Pelosi, Mnuchin Fail to Reach COVID-19 Stimulus Deal, but Talks Go on Amid Republican Doubts

U.S. House Speaker 👤Nancy Pelosi and Treasury Secretary 👤Steven Mnuchin failed on Friday to reach agreement on a COVID-19 stimulus package, while the top Senate Republican voiced doubt that Congress would act before the Nov. 3 election.

Mnuchin floated a new $1.8 trillion proposal in a 30-minute Friday afternoon phone conversation, according to the White House. But Pelosi aide Drew Hamill said the offer lacked a broad plan to contain the pandemic. Talks will continue, he said.

“We are still awaiting language from the administration as negotiations on the overall funding amount continue,” Hamill said on Twitter.

The new White House package was higher than an earlier $1.6 trillion Mnuchin offer and closer to the $2.2 trillion that the Democratic-controlled House of Representatives passed last week.

White House spokeswoman Alyssa Farah said the administration wanted to keep spending below $2 trillion but was eager to enact a fresh round of direct payments to American individuals as well as aid to small businesses and airlines.

“We want to think that the Speaker is operating in good faith and we can have some progress in the near future,” Farah said.

It was the third straight day of talks between Pelosi and Mnuchin this week.

Optimism over a possible agreement lifted U.S. stock prices and set the stage for the second straight weekly market gain on Wall Street.

But Senate Majority Leader Mitch McConnell, the top Republican in Congress, said he doubted lawmakers would pass a package before the election, though he has not directly participated in the talks.