What will be the impact of Biden’s COVID relief bill proposal
CHATTANOOGA, Tennessee- As COVID cases rise and unemployment is also back on the rise, President-Elect Joe Biden unveiled his $1.9 trillion COVID Economic Relief Bill.
“About almost 70% of the US economy is consumer spending,” said Barnett and Company Vice President Chris Hopkins.
Despite President Trump’s request for a $2,000 stimulus, $600 was included in the second COVID relief bill. Now, Biden’s plan is calling for the rest of that $1,400 to be paid to all those eligible.
“A little more than half of Biden’s proposal is direct aid to households. So there is a check of $1400 per person,” said Hopkins.
Hopkins said Biden’s plan also includes college dependents, which was not part of the second bill.
“That will include adult dependents, over 17. So think about college students who are still dependents of mom or dad, they will also be eligible for the stimulus payments,” said Hopkins.
Hopkins feels this proposal, along with the second COVID relief bill, will certainly help the local economy.
“We’re going to see a boost almost immediately, I think in the national and local economy from consumer spending,” said Hopkins.
Another focus on Biden’s proposal puts over $400 billion into boosting vaccine distribution.
“There will be more financial aid to state and local governments to help roll out the vaccine. To get more shots in more arms… We can’t fully heal the economy until we get the virus in the rearview mirror,” said Hopkins.
Hopkins said he does expect most of the bill to pass.
“Let’s take the pieces of this that we can all fundamentally agree on and get that money out. I think the checks will be included in that, I think the additional aid for vaccine distribution will be included in that. A lion’s share of the proposals, I think, get enacted and rolled out,” said Hopkins.
Another part of the proposal is raising the minimum wage to $15 an hour. Hopkins said that is likely to become a sticking point and people aren’t sure if that will be included in a passed version.