ILLINOIS REGISTER 15854

07

DEPARTMENT OF HEALTHCARE AND FAMILY SERVICES

NOTICE OF EMERGENCY AMENDMENTS

1) Heading of the Part: Medical Assistance Programs

 

2) Code Citation: 89 Ill. Adm. Code 120

 

3) Section Numbers: Emergency Action:

120.32 Amendment

120.33 New Section

 

4) Statutory Authority: Sections 5/5.2(2) and 12-13 of the Illinois Public Aid Code [305

ILCS 5/5.2(2) and 5/12-13]

 

5) Effective Date: November 7, 2007

 

6) If this emergency amendment is to expire before the end of the 150-day period, please

specify the date on which it is to expire: These emergency amendments will not expire

before the end of the 150-day period unless the identical proposed rulemaking is adopted.

 

7) Date Filed with the Index Department : November 7, 2007

 

8) A copy of the emergency amendments, including any materials incorporated by

reference, is on file in the agency's principal office and is available for public inspection.

 

9) Reason for Emergency: The emergency amendment is necessary to respond to the

President’s veto of federal legislation reauthorizing the federal State Children’s Health

Insurance Program (SCHIP). Just before sunset of SCHIP on September 30, 2007, the

U.S. Congress sent the President reauthorizing legislation that the President vetoed on

October 3, 2007. On October 18, 2007, the U.S. House of Representatives failed to

override the President’s veto. This federal action puts the healthcare of between 15,000

and 20,000 parents in jeopardy.

 

In addition, the Department has determined that FamilyCare coverage must be extended

immediately to approximately 147,000 parents and other caretaker relatives with income

up to 400 percent of the federal poverty level. Many working families in Illinois lack

access to affordable health insurance. Numerous studies show that lack of insurance

negatively affects the health status of individuals posing a threat to their health and

wellbeing. In addition, worker productivity is affected to the detriment of the economy

of Illinois. The health care system shifts the cost of the uninsured to those that pay for

insurance, increasing costs to Illinois companies that provide insurance to their

 

 

ILLINOIS REGISTER 15855

07

DEPARTMENT OF HEALTHCARE AND FAMILY SERVICES

NOTICE OF EMERGENCY AMENDMENTS

 

employees and making them non-competitive in the global economy. The lack of access

to insurance has reached a crisis level requiring immediate action.

HFS has examined the relationship between enrollment of children and making coverage

available to their parents. The Department has identified a close positive correlation

between making coverage available to parents and increasing the enrollment of children.

One of the themes emerging from the national debate concerning the reauthorization of

SCHIP is that, states may be held accountable for very high performance enrollment

targets among children. That is, when SCHIP is eventually reauthorized, it is likely to

make some portion of funding contingent on states having very low numbers of

uninsured children. It is therefore encumbent upon the State to act now to do all it can,

including covering more parents, to enroll all eligible children.

 

10) Complete Description of the Subjects and Issues Involved:

 

This emergency rulemaking preserves FamilyCare benefits for approximately 15,000 to 20,000 parents and other caretaker relatives with income above 133 percent up to and to include 185 percent of poverty who were previously covered under 89 Ill. Adm. Code 125. Further, the emergency rulemaking expands FamilyCare to cover an additional 147,000 uninsured parents and other caretaker relatives with income up to and including 400 percent of poverty.

 

Illinois provides benefits to parents and other caretaker relatives raising dependent

children under the authority of the Public Aid Code and the Children’s Health Insurance

Program Act (CHIPA). The coverage of adults under CHIPA is contingent upon federal

approval of a waiver to permit the State to receive matching funds under the federal State

Children’s Health Insurance Program (SCHIP) for their costs. As SCHIP has not been

reauthorized, Illinois cannot obtain federal matching funds using that statute.

 

With this rulemaking, the Department will establish eligibility for all parents and other

caretaker relatives using its authority under the Public Aid Code.

 

11) Are there any other proposed rulemakings pending on this Part? No

 

12) Statement of Statewide Policy Objectives: These emergency amendments neither create

nor expand any State mandate affecting units of local government. These emergency

amendments preserve FamilyCare coverage at levels in place since January 1, 2006 and

further expand coverage to uninsured parents and caretakers with income up to and

including 400 percent of poverty.

 

ILLINOIS REGISTER 15856

07

DEPARTMENT OF HEALTHCARE AND FAMILY SERVICES

NOTICE OF EMERGENCY AMENDMENTS

 

13) Information and questions regarding these emergency amendments shall be directed to:

Tamara Tanzillo Hoffman

Chief of Staff

Illinois Department of Healthcare and Family Services

201 South Grand Avenue East, 3rd Floor

Springfield IL 62763-0002

217/557-7157

The full text of the Emergency Amendments begins on the next page :