Is that really accurate?
You need to find the 1099-G forms that you should have received from the state. It is possible that it didn't get to you because in another question from a year ago you mentioned that you worked in several states. The IRS did get a copy of the 1099-G and are now reconciling all the forms they received with the SSN numbers to make sure all the income they know about is accounted for.
Your question also mentions a small amount of interest from your savings account. The IRS form mentions that you failed to report over $1,000 in interest. That means that the IRS has found banks reporting that interest. You will need to find the 1099-INT forms from those banks, or the bank statements, or check online to see if those numbers are accurate. It is possible that number is too high, or it is too low, or it is exact. Note even if a bank doesn't send you a 1099, you still have to report it on your tax return.
What are my options?
Double check their numbers. They might be wrong. Also this might only be the start of the process if there is more income to find.
Then contact them using the methods they mention in the notice.
Can I negotiate with them?
They might give you time to pay the bill. But expect that you will probably end up paying all of it back.
If you haven't filed your 2019 return, then double check everything. Account for all income. Do the same if you already filed, even if that means you have to file an amended return.