Emanuel, Ramstad, Ross, LaHood, Schwartz, Shea-Porter Unveil Bipartisan Health Care Plan; Expand Coverage for Children
Families USA, America’s Health Insurance Plans, American Hospital Association, Federation of American Hospitals, Healthcare Leadership Council, Johnson & Johnson, Blue Cross Blue Shield Association and Others Support Healthy Kids Act

WASHINGTON, D.C.—Today, U.S. Representatives Rahm Emanuel,  Jim Ramstad, Mike Ross, Ray LaHood, Allyson Schwartz, and Carol Shea-Porter joined Families USA, America’s Health Insurance Plans, the American Hospital Association, the Federation of American Hospitals, the Healthcare Leadership Council, Johnson & Johnson, Blue Cross Blue Shield Association and others to unveil the bipartisan Healthy Kids Act.  This bipartisan legislation would provide uninsured children with access to quality health care by streamlining the SCHIP enrollment process and providing states with the resources they need to provide coverage to eligible children.  The Healthy Kids Act will also provide families that are not eligible for Medicaid or SCHIP with a Healthy Savings Tax Credit, which they can use to purchase health coverage for their children.

“If there is one thing we can all agree on it is that our children deserve a chance to grow up healthy and strong and it is our responsibility to ensure they have access to quality, affordable health care. More than 46 million Americans, including nine million children lack even basic health insurance. Today, I’m joined by fellow Democrats, members from across the aisle and leaders from across a broad spectrum of the health care community to unveil our plan to address this country’s foremost health care problem,” said Emanuel.

SCHIP has made significant progress in reducing the number of uninsured children, but nearly nine million children still lack health coverage. Two-thirds of these children are eligible for Medicaid or SCHIP, but not enrolled.  For the first time since 1998, the rate of uninsured children increased, from 10.8 percent to 11.2 percent. The Healthy Kids Act will reverse this trend by directly addressing the lack of access to affordable health insurance for these children. 

“We have a moral obligation to cover our kids so that every child in America can grow up healthy,” said Ramstad.

“I am proud to be part of the bipartisan legislation to provide quality health care to millions of uninsured children.  We owe it to the future of our nation,” said LaHood.

The Healthy Kids Act provides enough resources to ensure that no child who is currently enrolled in SCHIP loses coverage. Specifically, the legislation will provide financial incentives and resources to states to increase enrollment in Medicaid and SCHIP. States that implement five policies to streamline the enrollment process would receive an increase on their federal matching rate for children’s coverage in Medicaid and SCHIP. Additionally, this legislation will provide states with new options to expand coverage to hard to reach populations. For example, children who have qualified for other means-tested programs including food stamps, WIC, and school lunches will automatically be deemed income eligible for Medicaid or SCHIP.

Additionally, the Healthy Kids Act will provide families with a Healthy Savings Tax Credit so they can purchase employer-based health coverage for their children.  If the family does not have access to such coverage, they can buy into a state-designated coverage plan. 

“Covering children is the cornerstone of making access to health care coverage a reality for all Americans.  This bipartisan effort provides a framework for an achievable public-private partnership that should move forward this year,” said AHIP President and CEO Karen Ignagni.

“The children’s health proposal announced today is a great step forward and provides the needed resources so that millions of uninsured children can gain critically important health coverage,” said Ron Pollack, Executive Director of the consumer health organization Families USA.  “This is an important investment in America’s future, and we will work hard with the proposal’s sponsors to see it enacted into law this year.”

The Healthy Kids Act will cost approximately $60 billion over five years.   By implementing the Simplification through Additional Tax Reporting Tax (START) Act of 2007 [HR 878], and closing the capital gains tax gap, over the next five years, we will raise more than the $60 billion and pay for the Healthy Kids Act.

“This is the right thing to do – covering kids is one of most cost-effective, worthwhile investments we can make as a nation.  This affordable, bipartisan plan will enroll an additional 6.8 million SCHIP –eligible children and provide an incentive to states like Pennsylvania to continue to innovate and expand coverage,” said Schwartz.

“The AHA applauds Representative Emanuel’s leadership in introducing legislation to get uninsured children covered now.  He does this by encouraging states to make certain that eligible children are enrolled in Medicaid and SCHIP and providing tax credits for low-income families to buy health care coverage for their children,” said American Hospital Association President Rich Umbdenstock.  “We, as a nation, have a moral imperative to provide health care coverage for the 9 million uninsured children. When kids have coverage, they are healthier, do better in school and have a brighter future.  Every child deserves a solid foundation for a healthy tomorrow.”
 
America’s Health Insurance Plans, American Hospital Association, Healthcare Leadership Council, Blue Cross Blue Shield Association, Ascension Health, Kaiser Permanente, American Medical Association, Johnson & Johnson, Families USA, Federation of American Hospitals, American Academy of Family Physicians, UnitedHealth Group, Catholic Health Association and American Public Health Association are members of the Health Care Coalition for the Uninsured (HCCU).  HCCU is a diverse group of national organizations with an interest in ensuring all Americans have access to quality health care. This group represents a wide range of political and ideological interests and set aside their differences in the interest of uninsured Americans. The Healthy Kids Act implements Phase I of the framework set forth by this historic coalition.

“This legislation is a comprehensive solution to a daunting task. Today, we have taken a first step towards ensuring more Americans have the care they need,” said Emanuel. 

Please Click Here for Details on the Legislation.