The American Rescue Plan, now law from President Joe Biden’s pen, is first, last and only a COVID-19 relief bill, as it should be, coming on the one-year anniversary of the pandemic’s declaration. It is not a transformation of the country’s priorities, as some advocates on the left claim, and a second coming of the Great Society.
The American Rescue Plan, now law from President Joe Biden’s pen, is first, last and only a COVID-19 relief bill, as it should be, coming on the one-year anniversary of the pandemic’s declaration. It is not a transformation of the country’s priorities, as some advocates on the left claim, and a second coming of the Great Society.
Appropriately, the $1.9 trillion in financial assistance to suffering Americans, pushed through without any Republican assistance, is meant to be targeted and temporary, starting with $1,400 direct payments to individuals going out immediately (check your bank account for direct deposits). The $300 in extra weekly unemployment compensation is for six months.
The jump in the child tax credit from $2,000 to $3,000 (and $3,600 for the littlest kids) is a one-timer. The increase in the earned income tax credit is just for 2021. Then it all goes back the way it was. So much for those who project that these measures will make a big dent in child and family poverty. The extra money going out is all temporary.
What could have been the most significant and far-reaching provision, a higher federal minimum wage, isn’t there. And that wasn’t due to Republican opposition, but because some Senate Democrats had qualms. The minimum should rise, although more than doubling to $15 an hour by 2025 seems to be too high, too quickly.
We didn’t study every line in the 628 pages that a Senate Republican made the clerks read out loud, but we can’t find much in there that is permanent, just as COVID-19 isn’t permanent. There’s money for vaccines and testing. There’s funding for better ventilation for schools and reducing class sizes. There’s support for transit agencies and local and state governments.
The argument goes that the enhanced child tax credit and earned income tax credit will be popular and could be made permanent. Sure, but remember that the $600 weekly strings-free Pandemic Unemployment Assistance was popular too, but it’s long gone.
