In a August 17 letter to health officials (and May 7, 2008 clarifying letter), the Centers for Medicare and Medicaid Services (CMS) established guidance to states already covering or planning to cover
children with incomes
above 250 percent of the federal poverty level (FPL). In order to obtain federal funds to cover children in moderate-income families, states must ensure that:
- At least 95 percent of children in the state with family income below 200 percent of the FPL have coverage. More
- Employer-sponsored insurance for children below 200 percent of the FPL has not dropped by more than two percentage points over the prior five years. More
If a state meets these new standards, CMS requires that states a 12-month waiting period and the maximum cost sharing permitted by law. More
Read a CCF Fact Sheet on the directive.
Press Accounts
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(5/22/08)
Senate includes rescission of the directive in the Iraq supplemental bill.
(5/8/08)
Reps. Pallone and Shea-Porter introduced legislation to block the directive.
(5/7/08)
CMS released a State Health Official letter to address issues of directive. View CCF's analysis of the letter.
(5/6/08)
CCF released a report showing that tens of thousands of children have already lost coverage due to the directive.
(4/18/08)
The GAO and CRS released opinions that CMS erred in issuing the directive without sending it to Congress for review.
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