33634 Federal Register / Vol. 65, No. 101 / Wednesday, May 24, 2000 / Notices

DEPARTMENT OF HEALTH AND

HUMAN SERVICES

Health Care Financing Administration

[HCFA–2064 N]

RIN 0938–AJ77

State Children’s Health Insurance

Program; Final Allotments to States,

Commonwealths, and Territories for

Fiscal Years 1998 and 1999

AGENCY: Health Care Financing

Administration (HCFA), HHS.

ACTION: Notice.

SUMMARY: This notice sets forth the final

allotments of Federal funding available

to each State, Commonwealth and

Territory for fiscal years (FYs) 1998 and

1999 under title XXI of the Social

Security Act (the Act). The final

allotments are the same as the reserved

allotments previously published in the

Federal Register on February 8, 1999.

Established by section 4901 of the

Balanced Budget Act of 1997 (Public

Law 105–33), title XXI of the Act

authorizes payment of Federal matching

funds to States, Commonwealths and

Territories to initiate and expand health

insurance coverage to uninsured, lowincome children through a State

Children’s Health Insurance Program

(SCHIP), an expansion of a State

Medicaid program, or a combination of

both.

Recent legislation, the Medicare,

Medicaid and SCHIP Balanced Budget

Refinement Act (BBRA) of 1999 (Public

Law 106–113, enacted November 29,

1999), amended title XXI of the Act in

part by modifying the allotment

formula, effective with the FY 2000

allotments. The FY 1998 and 1999

allotments contained in this notice were

determined under the allotment formula

in existence prior to the enactment of

Public Law 106–113.

ADDRESSES: Copies: To order copies of

the Federal Register containing this

document, send your request to: New

Orders, Superintendent of Documents,

P.O. Box 37194, Pittsburgh, PA 15250–

7954. Specify the date of the issue

requested and enclose a check or money

order payable to the Superintendent of

Documents, or enclose your Visa or

Master Card number and expiration

date. Credit card orders can also be

placed by calling the order desk at (202)

512–1800 or by faxing to (202) 512–

2250. The cost for each copy is $8.00.

As an alternative, you can view and

photocopy the Federal Register

document at most libraries designated

as Federal Depository Libraries and at

many other public and academic

libraries throughout the country that

receive the Federal Register.

This Federal Register document is

also available from the Federal Register

online database through GPO Access, a

service of the U.S. Government Printing

Office. Free public access is available on

a Wide Area Information Server (WAIS)

through the Internet and via

asynchronous dial-in. Internet users can

access the database by using the World

Wide Web; the Superintendent of

Documents home page address is http:/

/www.access.gpo.gov/su——docs/, by

using local WAIS client software, or by

telnet to swais.access.gpo.gov, then

login as guest (no password required).

Dial-in users should use

communications software and modem

to call (202) 512–1661; type swais, then

login as guest (no password required).

FOR FURTHER INFORMATION CONTACT:

Richard Strauss, (410) 786–2019.

SUPPLEMENTARY INFORMATION:

I. Background

The reserved FY 1998 allotments were

originally published on September 12,

1997 in the Federal Register (62 FR

48098). On February 8, 1999, revised

reserved FY 1998 allotments and

reserved FY 1999 allotments were

published in the Federal Register (64

FR 6102). The allotments were

originally published as reserved because

not all States, Commonwealths, and

Territories had submitted and had State

child health plans approved by HCFA.

Final allotments may only be provided

to those with approved plans. For

purposes of planning and budgeting, the

reserved FYs 1998 and 1999 allotments

were calculated as if all States,

Commonwealths and Territories had

approved State child health plans.

Public Law 105–174, enacted on May

1, 1998, provides that for purposes of

the calculation of allotments, a State

child health plan approved by HCFA on

or after October 1, 1998, and before

October 1, 1999, must be treated as

having been approved for both FYs 1998

and 1999. Because all States,

Commonwealths, and Territories had

approved plans prior to the end of FY

1999, the final FYs 1998 and 1999

SCHIP allotments are available to all of

them and are, therefore, the same as the

reserved allotments published on

February 8, 1999.

While none of the provisions of

Public Law 106–113 take effect

retroactively, one provision of the

legislation is incorporated into this

notice due to the fact that the new

legislation was enacted prior to the

publication of this final notice.

Specifically, section 704 of the BBRA of

1999 requires that the program enacted

by title XXI of the Act be referred to

exclusively as ‘‘SCHIP’’ rather than

‘‘CHIP’’ and that the term ‘‘State

children’s health insurance program’’ be

substituted for ‘‘children’s health

insurance program.’’ This provision

applies to the Secretary of the U.S.

Department of Health and Human

Services, as well as any other Federal

officer or employee, in any publication

or other official communication.

II. Purpose of This Notice

This notice sets forth the final

allotments of Federal funding available

to each State, Commonwealth and

Territory for fiscal years (FYs) 1998 and

1999 under title XXI of the Social

Security Act. Final allotments for a

fiscal year are available to match

expenditures under an approved State

child health plan for three fiscal years,

including the year for which the final

allotment was provided. Federal funds

appropriated for title XXI are limited,

and the law specifies a formula to

divide the total annual appropriation

into individual allotments available for

each State, Commonwealth and

Territory with an approved child health

plan, as described under section III of

the February 8, 1999 Federal Register

notice (64 FR 6102).

Section 2104(b) of the Act indicates

that ‘‘the Secretary shall allot to each

State * * * with a State child health plan

approved under this title.’’ This

language requires States,

Commonwealths, and Territories to

have an approved State child health

plan for the fiscal year in order for the

Secretary to provide an allotment for

that fiscal year. If a State,

Commonwealth, or Territory does not

have an approved State child health

plan for that fiscal year, the amount of

their reserved allotment would be

unavailable to them and would be

allotted to those with approved State

child health plans. On September 8,

1999, the last two States seeking

approval for their State child health

plans were granted approval. Since all

States, Commonwealths, and Territories

had approved plans prior to the end of

FY 1999, this notice merely republishes

as final the same FYs 1998 and 1999

allotments that were originally

published as reserved allotments in the

February 8, 1999 Federal Register

notice.

We issued a proposed rule on March

4, 1999 in Federal Register (64 FR

10412), on the requirements for the

allotment and payment process under

title XXI. The allotments set forth in this

notice were calculated in accordance

Federal Register / Vol. 65, No. 101 / Wednesday, May 24, 2000 / Notices 33635

with the process set forth in that

proposed rule.

For informational purposes, we are

republishing the FYs 1998 and 1999

allotment charts below, which are the

same as those published in the February

8, 1999 notice.

III. Table of State Children’s Health

Insurance Program Final Allotments for

FYs 1998 and 1999

Key to Tables I and II

Column/Description

Column A = Name of State,

Commonwealth, or Territory.

Column B = Number of Children. The

Number of Children for each State

(provided in thousands) was determined

and provided by the Bureau of the

Census based on the arithmetic average

of the number of low-income children

and low-income children with no health

insurance as calculated from the 1994,

1995, and 1996 March supplements to

the Current Population Survey, as

adjusted in August 1998. These data

represent the number of people in each

State under 19 years of age whose

family income is at or below 200

percent of the poverty threshold

appropriate for that family, and who are

reported to be not covered by health

insurance. The Number of Children for

each State was developed by the Bureau

of the Census based on the standard

methodology used to determine official

poverty status and uninsured status in

their annual Current Population Surveys

on these topics. For FYs 1998 and 1999,

the Number of Children is equal to the

number of low-income children in each

State with no health insurance for the

fiscal year.

Column C=State Cost Factor. The

State Cost Factor for a State is equal to

the sum of: .15, and .85 multiplied by

the ratio of the annual average wages in

the health industry per employee for the

State to the annual wages per employee

in the health industry for the 50 States

and the District of Columbia. The State

Cost Factor for each State was

calculated based on such wage data for

each State as reported, determined, and

provided to HCFA by the Bureau of

Labor Statistics in the Department of

Labor for 1993, 1994, and 1995.

Column D=Product. The Product for

each State was calculated by

multiplying the Number of Children in

Column B by the State Cost Factor in

Column C. The sum of the Products for

all 50 States and the District of

Columbia is below the Products for each

State in Column D. The Product for each

State and the sum of the Products for all

States provides the basis for allotment to

States.

Column E=Percent Share of Total.

This is the calculated percentage share

for each State of the total allotment

available to the 50 States and the

District of Columbia. The Percent Share

of Total is calculated as the ratio of the

Product for each State in Column D to

the sum of the products for all 50 States

and the District of Columbia below the

Products for each State in Column D.

Column F=Allotment. This is the

State Child Health Program allotment

for each State, Commonwealth, or

Territory. For each of the 50 States and

the District of Columbia, this is

determined as the Percent Share of Total

in Column E for the State multiplied by

the total amount available for allotment

for the 50 States and the District of

Columbia for the fiscal year.

For each of the Commonwealths and

Territories, the allotment is determined

as the Percent Share of Total in Column

E multiplied by the total amount

available for allotment to the

Commonwealths and Territories. For the

Commonwealths and Territories, the

Percent Share of Total in Column E is

specified in section 2104(c) of the Act.

For FY 1999, the Commonwealths and

Territories were allotted an additional

$32 million, which is added to the total

allotment available to them for FY 1999,

determined by the formula described

above. The total amount is then allotted

to the Commonwealths and Territories

according to the percentages specified

in section 2104 of the Act.

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33636 Federal Register / Vol. 65, No. 101 / Wednesday, May 24, 2000 / Notices

Federal Register / Vol. 65, No. 101 / Wednesday, May 24, 2000 / Notices 33637

BILLING CODE 4120–01–C

33638 Federal Register / Vol. 65, No. 101 / Wednesday, May 24, 2000 / Notices

III. Impact Statement

HCFA has examined the impact of

this notice as required by Executive

Order 12866. Executive Order 12866

directs agencies to assess all costs and

benefits of available regulatory

alternatives and, when rules are

necessary, to select regulatory

approaches that maximize net benefits

(including potential economic

environments, public health and safety,

other advantages, distributive impacts,

and equity). We believe that this notice

is consistent with the regulatory

philosophy and principles identified in

the Executive Order. The formula for the

allotments is specified in the statute.

Since the formula is specified in the

statute, we have no discretion in

determining the allotments.

The Unfunded Mandates Reform Act

of 1995 requires that agencies prepare

an assessment of anticipated costs and

benefits before publishing any notice

that may result in an expenditure in any

year by State, local, and tribal

governments, in the aggregate, or by the

private sector, of $100,000,000 or more

(adjusted each year for inflation).

Because participation in the SCHIP

program on the part of States is

voluntary, any payments and

expenditures States make or incur on

behalf of the program that are not

reimbursed by the federal government

are made voluntarily. This notice will

not create unfunded mandate on States,

tribal or local governments. Therefore,

we are not required to perform an

assessment of the costs and benefits of

these regulations.

Under Executive Order 12612,

Federalism, we have reviewed this

notice and determined that it does not

significantly affect States’ rights, roles,

and responsibilities. Low-income

children will benefit from payments

under this program through increased

opportunities for health insurance

coverage.

We believe this notice has an overall

positive impact by informing States,

Commonwealths, and Territories of the

extent to which they are permitted to

expend funds under their State child

health plans using their FYs 1998 and

1999 allotments.

In accordance with the provisions of

Executive Order 12866, this notice was

reviewed by the Office of Management

and Budget.

(Section 1102 of the Social Security Act (42

U.S.C. 1302)

(Catalog of Federal Domestic Assistance

Program No. 00.000, State Children’s Health

Insurance Program)

Dated: March 22, 2000.

Nancy-Ann Min DeParle,

Administrator, Health Care Financing,

Administration.

Dated: March 27, 2000.

Donna E. Shalala,

Secretary.

[FR Doc. 00–12880 Filed 5–23–00; 8:45 am]

BILLING CODE 4120–01–P

DEPARTMENT OF HEALTH AND

HUMAN SERVICES

Health Care Financing Administration

[HCFA–2067–N]

RIN 0938–AJ94

State Children’s Health Insurance

Program; Final Allotments to States,

the District of Columbia, and U.S.

Territories and Commonwealths for

Fiscal Year 2000

AGENCY: Health Care Financing

Administration (HCFA), HHS.

ACTION: Notice.

SUMMARY: This notice sets forth the final

allotments of Federal funding available

to each State, the District of Columbia,

and each U.S. Territory and

Commonwealth for fiscal year (FY) 2000

under title XXI of the Social Security

Act (the Act).

Established by section 4901 of the

Balanced Budget Act (BBA) of 1997

(Public Law 105–33), title XXI of the Act

authorizes payment of Federal matching

funds to States, the District of Columbia,

and U.S. Territories and

Commonwealths to initiate and expand

health insurance coverage to uninsured,

low-income children under a new State

Children’s Health Insurance Program

(SCHIP). States may implement SCHIP

through a separate State program under

title XXI, an expansion of a State

Medicaid program under title XIX, or a

combination of both. Recent legislation,

the Medicare, Medicaid and SCHIP

Balanced Budget Refinement Act

(BBRA) of 1999 (Public Law 106–113,

enacted November 29, 1999), amended

title XXI of the Act in part by modifying

the SCHIP allotment formula effective

with the FY 2000 allotments. The FY

2000 allotments contained in this notice

were determined under the new SCHIP

allotment formula.

ADDRESSES: Copies: To order copies of

the Federal Register containing this

document, send your request to: New

Orders, Superintendent of Documents,

P.O. Box 37194, Pittsburgh, PA 15250–

7954. Specify the date of the issue

requested and enclose a check or money

order payable to the Superintendent of

Documents, or enclose your Visa or

Master Card number and expiration

date. Credit card orders can also be

placed by calling the order desk at (202)

512–1800 or by faxing to (202) 512–

2250. The cost for each copy is $8.00.

As an alternative, you can view and

photocopy the Federal Register

document at most libraries designated

as Federal Depository Libraries and at

many other public and academic

libraries throughout the country that

receive the Federal Register.

This Federal Register document is

also available from the Federal Register

online database through GPO Access, a

service of the U.S. Government Printing

Office. Free public access is available on

a Wide Area Information Server (WAIS)

through the Internet and via

asynchronous dial-in. Internet users can

access the database by using the World

Wide Web; the Superintendent of

Documents home page address is http:/

/www.access.gpo.gov/su_docs/, by

using local WAIS client software, or by

telnet to swais.access.gpo.gov, then

login as guest (no password required).

Dial-in users should use

communications software and modem

to call (202) 512–1661; type swais, then

login as guest (no password required).

FOR FURTHER INFORMATION CONTACT:

Richard Strauss, (410) 786–2019.

SUPPLEMENTARY INFORMATION:

I. Purpose of This Notice

This notice sets forth the allotments

available to each State, the District of

Columbia, and each U.S. Territory and

Commonwealth for FY 2000 under title

XXI of the Social Security Act (the Act).

In prior years, we published ‘‘reserved’’

allotments at the beginning of the fiscal

year and then ‘‘final’’ allotments at some

later time, because it was not certain at

the beginning of the fiscal year that

every State, the District of Columbia,

and every U.S. Territory and

Commonwealth would qualify for an

allotment. As we explain below, each

State, the District of Columbia, and each

U.S. Territory and Commonwealth has

now qualified for an allotment by

having an approved State child health

plan for the fiscal year. Therefore,

publication of ‘‘reserved’’ allotments is

not necessary.

Final allotments for a fiscal year are

available to match expenditures under

an approved State child health plan for

three fiscal years, including the year for

which the final allotment was provided.

Federal funds appropriated for title XXI

are limited, and the law specifies a

formula to divide the total annual

appropriation into individual allotments