ARIZONA STATE SENATE
Phoenix, Arizona
Purpose
Expands the benefits package
under the children’s health insurance program (CHIP) and authorizes school
districts to perform outreach and information activities related to CHIP.
Background
In 1998 the Legislature
established CHIP to provide health care coverage to children under age 19 from
families with income at or below 200 percent federal poverty level ($34,100 for
a family of four). As of January 1, 2001, 94,573 children have been approved
for health care coverage due to the outreach activities of the Arizona Health
Care Cost Containment System (AHCCCS) administration and other organizations;
42,875 have been enrolled in CHIP and 51,698 have been approved for Medicaid.
A.R.S. §36-2989 limits
behavioral health services under CHIP during each 12-month period to 30 days of
inpatient services and 30 outpatient visits.
This statute also limits eye care to one eye examination and one set of
prescription lenses per year and medically necessary transportation for
emergency conditions. S.B. 1087
conforms the CHIP benefits package to the AHCCCS acute care program benefits
package by removing the limits on behavioral health services and eye care, and
providing nonemergency transportation.
S.B. 1087 attempts to eliminate the burden of the AHCCCS health plans
and regional behavioral health authorities from administering two different
systems of benefits.
According to AHCCCS, from
October 1, 1999 to September 30, 2000, 57 children exceeded the behavioral
health services limits under CHIP.
These children continued to receive services through the non-title XIX
program (general fund revenue) at a cost of $339,000. Under the provisions of this bill, the state’s share of this cost
would have been 25 percent or $84,000.
In addition, the state share of the cost associated with the removal of
the limit on eye care and the addition of nonemergency transportation is
$37,300 in FY 2001-2002 and $40,200 in FY
2002-2003.
Currently, on request,
AHCCCS provides CHIP applications and information to schools. However, A.R.S. § 36-2988 prohibits the
administration and contractors from contracting with school districts to
perform outreach and information activities relating to CHIP. According to a survey conducted by the
AHCCCS administration, 40 states currently involve schools in outreach,
information and application activities relating to CHIP. Also, according to a recent study presented
to Congress regarding CHIP, the U.S. General Accounting Office stated,
“blanketing school-aged children and their families with program information
through local school districts is another outreach technique that some states
are finding particularly effective.”
Provisions
1. Eliminates, as of October 1, 2001, the limitations on behavioral health services and eye care coverage under CHIP.
2. Expands, as of October 1, 2001, covered benefits under CHIP to include nonemergency transportation.
3. Eliminates the requirement that CHIP enrollees age 18 and older receive behavioral health services through the health plans.
4. Authorizes school districts to perform outreach and information activities related to CHIP, providing such activities do not reduce or interfere with classroom instruction time.
5. Makes a conforming change.
6. Provides for a general effective date except as noted.
Amendments Adopted by Committee
Maintains the prohibition of the AHCCCS administration and contractors from contracting with school districts to perform outreach and information activities relating to CHIP.
Amendments Adopted by Committee of the Whole
1. Prohibits school districts conducting CHIP outreach activities from interfering with or reducing classroom instruction time.
2. Eliminates the requirement that CHIP enrollees age 18 and older receive behavioral health services through the health plans.
Senate Action
HEALTH 1/23/01 DPA 7-0-1-0
3rd Read 2/19/01 DPA 27-1-2-0
Prepared by Senate Staff
February 19, 2001