Legislative Updates

CHIP to be extended

POSTED IN: Legislative Updates,

On Tuesday evening, Senate Finance Committee Chairman Orrin Hatch (R-UT) and Ranking Member Ron Wyden (D-OR) announced an agreement on a five-year extension of the Children’s Health Insurance Program (CHIP), though full details of the deal remain scarce. With the program facing a funding deadline of September 30, the deal is welcome news for states, program administrators, and the 9 million children who depend on this coverage. Legislative text has not yet been released, but the proposal is expected to maintain the 23 percent increase in the federal matching rate that was provided under the Affordable Care Act for an additional two years, phasing it down for 2020, and finally fully eliminating the increase in 2021. However, committee leaders and GOP leadership in the House of Representatives have not indicated if they support this approach. Other unanswered questions remain as to how the bill will be paid for and what other expiring programs may be attached to the legislation to be extended along with CHIP.