House Speaker Nancy Pelosi of Calif., left, and Senate Majority Leader Mitch McConnell of Ky., right, bump elbows as they…
House Speaker Nancy Pelosi of Calif., left, and Senate Majority Leader Mitch McConnell of Ky., right, bump elbows as they attend a lunch on Capitol Hill in Washington, March 12, 2020.

WASHINGTON - A bipartisan group of lawmakers unveiled a detailed COVID-19 aid proposal on Monday in hopes it would serve as a model for its battling leaders to follow as they try to negotiate a final agreement on a new round of virus relief.  

The dozen or so lawmakers unveiled two bills. One is a $748 billion aid package containing money for struggling businesses, the unemployed, schools and vaccine distribution. The other bill proposes a $160 billion aid package for state and local governments that is favored by Democrats and GOP-sought provisions shielding businesses from COVID-19-related lawsuits. But agreement proved impossible, and most Democrats opposed a compromise on the liability issue forged by GOP Sen. Rob Portman of Ohio. 

The path forward for their proposals — and for COVID-19 aid more generally — remains unclear. Parallel negotiations over virus relief and government funding are proceeding on the leadership level involving House Speaker Nancy Pelosi, Treasury Secretary Steven Mnuchin and Senate Majority Leader Mitch McConnell. And that is where any agreement is likely to be forged.  

Outstanding issues in the leadership talks include a potential second round of direct payments to individuals, a plan for $300 bonus unemployment benefits, state and local aid, and the GOP-sought liability shield against COVID-19-related lawsuits. 

FILE - Sen. Susan Collins, R-Maine, talks to reporters on Capitol Hill in Washington.

Republican Sen. Susan Collins of Maine said she hoped that top Capitol Hill leaders and the administration would use the proposals as the basis for a COVID-19 relief package "that is urgently needed by our struggling families, our hard-hit small businesses, our stressed-out health care providers, our overwhelmed Postal Service, our challenged schools and so many others." 

A key trade-off involves aid to states and local governments, a top Pelosi priority, and the liability shield, a top demand of McConnell. The Kentucky Republican has suggested an all-or-nothing approach in which the fate of both ideas is linked to the other — either both are added, or both are dropped. Pelosi is insisting so far that state and local aid be added, demanding that McConnell compromise on his pet provision. Agreement remains elusive. 

But progress was being reported on another key front as lawmakers cobbled together a year-end catchall funding package that will be the basis for the last significant legislation of the Trump presidency. 

There is a hoped-for deadline of midnight Friday to deliver the completed package to President Donald Trump, which is when a partial government shutdown would arrive with the expiration of last week's temporary funding bill. But there is no guarantee that the massive year-end measure will be completed in time. If the talks drag, further temporary bills could be needed. 

FILE - President Donald Trump walks on the South Lawn of the White House in Washington before boarding Marine One, Dec. 12, 2020.

Meanwhile, negotiations on a $1.4 trillion catchall spending bill are "essentially finished," said a congressional aide participating in the talks. While details are closely held, "the status quo is prevailing." That means Trump would get another $1.4 billion or so for a final installment to continue construction of his long-sought U.S.-Mexico border wall. 

Republicans have succeeded in killing a $12 billion plan to break last year's budget mini-agreement by using accounting maneuvers to pad health care funding for veterans to accommodate big cost increases from expanding access to health care services from private providers. Instead, a different set of moves is being employed to provide for equivalent spending increases for other domestic programs. 

The post-election lame-duck session is the last chance to wrap up the unfinished work this year, a goal of all involved, though they have been slow until now to forge the often-tricky compromises required to pull the measure together. 

FILE - Treasury Secretary Steven Mnuchin makes a brief comment as he leaves the Capitol, Sept. 30, 2020, in Washington.

Pelosi and Mnuchin spoke Sunday afternoon and are likely to be the crucial pair to watch going down the stretch. Pelosi has not thrown in the towel on her drive to obtain state and local aid, which was part of the almost $2 trillion CARES Act in March.  

President-elect Joe Biden wants as much COVID-19 relief as possible but has no direct influence on the negotiations. While he will empower Democrats after taking office next year, GOP leaders like McConnell are playing hardball and have forced Pelosi to scale back her demands. And while McConnell supported a $300 per week bonus unemployment benefit this summer, he has pulled back after the November election. 

Also in the mix is a deal to curb "surprise medical bills," the astonishingly high fees charged to patients with health insurance when they are treated by a doctor or hospital outside of their insurer's provider network. It is a particular problem for people getting emergency services and for patients undergoing complex surgeries where another specialist might have to be called in. 

Although there is agreement among most lawmakers and the White House that patients should not face thousands of dollars in unexpected bills, legislation has been slow to gel. It has been blocked by a lobbying war between consumer groups and insurers on one side, and on the other, doctors and investors in medical practices. The potential compromise would ban surprise bills for emergency room visits and scheduled procedures, but McConnell has yet to endorse the agreement. 

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