This past Wednesday, December 12, President Bush vetoed Congresses’ latest version of the SCHIP (State Children’s Health Insurance Program). Bush vetoed a previous version of SCHIP in October and in a letter , explained that the bill would move children with private health insurance to government coverage. The “move” is commonly referred to as “crowd out.” The vetoed bill, H.R. 976, did contain a crowd-out provision that said any state that covered children with a family income exceeding 300 percent of the federal poverty level (FPL) would have to address the issue and implement a strategy to avoid “crowd out.” Additionally, Bush implied that H.R. 976 allowed for more adults in the SCHIP program and “raises taxes on working Americans.”
H.R. 976 called for $61.4 billion over five years, an increase of $36.2 billion over the current SCHIP law, and would have provided 4 million more people with health insurance over the 6 million the program currently insures. The increase in coverage would have been paid for by an increased tax on tobacco. Read the rest of this entry »
