An economic stimulus package worth $787 billion is headed to President Barack Obama’s desk after Congress passed the plan that Democrats say is critical to helping pull the US economy out of recession.
The Senate late on Friday voted 60 to 38 to approve the package of tax cuts and more than a half-trillion dollars in new federal spending. Three Republicans joined Democrats in favour of the measure. Earlier in the day the House passed the bill, 246 to 183, with no Republicans in favour. The votes give Obama the first major legislative victory of his presidency.
“The jobs the American people care about most — their own — will be dramatically safer the day that President Obama signs this plan into law,” said House Speaker Nancy Pelosi, a California Democrat.
The measure will reach the president’s desk “no earlier than Monday” because of paperwork that still needs to be done, said White House spokesman Robert Gibbs.
Democrats predict the plan will save or create 3.5 million jobs. Its costliest item is a $400 payroll tax cut for individuals and $800 for couples. Retirees, disabled veterans and others who don’t pay payroll taxes will get a $250 payment.
Republicans argued that the bill contains too much government spending and, because of that, won’t do enough to boost the economy.
‘Spending, Spending’: “I think everyone in this chamber on both sides of the aisle understands we need to act,” said House Minority Leader John Boehner, an Ohio Republican.
“But a bill that’s supposed to be about jobs, jobs, jobs has turned into a bill that’s all about spending, spending and spending.”
The measure needed 60 votes to pass the Senate. The three Republicans voting for the bill in that chamber were Arlen Specter of Pennsylvania and Susan Collins and Olympia Snowe, both of Maine.
