[Congressional Record Volume 149, Number 112 (Friday, July 25, 2003)]
[House]
[Pages H7715-H7716]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




   AMENDING TITLE XXI OF THE SOCIAL SECURITY ACT REGARDING THE STATE 
                  CHILDREN'S HEALTH INSURANCE PROGRAM

  Mr. TAUZIN. Mr. Speaker, I ask unanimous consent that the Committee 
on Energy and Commerce be discharged from further consideration of the 
bill (H.R. 2854) 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, and for other 
purposes, and ask for its immediate consideration in the House.
  The Clerk read the title of the bill.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Louisiana?
  There was no objection.
  The Clerk read the bill, as follows:

                               H.R. 2854

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

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

       (a) Extending Availability of SCHIP Allotments for Fiscal 
     Years 1998 Through 2001.--
       (1) 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''.
       (2) Extension and revision of retained and redistributed 
     allotments for fiscal year 2000.--
       (A) Permitting and extending retention of portion of fiscal 
     year 2000 allotment.--Paragraph (2) of such section 2104(g) 
     is amended--
       (i) in the heading, by striking ``and 1999'' and inserting 
     ``through 2000''; and
       (ii) 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.''.
       (B) Redistributed allotments.--Paragraph (1) of such 
     section 2104(g) is amended--
       (i) in subparagraph (A), by inserting ``or for fiscal year 
     2000 by the end of fiscal year 2002,'' after ``fiscal year 
     2001,'';
       (ii) in subparagraph (A), by striking ``1998 or 1999'' and 
     inserting ``1998, 1999, or 2000'';
       (iii) 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).'';

       (iv) in subparagraph (A)(ii), by striking ``or 1999'' and 
     inserting ``, 1999, or 2000'';
       (v) in subparagraph (B), by striking ``with respect to 
     fiscal year 1998 or 1999'';
       (vi) 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

       (vii) by adding at the end the following new subparagraph:

[[Page H7716]]

       ``(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).''.
       (C) Conforming amendments.--Such section 2104(g) is further 
     amended--
       (i) in its heading, by striking ``and 1999'' and inserting 
     ``, 1999, and 2000''; and
       (ii) 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.

       (3) Extension and revision of retained and redistributed 
     allotments for fiscal year 2001.--
       (A) Permitting and extending retention of portion of fiscal 
     year 2001 allotment.--Paragraph (2) of such section 2104(g), 
     as amended in paragraph (2)(A)(ii), is further amended--
       (i) in the heading, by striking ``2000'' and inserting 
     ``2001''; and
       (ii) 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.''.
       (B) Redistributed allotments.--Paragraph (1) of such 
     section 2104(g), as amended in paragraph (2)(B), is further 
     amended--
       (i) in subparagraph (A), by inserting ``or for fiscal year 
     2001 by the end of fiscal year 2003,'' after ``fiscal year 
     2002,'';
       (ii) in subparagraph (A), by striking ``1999, or 2000'' and 
     inserting ``1999, 2000, or 2001'';
       (iii) 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).'';

       (iv) in subparagraph (A)(ii), by striking ``or 2000'' and 
     inserting ``2000, or 2001'';
       (v) 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
       (vi) 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).''.
       (C) Conforming amendments.--Such section 2104(g) is further 
     amended--
       (i) in its heading, by striking ``and 2000'' and inserting 
     ``2000, and 2001''; and
       (ii) 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.

       (4) Effective date.--This subsection, and the amendments 
     made by this subsection, shall be effective as if this 
     subsection 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 subsection as if this 
     subsection had been enacted on September 30, 2002.
       (b) Authority for Qualifying States To Use Portion of SCHIP 
     Funds for Medicaid Expenditures.--Section 2105 of the Social 
     Security Act (42 U.S.C. 1397ee) is amended by adding at the 
     end the following:
       ``(g) Authority for Qualifying States To Use Certain Funds 
     for Medicaid Expenditures.--
       ``(1) State option.--
       ``(A) In general.--Notwithstanding any other provision of 
     law, a qualifying State (as defined in paragraph (2)) may 
     elect to use not more than 20 percent of any allotment under 
     section 2104 for fiscal year 1998, 1999, 2000, or 2001 
     (insofar as it is available under subsections (e) and (g) of 
     such section) for payments under title XIX in accordance with 
     subparagraph (B), instead of for expenditures under this 
     title.
       ``(B) Payments to states.--
       ``(i) In general.--In the case of a qualifying State that 
     has elected the option described in subparagraph (A), subject 
     to the availability of funds under such subparagraph with 
     respect to the State, the Secretary shall pay the State an 
     amount each quarter equal to the additional amount that would 
     have been paid to the State under title XIX with respect to 
     expenditures described in clause (ii) if the enhanced FMAP 
     (as determined under subsection (b)) had been substituted for 
     the Federal medical assistance percentage (as defined in 
     section 1905(b)).
       ``(ii) Expenditures described.--For purposes of this 
     subparagraph, the expenditures described in this clause are 
     expenditures, made after the date of the enactment of this 
     subsection and during the period in which funds are available 
     to the qualifying State for use under subparagraph (A), for 
     medical assistance under title XIX to individuals who have 
     not attained age 19 and whose family income exceeds 150 
     percent of the poverty line.
       ``(iii) No impact on determination of budget neutrality for 
     waivers.--In the case of a qualifying State that uses amounts 
     paid under this subsection for expenditures described in 
     clause (ii) that are incurred under a waiver approved for the 
     State, any budget neutrality determinations with respect to 
     such waiver shall be determined without regard to such 
     amounts paid.
       ``(2) Qualifying state.--In this subsection, the term 
     `qualifying State' means a State that, on and after April 15, 
     1997, has an income eligibility standard that is at least 185 
     percent of the poverty line with respect to any 1 or more 
     categories of children (other than infants) who are eligible 
     for medical assistance under section 1902(a)(10)(A) or, in 
     the case of a State that has a statewide waiver in effect 
     under section 1115 with respect to title XIX that was first 
     implemented on July 1, 1995, has an income eligibility 
     standard under such waiver for children that is at least 185 
     percent of the poverty line, or, in the case of a State that 
     has a statewide waiver in effect under section 1115 with 
     respect to title XIX that was first implemented on January 1, 
     1994, has an income eligibility standard under such waiver 
     for children who lack health insurance that is at least 185 
     percent of the poverty line..
       ``(3) Construction.--Nothing in paragraphs (1) and (2) 
     shall be construed as modifying the requirements applicable 
     to States implementing State child health plans under this 
     title.''.

     SEC. 2. TECHNICAL CORRECTION.

       (a) Temporary Increase of the Medicaid FMAP.--Subparagraphs 
     (A) and (B) of section 401(a)(6) of the Jobs and Growth Tax 
     Relief Reconciliation Act of 2003 (Public Law 108-027) are 
     amended to read as follows:
       ``(A) In general.--Subject to subparagraph (B), a State is 
     eligible for an increase in its FMAP under paragraph (3) or 
     an increase in a cap amount under paragraph (4) for any date 
     after September 2, 2003, only if the eligibility under its 
     State plan under title XIX of the Social Security Act 
     (including any waiver under such title or under section 1115 
     of such Act (42 U.S.C. 1315)) applied as of such date is no 
     more restrictive than the eligibility under such plan (or 
     waiver) as in effect on September 2, 2003.
       ``(B) State reinstatement of eligibility permitted.--A 
     State that has restricted eligibility under its State plan 
     under title XIX of the Social Security Act (including any 
     waiver under such title or under section 1115 of such Act (42 
     U.S.C. 1315)) for any date after September 2, 2003, is 
     eligible for an increase in its FMAP under paragraph (3) or 
     an increase in a cap amount under paragraph (4) for 
     subsequent dates in which the State has reinstated 
     eligibility that is no more restrictive than the eligibility 
     under such plan (or waiver) as in effect on September 2, 
     2003.''.
       (b) Retroactive Effective Date.--The amendment made by 
     subsection (a) shall take effect as if included in the 
     enactment of section 401 of the Jobs and Growth Tax Relief 
     Reconciliation Act of 2003 (Public Law 108-027).

  The bill was ordered to be engrossed and read a third time, was read 
the third time, and passed, and a motion to reconsider was laid on the 
table.

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