Medicaid director optimistic about SCHIP funding


By Sarah Green


KHI News Service

TOPEKA, April 17
Depending on federal action, Kansas could be safe from cuts to the State Children”s Health Insurance Program, said Andy Allison, state Medical Assistance Program director.

Allison updated the Kansas Health Policy Authority Board on SCHIP reauthorization on Tuesday during the board”s monthly meeting.

The budget submitted by President Bush would increase SCHIP funding by $5 billion to over the next five years. However budget resolutions approved by both the U.S. House and Senate would allocate a $15 billion increase over five years, which would be enough to sustain the current level of funding, Allison said.

“We stand a good chance of funding our program, in part because we don”t fund above 200 percent of poverty,” Allison said.

States with “richer” Medicaid programs have sometimes used extra funds to provide assistance to children whose families make more than 200 percent of the federal poverty level, or $34,344 for a family of three. If cuts are to be made, those states would likely be targeted before Kansas, Allison said.

Currently, the Kansas SCHIP program costs about $63 million a year and provides health coverage to approximately 35,000 children. Despite that enrollment success, it is estimated that about 71 percent of uninsured children in the state qualify for either Medicaid or SCHIP, but are not enrolled in either.


Clearinghouse backlog



Allison also updated the board on the status of the Kansas Family Medical Clearinghouse, which processes applications to the state”s Medicaid and SCHIP programs. Since July 1, federal regulations have required Medicaid applicants to show proof of citizenship and identity, causing a backlog.

Before July 1, all applications were reviewed within three weeks. Now, reviews take two to three months.

The regulations were intended to prevent undocumented immigrants from receiving federal services, though there was little evidence of abuse.

The backlog in Kansas has stabilized at 14,000 applications, Allison said. The health policy authority requested $517,023 and three additional full-time state employees in the Fiscal Year “07 budget to improve staffing at the clearinghouse; the Legislature approved one employee and about a third of the funding. The health policy authority also asked for $504,000, including $252,000 from the state general fund, for additional staffing for the clearinghouse”s contractor, MAXIMUS Inc. The Legislature did not allocate any funds for that request.

Without a full staff and the necessary funding, it could take between six to nine months to process all of the applications, Allison said.

Gov. Kathleen Sebelius on Tuesday asked for $502,073 from the state general fund, $1 million all funds, for additional staffing at the clearinghouse in a Governor”s Budget Amendment.

Sebelius also sent a letter to the state”s Congressional delegation asking for their assistance in easing the state”s burden.

“It is now time for Congress to act and end this crisis in the Medicaid program that will only get worse if nothing is done,” Sebelius wrote. “Options need to be examined, including relaxing these requirements for one year, providing additional resources to states from federal funds, and assisting states in developing ways that can bring efficiency in gathering documents during the enrollment process.”


Future meeting dates


The next board meeting will be on June 19 at the Eisenhower State Office Building. The health policy authority board has canceled their May 15 meeting.

-Sarah Green is a staff writer for KHI News Service, which specializes in coverage of health issues facing Kansans. She can be reached at

sgreen@khi.org

or at 785-233-5443, ext. 118.