Governors React to Trump’s Unemployment Plan; States Must Cover 25% of Benefit Extension

Washington (WBAP/KLIF) – There are questions surrounding the President Trump‘s memorandum regarding his extension of unemployment benefits. It calls for states to anti up $100 of the $400 extension.

On Monday, the Texas Workforce Commission issued a statement to multiple news outlets that it’s “currently reviewing the presidential memorandum and will provide additional information as soon as it becomes available.”

Meantime, Gov. Greg Abbott is hopeful that Congress will reach a deal and fully fund the extra benefits. Abbott spoke with Vice President Mike Pence and Treasury Secretary Steven Mnuchin about the issue, according to the Texas Tribune.

Texas has already borrowed some $2.6 billion since June to continue paying out benefits.

A bipartisan list of state governors balked at the idea of having to anti up the extra money; many states are already suffering budget woes related to the coronavirus.

“The best way forward is for the Congress and the Administration to get back to the negotiating table and come up with a workable solution, which should provide meaningful additional relief for American families,” said New York Gov. Andrew Cuomo, a Democrat and the chair of the National Governors Association, and Arkansas Governor Asa Hutchinson, a Republican and the NGA vice chair.

@NYGovCuomo likened it to “handing a drowning man an anchor,” saying that it would cost his already financially-strapped state $4 billion.

Hutchison said that it would “cost his state $265 million for the state to pay for a quarter of the $400 a week unemployment benefit, but that it would require legislative approval,” and it would take some time to get it done.

Ohio’s Republican Gov. Mike DeWine, told CNN, that “doesn’t know if his state could provide the 25% funding, adding that “Congress needs to get back in and negotiate.”

During the stalled pandemic aid talks between House Democrats and Senate Republicans, Democrats stood firm on their demand for the full $600 benefit to be covered.