House Democrats passed a 1.9 trillion dollar COVID-19 relief bill in Washington, D.C. on Thursday to help Americans back on their feet financially amid the pandemic.
U.S. Senator Richard Blumenthal (D-CT) who had been following the bill’s passage told Quinnipiac University students and Hamden community members during a virtual panel discussion titled “Entrepreneurship & the Federal Government” last week that bolstering the economy will take more than just economic bailout.
“If we’re talking about the health of our economy and in innovation and invention, we have to invest in our institutions of higher learning,” Blumenthal said. “And that’s why I have fought for more funds.”
Blumenthal intends to continue working with Senate Democrats to pass more legisltation about issues his constituents care about most. Here is where he falls on what matters to Hamden residents and students:
COVID-19 Relief and Small Businesses
Blumenthal stressed the importance of investing in higher education institutions to help pull the United States out of economic crises like the pandemic. He recalled that universities across the country collaborated with the federal government and private innovators to make breakthroughs in research during World War II, and the same could ring true in a post-pandemic world.
After securing billions of dollars in Paycheck Protection Programs (PPP) for the state of Connecticut, Blumenthal hopes to help alleviate the struggles of small businesses that are “challenged like never before.”
Federal legislators amended the program at the start of the COVID-19 pandemic to be more flexible with where PPP grants can be used, opening up from just employee payroll to help fund inventory buys, rent and mortgages, utilities and more.
The senator sees opportunities to use the grants for innovations in new industries created to cater to new stay-at-home habits linked to the pandemic.
“The potential for borrowing money is there as well,” Blumenthal said. “People have a lot of savings, and they’re looking for things to do with it.”
Connecticut Economy
As a strong supporter of raising the national minimum wage to $15, Sen. Blumenthal backs a plan proposed by Sen. Bernie Sanders to phase the wage increase incrementally to accommodate for hurting businesses.
Although many Democrats support increasing the minimum wage, the proposed budget amendments will not be introduced in the American Rescue Plan Act.
“The reason is quite simply, the parliamentarian has ruled that it cannot be done by budget reconciliation,” Blumenthal said. “That is literally a budget process that enables us to pass this measure was 51 votes instead of the 60 that otherwise would be required under the Senate rules.”
Some Hamden residents fear the prospect of Connecticut entrepreneurs leaving the state in pursuit of opportunities elsewhere because of the high cost of living, but Blumenthal believes the free market is the reason for people leaving.
“There are all kinds of reasons why the cost of living is high, but we need to be mindful about tax levels for the middle class. The strength of our economy depends on the middle class — we need consumers,” Blumenthal said.
Blumenthal also hopes to implement a child tax credit for new families. Investing in child care and educators will be the recipe to uplift educational facilities that are failing in the pandemic right now, he said.
There are all kinds of reasons why the cost of living is high, but we need to be mindful about tax levels for the middle class. The strength of our economy depends on the middle class — we need consumers
Richard Blumenthal, U.S. Senator (D-CT)
Equity & Racial Justice
Blumenthal is looking to address the financial industry’s failing to make the PPP program more accessible for small businesses, while ensuring equitable racial justice within the free market.
“One of [the PPP program’s] failings was getting sufficient help to communities of color,” Blumenthal said. “The simple fact is business owned and run by Black and brown people have less access, and part of it was that initially the program went through the big banks and they of course had relationships with bigger companies rather than entrepreneurs of color.”
Though he is a strong supporter of the HR 1 bill — otherwise known as the For the People act, a bill that would expand voting laws so more disenfranchised Americans can exercise their right to vote — Blumenthal is not optimistic it will receive the votes to pass.
In the future, Blumenthal hopes to tackle racial injustices in other fields, such as voting, police, housing and health care reforms for a more equitable future for all.
Student Debt
Blumenthal backs President Joe Biden’s proposal to alleviate up to $10,000 of student debt loans and hopes he will issue an executive order to provide relief.
“If I had to pick one issue where the future of America is vitally impacted and the federal government could by a stroke of a pen turbocharge our educational system and entrepreneurial talent, it would be eliminating the student debt,” Blumenthal said. “It’s the largest non-credit card debt in this country and inhibits the entire economy. Somebody who has $100,000 in student debt isn’t going to be able to start a business or even buy a home.”
On Capitol Hill, Blumenthal and colleagues Sen. Elizabeth Warren and Sen. Majority Leader Chuck Schumer are advocating for total student debt relief. Though there is currently a tug-of-war between Democrats and Republicans on the issue, Blumenthal thinks the proposal to cancel $50,000 of debt is “a good place to begin.”
Blumenthal would also like to create a system to save government spending over time by dispersing grants to student entrepreneurs launching innovative businesses.
Climate Issues
Blumenthal is a supporter of the Green New Deal, a bill proposed by Rep. Alexandria Ocasio-Cortez and Sen. Ed Markey, which rehauls how the federal government addresses the climate crisis and evaluates future policies that safeguard the planet from further damage.
Identifying renewable energy and green technology as an area where universities, government and private entrepreneurs can collaborate, Blumenthal believes that a real source of jobs and economic advancement lies in addressing environmental issues.
“The lesson is clear that green technology is a job creator and our government ought to be investing in,” Blumenthal said.
As a member of the Senate Armed Services Committee, Blumenthal wants to see armed forces implement more electric-powered vehicles into its arsenal and military bases do more to be energy efficient.
Blumenthal said that his proposed American Rescue Plan Act, a $1.9 trillion economic stimulus package to aid COVID-19 recovery, grants money to restructure important infrastructure such as roads, railroads, broadband ports, airports and more.
He hopes to see the next generation of innovators create energy-efficient solutions so “we’re not going to build more of the same.”
Immigration
Blumenthal understands that to attract more innovators to the United States, there needs to be a better immigration system.
“Immigration reform is absolutely vital,” Blumenthal said. “We need an immigration system that enables smart, talented, creative and dedicated people to come to.”
A better immigration system in Blumenthal’s eyes is one that gives immigrants, including the undocumented ones currently in the United States, a path to citizenship as well as streamlining the Green Card application process so more entrepreneurial ability will be available in the workforce.
Marijuana Legalization
Blumenthal wants to repeal the federal law prohibiting the medicinal and recreational use of marijuana and also commends the Connecticut state legislature for pushing for legalization as well.
