After saying the state of Kentucky would apply to take part in the $400 unemployment insurance supplement on Thursday, Gov. Andy Beshear announced Friday that the federal government has already accepted the application.
The governor said Kentucky is the first state in the Federal Emergency Management Agency’s Region 4, based in Atlanta, to be approved through the agency’s Lost Wages Program to give $400 to unemployment insurance claimants, which will initially be for a three week period.
“This program will allow about 80,000 Kentuckians receiving at least $100 a week unemployment benefits for the weeks of July 26-August 15 to receive an additional payment of $400, if they are unemployed or partially unemployed as a result of the COVID-19 pandemic,” Beshear said. “The $400 will apply to all programs: traditional UI, the Pandemic Unemployment Assistance program and the extended benefits programs.”
The federal government originally provided an additional $600 to those facing job loss. That program ended without a replacement by the U.S. Congress. Then on August 8, President Donald Trump signed a memorandum to extend some additional benefits to Americans whose jobs have been harmed or eliminated by the global pandemic.
Gov. Beshear noted that most of the states approved for the program, including Arizona, Colorado, Iowa, Louisiana, Missouri, New Mexico and Utah, have chosen to fund the program solely with federal dollars, meaning recipients will receive $300.
“We have decided to provide an extra $100 using CARES Act money. Kentucky’s portion will be approximately $8 million per week, for a total of $24 million over the three-week initial grant period,” he stated.
The only downside from Friday’s announcement is that it will take time for Kentucky’s UI system to be updated to accept the new parameters, since the new federal program is different than the former $600 supplement, and the state is contributing $100 per week.
While the application has been approved, reconfiguring the computer systems to pay the $400 is likely to take about two weeks. Therefore, benefit recipients should not expect the payments until sometime in early September.
“COVID-19 has caused the loss of millions of jobs across the nation, and unfortunately Kentucky is no exception,” the governor said. “I am committed to fighting for every dollar to help our people survive this global pandemic and our workforce return to full strength.”
Once the three weeks of benefits are paid, Beshear has said he will look at what is feasible moving forward.
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Written by Tom Latek. Cross-posted from Kentucky Today.