“It was the best discussion we’ve had so far, and I’d call it progress, but [there’s] a ways to go,” Schumer said.
He said aides would be meeting Sunday to go over details, and the principals would meet again Monday.
Mnuchin and Meadows agreed as they addressed reporters at the Capitol a short time later.
“It’s time to make a deal,” Meadows said. “And if we’re going to be able to succeed in this, it’s taking what started as probably the first day of a good foundation, productive discussions, and building upon those until we reach an agreement hopefully in the next couple of days.”
Meadows added: “There are still substantial differences, but we did make good progress.”
It was a striking change of tone from Friday, when Meadows and Pelosi exchanged harsh public criticism about who was to blame for the expiration of $600 weekly enhanced unemployment benefits at a time of great economic uncertainty.
Those benefits, which Congress approved in March, expired Friday. White House officials have been trying to get Democrats to agree to a short-term fix that would extend the unemployment benefits and address a handful of other items such as continuing a moratorium on evictions that also recently expired.
Democrats, whose starting point is a $3 trillion bill the House passed in May, have been holding out for a more comprehensive response that would address the many economic and health-care needs besetting the nation.
Mnuchin said Saturday that even as the two sides were finding areas of agreement on policy, there was still disagreement on the best way to move forward legislatively.
“They’ve made clear that there’s a desire on their part to do an entire package; we’ve made clear that we are willing to deal with the short-term issues, pass something quickly, and come back to the larger issues,” Mnuchin said. “So we’re at an impasse on that.”
Nevertheless, the positive comments after the meeting suggested that the two sides might finally be heading toward a deal, after four straight days of meetings this past week produced nothing but angry rhetoric.
Recent polling has shown voters are increasingly disgusted with Congress, which has not acted since spring even as the coronavirus pandemic has been growing worse and the economic recovery has stalled. More than 151,000 Americans have died of covid-19, the disease caused by the virus, as of Saturday.
“Millions are on the verge of eviction. People need resources in order to meet the needs of their families,” Pelosi said. “This is not a usual discussion, because the urgency is so great.”
Mnuchin said the two sides agreed on the need to extend unemployment insurance and the eviction moratorium and provide money for schools and small businesses. Vast differences remain, though, including Senate Majority Leader Mitch McConnell’s demand for a liability shield for businesses, health-care providers and others, and Democrats’ demand for $1 trillion in additional aid to cities and states.
McConnell (R-Ky.) was home in Kentucky on Saturday and did not participate in the negotiations, which he’s largely left to administration officials. But Meadows and Mnuchin said they were keeping him and President Trump closely apprised of developments.
Senate Republican leaders waited until July 27 to release a $1 trillion bill as a response to the Democrats’ plan, but it immediately encountered resistance from within the Senate GOP conference. The White House quickly abandoned it and began pushing for some kind of short-term fix for the unemployment benefits.
Republicans have floated a few plans for extending the enhanced unemployment benefits, which come on top of whatever states already offer. Republicans say the $600 weekly payment is so generous it provides a disincentive for people to return to work, though Democrats disagree. One approach that’s attracted GOP support would reduce the benefit to $200 weekly, or a formula that would replace around two-thirds of a worker’s wages before losing their job.
Democrats insist any such approach is insufficient for the need in the country and the fragile state of the economy, which could suffer overall from the evaporation of the benefits that have helped newly unemployed workers pay rent and buy groceries.
Trump introduced another wrinkle Saturday by renewing his call for a payroll tax cut, a policy already rejected by Senate Republicans, who left it out of the coronavirus relief bill they released on Monday.
“Payroll Tax Cut plus Dollars!” Trump tweeted. The mention of “dollars” apparently referred to stimulus checks to individual Americans, which are supported by members of both parties and are expected to be included in any final deal. But despite the president’s renewed advocacy, there is little appetite on Capitol Hill for a payroll tax cut.