Trump executive order: how much will it cost the US?
Governors from various states have criticized President Donald Trump’s executive orders due to the high cost it places on local authorities.
On Saturday, President Donald Trump decided to take matters into his own hands by signing an executive order; the contents of which didn’t include a second round of stimulus payments, because Congress failed to reach an agreement on 7 August. The measures included in Trump's orders include an extension of unemployment benefits worth $400 a week which is set to end in December.
According to Trump’s executive order, the federal government would provide $300 and the remaining $100 would come from the states. Also it is important to know that the benefits that had expired on 31 July ($600 a week) will begin the week ending 1 August, 2020. This means that since the executive order was signed on 9 August, the benefits would be retroactive to that date.
Governors are not happy with the executive order
California’s Gov. Gavin Newsom said that President Trump’s executive orders are “unrealistic” because the ‘Golden State’ is now required to cover 25 percent of the costs, meaning $700 million a week out of their own funds.
“There is no money sitting in the piggy bank of the previous CARES Act to be reprioritized or reconstituted for this purpose,” added Newsome.
Kentucky’s Gov. Andy Beshear agrees with Newsom because now his state has to budget for an extra $48 to $60 million a month. “Something that is just not possible for the commonwealth of Kentucky. Our state unemployment system is like 20 years old, it would take months to also start dolling out payments in the new structure,” he added.
New York’s Gov. Andrew Cuomo said that Trump’s executive order will cost the state $4 billion that they just don’t have. He even warned that without sufficient federal aid, the state can be forced to implement drastic budget cuts, including to education.