Democratic leaders signaled Wednesday they were prepared to reduce their demands for the next round of coronavirus relief, fueling hopes that an agreement could be reached with Republicans by year’s end to boost struggling businesses and households.

Congressional leaders have been mired in disagreements for months. In a sign that the partisan standoff was easing, however, House Speaker Nancy Pelosi (D., Calif.) and Senate Minority Leader Chuck Schumer (D., N.Y.) said that a new, bipartisan $908 billion relief proposal released Tuesday should serve as the starting point for talks with GOP leaders and the White House.

“In the spirit of compromise, we believe the bipartisan framework introduced by Senators yesterday should be used as the basis for immediate bipartisan, bicameral negotiations,” Mrs. Pelosi and Mr. Schumer said in a joint statement. “Of course, we and others will offer improvements, but the need to act is immediate and we believe that with good-faith negotiations we could come to an agreement.”

Democrats had coalesced earlier around a $2.4 trillion bill passed in the House, which contains measures including funding for state and local governments and food stamps, among others, which GOP proposals have excluded. Republicans leaders’ most recent bill cost around $500 billion. But on Tuesday, a new bipartisan group unveiled the $908 billion proposal, designed to help buoy workers and businesses through March.

Senate Majority Whip John Thune (R., S.D.) said Democratic leaders’ call to center negotiations around the bipartisan proposal was a move in the right direction. “They’ve gotten reasonable and I think that could help us get to a solution,” he said.

This post first appeared on wsj.com

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