The US Treasury demanded that the Fed return $455 billion it had earmarked to relieve the economic suffering of workers, renters and small businesses. The reason is because the Treasury wants the needy to go through capital markets to raise funds. There was also political motivation involved. Without the Fed money, the incoming Democratic administration could be less likely to succeed with any new policy to help renters, workers or small businesses. The Fed caved in and dutifully returned the money.
Read Jack Rasmus
