I'd divide it into 10 regional governments subsuming the functions of states.
The Pacific Northwest -> Alaska/Washington/Oregon/NoCal - > capital in Seattle
The Southwest, SoCal/Arizona/NM/West Texas - > capital in Phoenix
The Gulf/Southeast - > East Texas, Oklahoma, Louisiana, Arkansas, Alabama, Mississippi, Georgia, South Carolina, North Florida, - > capital Jackson, MS
Appalachia - > West Virginia, Virginia, Kentucky, Tennessee, North Carolina - >
capital in Charleston, WV
The Mountain West - > Idaho, Wyoming, Montana, Nevada, Utah, Colorado
-> capital in Salt Lake City
The Grainery - > Dakotas, Nebraska, Iowa, Kansas, Missouri, Minnesota, Illinois & Wisconsin except for Chicago & Milwaukee -> capital Des Moines
Great Lakes - > Chicago, Milwaukee, Indiana, Michigan, Ohio, PA (except Philly), upstate NY - > capital Detroit
New England - MA/VT/NH/ME/CT/RI - > capital Boston
Mid Atlantic - > NJ/DE/MD/NYC/Philly - > capital Philly
Caribbean - > South Florida + Puerto Rico + US Virgin Islands