Colorado Governor Approves Shift of CHP+ Oversight to State Medicaid Division

Despite concerns from businesses, Colorado Gov. Bill Owens (R) signed a bill (HB 1331) last week that will eliminate the Child Health Plan Plus program's policy board and allow the state Department of Health Care Policy and Financing's Medical Services Board, which administers the state's Medicaid program, to have "rule-making authority" over CHP+, the Denver Business Journal reports. Prior to the legislation's approval, CHP+, Colorado's CHIP program, operated as a public-private initiative supported in part by private-sector donations. Under the new law, the state's Medical Services Board will expand from nine to 11 members appointed by the governor and confirmed by the state Senate. Membership will include nine individuals with a "knowledge of medical assistance programs," one member from the private sector with experience in health care delivery and one with experience serving medically underserved children. The governor will appoint the two additional members by July 1. Supporters of the law, who point out that "there has been confusion" over whether the CHP+ policy board or the state health department "is responsible for setting policy" for the program, maintain that the legislation will allow CHP+ to "run more efficiently." However, critics warn that the legislation could leave the program "less entrepreneurial and less attractive" to corporate donors.

Will Plan 'Dry Up' Dollars?
Last November, the Colorado Forum, a group of 50 state companies, urged the state not to move CHP+ into the state health department's Medicaid division. "Obviously there are some things we want to watch carefully," Gail Klapper, member director for Colorado Forum, said, adding, "We're worried about the fact that this probably is going to dry up philanthropic dollars for this activity." Annie Van Dusen, a program officer with the Rose Community Foundation, which has contributed $1.2 million to CHP+ since 1998, said, "The business community remains suspicious of the state and vice versa. I was originally sorry to see the loss of the policy board and now have vested a great deal ... to ensure the doors open [sic] and the overtures are made for the business community to continue the contributions they've made. I think the ball is in the court of the state now to extend a hand" (Fletcher, Denver Business Journal, 6/12).