Simply shift the borrowing back to the taxpayers

PHILADELPHIA — Governors are pleading for more financial help from Congress as unemployment claims surge to near-unprecedented levels this month, leaving states incapable of covering the mountainous costs.
The full problem won’t become clear until the Department of Labor releases national unemployment data on Thursday. But eye-popping numbers have already trickled out as state after state has imposed sweeping orders shutting down non-essential businesses.

The anecdotal evidence thus far has been grim: The state of Florida received 21,000 applications for unemployment on Monday and 18,000 on Sunday, far exceeding typical daily averages of between 250 and 1,000. New Jersey saw at least 15,000 applications in one day last week, a record high that caused its filing system to crash. And California has averaged 106,000 unemployment claims daily — nearly 750,000 in a week, or 3.8 percent of the entire state workforce.
Two economic analyses released Tuesday estimated that well over 3 million people filed for unemployment in the last week — by one estimate, five times as many as the worst week of the Great Recession.
If the national tally due out Thursday confirms the dire projections, it would foretell a new period of deep economic turmoil in America. For state governments, already facing enormous costs associated with fighting the spread of the coronavirus and coping with major losses in revenue, the burden will be too great to navigate on their own.

The central bank will be delivering siegniorage fees in the form of ATM fees on cash, higher consumer rates or higher bank fees. 

The borrowing needed to cover the shortfall will be paid for, by the states themselves. Except we have piling on, politicians are jumping on the bandwagon to get their unsustainable progams bailedout, and the future cost to statesw ill be greatyer than expected.  Much of the crisis is due to the 9 trillion in debt we piled on since 2008, and we are paying 2.5% rate on that 'Krugman debt" while the current ten year is at .85%. So, we are, in a clear sense, bailing out the 2008 bail out. It is beginning to look like a roll over crisis.