Gov. Beshear directs more than $50 million in CARES Act funding for relief in unemployment costs

(Governor Andy Beshear/Facebook)
Published: Dec. 18, 2020 at 6:17 PM EST
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FRANKFORT, Ky. (WYMT) - In a release Friday afternoon, Gov. Andy Beshear announced that he is directing $51.5 million dollars in federal funding from the CARES Act to be used for unemployment relief.

The relief will go to more than 1,500 employers including public schools, universities, government entities and nearly 1,000 non-profits.

“We wanted to provide relief to our schools, government entities and our non-profits who have been hit hard by this pandemic, but continued to do so much to help Kentuckians through this crisis,” said Gov. Beshear. “We need everyone ready to help us emerge from this pandemic prepared to build a better, brighter commonwealth for all Kentuckians.”

During the COVID-19 pandemic, the federal government has allowed states to provide relief to employers that reimburse the state 100% on unemployment insurance claims paid on their behalf. Only half of this group’s costs had been covered by the federal government. To eliminate the remaining half, Gov. Beshear is applying the CARES funding to cover these costs.

The state unemployment trust fund will receive a boost of $103 million to help continue the federal unemployment insurance loan.

“This relief will help nearly 1,000 nonprofits keep their doors open to maintain services and meet the urgent needs of Kentuckians,” said Danielle Clore, chief executive officer for the Kentucky Nonprofit Network. “We appreciate Gov. Beshear’s recognition that Kentucky’s charitable nonprofits are on the frontlines in the battle to beat this disease and, as the fourth largest employer in the commonwealth, are essential to ensuring our communities will recover.”

The state has paid out more than $5 billion in wage replacement assistance since the COVID-19 pandemic started.

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