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    The Economy Is Booming but Far From Normal, Posing a Challenge for Biden

    High inflation, ghostly downtowns and a resurgent virus have rattled consumers and created new obstacles as the president tries to push his broader economic agenda.The American economy is growing at its fastest clip in a quarter-century, yet it remains far from normal, with some workers and small-business owners facing increasingly tough times while others thrive. That divergence poses a challenge to President Biden, who has promoted the nation’s economic recovery as a selling point in his quest to win support for a multitrillion-dollar spending agenda that could cement his legacy. A summer that many business owners and consumers had hoped would bring a return to prepandemic activity has delivered waves of disappointment in key areas. Restaurants are short on staff and long on wait times. Prices have spiked for food, gasoline and many services. Shoppers are struggling to find used cars. Retailers are struggling to hire. Beach towns are jammed with tourists, but office towers in major cities remain ghost towns on weekdays, with the promised return of workers delayed by a resurgent coronavirus.The University of Michigan’s Consumer Sentiment Index suffered one of its largest monthly losses in 40 years in August, driven by the rapidly spreading Delta variant and high inflation. The survey’s chief economist, Richard Curtin, said the drop also reflected “an emotional response, from dashed hopes that the pandemic would soon end and lives could return to normal.”Mr. Biden and his advisers are confident that many of those issues will improve in the fall. They expect hiring to continue at a strong pace or even accelerate, fattening worker paychecks and powering consumer spending. They remain hopeful that a reinvigorated labor market will take the place of the fading stimulus from the president’s $1.9 trillion economic aid bill signed in the spring, and that the latest wave of the virus will not dampen growth significantly.On Friday, they released new projections forecasting that growth will hit 7.1 percent this year after adjusting for inflation, its highest rate since 1983.“Our perspective is one of looking at an economy that is growing at historic rates,” Brian Deese, the director of Mr. Biden’s National Economic Council, said in an interview.But there is mounting evidence that the coming months of the recovery could be more halting and chaotic than administration officials predict, potentially imperiling millions of left-behind workers as their federal support runs dry.Private forecasters have pared back growth expectations for the end of the year, citing drags on spending from the spread of the Delta variant and from the nationwide expiration of enhanced unemployment benefits next Monday. Emerging research suggests the end of those benefits might not immediately drive Americans back to the work force to fill the record level of open jobs nationwide.“People will be surprised at how much the economy decelerates over the next year as the stimulus boost fades,” said Jim O’Sullivan, the chief U.S. macrostrategist for TD Securities.Administration officials do acknowledge some potential hurdles. Some big-city downtowns may never return to their prepandemic realities, and the economy will not be fully “normal” until the virus is fully under control. They stress that increasing the nation’s vaccination rate is the most important economic policy the administration can pursue to accelerate growth and lift consumer confidence, which has slumped this summer..css-1xzcza9{list-style-type:disc;padding-inline-start:1em;}.css-3btd0c{font-family:nyt-franklin,helvetica,arial,sans-serif;font-size:1rem;line-height:1.375rem;color:#333;margin-bottom:0.78125rem;}@media (min-width:740px){.css-3btd0c{font-size:1.0625rem;line-height:1.5rem;margin-bottom:0.9375rem;}}.css-3btd0c strong{font-weight:600;}.css-3btd0c em{font-style:italic;}.css-w739ur{margin:0 auto 5px;font-family:nyt-franklin,helvetica,arial,sans-serif;font-weight:700;font-size:1.125rem;line-height:1.3125rem;color:#121212;}#NYT_BELOW_MAIN_CONTENT_REGION .css-w739ur{font-family:nyt-cheltenham,georgia,’times new roman’,times,serif;font-weight:700;font-size:1.375rem;line-height:1.625rem;}@media (min-width:740px){#NYT_BELOW_MAIN_CONTENT_REGION .css-w739ur{font-size:1.6875rem;line-height:1.875rem;}}@media (min-width:740px){.css-w739ur{font-size:1.25rem;line-height:1.4375rem;}}.css-9s9ecg{margin-bottom:15px;}.css-uf1ume{display:-webkit-box;display:-webkit-flex;display:-ms-flexbox;display:flex;-webkit-box-pack:justify;-webkit-justify-content:space-between;-ms-flex-pack:justify;justify-content:space-between;}.css-wxi1cx{display:-webkit-box;display:-webkit-flex;display:-ms-flexbox;display:flex;-webkit-flex-direction:column;-ms-flex-direction:column;flex-direction:column;-webkit-align-self:flex-end;-ms-flex-item-align:end;align-self:flex-end;}.css-12vbvwq{background-color:white;border:1px solid #e2e2e2;width:calc(100% – 40px);max-width:600px;margin:1.5rem auto 1.9rem;padding:15px;box-sizing:border-box;}@media (min-width:740px){.css-12vbvwq{padding:20px;width:100%;}}.css-12vbvwq:focus{outline:1px solid #e2e2e2;}#NYT_BELOW_MAIN_CONTENT_REGION .css-12vbvwq{border:none;padding:10px 0 0;border-top:2px solid #121212;}.css-12vbvwq[data-truncated] .css-rdoyk0{-webkit-transform:rotate(0deg);-ms-transform:rotate(0deg);transform:rotate(0deg);}.css-12vbvwq[data-truncated] .css-eb027h{max-height:300px;overflow:hidden;-webkit-transition:none;transition:none;}.css-12vbvwq[data-truncated] .css-5gimkt:after{content:’See more’;}.css-12vbvwq[data-truncated] .css-6mllg9{opacity:1;}.css-qjk116{margin:0 auto;overflow:hidden;}.css-qjk116 strong{font-weight:700;}.css-qjk116 em{font-style:italic;}.css-qjk116 a{color:#326891;-webkit-text-decoration:underline;text-decoration:underline;text-underline-offset:1px;-webkit-text-decoration-thickness:1px;text-decoration-thickness:1px;-webkit-text-decoration-color:#326891;text-decoration-color:#326891;}.css-qjk116 a:visited{color:#326891;-webkit-text-decoration-color:#326891;text-decoration-color:#326891;}.css-qjk116 a:hover{-webkit-text-decoration:none;text-decoration:none;}“I don’t want to put a timeline on this,” said Cecilia Rouse, the chair of the White House Council of Economic Advisers. “We won’t feel totally completely normal until we have, whether we want to call it herd immunity or a greater fraction or percentage of the American population is vaccinated.”“As we conquer the virus,” she said, “we will regain normalcy.”The hospitality sector still employs millions fewer people than it did in February 2020.Gabriela Bhaskar/The New York TimesThe construction sector has regained most of the jobs lost early in the pandemic. Alyssa Schukar for The New York TimesThe economy’s rebound this year has been stronger than almost anyone predicted last winter, a result of the initial wave of vaccinations and the boost from Mr. Biden’s stimulus bill. Gross domestic product returned to its prepandemic level last spring, and retail sales have soared far beyond their pre-Covid path. Yet the recovery remains uneven and rattled by a rare set of economic crosswinds. In some sectors, consumer demand remains depressed. In others, spending is high but supply constraints — whether for materials or workers or both — are pushing up prices.For instance, the construction sector has regained most of the jobs lost early in the pandemic, and other industries, such as warehousing, have actually grown. But restaurants and hotels still employ millions fewer people than they did in February 2020. The result: There are more college graduates working in the United States today than when the pandemic began, but five million fewer workers without a college degree.Compounding the problem, employment in the biggest cities fell further than in smaller cities and rural areas, and it has rebounded more slowly. Employment among workers without a college degree living in the biggest cities is down more than 5 percent since February 2020, compared with about 2 percent for workers without a college degree in other parts of the country.Even as millions of people remain out of work, businesses across the country are struggling to fill a record number of job openings. Many businesses have blamed expanded unemployment benefits for the labor shortage. If they are right, a flood of workers should be returning to the job market when the benefits end after Labor Day. But recent research has suggested that the benefits are playing at most a small role in keeping people out of the work force. That suggests that other factors are holding potential workers back, such as health concerns and child care issues, which might not ease quickly.The Michigan sentiment data and the fade-out of stimulus benefits suggest consumers may be set to pull back spending further. But other data shows Americans increased their savings during the pandemic, in part by banking previous rounds of government support, and could draw on those funds to maintain spending for months to come.Administration officials hope to buck up consumers and workers by pushing Congress to pass the two halves of Mr. Biden’s longer-term economic agenda: a bipartisan infrastructure bill and a larger spending bill that could extend expanded tax credits for parents, subsidize child care and reduce prescription drug costs, among other initiatives.“Our hope is that the new normal coming out of this crisis is not simply a return to the status quo and the economy, which was one that was not working for most working families,” Mr. Deese said.The virus remains the biggest wild card for the outlook. There is little evidence in government data that the spread of the Delta variant has suppressed spending in retail stores. But air travel, as measured by the number of people screened at airport security checkpoints, has tailed off in recent days after returning to about 80 percent of where it was during the same week in 2019.Restaurant bookings on OpenTable, which had nearly returned to normal in June and July, are back down to 10 percent below their prepandemic level. Data from Homebase, which provides time-management software to small businesses, shows a sharp decline in the number of hours worked at restaurants and entertainment venues.Restaurant bookings on OpenTable, which had nearly returned to normal in June and July, are back down to 10 percent below their prepandemic level.Karsten Moran for The New York TimesAir travel has tailed off in recent days after returning to about 80 percent of its prepandemic level this summer.Stefani Reynolds for The New York TimesThe variant is already casting a shadow over the new school year, with some schools, including a middle school in Fredericksburg, Va., temporarily returning to virtual learning amid new outbreaks.Urban downtowns, once hopeful for a fall rebound in activity, are bracing for prolonged delays in white-collar workers returning to their offices.“Our No. 1 job is to get office workers back — that’s the driver of the downtown,” said Paul Levy, the president and chief executive of the Center City District, a local business-development group in Philadelphia.Mr. Levy’s group estimates that 30 percent of downtown office workers have returned so far to Philadelphia. It had been expecting that number to hit 75 to 80 percent after Labor Day, and had built an advertising campaign around the idea that the fall would mark a milestone in the return to normalcy. But now major employers such as Comcast have delayed their return dates, worrying business owners.Yehuda Sichel signed a lease for Huda, his gourmet sandwich shop in Philadelphia, on Feb. 29, 2020 — two weeks before the pandemic sent virtually his entire prospective customer base home indefinitely.He made it through the pandemic winter with takeout orders, holiday meal kits and some creativity. A short-rib special on a snow day when many other restaurants were closed helped him make payroll during a particularly grim period. Last spring, business began to improve, and Mr. Sichel invested in new equipment and a new kitchen floor in hopes of a surge in business once office workers returned. Now he doubts he will see one.“September was supposed to be this huge boom,” he said. “Now, September is going to be fine. I’m sure we’ll see a little bump, but not the doubling in business that I was hoping for.” More

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    When Will Unemployment End? Biden Urges Some States to Extend Benefits

    President Biden is encouraging states with stubbornly high jobless rates to use federal aid dollars to extend benefits for unemployed workers after they are set to expire in early September, administration officials said on Thursday, in an effort to cushion a potential shock to some local economies as the Delta variant of the coronavirus rattles the country.Enhanced benefits for unemployed workers will run through Sept. 6 under the $1.9 trillion economic aid bill enacted in March. Those benefits include a $300 weekly supplement for traditional benefits paid by states, additional weeks of benefits for the long-term unemployed and a special pandemic program meant to help so-called gig-economy workers who do not qualify for normal unemployment benefits. Those benefits are administered by states but paid for by the federal government. The bill also included $350 billion in relief funds for state, local and tribal governments.Mr. Biden still believes it is appropriate for the $300 benefit to expire on schedule, as it was “always intended to be temporary,” the secretaries of the Treasury and labor said in a letter to Democratic committee chairmen in the House and Senate on Thursday. But they also reiterated that the stimulus bill allows states to use their relief funds to prolong other parts of the expanded benefits, like the additional weeks for the long-term unemployed, and they called on states to do so if their economies still need the help.That group could include California, New York and Nevada, where unemployment rates remain well above the national average and governors have not moved to pare back benefits in response to concerns that they may be making it more difficult for businesses to hire.“Even as the economy continues to recover and robust job growth continues, there are some states where it may make sense for unemployed workers to continue receiving additional assistance for a longer period of time, allowing residents of those states more time to find a job in areas where unemployment remains high,” wrote Janet L. Yellen, the Treasury secretary, and Martin J. Walsh, the labor secretary. “The Delta variant may also pose short-term challenges to local economies and labor markets.”The additional unemployment benefits have helped boost consumer spending in the recovery from recession, even as the labor market remains millions of jobs short of its prepandemic levels. But business owners and Republican lawmakers have blamed the $300 supplement, in particular, for the difficulties that retailers, restaurants and other employers have faced in filling jobs this spring and summer.Two dozen states, mostly led by Republicans, have moved to end at least some of the benefits before their expiration date.In their letter to Congress, the administration officials said the Labor Department was announcing $47 million in new grants meant to help displaced workers connect with good jobs. They also reiterated Mr. Biden’s call for Congress to include a long-term fix for problems with the unemployment system in a large spending bill that Democrats are trying to move as part of their multipart economic agenda. More

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    Pelosi and Yellen to Discuss Rental Assistance as Eviction Crisis Looms

    WASHINGTON — The Biden administration on Tuesday imposed a new, 60-day federal moratorium on evictions in areas of the country ravaged by the Delta variant, a move aimed at protecting hundreds of thousands of renters at risk of being kicked out of their homes during a pandemic.The action was also intended to quell a rebellion among angry Democrats who blamed the White House for allowing a previous eviction ban to expire on Saturday — after the Democratic-controlled House was unable to muster enough votes to extend that moratorium.President Biden told reporters that the Centers for Disease Control and Prevention would seek to implement a new federal moratorium on evictions in communities across the country hardest hit by the virus.Tom Brenner for The New York TimesPresident Biden has been under intense pressure from activists and allies for the last week to protect people at risk of being driven from their homes for failing to pay their rent during the economic crisis brought on by the pandemic. The previous nationwide moratorium on evictions, which went into effect in September, expired on Saturday after the Supreme Court warned that an extension would require congressional action.The end of the rental protections has prompted a flurry of recriminations in Washington and a furious effort by the White House to find a solution that prevents working-class and impoverished Americans from being evicted from their homes on Mr. Biden’s watch as billions in aid allocated by Congress goes untapped.The Centers for Disease Control and Prevention late Tuesday announced the new order barring people from being driven out of their homes in many parts of the country, saying that “the evictions of tenants for failure to make rent or housing payments could be detrimental to public health control measures” aimed at slowing Covid-19.The order will expire on Oct. 3, the C.D.C. said, and applies to areas of the country “experiencing substantial and high levels of community transmission” of the virus. Mr. Biden, in remarks ahead of the official order, said the moratorium was expected to reach 90 percent of Americans who are renters.“This moratorium is the right thing to do to keep people in their homes and out of congregate settings where Covid-19 spreads,” Dr. Rochelle P. Walensky, the director of the C.D.C., said in a statement. “Such mass evictions and the attendant public health consequences would be very difficult to reverse.”The decision to impose a new and targeted moratorium, rather than extending the previous national ban, is aimed at sidestepping a Supreme Court ruling from late June that seemed to limit the administration’s ability to enact such policies. While the court upheld the C.D.C.’s moratorium, Justice Brett M. Kavanaugh issued a brief concurring opinion explaining that he had cast his vote reluctantly and believed the C.D.C. had “exceeded its existing statutory authority by issuing a nationwide eviction moratorium.”Mr. Biden conceded on Tuesday that the new approach might be struck down by the courts as executive overreach. But he suggested the move could help buy the administration time as it tried to get states to disburse billions of dollars of aid to help renters meet their obligations to landlords.Congress previously allocated $46.5 billion in rental assistance in two coronavirus relief packages, but only about $3 billion had been delivered to eligible households through June, according to Treasury Department data.“Whether that option will pass constitutional measure with this administration, I can’t tell you. I don’t know,” Mr. Biden said of a new moratorium. “There are a few scholars who say it will and others who say it’s not likely to. But at a minimum, by the time it gets litigated, we’ll probably give some additional time while we’re getting that $45 billion out to people who are in fact behind in rent and don’t have the money.”For days, some of Mr. Biden’s closest allies on Capitol Hill, including some of the most progressive Democrats in Congress, have been publicly and privately assailing his lack of action to help renters, accusing the president and his aides of failing to find a replacement for the eviction moratorium until it was too late.Just days before Saturday’s expiration of the ban, Mr. Biden called on Congress to pass legislation to extend it. But with the House about to leave town for a seven-week vacation and Republicans solidly opposed to an extension, progressive Democrats described the White House call as a cynical attempt to shift blame to lawmakers. The administration, for its part, feared that any unilateral move would open the White House to legal challenges that could ultimately erode Mr. Biden’s presidential powers.The expiration presented the president with a thorny choice: Side with the C.D.C. and his own lawyers, who saw an extension as a dangerous step that could limit executive authority during health crises, or heed the demands of his party’s progressive wing to take immediate action to halt what they saw as a preventable housing crisis.Under intense pressure from Speaker Nancy Pelosi and other Democrats, Mr. Biden’s team opted for an approach that would give them a chance to satisfy both camps, creating a new moratorium, based on a recent rise in infections from the Delta variant, that cited the risks associated with the movement of displaced tenants in areas where the virus is raging.But ultimately it came down to a simpler calculation: Mr. Biden could not ignore the call, led by Black Democrats, to reverse course.“Every single day that we wait, thousands of people are receiving eviction notices, and some of them are being put out on the street,” said Representative Cori Bush, Democrat of Missouri, who has been sleeping on the steps of the Capitol since the moratorium expired in a bid to pressure her party’s leadership. “People started sending me pictures of dockets, court dockets, that were all evictions. We cannot continue to sit back. We need this done today.”Ms. Pelosi and Senator Chuck Schumer, Democrat of New York and the majority leader, were briefed on Tuesday on the C.D.C.’s plan by Dr. Walensky, the agency’s director, and Xavier Becerra, the secretary of health and human services, according to a person familiar with the call. Ms. Pelosi hailed the idea of a new eviction moratorium as a victory for many Americans who were struggling because of the pandemic.“Today is a day of extraordinary relief,” she said in a statement. “Thanks to the leadership of President Biden, the imminent fear of eviction and being put out on the street has been lifted for countless families across America. Help is here!”Yet for two days it was unclear how — or whether — any help would arrive as landlords prepared to turn to housing courts to evict tenants who were behind on their rent.At a White House meeting with Mr. Biden on Friday, Ms. Pelosi and Mr. Schumer bluntly informed Mr. Biden they did not have the votes to pass an extension — and pressed him to take whatever action he could using his executive power, according to two Democratic congressional aides briefed on the meeting.On Tuesday, House Democrats summoned Treasury Secretary Janet L. Yellen to explain what the agency was doing to help struggling renters. In a private call between Democrats and Ms. Yellen, the Treasury secretary insisted that her team was using all available tools to get rental assistance money to states and to help governments distribute those funds to landlords and renters.“I thoroughly agree we need to bring every resource to bear,” Ms. Yellen said, according to a person who was on the call.The White House had been scrambling to figure out exactly what its legal options were for continuing the moratorium. On Monday, Jen Psaki, the White House press secretary, said that Mr. Biden had asked the C.D.C. on Sunday to consider extending the moratorium for 30 days, even just to high-risk states, but that the C.D.C. had “been unable to find legal authority for a new, targeted eviction moratorium.”A day later, however, the administration appeared ready to barrel through legal challenges and embrace a solution that did just that.The extension is likely to intensify a legal fight with landlord groups that have argued that the eviction ban has saddled them with debt.The National Apartment Association, which filed a lawsuit last week seeking to recoup lost rent, said the moratorium was jeopardizing the viability of the housing market. The group estimates that the apartment industry is shouldering $26.6 billion in debt as a result of the eviction ban.“The government has intruded into private property and constitutional freedoms, and we are proudly fighting to make owners whole and ensure residents’ debt is wiped from their record,” said Robert Pinnegar, the chief executive of the association.Legal experts said it was likely that the administration would face a new wave of lawsuits if the justification and structure of a new moratorium was similar to the one that had been in place.“The only logic by which this could be justified is a logic that would enable them to be able to suppress virtually any activity of any kind that they can claim might spread contagious disease,” said Ilya Somin, a law professor at George Mason University. More

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    U.S.-China Trade Talks Should Resume, U.S. Business Groups Say

    A letter from influential industry organizations asked the White House to resume negotiations on tariffs and other measures that stalled during a bruising trade war.A group of the most influential American business groups is urging the Biden administration to restart trade talks with China and cut tariffs on Chinese-made goods that had remained in place after the start of the bruising trade war between the two countries.The groups, which represented interests as diverse as potato farmers, microchip companies and the pharmaceutical industry, said in a letter dated Thursday that the Biden administration should take “swift action” to address “burdensome” tariffs. They also called on the White House to work with the Chinese government to ensure that it carries out commitments made in its trade truce with the Trump administration, sealed in early 2020.The letter, addressed to the Treasury Department and the United States trade representative, comes as the relationship between the world’s two largest economies remains fractious. A high-profile visit to China last month by Wendy R. Sherman, the deputy secretary of state, began with acerbic opening remarks from the Chinese side and ended with little sign of progress. The two have squabbled over human rights, cyberattacks and China’s military operations in the South China Sea.While the Biden administration has mapped out a strategy of confrontation with China on a range of issues, it has said less about the countries’ economic relationship.It is more than seven months into a review of the trade deal that former President Donald J. Trump signed with China in January 2020, along with other national security measures from the previous administration. Officials have not yet announced the results of that review.A visit to China last month by Wendy R. Sherman, the deputy secretary of state, ended with little sign of progress.U.S. Department of State, via ReutersThe January 2020 trade truce essentially froze into place U.S. tariffs on $360 billion in Chinese imports. That deal also did nothing to stop the Chinese government’s subsidies of strategic industries like computer chips and electric cars, which have worried American competitors. While some of the provisions of the trade deal are set to expire at the end of the year, much of the agreement will remain in place.The industry group letter appeared to be an attempt to prod the Biden administration into action.“Due to the tariffs, U.S. industries face increased costs to manufacture products and provide services domestically, making their exports of these products and services less competitive abroad,” read the letter, which was reviewed by The New York Times.The Treasury Department and the United States Trade Representative did not immediately comment. The existence of the letter was reported earlier by The Wall Street Journal.The letter said that China had met some of its commitments as part of the trade deal, including new measures to open up its market to U.S. financial institutions. It added that further talks would be the only way to ensure that China would carry out remaining commitments in other sectors, like intellectual property protection.Shipping containers at a port in Nantong, China. A letter from U.S. business groups is asking the Biden administration to cut tariffs on Chinese-made goods.CHINATOPIX, via Associated PressThough China has made large-scale purchases of U.S. goods since the trade war, the amount and composition have fallen short of its commitments to buy $200 billion worth of American goods and services in 2020 and 2021. According to analysis by the Peterson Institute for International Economics, China fell short of those purchases by 40 percent last year and is off by 30 percent this year.“We strongly urge the administration to work with the Chinese government to increase purchases of U.S. goods through the remainder of 2021 and implement all structural commitments of the agreement before its two-year anniversary on Feb. 15, 2022,” the letter added.While the Biden administration has questioned whether the trade deal with China was well designed, it has also signaled that it will continue to push China on what it perceives as unfair trade practices.In June, President Biden expanded a Trump administration blacklist that blocked Americans from investing in Chinese companies that aid the country’s military or repression of religious minorities. Mr. Biden included Huawei, a Chinese telecommunications giant, on the list of banned firms. The White House also announced the formation of a trade and technology council with American and European officials, an effort to counter China’s influence by coordinating digital policies between Brussels and Washington.“We will not hesitate to call out China’s coercive and unfair trade practices that harm American workers, undermine the multilateral system or violate basic human rights,” Katherine Tai, the United States trade representative, said in prepared testimony for a Senate hearing in May. “We are working toward a strong, strategic approach to our trade and economic relationship with China.” More

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    $1 Trillion Infrastructure Bill Pours Money Into Long-Delayed Needs

    The sprawling, 2,702-page bill includes historic investments in traditional projects as well as broadband expansion and funds for some climate projects.WASHINGTON — Amtrak would see its biggest infusion of money since its inception a half-century ago. Climate resilience programs would receive their largest burst of government spending ever. The nation’s power grid would be upgraded to the tune of $73 billion.The sprawling, $1 trillion bill that the Senate took up on Monday — a 2,702-page bipartisan deal that is the product of months of negotiating and years of pent-up ambitions to repair the nation’s crumbling infrastructure — would amount to the most substantial government expenditure on the aging public works system since 2009.It is also stuffed with pet projects and priorities that touch on nearly every facet of American life, including the most obscure, like a provision to allow blood transport vehicles to use highway car pool lanes to bypass traffic when fresh vials are on board and another to fully fund a federal grant program to promote “pollinator-friendly practices” near roads and highways. (Price tag for the latter: $2 million per year.)The measure represents a crucial piece of President Biden’s economic agenda, and the agreement that gave rise to it was a major breakthrough in his quest for a bipartisan compromise. But it was also notable for the concessions Mr. Biden was forced to make to strike the deal, including less funding for clean energy projects, lead pipe replacement, transit and measures targeted to historically underserved communities.Some of those provisions could be included in Democrats’ budget blueprint, expected to amount to $3.5 trillion, which they plan to take up after completing the infrastructure bill and push through unilaterally over Republican objections.The infrastructure legislation, written by a group of 10 Republicans and Democrats, could still change in the coming days, as other senators eager to leave their imprint have a chance to offer proposals for changes. The Senate began considering amendments on Monday, with more possible in the coming days.But the legislation marks a significant bipartisan compromise, including $550 billion in new funds and the renewal of an array of existing transportation and infrastructure programs otherwise slated to expire at the end of September.For climate, a substantial investment that falls short of the administration’s goals.As states confront yet another consecutive year of worsening natural disasters, ranging from ice storms to wildfires, the measure includes billions of dollars to better prepare the country for the effects of global warming and the single largest federal investment in power transmission in history.Much of the money intended to bolster the country’s ability to withstand extreme weather would go toward activities that are already underway, but which experts say the government needs to do more of as the threats from climate change increase. It also would support new approaches, including money for “next-generation water modeling activities” and flood mapping at the National Oceanic and Atmospheric Administration, which would also receive funds to predict wildfires.The legislation also includes $73 billion to modernize the nation’s electricity grid, which energy analysts said would lay the groundwork for pivoting the nation off fossil fuels. But it contains only a fraction of the money Mr. Biden requested for major environmental initiatives and extends a lifeline to natural gas and nuclear energy, provisions that have angered House progressives.There is also $7.5 billion for clean buses and ferries, but that is not nearly enough to electrify about 50,000 transit buses within five years, as Mr. Biden has vowed to do. The bill includes $7.5 billion to develop electric vehicle charging stations across the country, only half of the $15 billion Mr. Biden requested to deliver on his campaign pledge of building 500,000 of them.The bill would provide $15 billion for removing lead service lines across the nation, compared with the $45 billion Mr. Biden had called for and the $60 billion water sector leaders say is needed to get the job done.The legislation also includes more than $300 million to develop technology to capture and store carbon dioxide emissions from power plants, and $6 billion to support struggling nuclear reactors. It directs the secretary of energy to conduct a study on job losses associated with Mr. Biden’s decision to cancel the Keystone XL Pipeline.The legislation includes $73 billion to modernize the nation’s electricity grid.Jim Wilson/The New York TimesSenators won pet projects and crucial funding for their favored priorities.As one of the few major bills likely to be enacted during this Congress, the infrastructure measure has become a magnet for lobbying by industries across the country — and by the lawmakers whose votes will be needed to push it through, many of whom spent Monday highlighting funds for their top priorities.For the quartet of senators who represent the legions of federal workers who use the Washington Metro — Senators Tim Kaine and Mark Warner of Virginia, and Benjamin L. Cardin and Chris Van Hollen of Maryland, all Democrats — there was a critical annual reauthorization of $150 million for the transit system over a decade.The legislation would authorize funding to reconstruct a highway in Alaska, the home state of Senator Lisa Murkowski, a key Republican negotiator. Special funds are set aside for the Appalachian Regional Commission, a federal economic development body whose co-chairwoman is Gayle Manchin, the wife of Senator Joe Manchin III of West Virginia, one of the bill’s principal authors and a key Democratic swing vote. Mr. Manchin also helped secure funds to clean up abandoned mine lands in states like his.The legislation would set aside funds for individual projects across the country, including $1 billion for the restoration of the Great Lakes, $24 million for the San Francisco Bay, $106 million for the Long Island Sound and $238 million for the Chesapeake Bay.It also includes $66 billion in new funding for rail to address Amtrak’s maintenance backlog, along with upgrading the high-traffic Northeast Corridor from Washington to Boston. For Mr. Biden, an Amtrak devotee who took an estimated 8,000 round trips on the line, it is a step toward fulfilling his promise to inject billions into rail.Unspent pandemic funds and tougher scrutiny of cryptocurrency help pay for the plan.With Republicans and some moderate Democrats opposed to adding to the nation’s ballooning debt, the legislation includes a patchwork of financing mechanisms, though some fiscal hawks have called many of them insufficient.To pay for the legislation, lawmakers have turned partly to $200 billion in unused money from previous pandemic relief programs enacted in 2020.That includes $53 billion in expanded jobless benefit money that can be repurposed since the economy recovered more quickly than projections assumed, and because many states discontinued their pandemic unemployment insurance payments out of concern that the subsidies were dissuading people from rejoining the work force.The bill claws back more than $30 billion that was allocated — but had not been spent — for a Small Business Administration disaster loan program, which offers qualified businesses low-interest loans and small grants. That program has been stymied by shifting rules and red tape, and has disbursed cash far more slowly than Congress (and many applicants) expected.Leftover funds from other defunct programs would also be reprogrammed. That includes $3 billion never deployed in relief funds for airline workers.Marc Goldwein of the Center for a Responsible Federal Budget said that only about $50 billion of the estimated $200 billion represented real cost savings. The rest, he said, amounted to “cherry picking” numbers and claiming savings from projected costs that did not transpire.An analysis of the legislation by the congressional Joint Committee on Taxation estimated that the legislation could raise $51 billion in revenue over a decade, while the Congressional Budget Office is expected to release projections on its overall cost as early as this week.The legislation also includes tougher scrutiny by the I.R.S. on cryptocurrency. But a last-minute lobbying push by the industry to water down the language succeeded, resulting in a scaling back of the new requirements.Still, the provision is projected to raise $28 billion over a decade.New resources for underserved communities — but far fewer than the president wanted.As the United States remains battered by both the toll of the coronavirus pandemic and an onslaught of wildfires, droughts, floods and other weather calamities, the legislation seeks to target its support toward underserved communities historically in need of additional federal support.But while Mr. Biden had called for $20 billion for projects designed to help reconnect Black neighborhoods and communities of color splintered or disadvantaged by past construction, the legislation includes just $1 billion, half of which is new federal funding, over five years for the program. The legislation also creates a new $2 billion grant program to expand roads, bridges and other surface transportation projects in rural areas.The bill would increase support for tribal governments and Native American communities, creating an office within the Department of Transportation intended to respond to their needs. It would provide $216 million to the Bureau of Indian Affairs for climate resilience and adaptation for tribal nations, which have been disproportionately hurt by climate change. More than half of that money, $130 million, would go toward “community relocation” — helping some Native communities move away from vulnerable areas.It would also help improve access to running water and other sanitation needs in tribal communities and Alaska Native villages, with lawmakers determined to take care of all existing project needs.“We are still in an extreme deficit when it comes to our tribal communities,” Ms. Murkowski said in a speech on the Senate floor, adding that the funding level was “unprecedented.” “We’ve got to do right by our Native people.”A major investment in closing the digital divide.Alongside old-fashioned public works projects like roads, bridges and highways, senators have included $65 billion meant to connect hard-to-reach rural communities to high-speed internet and help sign up low-income city dwellers who cannot afford it. Other legal changes seek to stoke competition and transparency among service providers that could help drive down prices.Official estimates vary, but most suggest that tens of millions of Americans lack reliable access to high-speed internet, many of them people of color, members of rural communities or other low-income groups. That need, lawmakers said, was exacerbated by lockdowns during the pandemic that required work and schooling from home.Mr. Biden had initially proposed $100 billion to try to bring that number to zero, but he agreed to lower the price to strike a compromise with Republicans. Democrats also fought to secure the inclusion of legislation to encourage states to develop comprehensive plans to ensure that access to high-speed internet is distributed equitably among traditionally underserved groups and educate them about access to digital resources.Nicholas Fandos More

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    As Infrastructure Bill Inches Forth, a Rocky, Slow Path Awaits in the House

    Progressives have not ruled out reopening the deal that senators are painstakingly putting together, and they do not intend to take it up for months, until after their other priorities are addressed.WASHINGTON — As senators grind through votes this week on a $1 trillion bipartisan infrastructure bill, discontent about the legislation is building among progressive Democrats, signaling a potentially bitter and prolonged intraparty fight to come over the package in the House.Liberals who have bristled at seeing their top priorities jettisoned from the infrastructure talks as President Biden and Democrats sought an elusive deal with Republicans have warned that they may seek to change the bill substantially when they have the chance. At minimum, House Democrats have made clear that they do not intend to take up the bill until a second, far more expansive package to provide trillions more in spending on health care, education, child care and climate change programs is approved, something not expected until the fall.The result is that, even as senators carefully navigate their sprawling infrastructure compromise toward final passage that could come within days — pausing every few hours to congratulate themselves for finding bipartisan consensus in a time of deep division — the legislation still faces a rocky and potentially slow path beyond the Senate.Democrats hold a slim enough majority in the House that even a few defections could sink legislation, and progressives have been open in recent days about their reluctance to support the infrastructure legislation without an ironclad guarantee that the budget package, expected to cost about $3.5 trillion, will become law.“The Progressive Caucus has had moral clarity, and a clarion call for three months, that we need to deliver the entirety of these two packages together, so that’s going to continue to be our approach,” said Representative Pramila Jayapal of Washington, the chairwoman of the group. “While there may be a couple of senators that are saying that they’re going to vote ‘no’ if certain things don’t happen, that is also true of any number of members in the House.”In order to deliver on Mr. Biden’s $4 trillion economic agenda, Democratic leaders have remained adamant that they will approve two expansive bills this year, beginning with Senate passage of the $1 trillion bipartisan compromise, which would pour $550 billion in new federal funds into the nation’s aging roads, bridges and highways, and into climate resiliency and broadband expansion programs.The remainder of Mr. Biden’s plans to address climate change, expand health care and provide free education will be stuffed into a budget package that Democrats plan to pass using a maneuver known as reconciliation. That process allows them to bypass a filibuster, meaning that if all 50 of their senators supported the bill, it could be approved over unified Republican opposition.Senator Chuck Schumer, Democrat of New York and the majority leader, has said he plans to bring up a budget blueprint that would pave the way for that bill as soon as the infrastructure bill passes — and will not allow senators to leave Washington for their summer break, scheduled to begin on Friday, until both are done.Speaker Nancy Pelosi of California has repeatedly said that the House will not take up the bipartisan infrastructure bill until the Senate passes the reconciliation package, which will take weeks to hammer out in order to clear an evenly divided Senate. But some moderate Democrats want to vote on it immediately, sending it quickly to Mr. Biden for his signature.“We should bring this once-in-a-century bipartisan legislation to the floor for a stand-alone vote as quickly as possible,” said Representative Josh Gottheimer, Democrat of New Jersey and a leader of the centrist Problem Solvers Caucus.Republicans have moved quickly to try to exploit the divisions among Democrats. While more than a dozen Republicans are expected to support the final bipartisan infrastructure bill, they have branded the budget package as a “reckless tax-and-spending spree” that will drive up inflation. Senator Mitch McConnell of Kentucky, the minority leader, led a half-dozen Republicans on Wednesday in a barrage of criticism for what he described as “the absolute worst possible thing we could be doing to our country.”Some centrist Democrats, too, have expressed concern about the size of the $3.5 trillion plan being championed by progressives. Most notably, Senator Kyrsten Sinema of Arizona has said she will not support a reconciliation bill of that size, which would doom the measure in the Senate, where Democrats need every member aligned with them to vote yes. (She has agreed to advance a budget blueprint, a crucial step for the process.)That infuriated liberal Democrats who are primed to wield their influence on the pair of economic bills. They have been emboldened in recent days by a successful campaign led by one of their own, Representative Cori Bush of Missouri, to pressure Mr. Biden into extending an eviction moratorium for renters affected by the pandemic.“Today is important because it marks, I hope, a turning point in the way that this White House views progressives,” Representative Mondaire Jones, Democrat of New York, said at a news conference after the moratorium extension was announced. “We are prepared to leverage our energy and our activism in close coordination with grass-roots activists and people all across this country.”Representative Cori Bush, Democrat of Missouri, right, led a successful campaign to pressure President Biden into extending an eviction moratorium for renters affected by the pandemic.Stefani Reynolds for The New York TimesThe House set its own marker for infrastructure legislation in early July with the nearly party-line passage of a five-year, $715 billion transportation and drinking water bill. But the White House instead focused on talks with a bipartisan group of senators aimed at finding a compromise that could win enough Republican support to draw 60 votes in the Senate and overcome a filibuster. As part of the resulting deal, Mr. Biden made a number of concessions, accepting less funding for clean energy projects, lead pipe replacement and transit, among other areas.The situation has rankled Representative Peter A. DeFazio of Oregon, the chairman of the Transportation and Infrastructure Committee. Mr. DeFazio spent months shepherding the House infrastructure bill, which includes more substantial climate policy and more than 1,400 home-district projects, known as earmarks, from lawmakers in both parties.“The bill in the Senate was written behind closed doors, and you know, that’s probably not going to be the best product,” Mr. DeFazio said on CNN on Monday. “Most of the people who wrote the bill are not senior people on the committees of jurisdiction who know a lot about transportation, or perhaps a number of them are resistant to the idea that we should deal with climate change.”Pressed on whether he would ultimately block passage of the final product, Mr. DeFazio conceded that the $3.5 trillion reconciliation package “could fix a lot of the problems in this bill.”“I’ve had that conversation with the White House — that’s possible,” he said. “So if we see major changes and things that are mitigated by the reconciliation bill, OK, then maybe we could move this.”White House officials said they have remained in touch with House Democrats’ tensions. Mr. Biden has dispatched cabinet officials to meet with several of them, including Pete Buttigieg, the transportation secretary, who traveled to Oregon to laud Mr. DeFazio’s work on infrastructure.“We’re in close touch with the president’s colleagues in the House, who he deeply respects and values as core partners in delivering on generational infrastructure progress,” said Andrew Bates, a White House spokesman. In recent days, the White House has pointedly shared polls and articles that show widespread support for the bipartisan plan and highlight substantial funding for climate resilience.Senate Democrats, for their part, have vowed to remain united as they trudge through a marathon of votes to finish both the bipartisan infrastructure bill and the budget blueprint before leaving Washington for their August recess.“We’re moving together as Democrats,” Senator Elizabeth Warren of Massachusetts told reporters this week. “No one’s going to get everything they want. But no one’s going to get shut out, either.”Lisa Friedman More

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    Big Economic Challenges Await Biden and the Fed This Fall

    Expiring unemployment benefits and the Delta variant add uncertainty to a recovery that has brought strong growth but an unusual labor market.WASHINGTON — The U.S. economy is heading toward an increasingly uncertain autumn as a surge in the Delta variant of the coronavirus coincides with the expiration of expanded unemployment benefits for millions of people, complicating what was supposed to be a return to normal as a wave of workers re-entered the labor market.That dynamic is creating an unexpected challenge for the Biden administration and the Federal Reserve in managing what has been a fairly swift recovery from a recession. For months, officials at the White House and the central bank have pointed toward the fall as a potential turning point for an economy that is struggling to fully shake off the effects of the pandemic — particularly in the job market, which remains millions of positions below prepandemic levels.The widespread availability of Covid-19 vaccines, the reopening of schools and the expiration of enhanced jobless benefits have been seen as a potent cocktail that should prod workers off the sidelines and into the millions of jobs that employers say they are having trouble filling.But that optimistic outlook might be imperiled by the resurgent virus and policymakers’ response to it. Big companies are already delaying return-to-office plans, an early and visible sign that life may not return to normal as rapidly as expected. At the same time, long-running federal supports for people hurt by the pandemic are going away, including a moratorium on evictions, which ended on Saturday, and an extra $300 per week for unemployed workers. That benefit expires on Sept. 6, and some states have moved to end it sooner.Federal lawmakers are also planning to repurpose more than $200 billion worth of Covid relief to help pay for a $1 trillion infrastructure plan. An infrastructure bill moving through the Senate would rescind previously allocated virus funds for colleges and universities along with unused unemployment benefits and airline aid. It would also claw back unspent funds from some expired small-business programs to help offset the plan’s $550 billion in new spending. Democratic leaders have been adamant that the Senate will vote on the infrastructure bill before leaving Washington for a scheduled August recess.White House economists have said they see no need yet to consider major new measures to bolster the recovery. After months of blockbuster economic growth, falling unemployment numbers, and complaints from business leaders and Republicans that government support is preventing workers from taking jobs, administration officials remain locked into their current policy stance despite renewed risks.Administration officials have said President Biden is not pushing to extend the extra $300 per week for jobless people. It’s unclear whether the administration will try to extend a program that expanded unemployment benefits to workers who would not typically qualify for them, including the self-employed, gig workers and part-timers.Officials say the $1.9 trillion economic aid package that Mr. Biden signed in March, and that caused forecasters to lift their estimates for growth this year, has given the economy enough cushion to endure another surge from the virus. Mr. Biden has also vowed that the virus will not lead to new “lockdowns, shutdowns, school closures and disruptions” like last year’s.“We are not going back to that,” he said last week.White House advisers say the most important thing the president can do for the economy is continue to make the case for more people to get vaccinated. On Thursday, Mr. Biden asked states to use money from the March stimulus package to pay $100 to every newly vaccinated person and said the government would reimburse employers who gave workers time off to be vaccinated or take others to get shots.“We have held the view from the beginning that addressing the pandemic and recovering the economy were inextricably linked. That continues to be true,” Brian Deese, who heads Mr. Biden’s National Economic Council, said in an interview. “But because of the progress that we have made in addressing the pandemic and in putting in place both historic and durable economic policy supports, we have a set of tools right now to address both of these challenges.”The Fed is taking an optimistic but wait-and-see approach. Central bankers voted at their July meeting to leave emergency support in place for now. They gave no precise date for when they may begin to reduce their help for the economy, though they are beginning to draw up a plan for paring back support.Much like their counterparts at the White House, officials at the Fed are counting on solid economic data this autumn. Jerome H. Powell, the Fed chair, said last week that he expected strong labor market progress in the months ahead, partly because virus fears and child care issues should subside.“There’s also been very generous unemployment benefits, which are now rolling off. They’ll be fully rolled off in a couple of months,” Mr. Powell said during a news conference after the Fed’s July meeting. “All of those factors should wane, and because of that we should see strong job creation moving forward.”Administration and Federal Reserve officials have expressed hope that children’s return to schools and fading fears of the virus will encourage more people to begin looking for work again.Whitney Curtis for The New York TimesMr. Biden told a CNN forum in Ohio on July 21 that he still sees no evidence that the supplemental benefits have had a “serious impact” on hiring. But even if they had, he said, they would soon run their course.“We’re ending all those things that are the things keeping people back from going back to work,” he said.That stance carries some risk. While the economy grew faster in the first half of this year than it had in decades, the job market is still missing 6.8 million positions from its February 2020 level, and while policymakers are optimistic, it is not clear how quickly those jobs will come back. The economy has never reopened from a pandemic before, and nobody knows to what degree unemployment insurance is dissuading workers.“Seven to nine million Americans should be working right now if the pandemic had never happened, so that’s a lot of Americans that we need to put back to work,” Neel Kashkari, president of the Federal Reserve Bank of Minneapolis, said on CBS’s “Face the Nation” on Sunday. “But is it six months, or is it two years? I’m not sure.”If it takes workers more time to go back into jobs, it could make for a much slower economic recovery than either the Fed or the White House is banking on. Workers stuck on the sidelines without enhanced benefits might pull back on spending, hurting demand and slowing the rapid rebound that has been underway in recent months.So far, administration economists remain heartened by the economic data. Officials said last week that they saw no evidence yet of the Delta variant’s hurting economic activity, and that they were hopeful that the more than 160 million Americans who were vaccinated would not pull back spending even if the variant continued to spread — making this wave of the virus less economically damaging than past ones.And as government spending support for the economy slows down, the Fed is still keeping money cheap to borrow, which should continue to pad economic growth.Shoppers in Los Angeles, where masks are required indoors. New public health guidelines could again chill some economic activity.Alex Welsh for The New York TimesFed officials have said they want to see more proof of the labor market’s healing before they slow their monthly bond purchases, which will be their first step toward a more normal policy setting.Mr. Powell said at his news conference last week that “we’re some way away from having had substantial further progress toward the maximum employment goal.”“I would want to see some strong job numbers,” he added.In the text of a speech on Friday, Lael Brainard, an influential Fed governor, said she wanted to see September economic data to assess whether the labor market was strong enough for the Fed to begin dialing back support, which suggests she would not favor signaling a start to the slowdown until later this fall. But her colleague Christopher J. Waller said in a CNBC interview on Monday that he would probably prefer to begin pulling back bond purchases quickly, if jobs data hold up, perhaps as soon as October.Increases in interest rates — the Fed’s more traditional, and more potent, tool — remain farther away. Most Fed officials in June projected that they would not lift their federal funds rate until 2023 at earliest, because they would like the labor market to return to full strength first.How rapidly the economy can achieve that goal is an open question. Employers regularly complain about the enhanced benefits, but even they have sent mixed messages on whether those are the main driver keeping labor at bay.“Many contacts were optimistic that labor availability would improve in the fall as schools restart and enhanced unemployment benefits end,” the Atlanta Fed’s qualitative report on business conditions found in June. “However, there were several who do not expect labor supply to improve for six to nine months.”Peter Ganong, an economist at the University of Chicago, said that if the pattern that he and his fellow researchers had seen in employment data held, he would not expect a wave of workers to jump back into jobs just because supplemental benefits expired.“So far, we see small employment differences even when vaccines are becoming available,” he said. Mr. Ganong and his co-authors compared the job-finding rates of people whose wages were more fully replaced by supplemental benefits and people whose wages were less fully replaced. They found small and relatively steady differences, even as the economy reopened.But Mr. Ganong cautioned that his research tracked the supplemental insurance. For many workers, unemployment benefits could come to an end altogether as extensions lapse, which may have a bigger effect.There is plenty of room for labor market progress. People in their prime working years are participating in the labor market by working or searching for jobs at much lower rates than before the pandemic — and that metric has made little progress in recent months.“Generally speaking, Americans want to work, and they’ll find their way into the jobs that they want,” Mr. Powell said last week. “It may take some time, though.”Alan Rappeport More

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    Eviction Moratorium Set to Lapse as Biden Aid Effort Falters

    The administration made a last-ditch, failed appeal to extend the moratorium to buy more time for states to distribute rental aid.A nationwide moratorium on residential evictions is set to expire on Saturday after a last-minute effort by the Biden administration to win an extension failed, putting hundreds of thousands of tenants at risk of losing shelter, while tens of billions in federal funding intended to pay their back rent sit untapped.The expiration was a humbling setback for President Biden, whose team has tried for months to fix a dysfunctional emergency rent relief program to help struggling renters and landlords. Running out of time and desperate to head off a possible wave of evictions, the White House abruptly shifted course on Thursday, throwing responsibility to Congress and prompting a frenzied — and ultimately unsuccessful — rescue operation by Democrats in the House on Friday.The collapse of those efforts reflected the culmination of months of frustration, as the White House pushed hard on states to speed housing assistance to tenants — with mixed results — before the moratorium expired. Hampered by a lack of action by the Trump administration, which left no real plan to carry out the program, Mr. Biden’s team has struggled to build a viable federal-local funding pipeline, hindered by state governments that view the initiative as a burden and the ambivalence of many landlords.As a result, the $47 billion Emergency Rental Assistance program, to date, disbursed only $3 billion — about 7 percent of what was supposed to be a crisis-averting infusion of cash.Adding to the urgency, Justice Brett M. Kavanaugh warned last month, when the Supreme Court allowed a one-month extension of the eviction moratorium to stand, that any further extensions would have to go through Congress. But there was little chance that Republicans on Capitol Hill would agree, and by the time White House officials asked, only two days remained before the freeze expired, angering Democratic leaders who said they had no time to build support for the move.“Really, we only learned about this yesterday,” said Speaker Nancy Pelosi, who had publicly and privately urged senior Biden administration officials to deal with the problem themselves.“What a devastating failure to act in a moment of crisis,” said Diane Yentel, the president of the National Low Income Housing Coalition, which had pressed for an extension of the moratorium. “As the Delta variant surges and our understanding of its dangers grow, the White House punts to Congress in the final 48 hours and the House leaves for summer break.”The federal eviction moratorium, put in place by the Centers for Disease Control and Prevention in November, was effective, reducing by about half the number of eviction cases that normally would have been filed since last fall, according to an analysis of filings by the Eviction Lab at Princeton University.Advocates have argued it is also a public health imperative, because evictions make it harder for people to socially distance.The lapse of the federal freeze is offset by other pro-tenant initiatives that are still in place. Many states and localities, including New York and California, have extended their own moratoriums, which should blunt some of the effect. In some places, judges, cognizant of the potential for a mass wave of displacement, have said they would slow-walk cases and make greater use of eviction diversion programs.On Friday, several government agencies, including the Federal Housing Finance Agency, along with the Agriculture, Housing and Urban Development and Veterans Affairs Departments, announced that they would extend their eviction moratoriums until Sept. 30.Nonetheless, there is the potential for a rush of eviction filings beginning next week — in addition to the more than 450,000 eviction cases already filed in courts in the largest cities and states since the pandemic began in March 2020.An estimated 11 million adult renters are considered seriously delinquent on their rent payment, according to a survey by the Census Bureau, but no one knows how many renters are in danger of being evicted in the near future.Bailey Bortolin, a tenants’ lawyer who works for the Nevada Coalition of Legal Service Providers, said the absence of the moratorium would lead many owners to dump their backlog of eviction cases into the courts next week, prompting many renters who received an eviction notice to simply vacate their apartments rather than fight it out.“I think what we will see on Monday is a drastic increase in eviction notices going out to people, and the vast majority won’t go through the court process,” Ms. Bortolin said.The moratorium had been set to expire on June 30, but the White House and C.D.C., under pressure from tenants groups, extended the freeze until July 31, in the hopes of using the time to accelerate the flow of rental assistance.A crash effort followed, led by Gene Sperling, who was appointed in March to oversee Mr. Biden’s pandemic relief efforts, including emergency rental assistance programs created by coronavirus aid laws enacted in 2020 and 2021.Mr. Sperling, working with officials in the Treasury Department, moved to loosen application requirements and increase coordination among the state governments, legal aid lawyers, housing court officials and local nonprofits with expertise in mediating landlord-tenant disputes.In June, 290,000 tenants received $1.5 billion in pandemic relief, according to Treasury Department statistics released last week. To date, about 600,000 tenants have been helped under the program.But administration officials concede the improvements have not progressed quickly enough. Over the past week, Mr. Sperling; Brian Deese, the director of the National Economic Council; Susan Rice, Mr. Biden’s top domestic policy adviser; and Ms. Rice’s deputy on housing policy, Erika C. Poethig, made a late plea for Mr. Biden to extend the freeze, according to two people familiar with the situation who spoke on the condition of anonymity to describe internal deliberations.Dana Remus, the White House counsel, expressed concerns that an extension was not a legally available option, and other officials suggested it could prompt the Supreme Court to strike down the administration’s broad use of public health laws to justify a range of federal policies, and their view prevailed, the officials said.In a statement Friday evening, Mr. Biden sought to put the onus on local officials to provide housing aid, saying “there can be no excuse for any state or locality not accelerating funds to landlords and tenants.”“Every state and local government must get these funds out to ensure we prevent every eviction we can,” he added.In the past week, Wally Adeyemo, the deputy Treasury secretary overseeing the program, had sent letters to officials in several localities, including New York, warning that their share of the cash could be taken back if it was not spent by mid-September, according to two senior administration officials. The White House is especially concerned about the sluggish pace of spending in Florida.Emily A. Benfer, a professor at Wake Forest University who specializes in health and housing law, said it was not entirely fair to blame the states, because many local governments had to build their rental assistance programs from scratch.It has also been difficult to gain buy-in from landlords, who are required to fill out complex financial forms and follow strict eligibility rules. Some simply do not want to, especially if they have more informal arrangements with tenants. In addition, many landlords and tenants do not even know the aid program exists.Big and small landlords are nearly unanimous in their disdain for the C.D.C.’s moratorium and the patchwork of state and local moratoriums that have augmented it.“They just said ‘You cannot evict and that’s it,’” said Shaker Viswanathan, 65, who owns 16 units in San Diego. “The tenants are the ones that they are trying to take care of, and not anybody else. We still have to make mortgage payments.”If there is one point both tenants and landlords agree on, it is that gaining access to the money remains difficult, and the process must be streamlined.“These applications are just a bear,” said Zach Neumann, a lawyer who runs the Covid-19 Eviction Defense Project in Denver, which has received dozens of calls and emails from renters panicked by the end of the freeze. “It adds a ton of time onto the process and that increases the risk for tenants.”Evictions can be personal crises for all involved — so traumatic, in fact, that many tenants will often leave without resisting just to avoid the ordeal, according to marshals and sheriffs responsible for showing up at people’s doors, hauling out their belongings and locking them out.Kristen Randall, a constable who oversees evictions in the Tucson area, has been reaching out to people on both sides to figure out what happens next.It is a mixed, cloudy picture. Some landlords who are waiting for tenants to get rental assistance are in no rush to evict. Others are planning to take legal action next week to enforce judgments against tenants they have already taken to court.Ms. Randall spent part of Friday visiting renters who faced imminent eviction.“It has been an emotional day,” she said.Ms. Randall repeated what she has been telling those tenants: “When you leave on your own, it is better than me showing up and locking you out.”Ron Lieber More