Mnuchin & Pelosi to Agree on a Resolution to Avoid a Shutdown

What Happened:

• Treasury Secretary Steve Mnuchin (R) said on Sunday that House Speaker Nancy Pelosi (D) has agreed to a Continuing Resolution to avoid a government shutdown and that they hope to have the resolution in place "by the end of the week."

• This comes as negotiations for a second Coronavirus stimulus package have reached a standstill with both sides unwilling to budge. According to Mnuchin, Pelosi is unwilling to continue negotiations for a new stimulus package unless Republicans are willing to agree to at least a $2.5 Trillion spend. Republicans, meanwhile, are looking to pass a much narrower stimulus package in the range of $1 Trillion. These negotiations have been ongoing for several months.

• The Continuing Resolution will be separate from negotiations for a new CARES act (Coronavirus Stimulus Bill).

• The US Senate returns to session Tuesday, but, considering the deadlock, it seems unlikely that a new Coronavirus stimulus package will be passed before the election in November.

• Many States are facing severe budget cuts in light of the Coronavirus pandemic.

Photo Credit: United States Dept. of the Treasury