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State Children's Health Insurance Program

While Congress is likely to provide funding for the State Children's Health Insurance Program (SCHIP) for most of 2008, the Democrats' hope of expanding the program seems at an end. House Speaker Nancy Pelosi set December 7th as the deadline for negotiators to identify methods for increasing the program's budget by $35 million during the next five years.

After President Bush vetoed the first two presented proposals earlier this fall, Congress was supposed to be working on a third. Unfortunately, the members in charge failed to meet in order to discuss a proposal prior to the deadline. Action on SCHIP must be taken by December 14th because that is when the current funding extension will run out. Without additional funding, many states will not have the resources necessary to provide health care through the program.

Before the SCHIP funding can be finalized, Congress must decide how long to fund the program. Some lawmakers suggest 18 months so the funding issue will not become a political matter during the next Congressional elections. Even though the program will not be extended, another $10 billion will need to be added to the budget just to keep up with current demands.


 

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