Governor David A. Paterson today announced that New York is now eligible to receive $64 million in new federal funding to support the expansion of New York’s children’s health insurance program known as Child Health Plus. On Thursday, President Obama approved the expansion, and made that approval retroactive to September of 2008.

The expansion of Child Health Plus was part of the 2007-08 State budget, increasing the income eligibility for the program from 250 to 400 percent of the federal poverty level. The eligibility expansion made approximately 70,000 additional uninsured children eligible for coverage, representing a change from approximately $46,000 annual income for a family of three to $73,000 for a family of three.

“This is a win for New York’s children and another example of President Obama’s commitment to providing access to affordable health insurance to all Americans. This federal funding will provide fiscal relief and allow us to reach more children at a time when access to affordable health insurance is more critical than ever for New York’s families,” said Governor Paterson. “I want to express my deep gratitude to President Obama as well as U.S. Department of Health and Human Services Secretary Kathleen Sebelius. As a former Governor, Secretary Sebelius understands firsthand the importance of providing quality affordable health care to children.”

In addition to approving the expansion, the Obama Administration agreed to allow the State to add two new exceptions to the six-month waiting period for families who drop employer coverage to enroll their children in Child Health Plus. As a result, children under age five will be exempt from the waiting period, an important exception that will preserve continuity of care for young children during the years access to health care is most critical to their growth and development. An additional exception would be granted for parents who no longer can afford the cost of private coverage, when that cost exceeds 5 percent of a family’s income.

As of May 2009, Child Health Plus covered 386,000 children in New York State. Since the expansion to 400 percent of the federal poverty level last September, an additional 22,000 children have been enrolled. New York has also reduced barriers to enrollment, making it easier for families to get and keep their coverage, and increased outreach in communities to inform New Yorkers about the availability of the program.

The federal approval comes nearly two years after the Bush Administration denied New York’s request for federal matching funding support the program. Following that denial, Governor Paterson proposed and the Legislature agreed to expand the program with state-only funding effective September 1, 2008. In March, the State Health Department submitted a new request for funding for the expansion as part of a State plan amendment to the Children’s Health Insurance program.

Under New York’s Child Health Plus program, health care is delivered by commercial health plans. Except for children in families with the lowest incomes, participation in Child Health Plus requires personal contributions by families in the form of monthly premiums based on a sliding scale according to family income.

More information on New York’s Child Health Plus program is available at: http://www.nyhealth.gov/nysdoh/chplus/.

(YWN Desk – NYC)