HCFA State Plan Approvals and Income Disregards April 28, 1998 Today HCFA announced its approval of Missouri's State Children's Health Insurance Program (CHIP) plan, the twelfth such plan to be approved. Missouri's program expands insurance coverage to children using the state's existing Medicaid managed care program, MC+. By using traditional state flexibility to employ income disregards in determining Medicaid eligibility for children, the program will cover children in families with gross incomes up to 300% of the federal poverty level ($40,950 for a family of three). Yesterday, Connecticut became the eleventh state to win HCFA approval. Connecticut will use its new allocation to both expand its Medicaid program and create a new program. Renamed as Part A of the state's new HUSKY program, Medicaid will expand to include children ages 14 through 18 with household incomes of up to 185% of the federal poverty level ($25,253 a year for a family of three.) Previously, the Medicaid program covered children only up to age 13 in families with incomes up to 185%. The new non-Medicaid program (Part B of HUSKY) will cover children up to age 18 in families with incomes, calculated by the state, up to 235% of poverty. However, as is the case for Missouri, Connecticut will apply an income disregard-- setting aside certain types of income the family may have-- effectively bringing coverage to 300% of poverty. HUSKY Part B covers commercial benefits. However, children with special physical or behavioral health needs who qualify for HUSKY Part B will receive additional services under a third part of the program, HUSKY Plus. HCFA also approved yesterday New Jersey's plan, which creates NJKidCare. The program will include expanded and renamed Medicaid coverage and a new state CHIP plan. Now termed NJKidCare Part A, Medicaid will cover children through age 18 whose families have incomes at or below 133 percent of poverty. The state estimates that an additional 34,000 children will be added to the Medicaid program in the first year. The separate state program -- NJKidCare Parts B and C -- will be targeted toward children in families with incomes between 133 and 200% of poverty (200% of poverty equals $27,300 a year for a family of three). Except for a few service areas, NJKidCare Parts B and C cover Medicaid benefits, using the same managed care organizations that serve children under Part A (the health care program formerly known as Medicaid). To date, 12 state plans have been approved by HCFA: Alabama, Colorado, South Carolina, Florida, Ohio, California, Illinois, New York, Michigan, Missouri, New Jersey and Connecticut. 14 states and Puerto Rico have submitted plans: Pennsylvania, Tennessee, Rhode Island, Massachusetts, Oklahoma, Oregon, Idaho, Nevada, Vermont, Wisconsin, Texas, Utah, Montana and Indiana. ************************************************************ To subscribe to the Child Health Information Project Listserv, visit the Children's Defense Fund's website at www.childrensdefense.org/listserv_chip.html and follow the directions at the bottom of the page. Or, send the following message to majordomo@automailer.com: subscribe cdfhealthinfo [your email address] To unsubscribe from the listserv, revisit the website, or send the following message to majordomo@automailer.com: unsubscribe cdfhealthinfo [your email address] PLEASE NOTE: WHEN SUBSCRIBING OR UNSUBSCRIBING, DO NOT SURROUND YOUR ADDRESS WITH BRACKETS. Questions? Please contact the Health Division of the Children's Defense Fund at cdfhealth@childrensdefense.org. ************************************************************