Civic Register
| 9.5.17

Children’s Health Insurance Program Set To Expire If Congress Doesn’t Intervene

Join us and tell your reps how you feel!

What’s the story?

The expiration date for current funding for the Children’s Health Insurance Program (CHIP) is September 30th. As health care debates continue and budget negotiations loom, some worry that the program, which covers insurance for 8 million children, will get inadvertently caught in the political crosshairs.

What is CHIP?

CHIP emerged out of the failed health care reform efforts of President Bill Clinton. The program covers insurance for low to middle income children whose families exceed the income limits for Medicaid, but who still struggle to cover private insurance premiums. CHIP also covers pregnant women who fall within the income guidelines.

The federal government provides funds to states, which match the federal contribution, and administer the program. States determine eligibility and policies within broad federal guidelines. In fiscal year 2017, federal CHIP allotments to the states were approximately $16 billion.

In a study of CHIP outcomes, the Kaiser Family Foundation pointed to improvements in not only child health, but educational gains and increases in both individual economic well-being and productivity.

The original legislation was co-sponsored in 1997 by late-Senator Edward Kennedy (D-MA) and Senator Orrin Hatch (R-UT). It has been amended or extended twice, in 2007 and 2009. The most recent extension of the federal contribution expires at the end of September. The legislation has enjoyed fairly broad bipartisan support.

In the flurry of headline news, the looming deadline has gotten little attention.

Supporters worry that the program will suffer from political wrangling and partisanship. The fiscal year ends on September 30, and Congress has a number of essential pieces of legislation that it has to pass.

The Wall Street Journal writes that some lobbyists and congressional staffers suspect Republicans will attach riders to repeal the Affordable Care Act (ACA), otherwise known as Obamacare, which would likely cause Democrats to vote against the legislation. Other sources said that both Democrats and Republicans might use the renewal bill as an opportunity to extend ACA payments to insurers, which would cause far-right lawmakers to vote against it.

The attaching of unrelated riders to massive pieces of legislation -- called "Christmas Tree" bills because everyone is hanging their own item on it -- has both political upsides and downsides. It can cause lawmakers to vote for things they wouldn’t otherwise in order to get what they want, or it may cause them to vote against something they might otherwise support because it’s lumped in with other things they oppose.

CHIP is authorized through 2019, but federal money for the state portion of the program is not. State officials project with juggling of funds and accessing of reserves they could stretch existing monies to last, depending on the state, until December or March. But if Congress does not vote to reauthorize funding by the deadline, they may have to start making plans to wind down the program, notifying families with children who are in the midst of life-saving treatments.

What can you do?

Do you support Congress continuing to fund CHIP or not? What other items would you be willing to have your representative approve, if it meant CHIP could still get funded? Do you think Congress should keep the CHIP legislation simple so political machinations don’t threaten the program?

Tell us in the comments what you think then use the Take Action button to tell your reps!

— Asha Sanaker

(Photo Credit: Pixnio / Creative Commons)

Related Reading: