(4) Children enrolled in SCHIP or Medicaid are 
three times more likely to have a usual source of 
care than are uninsured children. 
(5) SCHIP reduces the percent of children with 
an unmet health care need. 
(6) According to a Federal evaluation of 
SCHIP, uninsured children who gained coverage 
through SCHIP received more preventive care, and 
their parents reported better access to providers and 
improved communications with their children’s doc-
tors. 
(7) SCHIP covers children who would otherwise 
be uninsured. 
(8) Most newly enrolled children in SCHIP 
were previously uninsured or had recently lost their 
Medicaid or private health coverage for involuntary 
reasons. 
(9) SCHIP established important strategies to 
avoid ‘‘crowd out’’ of existing health insurance cov-
erage, and research suggests that these measures re-
main critical to the effective use of public dollars. 
TITLE I—SCHIP EXTENSION 
SEC. 101. EXTENSION OF SCHIP PROGRAM. 
Section 2104 of the Social Security Act (42 U.S.C. 
1397dd) is amended— 
VerDate Aug 31 2005 
02:58 May 05, 2007
Jkt 059200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H2147.IH
H2147
hmoore on PRODPC68 with HMBILLS
(1) in subsection (a)— 
(A) by striking ‘‘and’’ at the end of para-
graph (9); 
(B) by striking the period at the end of 
paragraph (10) and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
paragraph: 
‘‘(11) for each fiscal year 2008 and each subse-
quent fiscal year, $7,500,000,000 multiplied by the 
population and cost inflation factor for that fiscal 
year, as determined under subsection (i).’’; and 
(2) by adding at the end the following new sub-
section: 
‘‘(i) POPULATION AND COST INFLATION FACTOR.— 
For purposes of subsection (a)(11), the population and 
cost inflation factor for a fiscal year is equal to the prod-
uct of the following: 
‘‘(1) CHILD POPULATION GROWTH FACTOR.— 
One plus the percentage increase in the population 
of children under 20 years of age in the United 
States from July 1, 2007, to July 1 during the fiscal 
year involved, as projected by the Secretary based on 
the most recent published estimates of the Bureau 
of the Census before the beginning of the fiscal year 
involved. 
VerDate Aug 31 2005 
02:58 May 05, 2007
Jkt 059200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H2147.IH
H2147
hmoore on PRODPC68 with HMBILLS
‘‘(2) PER CAPITA HEALTH CARE GROWTH FAC-
TOR.—One plus the percentage increase in the pro-
jected per capita amount of National Health Ex-
penditures from fiscal year 2007 to the fiscal year 
involved, as most recently published by the Secretary 
before the beginning of the fiscal year involved.’’. 
SEC. 102. 1-YEAR INITIAL AVAILABILITY OF SCHIP ALLOT-
MENTS. 
Section 2104(e) of the Social Security Act (42 U.S.C. 
1397dd(e)) is amended to read as follows: 
‘‘(e) AVAILABILITY OF AMOUNTS ALLOTTED.— 
‘‘(1) IN GENERAL.—Except as provided in para-
graphs (2) and (3), amounts allotted to a State pur-
suant to this section— 
‘‘(A) for each of fiscal years 1998 through 
2007, shall remain available for expenditure by 
the State through the end of the second suc-
ceeding fiscal year; and 
‘‘(B) for fiscal year 2008 and each fiscal 
year thereafter, shall remain available for ex-
penditure by the State through the end of the 
fiscal year involved. 
‘‘(2) AVAILABILITY
OF
AMOUNTS
REALLOT-
TED.—Subject to paragraph (3), amounts reallotted 
to a State under subsection (f) shall be available for 
VerDate Aug 31 2005 
02:58 May 05, 2007
Jkt 059200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H2147.IH
H2147
hmoore on PRODPC68 with HMBILLS
expenditure by the State through the end of the fis-
cal year in which they are reallotted. 
‘‘(3) PERMANENT
AVAILABILITY
OF
UNUSED 
FUNDS.—Reallotted funds that are not used by the 
end of the fiscal year described in paragraph (2) 
shall be subject to reallotment under subsection (f) 
in subsequent fiscal years subject to such paragraph 
and shall remain available for subsequent reallot-
ment until expended.’’. 
SEC. 103. REDISTRIBUTION OF UNUSED ALLOTMENTS TO 
ADDRESS STATE FUNDING SHORTFALLS. 
Section 2104(f) of the Social Security Act (42 U.S.C. 
1397dd(f)) is amended— 
(1) by striking ‘‘The Secretary’’ and inserting 
the following: 
‘‘(1) IN GENERAL.—The Secretary’’; 
(2) by striking ‘‘States that have fully expended 
the amount of their allotments under this section’’ 
and inserting ‘‘States that the Secretary determines 
with respect to the fiscal year for which unused al-
lotments are available for redistribution under this 
subsection, are shortfall States described in para-
graph (2) for such fiscal year’’; and 
(3) by adding at the end the following new 
paragraph: 
VerDate Aug 31 2005 
02:58 May 05, 2007
Jkt 059200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H2147.IH
H2147
hmoore on PRODPC68 with HMBILLS
‘‘(2) SHORTFALL STATES DESCRIBED.— 
‘‘(A) IN GENERAL.—For purposes of para-
graph (1), with respect to a fiscal year, a short-
fall State described in this subparagraph is a 
State with a State child health plan approved 
under this title for which the Secretary esti-
mates on the basis of the most recent data 
available to the Secretary, that the projected ex-
penditures under such plan for the State for the 
fiscal year will exceed the sum of— 
‘‘(i) the amount of the State’s allot-
ments for any preceding fiscal years that 
remain available for expenditure and that 
will not be expended by the end of the im-
mediately preceding fiscal year; and 
‘‘(ii) the amount of the State’s allot-
ment for the fiscal year (taking into ac-
count any increase made in such allotment 
under section 2104(j), as added by section 
205(a) of the Healthy Kids Act of 2007). 
‘‘(B) PRORATION RULE.—If the amounts 
available for redistribution under paragraph (1) 
for a fiscal year are less than the total amounts 
of the estimated shortfalls determined for the 
year under subparagraph (A), the amount to be 
VerDate Aug 31 2005 
02:58 May 05, 2007
Jkt 059200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H2147.IH
H2147
hmoore on PRODPC68 with HMBILLS
reallotted under such paragraph for each short-
fall State shall be reduced proportionally. 
‘‘(C) RETROSPECTIVE ADJUSTMENT.—The 
Secretary may adjust the estimates and deter-
minations made under paragraph (1) and this 
paragraph with respect to a fiscal year as nec-
essary on the basis of the amounts reported by 
States not later than November 30 of the suc-
ceeding fiscal year, as approved by the Sec-
retary.’’. 
TITLE II—INCREASING ENROLL-
MENT 
UNDER 
SCHIP 
AND 
MEDICAID 
SEC. 201. BONUS PAYMENTS FOR STATES THAT IMPLE-
MENT 
ADMINISTRATIVE 
POLICIES 
TO 
STREAMLINE ENROLLMENT PROCESS. 
(a) BONUS IN FMAP AND ENHANCED FMAP FOR 
APPLICATION
OF STREAMLINE ENROLLMENT PROCE-
DURES UNDER MEDICAID AND SCHIP.—Section 2102 of 
the Social Security Act (42 U.S.C. 1397bb) is amended 
by adding at the end the following new subsection: 
‘‘(d) STREAMLINE ENROLLMENT PROCEDURES.— 
‘‘(1) 
INCREASE
IN
FEDERAL
MATCHING 
RATE.— 
VerDate Aug 31 2005 
02:58 May 05, 2007
Jkt 059200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H2147.IH
H2147
hmoore on PRODPC68 with HMBILLS