Senate Majority Leader Mitch McConnel recently claimed another round of stimulus checks might come in. He expects the direct payments in the second coronavirus relief package. However, the senate leader noted that he is considering having the next direct payments target Americans who make $40,000 a year or less.

McConnel's comments come as the Senate started their two-week recess after the House of Representatives passed the HEROES Act and an expanded second stimulus.

The Senate leader's statement also echoes comments made by Senator Ben Cardin about targeting those who are more in need.

According to Forbes, the COVID-19 pandemic has led nearly 40 percent of Americans who earn less than $40,000 a year to lose their jobs. Democrats expressed their support for another round of stimulus checks, including undocumented immigrants who were not eligible for the initial wave of payments.

The Trump administration is also interested in providing relief for hard-hit industries, including hotels and restaurants. While details are still unclear, the money could stem from the $670 billion Paycheck Protection Program, where there is still $132 billion left.

The Small Business Committee is working on legislation that would create new programs to expand the remaining funds. The new bill, which is backed by the Trump administration, may include allowing the chambers of commerce to apply for federal aid. The law is to reserve $25 billion for businesses that employ fewer than ten employees. It would also prevent hotels and restaurant chains from receiving more than $2 million in aid.

Limiting the Cost

In early May, House Democrats proposed a $3 trillion coronavirus relief package. The proposed plan included federal aid to states, rental and mortgage assistance, and hazard pay for essential workers.

However, recent news claims the White House is looking to limit the package's cost at $1 trillion or less, as reported by Fox Business. The reports come amid growing concerns the Trump administration may lose support from Senate Republicans who are starting to oppose the unprecedented debt and spending levels.

The first eight months of the fiscal year saw a deficit of $1.9 trillion. The gap between the federal funds spent and collected for fiscal 2020 is expected to hit nearly $3.7 trillion.

Congress has already approved three massive stimulus packages during the subsequent lockdowns to curb the coronavirus's spread. The packages totaled to nearly $3 trillion. It included a $2.2 trillion CARES Act package that sent up to $1,200 in direct payments to Americans.

The government previously established the Paycheck Protection Program, where small businesses could request a loan meant to help them cover their employees' paychecks and lease and utility payments. Congress also extended the expanded unemployment benefits of $600 per week through the end of July.

The jobs report showed the packages helped employers add 4.8 million jobs in June, and the unemployment rate went down to 11.1 percent.

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