By Donna Smith and Richard Cowan
Moving quickly to get the economic package to President George W. Bush, the House of Representatives passed the bill 380-34 just hours after the Senate cleared the measure on a vote of 81-16. Bush is expected to sign the bill next week.
The final bill was broader than the original House-passed package that was backed by Bush. The Senate added the elderly and disabled veterans who had been left out of the House bill. To win more Republican support in the closely divided Senate, Democrats had to drop demands for benefits for long-term unemployed workers and other provisions that would have helped low-income people pay heating bills and home builders write off current year losses against previous tax years.
The bill will inject nearly $152 billion into the economy this year and more than $16 billion next year.
"This plan is robust, broad-based, timely, and it will be effective," Bush said in a statement. "This bill will help to stimulate consumer spending and accelerate needed business investment."
The latest economic data suggest the U.S. economy is stalling. Pending sales of previously owned homes fell by 1.5 percent in December and were off a sharp 24 percent from a year ago, the National Association of Realtors said on Thursday.
Lawmakers hope the rebate checks and incentives for business investments will send Americans on a shopping spree that will help jump start the economy.
But even as Congress acted on the bill, some lawmakers were discussing a possible second package to help the economy.
Reid said Republican opposition to expanded unemployment benefits and aid to low-income families for paying winter heating bills would haunt them in the November elections.
Senate Republican Leader Mitch McConnell of Kentucky said the economic package transcended politics.
Reid and other Democratic senators said they would try to move legislation later this year expanding unemployment benefits and helping the housing industry.
