04/03/2007 03:00 PM House HEALTH, EDUCATION & SOCIAL SERVICES

SJR  1-MEDICAL ASSISTANCE FOR CHILDREN                                                                                        
                                                                                                                                
3:07:15 PM                                                                                                                    
                                                                                                                                
CHAIR WILSON announced that the  first order of business would be                                                               
SENATE  JOINT RESOLUTION  NO. 1,  Relating to  reauthorization of                                                               
federal funding for children's  health insurance; and encouraging                                                               
the  Governor to  support additional  funding for  and access  to                                                               
children's health insurance.                                                                                                    
                                                                                                                                
3:07:44 PM                                                                                                                    
                                                                                                                                
RICHARD BENAVIDES,  staff to Senator Bettye  Davis, presented SJR
, on behalf  of the prime sponsor, paraphrasing  from a prepared                                                               
statement,   which   read   as  follows   [original   punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     SJR 1, Medical Assistance  for Children states that the                                                                    
     Alaska  State   Legislature  urges   our  Congressional                                                                    
     delegation  to  work  diligently to  achieve  a  timely                                                                    
     reauthorization   of   the  State   Children's   Health                                                                    
     Insurance  Program  and  to  continue  federal  medical                                                                    
     assistance  percentages   (or  FMAP)  for   the  Denali                                                                    
     KidCare program.                                                                                                           
                                                                                                                                
     Denali  KidCare  is  Alaska's   version  of  the  state                                                                    
     Children's Health Insurance program  of SCHIP which was                                                                    
     created in 1997 and  is slated for reauthorization this                                                                    
     year.   It has  been and continues  to be  a successful                                                                    
     federal-state partnership, now  covering over 4 million                                                                    
     low-income  children and  enjoying bipartisan  support.                                                                    
     However,  in the  upcoming federal  fiscal year,  17-18                                                                    
     states,  among  them  Alaska,  are  projected  to  have                                                                    
     insufficient  federal SCHIP  funding  to sustain  their                                                                    
     existing SCHIP programs.                                                                                                   
                                                                                                                                
     According  to  various  estimates by  the  Centers  for                                                                    
     Medicare  and  Medicaid   Services,  the  Congressional                                                                    
     Research Service and  other independent analysts, these                                                                    
     states will face  an estimated $800 to  $950 million in                                                                    
     total funding shortfalls in 2007.   Here in Alaska that                                                                    
     shortfall could total over $12 million.                                                                                    
                                                                                                                                
     Without  additional  federal  funding  to  avert  these                                                                    
     shortfalls, Alaska,  along with  other states  may have                                                                    
     to  reduce  their   SCHIP  enrollment,  placing  health                                                                    
     insurance  coverage nationally  for  over 500,000  low-                                                                    
     income children at risk.   States may also be forced to                                                                    
     enact harmful changes to their  SCHIP programs, such as                                                                    
     curtailing   benefits,  increasing   beneficiary  cost-                                                                    
     sharing or reducing provider payments.                                                                                     
                                                                                                                                
     Congress  has  acted  in  the  past  to  address  SCHIP                                                                    
     shortfalls successfully and can do so again.                                                                               
                                                                                                                                
     To the  end, with you  permission I'd like to  read the                                                                    
     opening paragraph  of the update  in your  packets from                                                                    
     Families USA published on March 29th:                                                                                      
                                                                                                                                
     "Before  adjourning for  their April  recess, both  the                                                                    
     House  and  Senate  passed  their  budget  resolutions.                                                                    
     Both chambers included a commitment  of $50 billion for                                                                    
     SCHIP.   The  $50 billion  will  go a  long way  toward                                                                    
     meeting our goal of providing  health coverage to the 9                                                                    
     million  children   in  this  country   without  health                                                                    
     insurance.    It  shows that  Congress  places  a  high                                                                    
     priority  on  reauthorizing   SCHIP  and  on  expanding                                                                    
     coverage for children  as we enter into  the next phase                                                                    
     of the debate over reauthorization."                                                                                       
                                                                                                                                
     We ask  your support of SJR  1 to add the  Alaska State                                                                    
     Legislature to  the many  voices urging  our delegation                                                                    
     and  the   rest  of   Congress  to   enact  legislation                                                                    
     immediately that  provides additional SCHIP  funding to                                                                    
     ensure that all states  have sufficient federal funding                                                                    
     to sustain their existing SCHIP programs in FY 2007.                                                                       
                                                                                                                                
3:10:26 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GARDNER  asked whether  SJR  1  differs from  the                                                               
house companion resolution.                                                                                                     
                                                                                                                                
MR. BENAVIDES opined that there is no difference.                                                                               
                                                                                                                                
3:10:42 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GARDNER  moved to  report SJR 1,  25-LS0476\A, out                                                               
of   committee   with    individual   recommendations   and   the                                                               
accompanying fiscal notes.   There being no objection,  SJR 1 was                                                               
reported  out  of House  Health,  Education  and Social  Services                                                               
Standing Committee.                                                                                                             
                                                                                                                                
3:11:01 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:10 p.m. to 3:11 p.m.