In Nebraska, SCHIP helps needy children

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BY LAURA J. REDOUTEY

The State Children’s Health Insurance Program (SCHIP), called Kids Connection in Nebraska, is an important and cost-effective program that provides access to health care for many children who do not qualify for Medicaid and do not have insurance because their families cannot afford it or it is not available through their parents’ employers. 

This program is funded with federal and state money, with the majority of the cost (more than 70 percent) covered by the federal government. In Nebraska, SCHIP provides coverage to children in households earning up to 185 percent of the federal poverty level, or $38,208 for a family of four. 

Congress has approved legislation to reauthorize SCHIP at a level that would potentially add 4.1 million children across the nation to this program. Last week, the House voted 265-159 to reauthorize this program.  The Senate voted 67-29 to do the same. The president has indicated he will veto this legislation. 

If he does, the House and the Senate each would have to muster two-thirds majorities to override that veto. The House is about two dozen votes short.  The Senate has enough votes to override. Sen. Ben Nelson was Nebraska’s only federal delegate to support the reauthorization of SCHIP.  We appreciate his efforts and commitment to our children.

Why is SCHIP reauthorization important? Too many children have been waiting too long for the health care they need. In 2005, Nebraska’s SCHIP (Kids Connection) and children’s Medicaid programs covered more than 44,000 children who otherwise would have been without health care. The average number of uninsured children in Nebraska over the past two years is approximately 34,000. 

Without reauthorization, the cost of this block grant program shifts to the state, and the number of uninsured children in Nebraska may increase. If the SCHIP reauthorization passed by Congress becomes law, Nebraska will have an incentive and the federal funds to expand coverage to those children who are currently eligible for the program but who are not enrolled. Close to 62 percent of Nebraska’s uninsured children live in households with incomes under 200 percent of the federal poverty level. Simply expanding eligibility to 200 percent of the federal poverty level could reduce the number of uninsured children in Nebraska by more than half.

Contrary to some reports, the SCHIP reauthorization passed by Congress does not provide any benefits to illegal immigrants.  In fact, legal immigrant children must wait five years before they are eligible. This legislation does not expand coverage to middle- and upper-income children. 

And the increase in tobacco taxes to fund this program will cause a drop in the number of smokers, not an increase as reported by some. Taxing tobacco to fund this program is not only supported by a majority of Americans, it is supported by a majority of smokers.

SCHIP provides critical health care to our low-income children. If a veto override becomes necessary, we hope that Sen. Chuck Hagel, along with Reps. Jeff Fortenberry, Lee Terry and Adrian Smith, will reconsider their positions and vote in favor of this important program.

Laura J. Redoutey is president of the Nebraska Hospital Association, a nonprofit organization that serves as a unified voice for Nebraska hospitals and health systems.