Trump administration seeks roughly $850 billion in emergency stimulus to confront coronavirus economic fallout

The Trump administration is asking Congress to approve a massive economic stimulus package of around $850 billion to stanch the economic free fall caused by the coronavirus, four officials familiar with the planning said Tuesday.

Treasury Secretary Steven Mnuchin will present details to Senate Republicans later Tuesday. The package would be mostly devoted to flooding the economy with cash, through a payroll tax cut or other mechanism, two of the officials said, with some $50 billion directed specifically to helping the airline industry.

White House officials also want to include more assistance for small businesses and their employees in the legislation, the officials said. The officials spoke on condition of anonymity to discuss internal deliberations. The talks have taken on more urgency as the economy has shown signs of careening into recession. The Dow Jones industrial average fell almost 3,000 points on Monday and showed signs of a slight rebound on Tuesday.

The $850 billion package would come in addition to another roughly $100 billion package that aims to provide paid sick leave for impacted workers, though the details of that legislation remain very fluid as it moves through Congress.

But there is emerging tension between the White House’s approach and the bills Democrats are trying to advance. White House officials are leaning hard into the idea of tax cuts and industry assistance, while Democrats have said their proposals are focused more on helping workers, health care providers, schools, and senior citizens.

Mnuchin would like to see the new package pass the Senate by the end of the week, he told senators Monday evening in a meeting at the Capitol.