[Congressional Record Volume 148, Number 151 (Wednesday, November 20, 2002)]
[Senate]
[Pages S11738-S11739]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. ROCKEFELLER (for himself, Mr. Grassley, Mr. Chafee, Mr. 
        Kennedy, Mrs. Clinton, Mr. Bayh, Mrs. Hutchison, and Mr. 
        Baucus):
  S. 3180. A bill to amend title XXI of the Social Security Act to 
extend the availability of allotments for fiscal years 1998 through 
2001 under the State Children's Health Insurance Program (SCHIP); to 
the Committee on Finance.
  Mr. ROCKEFELLER. Mr. President, I rise today to introduce a bill that 
will improve and protect health insurance for out Nation's children. 
Earlier this year, I worked in a bipartisan manner to develop a 
comprehensive proposal based on the basic and fundamental philosophy 
that no child should go without needed health care. I was pleased at 
that time to be joined by my good friends Senator Chafee, Senator 
Kennedy, and Senator Hatch to introduce the Children's Health Insurance 
Improvement and Protection Act of 2002.
  Unfortunately, no action has been taken on that proposal and I am 
left worrying that we will end the 107th session of Congress having 
forgotten our children. Therefore, I am introducing a proposal that 
will at least protect the Children's Health Insurance Program for the 
next 2 years.
  The Children's Health Insurance Program, CHIP, has been an 
unqualified success. Last year, 4.6 million children were enrolled in 
CHIP and the percentage of children without health insurance has 
declined in recent years. In my State of West Virginia, the CHIP 
program provides health coverage to over 20,000 children. Health 
insurance coverage is key to assuring children's access to appropriate 
and adequate health care, including preventive services. Research 
demonstrates that uninsured children are more likely to lack a usual 
source of care, to go without needed care, and to experience worse 
health outcomes than children with coverage. Uninsured children who are 
injured are 30 percent less likely than insured children to receive 
medical treatment and three times more likely not to get a needed 
prescription.
  However, the continued success of the CHIP program is now in serious 
jeopardy. On September 30 of this year $1.2 billion in unspent CHIP 
funds was sent back to the General Treasury. In addition, some $1.5 
billion of these funds are projected to revert back to the Treasury 
next September 30. If we do not act to protect this money for children 
and send money to the States that can use it, we will have failed our 
children. A 2-year fix is only a first step. There is more that we need 
to do. The Bush administration projects that 900,000 children will lose 
their health coverage between fiscal years 2003 and 2006, if Congress 
does not take appropriate action. This is because even as State 
enrollment and spending rapidly increases, Federal CHIP funding dropped 
by more than $1 billion this year and will be reduced in each of the 
next 2 years. Known as the ``CHIP Dip,'' this reduction has no 
underlying health policy justification; it was solely the result of the 
budget compromises we had to make when enacting the balance budget deal 
in 1997.

[[Page S11739]]

  As a result, a number of States will have insufficient Federal 
funding to sustain their enrollment and they will have no choice but to 
scale back or limit their CHIP programs. As enrollment is cut, the 
number of uninsured children will increase, and as a consequence, sick 
children will get sicker. The biggest problem that will result from 
enrollment cuts in the CHIP program are the future health problems of 
adults who as children could have received benefits under CHIP.
  The bill I am introducing today is only a first step that we must 
take this year. We need a comprehensive and reasonable approach to 
shore up CHIP financing in order to avert the devastating enrollment 
decline and make sure that our children are protected into the future. 
We need to put more money into this program. However, this legislation 
will protect $1.2 billion that should be spent on children's health 
insurance from being spent on roads and will put money in states that 
can use it now to cover kids. It is the least we can do.
  I urge Congress to enact this legislation and ensure the continued 
success of the CHIP program and sustain the significant progress CHIP 
has made in reducing the ranks of uninsured children. I ask unanimous 
consent that the text of the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 3180

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. EXTENDING AVAILABILITY OF SCHIP ALLOTMENTS FOR 
                   FISCAL YEARS 1998 THROUGH 2001.

       (a) Retained and Redistributed Allotments for Fiscal Years 
     1998 and 1999.--Paragraphs (2)(A)(i) and (2)(A)(ii) of 
     section 2104(g) of the Social Security Act (42 U.S.C. 
     1397dd(g)) are each amended by striking ``fiscal year 2002'' 
     and inserting ``fiscal year 2004''.
       (b) Extension and Revision of Retained and Redistributed 
     Allotments for Fiscal Year 2000.--
       (1) Permitting and extending retention of portion of fiscal 
     year 2000 allotment.--Paragraph (2) of such section 2104(g) 
     is amended--
       (A) in the heading, by striking ``and 1999'' and inserting 
     ``through 2000''; and
       (B) by adding at the end of subparagraph (A) the following:
       ``(iii) Fiscal year 2000 allotment.--Of the amounts 
     allotted to a State pursuant to this section for fiscal year 
     2000 that were not expended by the State by the end of fiscal 
     year 2002, 50 percent of that amount shall remain available 
     for expenditure by the State through the end of fiscal year 
     2004.''.
       (2) Redistributed allotments.--Paragraph (1) of such 
     section 2104(g) is amended--
       (A) in subparagraph (A), by inserting ``or for fiscal year 
     2000 by the end of fiscal year 2002,'' after ``fiscal year 
     2001,'';
       (B) in subparagraph (A), by striking ``1998 or 1999'' and 
     inserting ``1998, 1999, or 2000'';
       (C) in subparagraph (A)(i)--
       (i) by striking ``or'' at the end of subclause (I),
       (ii) by striking the period at the end of subclause (II) 
     and inserting ``; or''; and
       (iii) by adding at the end the following new subclause:

       ``(III) the fiscal year 2000 allotment, the amount 
     specified in subparagraph (C)(i) (less the total of the 
     amounts under clause (ii) for such fiscal year), multiplied 
     by the ratio of the amount specified in subparagraph (C)(ii) 
     for the State to the amount specified in subparagraph 
     (C)(iii).'';

       (D) in subparagraph (A)(ii), by striking ``or 1999'' and 
     inserting ``, 1999, or 2000'';
       (E) in subparagraph (B), by striking ``with respect to 
     fiscal year 1998 or 1999'';
       (F) in subparagraph (B)(ii)--
       (i) by inserting ``with respect to fiscal year 1998, 1999, 
     or 2000,'' after ``subsection (e),''; and
       (ii) by striking ``2002'' and inserting ``2004''; and
       (G) by adding at the end the following new subparagraph:
       ``(C) Amounts used in computing redistributions for fiscal 
     year 2000.--For purposes of subparagraph (A)(i)(III)--
       ``(i) the amount specified in this clause is the amount 
     specified in paragraph (2)(B)(i)(I) for fiscal year 2000, 
     less the total amount remaining available pursuant to 
     paragraph (2)(A)(iii);
       ``(ii) the amount specified in this clause for a State is 
     the amount by which the State's expenditures under this title 
     in fiscal years 2000, 2001, and 2002 exceed the State's 
     allotment for fiscal year 2000 under subsection (b); and
       ``(iii) the amount specified in this clause is the sum, for 
     all States entitled to a redistribution under subparagraph 
     (A) from the allotments for fiscal year 2000, of the amounts 
     specified in clause (ii).''.
       (3) Conforming amendments.--Such section 2104(g) is further 
     amended--
       (A) in its heading, by striking ``and 1999'' and inserting 
     ``, 1999, and 2000''; and
       (B) in paragraph (3)--
       (i) by striking ``or fiscal year 1999'' and inserting ``, 
     fiscal year 1999, or fiscal year 2000''; and
       (ii) by striking ``or November 30, 2001'' and inserting 
     ``November 30, 2001, or November 30, 2002'', respectively.
       (c) Extension and Revision of Retained and Redistributed 
     Allotments for Fiscal Year 2001.--
       (1) Permitting and extending retention of portion of fiscal 
     year 2001 allotment.--Paragraph (2) of such section 2104(g), 
     as amended in subsection (b)(1)(B), is further amended--
       (A) in the heading, by striking ``2000'' and inserting 
     ``2001''; and
       (B) by adding at the end of subparagraph (A) the following:
       ``(iv) Fiscal year 2001 allotment.--Of the amounts allotted 
     to a State pursuant to this section for fiscal year 2001 that 
     were not expended by the State by the end of fiscal year 
     2003, 50 percent of that amount shall remain available for 
     expenditure by the State through the end of fiscal year 
     2005.''.
       (2) Redistributed allotments.--Paragraph (1) of such 
     section 2104(g), as amended in subsection (b)(2), is further 
     amended--
       (A) in subparagraph (A), by inserting ``or for fiscal year 
     2001 by the end of fiscal year 2003,'' after ``fiscal year 
     2002,'';
       (B) in subparagraph (A), by striking ``1999, or 2000'' and 
     inserting ``1999, 2000, or 2001'';
       (C) in subparagraph (A)(i)--
       (i) by striking ``or'' at the end of subclause (II),
       (ii) by striking the period at the end of subclause (III) 
     and inserting ``; or''; and
       (iii) by adding at the end the following new subclause:

       ``(IV) the fiscal year 2001 allotment, the amount specified 
     in subparagraph (D)(i) (less the total of the amounts under 
     clause (ii) for such fiscal year), multiplied by the ratio of 
     the amount specified in subparagraph (D)(ii) for the State to 
     the amount specified in subparagraph (D)(iii).'';

       (D) in subparagraph (A)(ii), by striking ``or 2000'' and 
     inserting ``2000, or 2001'';
       (E) in subparagraph (B)--
       (i) by striking ``and'' at the end of clause (ii);
       (ii) by redesignating clause (iii) as clause (iv); and
       (iii) by inserting after clause (ii) the following new 
     clause:
       ``(iii) notwithstanding subsection (e), with respect to 
     fiscal year 2001, shall remain available for expenditure by 
     the State through the end of fiscal year 2005; and''; and
       (F) by adding at the end the following new subparagraph:
       ``(D) Amounts used in computing redistributions for fiscal 
     year 2001.--For purposes of subparagraph (A)(i)(IV)--
       ``(i) the amount specified in this clause is the amount 
     specified in paragraph (2)(B)(i)(I) for fiscal year 2001, 
     less the total amount remaining available pursuant to 
     paragraph (2)(A)(iv);
       ``(ii) the amount specified in this clause for a State is 
     the amount by which the State's expenditures under this title 
     in fiscal years 2001, 2002, and 2003 exceed the State's 
     allotment for fiscal year 2001 under subsection (b); and
       ``(iii) the amount specified in this clause is the sum, for 
     all States entitled to a redistribution under subparagraph 
     (A) from the allotments for fiscal year 2001, of the amounts 
     specified in clause (ii).''.
       (3) Conforming amendments.--Such section 2104(g) is further 
     amended--
       (A) in its heading, by striking ``and 2000'' and inserting 
     ``2000, and 2001''; and
       (B) in paragraph (3)--
       (i) by striking ``or fiscal year 2000'' and inserting 
     ``fiscal year 2000, or fiscal year 2001''; and
       (ii) by striking ``or November 30, 2002,'' and inserting 
     ``November 30, 2002, or November 30, 2003,'', respectively.
       (d) Effective Date.--This section, and the amendments made 
     by this section, shall be effective as if this section had 
     been enacted on September 30, 2002, and amounts under title 
     XXI of the Social Security Act (42 U.S.C. 1397aa et seq.) 
     from allotments for fiscal years 1998 through 2000 are 
     available for expenditure on and after October 1, 2002, under 
     the amendments made by this section as if this section had 
     been enacted on September 30, 2002.

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