks and benefits first."

Administration

Treasury Secretary Steven Mnuchin briefed Senate Republicans yesterday and the focus is on putting money in the hands of the American people. There has been a focus on how the Administration envisions a breakdown of funding, with some suggesting that, in addition to tax deferrals, it could be: $300 billion in small business loans, $200 billion in stabilization funds, $250 billion in cash payments in two weeks, and $500 billion in a possible second round of payments.

Meanwhile, no formal guidance has been issued but yesterday Secretary Mnuchin announced during a news conference that the President has authorized him to defer up to $300 billion in tax payments. Those who owe a payment to the IRS can defer up to $1 million per individual — which he said would cover many pass-throughs and small businesses — and $10 million for corporations, interest-free and penalty-free for 90 days. He said taxpayers can file their taxes and will automatically not get charged interest and penalties. The Secretary encouraged those able to file their taxes by April 15 to do so, because many will receive a refund.

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