The American Rescue Plan: What Is It & Why Should You Care?
“When I was elected, I said we were going to get the government out of the business of battling on Twitter and back in the business of delivering for the American people, of making a difference in their lives, giving everyone a chance – a fighting chance, of showing the American people that their government can work for them. And passing the American Rescue Plan will do that. You know, it may sound strange, but a lot of senators and congressmen I want to thank, but I really want to thank the American people for making this possible. “
-President Joseph R. Biden, March 6, 2021,
on the Senate passage of the American Rescue Plan
We did it! We made President Biden’s American Rescue Plan a reality. Biden’s plan will help the economy and speed up vaccine distribution, and it is supported by 75% of Americans – now that is bipartisan! Why do most Americans support this plan? Because Biden’s plan delivers much-needed aid to millions of struggling families, businesses, and workers.
“What aid” you ask? Well, for Anderson County* this means that nearly 14,000 people who filed single tax returns (about 92% of single tax return filers) and the more than 9,200** people who filed joint tax returns (about 67% of joint tax return filers) will receive a $1,400 stimulus check and a separate $1,400 for each dependent (a family of four will receive $5,600). In addition, an estimated 16,300 children in Anderson county will benefit from the new tax-credits and will see a direct deposit of $3,600 for children under 6 and $3,000 for children 6 and older. That is real money going directly into the pockets and bank accounts of our neighbors and friends.
But there is so much more in this plan that we benefit from but is harder to break down by County. Like the $20 billion to surge vaccine distribution and $170 billion to help schools open safely. Both provisions address the urgent and critical shortfalls experienced in our communities, putting us in a better position to deal with the very real COVID-19 pandemic.
But the crowning jewel of this plan is how the money is spent: not tax breaks for the rich or special interest pork, this is money directed to where it is needed most. How does it get there? Through provisions like rental assistance for those facing eviction, and lower health insurance premiums through the Affordable Care Act, and by paying 100% of COBRA premiums – a lifeline for someone that desperately needs healthcare but recently lost their job. There is $39 billion to support childcare providers. This plan is designed to rescue Americans from the devastation of the last twelve months of inaction and distraction and to put us on a path to a strong recovery – and that is exactly what it will do. According to the New York Times:
Researchers predict it could become one of the most effective laws to fight poverty in a generation. Columbia University’s Center on Poverty and Social Policy estimates that the plan’s provisions, including a generous expansion of tax credits for low-income Americans with children, would reduce the poverty rate by more than a quarter for adults and cut the child poverty rate in half.
Yes, you read that correctly, Biden’s American Rescue Plan is going to cut the child poverty rate in half!
As President Biden said in 2020, “This isn’t about politics. It’s about saving lives.” But every Republican in the House and Senate chose to play politics and opposed this plan. Every Republican voted against economic recovery, against defeating Covid-19, against opening our schools and feeding our children, against healing America. And next year, when our economy is humming along, masks are a thing of the past, and kids everywhere are running and playing, please remember who played politics. Remember that Chuck Fleischmann, Marsha Blackburn, and the befuddled Bill Hagerty – our representatives – failed to support us when we needed them the most. We must make them pay at the ballot box.
So, let us take a little victory lap and celebrate this win: this huge, bipartisan win. But then back to work. Let us talk to our neighbors and friends, our close family and distant relatives and share with them why Biden’s American Rescue Plan is so great – that it delivers direct relief to Americans and hard-hit small businesses, it takes bold action to combat the virus, and it will safely reopen schools. It is not a plan just for Democrats, it is a plan for all Americans.
*All figures based on 2018 tax returns, the most recent data publicly available.
**In 2018, 3,650 joint returns reported between $100K-$200K. The IRS does not further breakdown those numbers. It is expected that some portion of the 3,650 joint filers will also receive a $1,400 stimulus check for each family member.
For more information:
H.R.1319 - American Rescue Plan Act of 2021, from Congress.gov
American Rescue Plan Act of 2021, from Wikipedia