Under the memorandum the President signed on Saturday, any unemployed person must agree to enter into a financial arrangement with the federal government in order to receive any additional benefits.
The federal government will require states to take 25% (or $ 100) of the $ 400 additional benefit each person may be able to receive weekly in additional aid. The initiative was criticized by many governors for how many states are financially strapped due to coronovirus.
Trump said that on Sunday it was possible that the federal government could have incurred the full cost if the governor had requested.
“We have a system where we can do 100% or we can do 75%, they pay 25, and that 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.”
Many experts told CNN that there are many questions about how many states may be able to bear the additional cost. If a state says it does not have the funds or does not want to enter into agreements with the federal government, unemployed people in that state will receive zero dollars in additional benefits (they will still receive general state unemployment insurance).
In addition, because Congress has not authorized the extension of additional federal unemployment aid, the state must institute a completely new system to grant additional aid, which may take months.
When asked by a reporter on Saturday why $ 400 instead of the previous $ 600, Trump responded, “This is the money they need, it’s the money they want, it makes them go back to work A great encouragement. ”
This story has been updated with more information about Trump’s memo.
CNN’s Kristen Holmes, Nikki Robertson, Paul LeBlanc and Tammy Luhby contributed to this report.