article: SECTION 1. SHORT TITLE. This Act may be cited as the ``Children's Health Equity Act of 1998''. SEC. 2. USE OF STATE CHILDREN'S HEALTH INSURANCE PROGRAM FUNDS FOR ENHANCED MATCHING RATE FOR COVERAGE OF ADDITIONAL CHILDREN UNDER THE MEDICAID PROGRAM. (a) In General.--Section 1905 of the Social Security Act (42 U.S.C. 1396d) is amended-- (1) in subsection (b), by striking ``or subsection (u)(3)'' and inserting ``, subsection (u)(3), or subsection (u)(4)(A)''; and (2) in subsection (u) (as added by section 4911(a)(2) of the Balanced Budget Act of 1997 and as amended by section 162 of Public Law 105-100)-- (A) by redesignating paragraph (4) as paragraph (5); and (B) by inserting after paragraph (3) the following new paragraph: ``(4)(A) For purposes of subsection (b), the expenditures described in this subparagraph are expenditures for medical assistance for waivered low-income children described in subparagraph (B) but-- ``(i) only in the case of children residing in a State described in subparagraph (C); and ``(ii) only to the extent the number of full-year equivalent waivered low-income children enrolled under the State plan under this title for the fiscal year exceeds the number of waivered low-income children described in subparagraph (D)(i) for the State for the fiscal year. ``(B) For purposes of this paragraph, the term `waivered low-income child' means a child whose family income exceeds the minimum income level required to be established for the age of such child under section 1902(l)(2) in order for the child to be eligible for medical assistance under this title, but does not exceed the medicaid applicable income level (as defined in section 2110(b)(4) but determined as if `June 1, 1997' were substituted for `March 31, 1997') for that child. ``(C) A State described in this subparagraph is a State that-- ``(i) has under a waiver authorized by the Secretary or under section 1902(r)(2) established a medicaid applicable income level (as defined in section 2110(b)(4) but determined as if `June 1, 1997' were substituted for `March 31, 1997') for children under 19 years of age residing in the State that is at or above 200 percent of the poverty line; and ``(ii) demonstrates to the satisfaction of the Secretary a commitment to reach and enroll children who are eligible for, but not enrolled under, the State plan through means, such as the following: ``(I) Eliminating the assets test for eligibility of waivered low-income children. ``(II) Using shortened and simplified applications for such children. ``(III) Allowing applications for such children to be submitted by mail or through telephone. ``(IV) Outstationing State eligibility workers at sites that are frequented by families with children, including schools, child care centers, churches, centers providing Head Start services, local offices of the special supplemental food program for women, infants and young children (WIC) established under section 17 of the Child Nutrition Act of 1966, community centers, Job Corps centers established under part B of title IV of the Job Training Partnership Act or subtitle C of title I of the Workforce Investment Act of 1998, sites offering the recognized equivalent of a secondary school degree, offices of tribal organizations (as defined in section 4(l) of the Indian Self-Determination and Education Assistance Act), and Social Security Administration field offices. ``(V) Using presumptive eligibility for waivered low-income children. ``(VI) Collaborating with public and private entities to conduct outreach campaigns to enroll such children. ``(D)(i) For purposes of subparagraph (A)(ii), the number of waivered low-income children for a State described in this clause for-- ``(I) fiscal year 1998, is equal to the number of full-year equivalent waivered low-income children enrolled under the State plan under this title for fiscal year 1997; and ``(II) fiscal year 1999 or a succeeding fiscal year, is equal to the number of waivered low-income children determined under this clause for the preceding fiscal year increased by the number of percentage points determined under clause (ii) for the State for the fiscal year involved. ``(ii) The number of percentage points determined under this clause for a State for a fiscal year is equal to the number of percentage points by which-- ``(I) the arithmetic average of the total number of children in the State set forth in the 3 most recent March supplements to the Current Population Survey of the Bureau of the Census before the beginning of the fiscal year; exceeds ``(II) the arithmetic average of such total number set forth in the second, third, and fourth most recent March supplements to such Survey before the beginning of the fiscal year. ``(E) For purposes of section 2104(d) (regarding the reduction of an allotment under title XXI) the amount determined under paragraph (2) of that section shall, with respect to expenditures described in subparagraph (A), only take into account the amount by which-- ``(i) the payments made to a State for such expenditures for a fiscal year on the basis of an enhanced FMAP under the fourth sentence of subsection (b); exceed ``(ii) the amount of payments that would have been made for the expenditures if the enhanced FMAP did not apply. ``(F) Each State shall submit to the Secretary such information, at such time and in such manner, as the Secretary determines is necessary to ensure that the requirements of this paragraph are satisfied. The Secretary shall ensure that information is provided under this subsection in a manner that is consistent with other reporting requirements for information required to be submitted by a State under this title and title XXI, and avoids duplication of reporting requirements. ``(G) The Secretary shall regularly examine the payments made to a State for the expenditures described in subparagraph (A) to confirm that the payments are attributable to expenditures described in such subparagraph.''. (b) Conforming Amendments.-- (1) Section 1902(a)(10)(A)(ii)(XIV) of the Social Security Act (42 U.S.C. 1396a(a)(10)(A)(ii)(XIV)) is amended by striking ``1905(u)(2)(C)'' and inserting ``1905(u)(2)(B)''. (2) Section 2104(d)(2) of the Social Security Act (42 U.S.C. 1397dd(d)(2)) is amended by inserting ``subject to section 1905(u)(4)(E),'' after ``(2)''. (c) Effective Date.--The amendments made by this section shall be effective as if included in the enactment of section 4911 of the Balanced Budget Act of 1997 (Public Law 105-33; 111 Stat. 570). SEC. 3. EXPANSION OF PRESUMPTIVE ELIGIBILITY OPTION FOR CHILDREN UNDER THE MEDICAID PROGRAM. (a) In General.--Section 1920A(b)(3)(A)(i) of the Social Security Act (42 U.S.C. 1396r-1a(b)(3)(A)(i)) is amended-- (1) by striking ``or (II)'' and inserting ``, (II)''; and (2) by inserting before the semicolon ``, eligibility for assistance under the State plan under part A of title IV, eligibility of a child to receive medical assistance under the State plan under this title or title XXI, (III) is a staff member of an elementary school or secondary school, as such terms are defined in section 14101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 8801), a child care resource and referral center, or an agency administering a State plan under part D of title IV, or (IV) is so designated by the State''. (b) Conforming Amendments.--Section 1920A of such Act (42 U.S.C. 1396r-1a) is amended-- (1) in subsection (b)(3)(A)(ii), by striking ``paragraph (1)(A)'' and inserting ``paragraph (2)(A)''; and (2) in subsection (c)(2), in the matter preceding subparagraph (A), by striking ``subsection (b)(1)(A)'' and inserting ``subsection (b)(2)(A)''.
summary: Children's Health Equity Act of 1998 - Amends title XIX (Medicaid) of the Social Security Act to provide for an increased Federal medical assistance percentage for expanded coverage of certain waivered low-income children in States which: (1) have established a Medicaid applicable income level for children under age 19 that is at or above 200 percent of the poverty line; and (2) demonstrate a commitment to reach and enroll such children. Defines "waivered low-income children" as those whose family income: (1) exceeds certain minimum Medicaid-eligible levels required to be established for the age of the child; but (2) does not exceed the Medicaid applicable income level for that child. Provides for expansion of the individuals and entities which may serve as qualified entities with regard to the Medicaid presumptive eligibility option for low-income children. Limits the number of waivered low-income children for a State for FY 1998 and each succeeding fiscal year.