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The New York Times has a front page story revealing new rules from the Bush Administration that would restrict access to the SCHIP program – which insures children in the absence of private coverage--the program Congressional Democrats are seeking to expand, while Bush is threatening to veto the bills. This is another example of Bush using executive power to kill popular legislation- and he did it when Congress was in recess, natch, in hopes no one would notice, I guess.
The new rules could result in making ineligible for coverage some children who are currently covered, while making it impossible for further expansions of the program. At the Nation, Ben Crair sums it up well:
When President Bush declares his "support" for the "initial intent" of SCHIP, one wonders what exactly he imagines that to be. Originally, he proposed to fund the program at such low levels that it would actually have resulted in more uninsured children. Now that Congress has shown its determination to flout that request--both houses have voted to fund the program much more generously--he seems intent on starving the program by using his executive authority to limit the states' ability to expand it.
When SCHIP was first created, states typically restricted eligibility to families making less than 200 percent of the federal poverty level. Since then, however, several states have increased that cap to 300 percent (and even 350 percent in the case of New Jersey). Now, according to The New York Times, Bush has announced new standards intended to stymie state efforts to expand eligibility. These standards, which HHS would enforce, include a provision requiring states to demonstrate that they have insured at least 95 percent of those children living below 200 percent of the poverty level before they can receive federal funding to insure children living above 250 percent--a benchmark the states say will be impossible to hurdle.
States that will lose under Bush's plan: here .
According to the NY Times, the Bush Administration is using the Congress’ recess to impose impossible demands on state health systems with the interest of limited children’s enrollment in SCHIP. The NY Times article is here:
In a memo, sent to state health officials about 7:30 p.m. on Friday, Dennis G. Smith, the director of the federal Center for Medicaid and State Operations, set a high standard for states that want to raise eligibility for the child health program above 250 percent of the poverty level.
To minimize the risk of such substitution, Mr. Smith said in his letter, states should charge co-payments or premiums that approximate the cost of private coverage and should impose “waiting periods,” to make sure higher-income children do not go directly from a private health plan to a public program.
If a state wants to set its income limit above 250 percent of the poverty level ($51,625 for a family of four), Mr. Smith said, “the state must establish a minimum of a one-year period of uninsurance for individuals” before they can receive public coverage.
The poverty level for a family of four is $20,650 in annual income. New York now covers children in families with income up to 250 percent of the poverty level. The State Legislature has passed a bill that would raise the limit to 400 percent of the poverty level — $82,600 for a family of four — but the change is subject to federal approval.
California wants to increase its income limit to 300 percent of the poverty level, from 250 percent. Pennsylvania recently raised its limit to 300 percent, from 200 percent. New Jersey has had a limit of 350 percent for more than five years.
As on other issues like immigration, the White House is taking action on its own to advance policies that were not embraced by Congress.
So the Bush spin on children's health insurance is: SCHIP was meant for poor families. Now, families who aren’t poor enough are using this program. That’s cheating. They should have private insurance and not mooch off the Government.
The truth is this: health insurance is too expensive for too many Americans. Kids need health insurance. The Government can help provide this with minimal pain to the American people.
BTW: What is the federal poverty level? It’s the “estimate of the income necessary to purchase what society defines as a minimally acceptable standard of living; classification is based on the poverty index originated by the Social Security Administration in 1964 (revised in 1969 and 1980). In 2002













