Laid-off Idahoans were to get $400 a week in extra benefits. They’ll get this instead

BOISE (Idaho Statesman) — Thousands of unemployed Idahoans are expected to receive an extra $300 a week in federal unemployment benefits soon. How soon is not clear.

The amount is $100 less than President Donald Trump announced Aug. 8 when he signed an executive order requiring the payment of new, supplemental unemployment compensation to workers who have lost their jobs because of the coronavirus pandemic. Trump tapped previously appropriated disaster funds.

At the time, he said the federal government would provide $300 and states would chip in the other $100.

But many states balked, saying they lacked the money to contribute. In Idaho, Gov. Brad Little said in a radio interview last week that it appeared Idaho had about $100 million it could use as its share from $1.25 billion that Congress awarded Idaho in March as part of its coronavirus-relief package.

Later in the week, the government said states could count $100 in their existing state unemployment benefits as a match without having to spend additional money. Little then decided to stick with that and not contribute the extra $100.

“We’ve still got some money allocated out there that we don’t think we’ll spend,” Little said. “But these crises continue to bubble up, and if you spend all of your money you’re not going to have money.”

Idaho doesn’t have the most generous unemployment compensation system, Little said, but the state’s maximum and minimums are about average for all the states.

“So, if they could get by on a temporary basis with unemployment, they ought to be able to get by on unemployment plus $300,” Little said. “The $600 was nicer but at some point, hopefully we’re going to see a termination of the pandemic and get back to normal.”

An estimated 20,000 Idahoans will be eligible for the $300 payments, Georgia Smith, an Idaho Department of Labor spokesperson said by email. The number could vary, based upon the number of people who apply for unemployment benefits each week, she said.

The use of FEMA money for the payments was authorized through Dec. 6 under Trump’s order, but independent experts said the available funds weren’t enough to last more than several weeks. In a phone interview Monday with the Idaho Statesman, Little said it is the state’s understanding that the federal money will last five weeks.

These payments are a successor to the $600-a-week supplements to state unemployment compensation that Congress also approved in March. Those expired July 25.

Trump signed the executive order after Congress failed to approve a plan that would have extended those benefits.

House Democrats voted in May to continue the $600 weekly payments until the end of the year as part of a $3.4 trillion stimulus bill. Senate Republicans offered a $1 trillion bill that would have included a supplement of $200 a week. Both houses went home after the negotiations failed.

The expiration left millions of Americans with only state unemployment compensation, which generally pays less than half of a laid-off worker’s wages — in Idaho, the average is 41%. The average Idaho recipient had been receiving $866 per week, but now is getting $266.

Little said the state would submit an application to the Federal Emergency Management Agency, which is administering the program, later Monday afternoon.

It’s unclear how long it could take for FEMA to approve Idaho’s application and how soon claimants would get their money. It took Idaho and other states months to get their computer systems in line to handle the federal benefits and to handle the crush of claims that came in.

Little has been urging the White House and Congress to implement programs that do not require major changes to systems already in place,” Marissa Morrison Hyer, the governor’s spokesperson, said by email.

Governor Little has been urging the White House and Congress to implement programs that do not require major changes to systems already in place.

“We do expect these payments to be delivered in a more timely manner as the infrastructure is already available,” Morrison Hyer said.

Little said he expects to correct an inequity that would have denied the $300 payments to people receiving less than $100 per week in state unemployment compensation. Trump set the minimum at $100 for reasons that are not clear. Some workers collect as little as $72 per week.

Little said his office is exploring a couple of options to ensure those workers are included in the $300 payments, but he did not elaborate.

“If you’re making $101 you’re getting an extra $300, but if you’re making $99 then you didn’t qualify,” Little said. “That doesn’t pass the fairness test.”

Little said he sees the $300 payments as a “stopgap” until Congress returns and comes to an agreement on extending federal benefits.

“It gives Congress a chance to put in some kind of improvement,” Little said.

The governor said he is hopeful the House and Senate will come up with an agreement, including a second round of $1,200 stimulus checks to taxpayers.

“Yeah, because the uncertainty is killing everyone,” he said.

While most states are expected to accept the federal money, South Dakota declined. Gov. Kristi Noem said her state has recovered nearly 80% of the jobs lost during the coronavirus pandemic and doesn’t need the money.