SEC. 2. REINSTATEMENT OF ENROLLMENT FOR MEDICAID 
AND SCHIP BENEFITS FOR CERTAIN YOUTH 
UPON RELEASE FROM PUBLIC INSTITUTIONS. 
(a) APPLICATION TO MEDICAID.—Section 1902(a) of 
the Social Security Act (42 U.S.C. 1396b) is amended— 
(1) by striking ‘‘and’’ at the end of paragraph 
(69); 
(2) by striking the period at the end of para-
graph (70) and inserting ‘‘; and’’; and 
(3) by inserting after paragraph (70) the fol-
lowing new paragraph: 
‘‘(71) provide that in the case of any individual 
who is a youth, as determined under the State plan 
for purposes of eligibility for medical assistance 
under such plan, as of the date of becoming an in-
mate of a public institution and who is a youth (as 
so determined) at the time of release from such in-
stitution, if the individual was enrolled for medical 
assistance under the State plan immediately before 
becoming such an inmate the State must suspend, 
rather than terminate, such enrollment for such in-
dividual during the period in which such individual 
is such an inmate in a manner such that— 
‘‘(A) the enrollment of such individual 
shall be reinstated upon release from such insti-
tution unless and until there is a determination 
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that the individual is no longer eligible to be so 
enrolled; and 
‘‘(B) any period of continuous eligibility in 
effect on the date the individual became such 
an inmate shall be reinstated as of the date of 
the release and the duration of such period 
shall be determined without regard to the pe-
riod in which the individual was such an in-
mate.’’. 
(b) APPLICATION TO SCHIP.—Section 2102(b)(1) of 
the Social Security Act (42 U.S.C. 1397bb(b)(1)) is 
amended by adding at the end the following new subpara-
graph: 
‘‘(C) REINSTATEMENT
OF
ENROLLMENT 
FOR
CERTAIN
YOUTH
UPON
RELEASE
FROM 
PUBLIC
INSTITUTIONS.—A State child health 
plan shall provide that in the case of any child 
who becomes an inmate of a public institution 
and who is still a child at the time of release 
from such institution, if the child was enrolled 
for child health assistance under the State child 
health plan immediately before becoming such 
an inmate the State must suspend, rather than 
terminate, such enrollment for such child dur-
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ing the period in which such child is such an in-
mate in a manner such that— 
‘‘(i) the enrollment of such child shall 
be reinstated upon release from such insti-
tution unless and until there is a deter-
mination that the child is no longer eligible 
to be so enrolled; and 
‘‘(ii) any period of continuous eligi-
bility in effect on the date the child became 
such an inmate shall be reinstated as of 
the date of the release and the duration of 
such period shall be determined without re-
gard to the period in which the child was 
such an inmate.’’. 
(c) EFFECTIVE DATE.— 
(1) IN GENERAL.—Subject to paragraph (2), 
the amendments made by this section shall apply to 
individuals who become inmates of a public institu-
tion on or after January 1, 2009. 
(2) EXCEPTION
IF
STATE
LEGISLATION
RE-
QUIRED.—In the case of a State plan for medical as-
sistance under title XIX of the Social Security Act, 
or a State child health plan for child health assist-
ance under title XXI of such Act, which the Sec-
retary of Health and Human Services determines re-
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quires State legislation (other than legislation appro-
priating funds) in order for the plan to meet the ad-
ditional requirement imposed by the amendment 
made by subsection (a)(3) or (b), respectively, the 
State plan or State child health plan, respectively, 
shall not be regarded as failing to comply with the 
requirements of such title solely on the basis of its 
failure to meet such respective additional require-
ment before the first day of the first calendar quar-
ter beginning after the close of the first regular ses-
sion of the State legislature that begins after the 
date of the enactment of this Act. For purposes of 
the previous sentence, in the case of a State that has 
a 2-year legislative session, each year of such session 
shall be deemed to be a separate regular session of 
the State legislature. 
Æ 
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