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Governor releases proposal to expand families’ program

The Associated Press
Friday December 22, 2000

 

 

California officials have submitted a plan to expand a low-cost health insurance program for children to cover some parents as well. 

The Healthy Families program, jointly funded by state and federal governments, provides medical care to children in families where the annual income is less than 21/2 times the federal poverty level. 

That means a family of four with an annual income of less than $42,625 a year would qualify. Families pay premiums of $4 to $27, depending on how many children are enrolled. 

Under the proposal submitted Thursday to the federal Health Care Financing Administration, parents earning up to twice the poverty level, or less than $34,500 for a family of four, would be eligible for coverage. The adults would pay an additional $20 to $25 per month for each parent, depending on income. 

State and private experts believe there are about seven million Californians – including two million children – currently without health coverage. 

State officials estimated that 290,000 adults could be covered by the expanded program. 

It will cost an additional $192 million in the 2001-02 fiscal year to expand coverage, with the state paying $71 million of that and the rest paid by the federal government, said officials with the California Health and Human Services Agency. 

Anne Marie Flores, co-chair of the Pacific Institute for Community Organization, which advocates for the working poor, said the adult coverage plan was good, but she added that it should cover adults in families making up to 250 percent of the federal poverty level. 

The premium rates “seem reasonable,” she added. 

California officials hope to have the plan approved by the end of February and to begin implementing it in July. 

Last week, Congress approved a bill that allows California to keep about $350 million in federal funds for the Healthy Family program. 

States that hadn’t spent their full federal share will be allowed to keep about 60 percent of their 1998 funds. 

On the Net: 

For more information visit www.healthyfamilies.ca.gov