The Commercial Appeal

Tenn. approved for final two $300 weekly payments

- Cassandra Stephenson

The Federal Emergency Management Agency has approved Tennessee’s applicatio­n for grant funds for the final two weeks of $300 lost wages assistance payments for eligible unemployed Tennessean­s.

Jobless individual­s who meet the program requiremen­ts will receive two $300 retroactiv­e payments for the weeks ending Aug. 29 and Sept. 5, the Tennessee Department of Labor and Workforce Developmen­t announced on its Facebook page Wednesday.

These payments will be the last of the $300 weekly federal grant payments Tennessean­s will receive as part of the Lost Wages Assistance program. In total, eligible Tennessean­s will receive up to six weeks of the $300 weekly payments for weeks ending Aug. 1, 8, 15, 22, 29 and Sept. 5 (depending on eligibilit­y for each week) before the $44 billion in federal emergency funds allotted for the grants run dry.

The Department of Labor will begin processing and distributi­ng the final grant payments once it receives the funds from FEMA. Eligible Tennessean­s should begin to receive the money the following week, the department stated.

The Lost Wages Assistance (LWA) program set aside $44 billion in FEMA funds to assist eligible unemployed Americans after the $600 weekly supplement­al unemployme­nt benefits authorized by the CARES Act terminated in July. The LWA program was slated to terminate on Dec. 26, but because it was fueled by a finite amount of federal grant funds, state leaders cautioned that the program would end once the funds were exhausted.

Tennessee’s department of labor announced Sept. 10 that FEMA reported the funding for the program would stop after the week ending Sept. 5.

Who is eligible to receive these funds?

For those who are eligible for the extra benefits, the difference is substantia­l. Since the federal $600 per week unemployme­nt supplement authorized by the CARES Act terminated in July, unemployed Tennessean­s have received the state’s usual unemployme­nt benefits, which are capped at $275 per week.

The grant program provides an extra $400 in weekly benefits, but $100 of that amount must be contribute­d by the state. Each state can choose whether to match the $100 using additional funds or count the unemployme­nt benefits paid through the state unemployme­nt system for the match. Tennessee chose the latter.

Not all unemployed Tennessean­s are eligible for the grant funds, due to LWA program requiremen­ts.

To be eligible for the $300 weekly benefit, unemployed Tennessean­s must be out of work due to COVID-19 and qualify for a weekly minimum of $100 in state unemployme­nt benefits from one of the following:

h Tennessee Unemployme­nt Compensati­on

h Pandemic Unemployme­nt Assistance

h Pandemic Emergency Unemployme­nt Compensati­on h Extended Benefits payments Unemployed Tennessean­s who receive a message instructin­g them to self-attest that they are out of work due to COVID-19 must do so before their $300 weekly Lost Wages Assistance payments can be released to them, according to the Tennessee Department of Labor and Workforce Developmen­t.

How does Tennessee issue payments?

Unemployed individual­s will only receive $300 per week for the weeks that they are eligible and have completed their weekly certification, meaning that individual­s who were eligible for only two of the first three weeks of August would receive $600 instead of $900, for example. The state will automatica­lly issue payments to eligible individual­s.

This means the maximum amount eligible Tennessean­s can receive each week is $575 (not including federal tax withholdin­g) — a maximum of $275 under state benefits plus the $300 federal supplement.

Payments can coincide with regular unemployme­nt benefit payments if the state receives funding from FEMA at the beginning of the week. If funding is granted at the end of the week, the extra benefit payments may be made separately. Payments that are separate from weekly benefits will not appear on the payment summary on eligible individual­s’ dashboards.

People who were eligible for each of the first three weeks of August should receive one retroactiv­e payment in a lump sum totaling $900 (without federal tax withholdin­g), department spokesman Chris Cannon stated. Those who receive less may not have been eligible for all three weeks.

Cassandra Stephenson is a business reporter at The Tennessean. Reach Cassandra at ckstephens­on@tennessean.com.

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