Some States Consider Modifying CHIP To Cover Budget Deficits
Several states are modifying or cutting back on their CHIP programs in an effort to balance budgets restrained by the recession, the cost of fighting terrorism and rising Medicaid costs, USA Today reports. While no states are considering eliminating the program completely, some are curtailing enrollments and imposing premiums, USA Today reports. The following highlights changes to some states' CHIP programs.
- Idaho: The state has reduced its spending cap for the program from $4.6 million to $3.8 million in next fiscal year.
- Kentucky: Since June 2001, enrollees have been required to verify income eligibility annually in person.
- New Mexico: Gov. Gary Johnson (R) has proposed reducing eligibility limits from 235% of the federal poverty level -- an annual income of $42,000 for a family of four -- to 200% for children ages five and younger and 100% for children ages 6-18.
- Utah: Due to larger-than-anticipated enrollment, Utah has limited dental coverage and frozen enrollment.
Sicker Children?
While officials in many states say the cutbacks are only temporary and will be lifted once states' economic condition improves, critics say the changes may cause thousands of children to go without health insurance. Ron Pollack, executive director of the health care advocacy organization Families USA, said that children without health coverage are "much sicker" and "wind up doing much poorer in school" because they have "health problems that either never get detected or get detected too late." Still, Vickie Gates, director of State Coverage Initiatives, which advocates broader health care coverage, said, "While we'd like a situation where none of these cuts were being made, you have to read this in the context of states' budget circumstances, not as a lack of support for children's coverage" (Jones, USA Today, 4/1).
