Washington — President Obama yesterday asked Congress to fund a new mini-stimulus package — billions more for seniors, veterans and the disabled.
The boost will come in the form of $250 “economic recovery payment” checks sent directly to nearly 60 million people.
“Even as we seek to bring about recovery, we must act on behalf of those hardest hit by this recession,” Obama said in a prepared statement.
The administration estimated that the proposal for stimulus No. 2 — before Congress adds any additional spending of its own — will cost US taxpayers $13 billion.
The cash infusion comes even as about $450 billion of the first $729 billion stimulus has yet to be spent.
In a conference call yesterday, several “senior administration officials” told reporters that Obama only “generally” wants to pay for the programs he proposes.
“The president will not insist that it be paid for,” one of the officials who did not want to be publicly identified said.
These officials deflected questions about how this massive new spending will be paid for, and said Obama is asking Congress for another round of these checks because they were so successful the first time.
Asked why the second round is needed if the first round was so successful, one of the officials declined to answer directly, except to say that the president is aware of the continued economic hardships.
Receiving a second batch of checks will be 49 million Social Security beneficiaries, 5 million Supplemental Social Security Income beneficiaries, 2 million veterans benefit recipients, 1 million government retirees and a half-million railroad retirees and disability beneficiaries.
The recipients will not have to pay taxes on the money.