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Consolidated Appropriations Act, 2021

The Consolidated Appropriations Act, 2021 is a $2.3 trillion spending bill that combines $900 billion in stimulus relief for the COVID-19 pandemic in the United States with a $1.4 trillion omnibus spending bill for the 2021 federal fiscal year and prevents a government shutdown. The bill is one of the largest spending measures ever enacted, surpassing the $2.2 trillion CARES Act, enacted in March 2020. The legislation is the first bill to address the pandemic since April 2020. According to the Senate Historical Office, at 5,593 pages, the legislation is the longest bill ever passed by Congress.

Legislative history
Background Following the approval of some $2.5trillion in stimulus in March and April, Senate majority leader Mitch McConnell cautioned against any further spending. From then until mid-October, Republicans and Democrats proposed a series of prospective bills, with support mostly along party lines, and each side voicing criticism of the other party's inclusion of special interests. In September, a non-pandemic-related spending bill was passed to avoid a government shutdown, allowing Congress to focus on a separate relief bill. On November 4, McConnell spoke in favor of passing stimulus during the lame-duck session in November and December. Two days later, Larry Kudlow, the director of President Donald Trump's National Economic Council, indicated that, like McConnell, the Trump administration was interested in a targeted package smaller than $2–3trillion. Negotiations On December 1, McConnell implied that some form of relief would come in the spending bill for the fiscal year of 2021. The next day, House speaker Nancy Pelosi and Senate minority leader Chuck Schumer endorsed a $908billion bipartisan plan. A number of Republican senators subsequently endorsed it, with Lindsey Graham saying he had discussed it "extensively" with Trump. On December 8, Mnuchin presented a $916billion counter-proposal, which Pelosi and Schumer called "unacceptable" because it reduced funding for unemployment insurance from $180billion to $40billion, in exchange for a one-time $600 direct payment for adults and children. On December 11, a one-week stopgap spending bill was signed into law to allow more time to negotiate stimulus. The next week, two controversial measures from both parties were moved into a separate $160billion bill called the Bipartisan State and Local Support and Small Business Protection Act of 2020. This bill included the Democrat's request for more state and local government aid, and the Republican's request for a strong COVID lawsuit liability shield for businesses. Senators Josh Hawley and Bernie Sanders planned to bring to vote on December 18 a proposal for direct payments of the same amount provided by the CARES Act ($1,200 per adult making less than $75,000 annually and $500 per child), but this was blocked by Senator Ron Johnson . On December 18, a 48-hour stopgap bill was passed to keep the government funded through the weekend, At the request of Senator Pat Toomey, the bill was modified to require congressional approval of future emergency lending through the Fed, and to rescind about $429billion in unused CARES Act funding. In order to pass the bill more quickly, Congress used H.R. 133, previously the United States-Mexico Economic Partnership Act, as a legislative vehicle, amending the bill to contain its current text. Challenges During the last few days, logistical challenges arose as the bill, which consisted of some 5,500 pages of text, proved difficult to physically assemble due to printer malfunctions and a corrupted computer file. The file, representing the education portion of the bill, posed a problem in that all portions had to be combined into one overall file. Senator John Thune remarked, "Unfortunately, it's a bad time to have a computer glitch." Following that, there was a single vote in the Senate, which passed 92–6. It was the biggest bill ever passed by Congress in terms of length of text. On December 24, Congress began the official process of sending the bill to Trump. Presidential dispute and signing . Trump was largely absent from the final series of negotiations on the pandemic relief and omnibus legislation, as he had been focusing almost exclusively on promoting his claims that the 2020 presidential election had been stolen from him. Trump's Treasury Secretary Steven Mnuchin and other Trump administration officials were involved in the negotiations at each stage and expressed support for the final deal. Moreover, the budget items that Trump complained about were part of Trump's own budget proposal for the year, On the night of December 22, Trump asked Congress to send him a version of the bill with $2,000 rather than $600 individual payments. House speaker Pelosi and House majority leader Steny Hoyer signaled Democratic support of this change, while Senate minority leader Schumer encouraged Trump to sign the current bill, stating that "we're glad to pass more aid" at a later date. If no agreement can be reached, the government may shut down, and according to Trump, "the next administration will have to deliver a COVID relief package and maybe that administration will be me". It was speculated that Trump might use a pocket veto. but House Republicans blocked the proposed increase. Many figures in both parties urged Trump to sign the bill, and planned fallback strategies to keep the government open in case he did not. Two kinds of pandemic relief payments, Pandemic Unemployment Assistance and Pandemic Emergency Unemployment Compensation, expired on the morning of December 27. On the evening of December 27, after coming under heavy pressure from Democrats and Republicans, Trump signed the bill into law without his demands being met. Upon signing the bill, Trump released a statement containing various false statements and grievances. Congress is not expected to act on this request. for those who make under $75,000 annually. It would phase out for those who make up to $115,000. Projected to cost $464billion, the House passed the bill by just over the two-thirds majority vote necessary, under a suspension of the rules. On December 29, Senate minority leader Chuck Schumer moved to pass the bill by unanimous consent, but was blocked by Senate majority leader Mitch McConnell. Later that day, McConnell introduced legislation combining increased payments with two other Trump demands: a repeal of Section 230 of the Communications Decency Act (which the president had wanted to include in the National Defense Authorization Act for Fiscal Year 2021), and the establishment of a voter fraud study commission. Senator Chris Murphy has cautioned against sinking the $2,000 stimulus checks with "poison pills". On December 31, Schumer again tried to pass the bill by unanimous consent, which was again blocked by McConnell. Schumer suggested voting on the president's other two requests separately. On December 30, McConnell criticized the CASH Act for failing to adequately phase out higher-income earners. On January 1, 2021, Schumer again called for a vote on $2,000 stimulus checks but was blocked by a Republican senator—ending prospects for the act to be approved by the 116th Congress. On January 6, after Democrats won control of the Senate by winning two Senate seats in Georgia the night before, Schumer said the $2,000 payments were a top priority for him in the 117th Congress. President-elect Joe Biden also supported increasing the payments to $2,000. == Provisions ==
Provisions
Coronavirus relief The Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSAA) is Division M of the legislation, and Division N contains additional coronavirus provisions. It is a follow-on to such actions as the CARES Act and Paycheck Protection Program passed in March 2020, and comes after eight months of mostly little progress in negotiations between the different parties and houses of Congress. Many of the negotiations made little progress due to strongly held policy differences being contested. On January 14, the Congressional Budget Office released its scoring with Division M as $184billion and Division N as $682billion, for a total of $866billion with their breakdowns. The Associated Press' estimates were: • $325billion for small businesses • $284billion in forgivable loans via the Paycheck Protection Program • $20billion for businesses in low-income communities • $15billion for economically endangered live venues, movie theaters and museums • $166billion for a $600 stimulus check, for most Americans with an adjusted gross income lower than $75,000 • $120billion for an extension of increased federal unemployment benefits ($300 per week until March 14, 2021) • $13billion to increase the monthly Supplemental Nutrition Assistance Program (SNAP/food stamp) benefit by 15% through June 30, 2021 • $13billion round of direct payments to the farming and ranching industry, including • About $5billion for payments of $20 per acre for row crop producers, which (according to an American Farm Bureau Federation analysis) would go to producers of corn ($1.8billion), soybeans ($1.7billion), wheat ($890million), and cotton ($240million). Regular appropriations The regular annual appropriations bills comprise Divisions A through L of the bill, and totals about $1.4trillion. Among these provisions are: • $1.375billion for the Mexico–United States border wallHyde Amendment, which prohibits federal funds from being used for abortions • $23.3billion for NASA Division C – Defense • $695.9billion for the U.S. Department of Defense (a decrease of $9.7billion from FY 2020) • $2.3billion for a second Virginia-class attack submarine, a key priority for certain legislators who have pressed for the construction of two attack subs per year The bill does not include any pay increase for members of Congress. VA appropriations include $10.3 billion for veterans' mental health (including $312 million specifically for suicide prevention), Division K – State and foreign operations The act appropriated $55.5 billion for the U.S. Department of State, foreign operations, related programs, and the Overseas Contingency Operations (OCO) funds. The act also included funding for the U.S. contribution to the replenishment of the Global Fund to Fight Aids, Tuberculosis and Malaria, a goal of global health advocates. • $2.1 billion for multilateral assistance • $1.66 billion for USAID operating expenses and USAID Office of Inspector General • $1.3 billion for the Foreign Military Financing program, including $1.3 billion for Egypt (with disbursement of those funds dependent on certain conditions) • $1 billion for food security and agricultural development • $906 million for the Millennium Challenge Corporation • $875 million for education (including $100 million for Global Partnership for Education and $25 million for Education Cannot Wait) • $500million for missile defense systems for Israel • $299 million for the U.S. International Development Finance Corporation Additionally, the appropriations provisions of the bill contain various policy riders. The addition of such provisions to omnibus spending legislation ("loading up the Christmas tree") is common toward the end of a congressional session. • Incorporation of the Aircraft Certification, Safety and Accountability Act, addressing aircraft safety issues in the wake of Boeing 737 MAX incidents • Incorporation of the Leonel Rondon Pipeline Safety Act, named after a man killed in the 2018 Merrimack Valley gas explosions; the bill strengthens pipeline safety requirements • Incorporation of the Horseracing Integrity and Safety Act, establishing national safety standards for the horse racing industry, in a bid to combat horse doping—a subject of scandal in preceding years Healthcare • A ban on most surprise medical billing—unexpected, and sometimes large, bills from out-of-network providers that are charged to patients. The ban, which goes into effect in 2022, will require out-of-network providers to negotiate with insurers to obtain compensation, rather than billing insured patients directly. The ban on surprising billing will apply to physicians, hospitals, and air ambulances, but does not apply to ground ambulances. The ban on surprise billing had broad public support; a similar provision nearly passed in 2019, but was blocked amid concerns from health providers and the private-equity firms that own many of them. • Reauthorizing funding for community health centers for three years Tax provisions • Various "tax extenders" extending expiring tax breaks; • A tax deduction for corporate meal expenses; inclusion of this provision was pushed by Trump and administration officials, but was criticized by many House Democrats who referred to it as a needless "three-martini lunch" tax break, as well as by economists across the political spectrum. During negotiations, Democrats ultimately agreed to include the deduction in exchange for Republicans' agreement to the expansion of tax credits for the working poor and low-income families. Education • increasing the maximum Pell Grant amount by $150 (bringing it to $6,495) • allowing incarcerated students to receive Pell Grants • Incorporation of the Tibet Policy and Support Act, directing the establishment of a U.S. consulate in Tibet and reaffirming U.S. policy on the succession or reincarnation of the Dalai Lama, stating that "Interference by the Government of the People's Republic of China or any other government in the process of recognizing a successor or reincarnation of the 14th Dalai Lama and any future Dalai Lamas would represent a clear abuse of the right to religious freedom of Tibetan Buddhists and the Tibetan people." Energy and environmental provisions • A comprehensive update to clean energy research and development programs at the Department of Energy known as the Energy Act of 2020, authorizing over $35 billion in funding. The legislation is based on the American Energy Innovation Act proposed by Senate Energy and Natural Resources Committee Chair Lisa Murkowski • $10 billion for water projects, such as coastal protection, flood control, and environmental projects of the U.S. Army Corps of Engineers. The legislation, which incorporated language from the Water Resources Development Act of 2020 (passed by the House earlier in the session) authorizes a record number of water projects • A phase-out of hydrochlorofluorocarbons (HFCs), powerful greenhouse gases that contributes to climate change; the measure will decrease HFC usage by 85% over 15 years, to avert what would otherwise be an additional 0.5 °C of global warming. This aligns with the goals of the Kigali Amendment of the Montreal Protocol, which the United States had not ratified at the time of passage. • Extending various energy efficiency tax incentives through 2021 • Making the 179D commercial building tax deduction for improvements to building energy efficiency • Extending, through the end of 2021, the underground and surface-mine coal excise tax, which funds the Black Lung Disability Trust Fund • Extending, through the end of 2025, the 9-cent-per-barrel excise tax on crude oil, which funds the Oil Spill Liability Trust Fund • Reauthorize the Pipeline and Hazardous Materials Safety Administration (PHMSA), of the U.S. Department of Transportation, for five years. The PHMSA reauthorization was the result of a compromise, and did not include ambitious climate change mitigation and methane-control provisions initially proposed by House Democrats. • Blocked the greater sage grouse from being listed under the Endangered Species Act • Limiting oil and gas extraction in the area of Chaco Culture National Historical Park, New Mexico • Small additions to the area of Saguaro National Park • Redesignation of New River Gorge National River to New River Gorge National Park and Preserve ==Economic analyses==
Economic analyses
Economists projected that the relief act (in conjunction with the development and distribution of COVID-19 vaccines) would have a stimulative effect and would strengthen U.S. economic recovery in the second half of 2021, but came too late to avert a struggling economy in the first half of 2021. An analysis by economists Adam Hersh and Mark Paul, commissioned by the Groundwork Collaborative, a progressive think tank, concluded that Congress would need to enact a near-term stimulus about four times larger in order to obtain a full recovery. The bill's omission of grants to state and local governments, which are struggling with budget shortfalls, was criticized by economists, who noted that the lack of revenue would lead to state and local governments eliminating jobs and raising taxes. Economists stated that the $25billion in rental assistance programs allocated by the bill were insufficient to prevent a looming eviction crisis. ==See also==
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