[Congressional Record Volume 153, Number 82 (Thursday, May 17, 2007)]
[Extensions of Remarks]
[Page E1089]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




         INTRODUCING THE MEDIKIDS HEALTH INSURANCE ACT OF 2007

                                 ______
                                 

                        HON. FORTNEY PETE STARK

                             of california

                    in the house of representatives

                         Thursday, May 17, 2007

  Mr. STARK. Madam Speaker, it is with great pride that I rise today to 
introduce the MediKids Health Insurance Act of 2007, legislation to 
provide universal health coverage to our Nation's children.
  In February, I was appalled when the Washington Post reported that 
12-year-old Deamonte Driver passed away because his mother could not 
afford a basic dental procedure. An untreated infection in Deamonte's 
molar had spread to his brain. By the time he was brought to an 
emergency room, no amount of money could save him.
  Deamonte Driver did not have to die. He would be still alive today if 
his mother had been insured, if more dentists accepted Medicaid, or if 
his family had not lost their Medicaid coverage.
  This tragic story speaks to the shortcomings of our fragmented health 
care system. Millions of children are covered by their parents' health 
insurance plans. Medicaid and SCHIP provide care to millions of kids in 
families that meet their eligibility standards. Unfortunately, both 
programs have unnecessarily complex enrollment and review processes. 
Nearly 9 million children slip through the cracks of this incomplete 
system and go without health insurance each year.
  Enough is enough. The wealthiest nation in the world can and should 
guarantee quality health care to all of our children. With insurance 
costs skyrocketing and employers dropping care, an overwhelming 
majority of Americans agrees. According to a February 2007 New York 
Times/CBS News poll, 84 percent favor expanding public programs to 
cover all uninsured children. If that's not a mandate for Congressional 
action, I don't know what is.
  Rather than reinvent the wheel to provide care to our children, we 
should build on what works in our health care system. When Congress 
created Medicare more than 40 years ago, our Nation's seniors were more 
likely to be living in poverty than any other age group. Most senior 
citizens were unable to afford needed medical services and unable to 
find health insurance in the private market even if they could afford 
it. Today, as a result of Medicare's success, seniors are much less 
likely to be shackled by the bonds of poverty or to go without needed 
health care.
  Now it is our Nation's children who are most likely to be poor. Kids 
in America are nearly twice as vulnerable to poverty as adults. This 
travesty is not only morally reprehensible; it also has grave 
consequences for the future of our country. Our future rests on our 
ability to provide our children with the basic conditions to thrive and 
become healthy, educated, and productive adults.
  Poor children are often malnourished and have difficulty succeeding 
in school. Untreated illnesses only worsen their chance for success. 
Providing these children with guaranteed health care would help realize 
their potential as individuals and our potential as a Nation.
  The MediKids Health Insurance Act would create a new Federal health 
insurance program for children called MediKids. Modeled after Medicare, 
MediKids would provide comprehensive benefits appropriate to children, 
simplified cost sharing, prescription drug coverage and mental health 
parity.
  Every child in America would be automatically enrolled in MediKids at 
birth and maintain that eligibility until age 23. Parents would retain 
the choice to enroll their kids in private plans or government programs 
such as Medicaid or SCHIP. However, if a lapse in other insurance 
coverage occurs, MediKids automatically fills in the gap.
  MediKids doesn't have complicated enrollment and eligibility hoops. 
Instead, it assures that families will always have access to affordable 
health insurance for their children.
  I can think of no better use of Congress' time--or our Nation's 
money--than to enact MediKids and provide health insurance to every 
child. Providing a simple, stable, and flexible health insurance option 
will afford millions of parents the peace of mind of knowing that their 
children will be cared for when they are sick. Our Nation's priorities 
should be centered on creating a bright future for our children and 
MediKids helps to achieve this goal.
  I look forward to working with my colleagues and the many endorsing 
organizations, including the American Academy of Pediatrics and the 
Children's Defense Fund to enact the MediKids Health Insurance Act.
  Below is a summary of MediKids that provides additional details.

           MediKids Health Insurance Act of 2007 Bill Summary

       The MediKids Health Insurance Act provides health insurance 
     for all children in the United States regardless of family 
     income level by 2014. The program is modeled after Medicare, 
     but the benefits are improved and targeted toward children.
       MediKids is the ultimate safety net, with maximum 
     simplicity, stability, and flexibility for families. Parents 
     may choose to enroll their children in private plans or 
     government programs such as Medicaid or S-CHIP. However, if a 
     lapse in other insurance coverage occurs, MediKids 
     automatically picks up the children's health insurance. 
     MediKids follows children across State lines when families 
     move, and fills the gaps when families climbing out of 
     poverty become ineligible for means-tested programs.


                       enrollment and eligibility

       Every child born after December 31, 2008 is automatically 
     enrolled in MediKids. Older children are enrolled over a 5-
     year phase-in as described below. Children who immigrate to 
     the U.S. are enrolled when they receive their immigration 
     cards. Materials describing the program's benefits, along 
     with a MediKids insurance card, are issued to the parent(s) 
     or legal guardian(s) of each child. Once enrolled, children 
     remain enrolled in MediKids until they reach the age of 23. 
     There are no re-determination hoops to jump through because 
     MediKids is not means tested.


                                benefits

       The benefit package is based on the Medicare and the 
     Medicaid Early and Periodic Screening, Diagnosis, and 
     Treatment (EPSDT) benefits for children, with simplified cost 
     sharing mechanisms and comprehensive prescription drug 
     coverage. The benefits will be reviewed annually and updated 
     by the Secretary of Health and Human Services to reflect age-
     appropriate benefits as needed with input from the pediatric 
     community.


                   premiums, deductibles, and copays

       MediKids assures that families will always have access to 
     affordable health insurance for their children. Families 
     below 150 percent of poverty pay no premiums or cost sharing. 
     Families between 150 percent and 300 percent of poverty pay 
     reduced premiums and cost sharing. Parents above 300 percent 
     of poverty are responsible for a small premium equal to one-
     fourth of the average annual cost per child. Premiums are 
     collected at the time of income tax filing. Premiums are not 
     assessed during periods of equivalent alternative coverage. 
     Families will never pay more than 5 percent of their adjusted 
     gross income (AGI) for premiums.
       Cost sharing is similar to the largest plans available to 
     Members of Congress. There is no cost sharing for preventive 
     and well childcare for any children. A refundable tax credit 
     is provided for cost sharing above 5 percent of AGI.


                               financing

       Initial funding to be determined by Congress. In future 
     years, the Secretary of the Treasury would develop a package 
     of progressive, gradual tax changes to fund the program, as 
     the numbers of enrollees grows.


                                 states

       Medicaid and S-CHIP are not altered by MediKids. States can 
     choose to maintain these programs. To the extent that the 
     States save money from the enrollment of children into 
     MediKids, States are required to maintain current funding 
     levels in other programs and services directed toward the 
     Medicaid population. This can include expanding eligibility 
     or offering additional services. For example, States could 
     expand eligibility for parents and single individuals, 
     increase payment rates to providers, or enhance quality 
     initiatives in nursing homes.


                                phase-in

       MediKids is phased-in over a 5-year period according to the 
     following schedule: Year 1 = the child has not attained age 
     6; Year 2 = the child has not attained age 11; Year 3 = the 
     child has not attained age 16; Year 4 = the child has not 
     attained age 21; Year 5 = the child has not attained age 23.


                        supporting organizations

       American Academy of Family Physicians; American Academy of 
     Pediatrics; American Medical Student Association; Children's 
     Defense Fund; Consumers Union; Families USA; March of Dimes; 
     National Association of Children's Hospitals; National 
     Association of Community Health Centers; National Association 
     of Public Hospitals and Health Systems; National Health Law 
     Program; and NETWORK: A National Catholic Social Justice 
     Lobby.

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