Children’s Health Insurance Program
Program Funding
Annual program obligations reported to SAM.gov.
Program Objective
The objective of the Children’s Health Insurance Program (CHIP) is to provide funds to States to enable them to maintain and expand child health assistance to uninsured, low-income children, and at a state option, low-income pregnant women and legal immigrants, primarily by three methods: (1) operating a separate CHIP program; (2) expanding eligibility for children under the State's Medicaid program; and (3) or operating both a separate CHIP and a Medicaid expansion program.
The objective of the Connecting Kids to Coverage (CKC) Outreach and Enrollment Grants is to reduce the number of uninsured children eligible for Medicaid, CHIP and insurance affordability programs who are not enrolled and improve retention of those who are already enrolled. The latest cohort of grants were authorized under Section 3004(a) of the Helping Ensure Access for Little Ones, Toddlers, and Hopeful Youth by Keeping Insurance Delivery Stable Act (referred to as the HEALTHY KIDS Act and included in Pub. L. 115-120). CMS awarded a total of $48 million to eligible entities, including states, local governments, schools, health care providers, community-based public or non-profit organizations, and Indian tribes or tribal consortiums, tribal organizations, urban Indian organizations receiving funds under Title V of the Indian Health Care Improvement Act (25 U.S.C. 1651 et seq.), and Indian Health Service providers. These grants support outreach strategies aimed at increasing enrollment of eligible, but not enrolled,children in Medicaid and CHIP, emphasizing outreach and enrollment activities tailored to communities where eligible children and families reside and enlisting community leaders and programs that serve eligible children and families. These grants also fund activities designed to help families understand application procedures and health coverage opportunities under Medicaid and CHIP. The Centers for Medicare & Medicaid Services (CMS) also made awards of $6 million exclusively for Indian health care providers and tribal entities to conduct outreach and enrollment activities aimed at American Indians and Alaska Natives. Indian health care providers and tribal entities were permitted to apply for either or both funding opportunities as long as the work described was different in each proposal.
Eligibility
Eligible Applicants
- State
- Territorial
CHIP: States, Territories, and Commonwealths
CKC grants: The following entities are eligible to apply for the Connecting Kids to Coverage Cooperative Agreements: s: States with an approved child health plan under this title [42 U.S.C. Section1397aa et seq.];local governments; Indian tribes or tribal consortium, tribal organizations, urban Indian organizations receiving funds under title V of the Indian Health Care Improvement Act (25 U.S.C. 1651 et seq.), or Indian Health Service providers; federal health safety net organizations; national, state, local, or community-based public or nonprofit private organizations, including organizations that use community health workers or community-based doula programs; faith-based organizations or consortia, to the extent that a cooperative agreement awarded to such an entity is consistent with the requirements of Section 1955 of the Public Health Service Act (42 U.S.C. 300x-65) relating to a grant award to nongovernmental entities; and/or elementary or secondary schools may apply. For eligibility requirements for the Connecting Kids to Coverage Cooperative Agreements, refer to the funding opportunity announcements (Agency Funding Opportunity Numbers: CMS-141-19-001 for the General Outreach and Enrollment Grants and CMS- 2D2-20-001 for the Outreach and Enrollment Grants Focused on Increasing the Enrollment and Retention of American Indian and Alaska Native Children in Medicaid and CHIP).
How to Apply
Award Procedure
CHIP: The CMS Administrator exercises delegated authority to approve Title XXI state plans and amendments. Letters of approval will be signed by the CMS Administrator.
CKC grants: The cooperative agreements are awarded after the application has gone through a multi-phase review process that consists of at least three expert reviewers. The phases consist of screening applications, panel review of eligible applications, and leadership team review who will make the final recommendations to the CMS approving official.
CHIP: Section 2106 of the Law, specifies that a State plan is considered approved unless the Secretary notifies the State in writing, within 90 days after receipt of the plan, that the plan is disapproved (and the reasons for disapproval) or that specific additional information is needed. Informal clarification and discussion between the State and the DHHS review team is permitted and encouraged during the review period. This does not stop the "90-day clock." The 90-day review period may be stopped by formal written requests for additional information and clarification. The 90-day review period may be stopped as many times as necessary to obtain completed information necessary to disapprove or approve the plan. The 90-day period will resume when the finalized additional information is received by CMS.
CKC grants: Cooperative agreements are approved within 120 days after the application has been selected through the three-phase review process.
Program details & compliance
Description
CHIP is a federal-state matching program with capped federal funding that provides health care coverage to targeted low-income children. The objective of CHIP is to enable states to maintain and expand child health care coverage to uninsured, low-income children and low-income pregnant women. This program has improved access to health care and quality of life for millions of vulnerable children under 19 years of age. There are currently over seven million children enrolled in CHIP. Under Title XXI of the Act, states have the option to operate a separate CHIP program, expand eligibility for children under their state Medicaid program, or operate a combination of these two options.
Mission Categories
Primary: General Health and Medical
Use of Funds
Allowed Uses
CHIP: No State is eligible for payments for child health assistance for coverage provided prior to October 1, 1997. Standards used to determine eligibility may include those related to geographic areas to be served by the plan. Age, income and resources, residency, disability status (as long as the standard does not restrict eligibility), access to or coverage under other health coverage, and duration of eligibility are factors. Standards may not discriminate on the basis of diagnosis. Eligibility standards must not cover higher-income children without covering lower-income children, and must not deny eligibility based on a child having a pre-existing medical condition. The State must ensure that only targeted low-income children are furnished child health assistance under the plan. Children found through screening to be eligible for Medicaid are to be enrolled in Medicaid. The insurance provided using Federal funds under the State plan does may not substitute for coverage under group health plans. Coordination with other public and private programs providing creditable coverage for low-income children should occur. Child Health Assistance (other than Medicaid), must consist of any of the following: Benchmark coverage; benchmark equivalent coverage (which can be FEHBP-equivalent coverage); State employee coverage or coverage offered through the HMO with the largest insured commercial non-Medicaid enrollment in the State; existing comprehensive State-based coverage; or Secretary-approved coverage. A State child health plan must include a description of the amount (if any) of cost-sharing and must be in accordance with a public schedule. Cost-sharing may be varied in a way that does not favor higher-income children over lower-income children. No cost-sharing is permitted for well-baby and well-child care, including age-appropriate immunizations. Cost-sharing for children at 150 percent of poverty must be consistent with Medicaid; Cost-sharing for children at 150 percent of poverty and above must be based on an income-related sliding scale. The aggregate cost sharing for all children in a family cannot exceed 5 percent of the family's income. The State child health plan may not impose pre-existing condition exclusions for covered benefits. Funds provided to a State under this Title may only be used to carry out the purposes of this Title. Health insurance coverage provided may include coverage of abortion only if necessary to save the life of the mother or if the pregnancy is the result of an act of rape or incest. States may spend up to 10 percent of their total CHIP expenditures (Federal and State) on non-benefit activities, including: outreach conducted to identify and enroll eligible children in CHIP; administration costs; health services initiatives; and other child health assistance. These expenditures are matched at the enhanced CHIP matching rate and counted against both the 10 percent limit and the allotment. Monetary amounts provided by the Federal government or services assisted or subsidized to any extent by the Federal government, may not be included in determining the amount of nonfederal contributions required for State matching purposes.
CKC grants: All Connecting Kids to Coverage awardees must adhere to all HHS financial and program terms and conditions regarding uses and exclusions of funds. All awardees will receive this information in their award packages.
Required Documentation
States and Territories must submit and have approved by the Secretary of HHS, a State Child Health Plan. Individuals must meet State requirements. 2 CFR 200, Subpart E - Cost Principles applies to this program.
Matching Requirements
Title XXI of the the Act Matching Requirements: Percent: Section 2105(b), provides for an "enhanced Federal Matching Assistance Percentage (EFMAP)" for child health assistance provided under Title XXI that is equal to the current FMAP for the period under section 1905(b) of the Act, increased by 30 percent of the difference between 100 and the current FMAP for that fiscal year, not to exceed 85 percent. For the periods 10/1/2015 – 9/30/2019 and 10/1/2019 – 9/30/2020 states’ EFMAPs were increased by 23 percentage points and 11.5 percentage points, respectively, not to exceed 100 percent. In FY 2009, the CHIPRA implemented a limitation on matching rates for states that propose to cover children with effective family income that exceeds 300 percent of the poverty line to FMAP rather than EFMAP, unless a waiver or State Plan Amendment or state law was in place to cover this population before the enactment of CHIPRA. Section 2104(a) of the Act provides appropriations through September 30, 2027 for the purpose of providing allotments to the states to fund their CHIP programs. States with approved State Plans by the end of the fiscal year are included in the final allotment calculation. In general, in FY 2020, the states’ annual allotments were calculated as follows The FY 2020 CHIP allotment will be determined in accordance with section 2104(m)(2)(B)(ii) of the Act as the sum of your state’s FY 2019 CHIP allotment and any Contingency Fund payments made to a state in FY 2019 multiplied by a state’s FY 2020 allotment increase factor as determined under section 2104(m)(6) of the Act. Child Enrollment Contingency Fund payments may be available for states that meet the criteria provided in section 2104(n) of the Act through FY 2027. States may also qualify to receive an increase in their FY 2010, FY 2012, FY 2014, FY 2016, FY 2018, FY 2020, FY 2022, FY 2024, and FY 2026 allotments if they meet the criteria described in section 2104(m)(7) of the Act which includes submitting a request for such an increase by August 30 preceding the fiscal year involved. Matching requirements are voluntary.
Reporting & Compliance
Applicable 2 CFR 200 Subparts
- Subpart E — Cost Principles
- Subpart F — Audit Requirements