This article in Business Week goes over more detail about the problems with the SCHIP program that Congress passed last week. It explains that many states are given the ability to exclude certain income to qualify. States do not have specific rules about how to calculate the income requirements for eligibility. This results in money being spent for other than the purpose of the bill. The purpose of the bill is to get insurance coverage to families of children who could not afford it. The article goes into details about other issues such as how it should be paid for. Enjoy the article.
By KEVIN FREKING
WASHINGTON -- President Bush and other critics of a $35 billion spending increase for children's health insurance say they'll support expanding coverage to families of four making as much as $62,000 a year, but they want to limit states' ability to go beyond that level.
About three dozen states ignore certain income when determining who can get government-subsidized health coverage. For example, many states exclude child support payments. Others deduct expenses for child care when determining who qualifies for the State Children's Health Insurance Program.
Congress is considering the renewal of SCHIP for an additional five years, but differences remain over who the program should cover and how much money should be spent. The flexibility that states have in defining income is one of the differences that will probably need to be resolved for Democrats to override a promised veto from Bush.
Continue reading the article here.
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