Bush, Congress discuss $150 billion lift to economy
President George W. Bush told lawmakers on Thursday he wants tax rebates for families and breaks for businesses in a rescue plan for the struggling U.S. economy that could total up to $150 billion.
A delicate set of negotiations took place and the president shifted gears from his initial plan to outline an economic stimulus plan on his own. Instead, he agreed to hammer out the details of the package in collaboration with legislators, congressional sources said.
"In the next few days, through ongoing bipartisan negotiations, we are hopeful that we will agree on legislation that provides timely, targeted, and temporary assistance to America's middle class," House of Representatives Speaker Nancy Pelosi said in a statement.
Under discussion is a total package of $150 billion that would include both tax breaks and some spending, such as help for the unemployed, according to sources familiar with the matter who spoke on condition of anonymity.
About two-thirds of the package would be aimed at providing cash and assistance to families, with the rest focused on businesses, one source said.
The White House declined to discuss the details of the talks and officials would not say which approach Bush favors.
Bush is to speak on Friday in general terms about what he kinds of economic measures he would like to see.
"The most important thing is that they should be temporary, they need to be effective, they need to be things that we can get done quickly," said White House spokesman Tony Fratto.
The talks between the White House and Congress have focused on cutting the 10 percent income-tax bracket to 3 percent or zero and giving households the money in advance as a rebate.
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