CQ TODAY ONLINE NEWS
Updated April 30, 2008 – 2:58 p.m.
Second Stimulus Package Unlikely Before Memorial Day Break
By Edward Epstein, CQ Staff
House Majority Leader Steny H. Hoyer said Wednesday it is unlikely that a second economic stimulus package could be completed before the Memorial Day break.
The Maryland Democrat said talks continue among Democratic leaders about elements of a new stimulus bill, such as more money for food stamps, extended unemployment benefits and infrastructure funding.
But when asked if the legislation could be completed before the break, Hoyer said, “Frankly, the honest answer is no.”
Tax rebates that were the centerpiece of the first stimulus measure (PL 110-185) just started flowing this week into the bank accounts of millions of Americans. Congress cleared that package Feb. 7, with unusual speed and bipartisanship, hoping that consumers would spend the money and help revive a flagging economy. Consumer spending accounts for roughly 70 percent of gross domestic product (GDP).
The Commerce Department reported Wednesday that the gross domestic product grew at a 0.6 percent annual rate in the first quarter, matching the fourth quarter’s advance. That was somewhat better than analysts expected, but consumer spending was weak, growing at a 1 percent rate compared with 2.3 percent in the fourth quarter.
The White House and congressional Republicans have resisted moving a second stimulus package until they assess the impact of the rebates, which offer a minimum of $300 per person ($600 per couple) to most households, and more for families with dependent children.
A top White House official Wednesday underlined the administration’s belief that a second stimulus bill is not needed any time soon.
“We don’t think the time is right in general to pass more legislation on that, and some of the ideas we’ve heard I’m not sure we’d ever think are a good idea — that would not really be relevant to promoting economic growth and just simply sound like more government spending,” said Stephen S. McMillin, deputy director of the White House Office of Management and Budget.
McMillin said he wasn’t aware of any detailed discussions between House Speaker Nancy Pelosi , D-Calif., and administration officials on another stimulus package, though Pelosi has repeatedly called for such legislation.
“The only conversations I even hear about basically sound like . . . ‘Hey, I want to talk about stimulus two, we ought to do stimulus two,’” he said.
May Agenda
Hoyer outlined plans to consider at least a half-dozen major pieces of legislation before the break, starting next week with a supplemental fiscal 2008 spending bill for the wars in Iraq and Afghanistan that Democrats plan to use as a vehicle for domestic initiatives. Also on tap next week, he said, will be housing-related legislation designed to ease the mortgage crisis.
Hoyer told reporters he hopes the farm bill (
Also on Hoyer’s to-do list are conference reports on legislation to strengthen the Consumer Product Safety Commission (
Another conference report the leadership hopes to move would adopt the Democrats’ fiscal 2009 budget resolution (
Hoyer also wants to move the fiscal 2009 defense authorization bill, which awaits House Armed Service Committee markups, and an intelligence authorization bill.
Hoyer also repeated his optimism that a deal can be reached on overhauling the Foreign Intelligence Surveillance Act (FISA, PL 95-511).
The House has thus far backed a bill (
The Senate version of a FISA overhaul would give retroactive legal immunity to telecommunications companies.
Hoyer rejected GOP criticism that the Democratic-controlled Congress has accomplished little so far this year. “I reject the Republican premise that we’re not doing a lot of work. These next three weeks will be very full,’’ Hoyer said.
“We’ll leave by Memorial Day and we’ll say, at least on the House side, we did a lot of work,’’ he added.
David Clarke contributed to this story.
First posted April 30, 2008 11:56 a.m.




POST A COMMENT
Oops! The following errors must be addressed: