States have started to mobilize and submit applications to FEMA for its improved federal unemployment benefits approved by President Trump on August 8. Initial confusion regarding the inner workings of the program was partially mitigated by advice issued by FEMA, which explained the structure of this program and confirmed that nations wouldn't be required to chip in an extra $100 to procure $300 in federal funds. Most states that are seeking FEMA funding have said they will not pay jobless workers an elective state match of $100; however, three states (Montana, West Virginia and Kentucky) have indicated they'll give an additional $100, meaning their jobless workers will begin receiving $400 each week.
Trump's Unemployment Benefit Extension Overview
Trump's Memorandum
With Congress in an impasse during the next coronavirus stimulation package, President Trump signed four executive directives on August 8, including one to provide increased unemployment benefits for 30 million Americans. The unemployment benefits memorandum issued by President Trump called for the federal government to pay 75 percent of a new $400 per week benefit and also for states to use money from their Coronavirus Relief Fund (CRF) or alternative programs to pay the remainder. As The Washington Post noted,"which has been interpreted by many nations to imply that they would need to provide an extra $100 a week for their own citizens to qualify for the benefit."
President Trump's verbatim comments from his media conference reinforced this interpretation. He commented,"I'm taking action to provide an extra or an extra $400 per week in expanded benefits: $400. Okay?" "States will be asked to pay 25 percent of the price using existing funding, such as the thousands of dollars available to them through the Coronavirus Relief Fund. Under this plan, states will be able to offer greater benefits if they choose, and the national government will cover 75 percent of the cost. So we're all setup. It's $400 per week," he added.
Bipartisan Blowback Leads To Program Modifications
Almost instantly, there was bipartisan outrage from state leaders regarding their mandatory incremental contributions. Most significantly, it walked back the mandate for states to contribute an additional $100 to allow the federal government to supply the $300 in federal unemployment benefits.
This change was announced via a letter by the Department of Labor, which provided guidance to states on how the Lost Wages Assistance application could work. The letter confirmed that nations were relieved of the obligation to supply an incremental $100 in unemployment benefits in order to receive the $300 federal participation. "States may rely funds which are already used to provide regular state UI payments toward the country match, should they choose to do so, qualified claimants will get a LWA charge of $300 from the Federal Government along with their weekly benefit amount," the letter said.
Countries' Response Varies To Improved Unemployment Benefits
Despite added clarity on the program, states' responses have varied dramatically.
Some States Decline Aid
A few countries, such as South Dakota and New York, have declined to participate, turning down extra federal unemployment benefits for their unemployed workers. South Dakota Governor Noem issued an announcement late last week declining to take part in the Lost Wages Program. "My government is quite grateful for the additional flexibility which this effort would have supplied, however, South Dakota is in the fortunate position of not needing to take it," she explained. "South Dakota's economy, with never been closed down, has recovered almost 80 percent of our job losses."
Others Have Submitted Applications And Received Approval
Other nations mobilized quickly to submit software to FEMA. As of the morning, nine countries have obtained approval from FEMA with Arizona beginning to pay out extra benefits on August 17th.
3 States Aim To Give Workers With Full $400 Gains; 1 State Still In Flux
Most states that have submitted applications signaled that they won't provide an extra $100 to unemployed workers, meaning eligible claimants will only get the $300 in federal funding each week. However, three states so far have opted to match the federal funds, while one state's payout is in flux.
Montana
Montana has been the eighth state for approval for the improved unemployment benefits. It intends to cover the incremental $100 weekly condition benefit in the $1.25 billion it received as a portion of an allotment received from the CARES Act. Montana's average unemployment state benefit was 341.
West Virginia
West Virginia also intends to give $100 and pay jobless workers the full $400 weekly reward. "We are going to cover it very willingly we're going to pay it." West Virginia is considering utilizing its CARES Act allotment, also $1.25 billion, for its incremental payment. Governor Justice suggested paying the $100 per week benefit would cost the nation $26 million each week. "At the end of the afternoon, we will figure it out," he said.
Kentucky
On Wednesday, Kentucky Governor Andy Beshear announced his intention to submit an application for the full $400 a week payment. "While there is still some doubt in this new program, it is only too important to get these dollars to our own families," he told reporters. Kentucky will use CARES Act capital for its portion, which Beshear estimated would cost the state $8 million a week. Asked why he decided to use state funds and provide unemployed workers with the entire $400 per week payment, Beshear said the incremental $100 has been"critically important" for recipients. "We know how this money moves through the market," he noted.
On Friday, Beshear declared that Kentucky's application had been approved by FEMA. "This program will allow about 80,000 Kentuckians getting at least $100 a week unemployment benefits for the weeks of July 26-Aug. It will take Kentucky roughly two weeks to reconfigure its own computer systems for the $400 payout, therefore Kentuckians must expect to see payments beginning in early September, based on WKYT.
North Carolina has some of the worst jobless benefits among nations, providing benefits for only 12 months usually, instead of the 26 weeks that many other nations devote. Governor Roy Cooper said he supports North Carolina providing an additional $100 so that jobless workers could obtain the entire $400 per week benefit. Unlike other states, Cooper suggested the state match ought to come from North Carolina's Unemployment Insurance Trust Fund rather than the nation's CARES Act allotment. The trust has $2.9 billion in funds as of August 10.
But State Senator Chuck Edwards, that co-chairs of the General Assembly's Joint Legislative Oversight, was non-committal about paying the full $400. "That is certainly a keen chance, but we also ought to take into account that the period of this state of crisis is unknown," he commented. "What we are working to ensure happens now is we are ready to make the most of the 300 that the national government is offering us."
Most nations applying for funding under the improved unemployment benefit plan are only paying out the $300 national participation. A few countries have declined to take part altogether, but Montana, West Virginia, and Kentucky are moving in the opposite direction and paying out the entire $400 weekly reward.
Trump's Unemployment Benefit Extension Overview
Trump's Memorandum
With Congress in an impasse during the next coronavirus stimulation package, President Trump signed four executive directives on August 8, including one to provide increased unemployment benefits for 30 million Americans. The unemployment benefits memorandum issued by President Trump called for the federal government to pay 75 percent of a new $400 per week benefit and also for states to use money from their Coronavirus Relief Fund (CRF) or alternative programs to pay the remainder. As The Washington Post noted,"which has been interpreted by many nations to imply that they would need to provide an extra $100 a week for their own citizens to qualify for the benefit."
President Trump's verbatim comments from his media conference reinforced this interpretation. He commented,"I'm taking action to provide an extra or an extra $400 per week in expanded benefits: $400. Okay?" "States will be asked to pay 25 percent of the price using existing funding, such as the thousands of dollars available to them through the Coronavirus Relief Fund. Under this plan, states will be able to offer greater benefits if they choose, and the national government will cover 75 percent of the cost. So we're all setup. It's $400 per week," he added.
Bipartisan Blowback Leads To Program Modifications
Almost instantly, there was bipartisan outrage from state leaders regarding their mandatory incremental contributions. Most significantly, it walked back the mandate for states to contribute an additional $100 to allow the federal government to supply the $300 in federal unemployment benefits.
This change was announced via a letter by the Department of Labor, which provided guidance to states on how the Lost Wages Assistance application could work. The letter confirmed that nations were relieved of the obligation to supply an incremental $100 in unemployment benefits in order to receive the $300 federal participation. "States may rely funds which are already used to provide regular state UI payments toward the country match, should they choose to do so, qualified claimants will get a LWA charge of $300 from the Federal Government along with their weekly benefit amount," the letter said.
Countries' Response Varies To Improved Unemployment Benefits
Despite added clarity on the program, states' responses have varied dramatically.
Some States Decline Aid
A few countries, such as South Dakota and New York, have declined to participate, turning down extra federal unemployment benefits for their unemployed workers. South Dakota Governor Noem issued an announcement late last week declining to take part in the Lost Wages Program. "My government is quite grateful for the additional flexibility which this effort would have supplied, however, South Dakota is in the fortunate position of not needing to take it," she explained. "South Dakota's economy, with never been closed down, has recovered almost 80 percent of our job losses."
Others Have Submitted Applications And Received Approval
Other nations mobilized quickly to submit software to FEMA. As of the morning, nine countries have obtained approval from FEMA with Arizona beginning to pay out extra benefits on August 17th.
3 States Aim To Give Workers With Full $400 Gains; 1 State Still In Flux
Most states that have submitted applications signaled that they won't provide an extra $100 to unemployed workers, meaning eligible claimants will only get the $300 in federal funding each week. However, three states so far have opted to match the federal funds, while one state's payout is in flux.
Montana
Montana has been the eighth state for approval for the improved unemployment benefits. It intends to cover the incremental $100 weekly condition benefit in the $1.25 billion it received as a portion of an allotment received from the CARES Act. Montana's average unemployment state benefit was 341.
West Virginia
West Virginia also intends to give $100 and pay jobless workers the full $400 weekly reward. "We are going to cover it very willingly we're going to pay it." West Virginia is considering utilizing its CARES Act allotment, also $1.25 billion, for its incremental payment. Governor Justice suggested paying the $100 per week benefit would cost the nation $26 million each week. "At the end of the afternoon, we will figure it out," he said.
Kentucky
On Wednesday, Kentucky Governor Andy Beshear announced his intention to submit an application for the full $400 a week payment. "While there is still some doubt in this new program, it is only too important to get these dollars to our own families," he told reporters. Kentucky will use CARES Act capital for its portion, which Beshear estimated would cost the state $8 million a week. Asked why he decided to use state funds and provide unemployed workers with the entire $400 per week payment, Beshear said the incremental $100 has been"critically important" for recipients. "We know how this money moves through the market," he noted.
On Friday, Beshear declared that Kentucky's application had been approved by FEMA. "This program will allow about 80,000 Kentuckians getting at least $100 a week unemployment benefits for the weeks of July 26-Aug. It will take Kentucky roughly two weeks to reconfigure its own computer systems for the $400 payout, therefore Kentuckians must expect to see payments beginning in early September, based on WKYT.
North Carolina has some of the worst jobless benefits among nations, providing benefits for only 12 months usually, instead of the 26 weeks that many other nations devote. Governor Roy Cooper said he supports North Carolina providing an additional $100 so that jobless workers could obtain the entire $400 per week benefit. Unlike other states, Cooper suggested the state match ought to come from North Carolina's Unemployment Insurance Trust Fund rather than the nation's CARES Act allotment. The trust has $2.9 billion in funds as of August 10.
But State Senator Chuck Edwards, that co-chairs of the General Assembly's Joint Legislative Oversight, was non-committal about paying the full $400. "That is certainly a keen chance, but we also ought to take into account that the period of this state of crisis is unknown," he commented. "What we are working to ensure happens now is we are ready to make the most of the 300 that the national government is offering us."
Most nations applying for funding under the improved unemployment benefit plan are only paying out the $300 national participation. A few countries have declined to take part altogether, but Montana, West Virginia, and Kentucky are moving in the opposite direction and paying out the entire $400 weekly reward.