The State Flexibility Act Harms Children, Disrupts Coverage, and Ends CHIP as We Know It
The State Flexibility Act (S. 1683/H.R. 868), introduced in May by Senator Orrin Hatch (R-UT) and Representative Phil Gingrey (R-GA), would repeal a provision of the health reform law that requires states to maintain current eligibility and enrollment requirements for Medicaid and the Children’s Health Insurance Program (CHIP). Without this so-called “Maintenance of Effort” (MOE) provision, an estimated 14 million children currently covered by either Medicaid or CHIP could be dropped from coverage. The sole purpose of the State Flexibility Act is to give states permission to eliminate health coverage for vulnerable Americans, including low-income children, people with disabilities, and senior citizens, which would simply increase the number of uninsured citizens in our country.
This fact sheet outlines the ways in which the State Flexibility Act will impact children's health care coverage.