For whatever reasons, they don't want you.
They've already demonstrated that by laying you off.
Claiming that they're still open to hiring you internally after laying you off, is like when your lover breaks up with you, but says you can still be friends.
No you can't.
They're just trying to let you down easy, so they don't catch any pushback from you.
Same with an employer - they just say they're still willing to hire you for a different position after laying you off, so they come across (legally, should you decide to try to sue them later on) as being open and willing to accommodate, if feasible.
They don't want to accommodate.
They don't want to compromise.
They want to save money, and they decided you cost them more than they're willing to pay.
They don't care about you, so don't waste your time chasing after them.
Retain your dignity and invest your time in finding employment elsewhere.
Try different sectors which can utilize your same skillset.
Try here (lots of remote jobs available, too) https://builtin.com/jobs?state=New+York&country=USA&allLocations=true