New York, Dec 17 (IANS): New York City Mayor Bill de Blasio has urged Congress to heed to local needs in the ongoing stimulus plan negotiations and provide funding to ensure public services remain intact.

"Direct payments to people are a step in the right direction, but a deal that sidelines local aid is a deal that sidelines our recovery," Xinhua news agency quoted the Mayor as saying in a statement to Congress on Wednesday.

"Congress must work together to provide funding for localities to ensure public services can remain intact. Local governments like New York City are in the midst of fighting back Covid-19, and without local aid, this deal fails to meet the moment," he added.

Taking to Twitter later in the day, de Blassio added: "Cities are the economic engine of our country. If you sideline us, America doesn't come back. Period. Full stop."

Democratic and Republican lawmakers have made progress in the negotiations on the long-waited next round of a Covid-19 relief package.

"We made major headway toward hammering out a targeted pandemic relief package that would be able to pass both chambers with bipartisan majorities," Senate Majority Leader Mitch McConnell said on the Senate floor on Wednesday morning.

According to a report by The Hill news website, Senate and House leaders are closing in on a relief deal that is based largely on a $748 billion relief bill plus a new round of stimulus checks.

But it will leave out the $160 billion in funding for state and local governments as well as liability protection for businesses.

Economists, as well as Federal Reserve officials, have repeatedly argued that more fiscal relief is needed to sustain the economic recovery, warning of dire consequences if further fiscal support is not provided in time.

The pandemic has so far infected a total of 16,959,267 Americans, and killed at least 307,291 others.

The country is the hardest-hit country in the world with the highest number of coronavirus cases, as well as deaths.