WASHINGTON — Hawai'i's two members of Congress voted yesterday for a $146 billion economic stimulus plan that would send rebate checks to taxpayers starting as early as May.

Single taxpayers earning less than $75,000 a year could get $600 rebates, and working couples earning less than $150,000 could get $1,200.

In a rush to shore up the sagging economy, the House overwhelmingly approved the bill 385-35 with Hawai'i Democratic Reps. Neil Abercrombie and Mazie Hirono voting for it.

"Immediate tax relief for working families is welcome," Abercrombie said. "Most of the tax rebate will go to families who make less than $50,000, and it's phased out for families who make over $150,000."

The plan also calls for eligible taxpayers to receive $300 per child, and families earning less than $3,000 would get $300.

Abercrombie said the plan also included housing provisions that are important to Hawai'i, with its soaring housing costs.

The provisions would raise the limit on Federal Housing Administration loans from $362,790 to as high as $730,000 in expensive areas, which would allow more borrowers to refinance into federally insured loans. Another provision would lower down payments for FHA loans.

Until the end of the year, government-sponsored mortgage companies Fannie Mae and Freddie Mac also would raise the caps on mortgages they back to $730,000 from $417,000 now.

"This is much more realistic for high-price areas," Abercrombie said.

Additionally, small businesses could write off more equipment on their taxes in 2008, and the bill would provide tax benefits for all businesses to invest in new plants and equipment.

But central to the House plan is the direct payments to taxpayers — including about 600,000 in Hawai'i.

"Economists agree that putting money in the hands of lower- and middle-income families — the people who are most likely to spend and therefore boost the economy — is the key to a successful stimulus," Hirono said.

But the outlook for the House plan isn't clear in the Senate, where senators are working on a different version.

Some Senate Democrats said they want to modify the package that was agreed to by House leaders and President Bush last week, a move that could slow down or stall the legislation.

Sen. Max Baucus, D-Mont., said he wants to lower the amount for individuals to $500 but extend eligibility to people receiving Social Security income.

Federal officials said mailing of tax rebate checks could start by May if Congress passes legislation by mid-February.

Reach Dennis Camire at dcamire@gns.gannett.com.