Under the memorandum signed by the president Saturday, a state must agree to enter into a financial arrangement with the federal government for each unemployed person living there to receive one of the additional benefits.
The federal government would require states to raise the tab for 25% (or $ 100) of the additional $ 400 extra benefit each person can receive weekly in extra help. That initiative has been criticized by several administrators because of how financially many states are to blame for the coronavirus.
Trump said Sunday that it was possible the federal government could raise the full cost if administrators make a request.
“We have a system where we can do 100% if we can do 75%. They pay 25, and it will depend on the state,” he told reporters before returning to the White House from his resort in New Jersey. “And they’ll make an application. We’ll look at it, and we’ll make a decision.”
“You know, they can be, in some cases they will pay nothing or maybe they will – a bit like the National Guard, like the National Guard, as you know. Sometimes we pay everything depending on the tragedy, or something. it can also be, the disaster, “he said. “Sometimes the state will pay 40%, 25%, 10% or nothing – depending on how it works.”
Several experts told CNN that there are big questions about how much states can pay the extra costs. If a state says it does not have the funds or does not want to implement the agreement with the federal government, then the unemployed in that state would get zero dollars in the extra benefits (they would still get the normal state unemployment insurance).
Because Congress has not allowed expansion of additional federal unemployment assistance, the state will have to introduce a whole new system to provide the additional assistance, which can take months.
On Saturday by a reporter asked why $ 400 instead of the previous $ 600, Trump replied, “This is the money they need, this is the money they want, this gives them a tremendous incentive to work back.”
This story has been updated with more information about Trump’s memorandum.
CNN’s Kristen Holmes, Nicky Robertson, Paul LeBlanc and Tami Luhby contributed to this report.
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