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Federal "maintenance of effort" protections help kids maintain health coverage amid tough state budget climates
Federal "maintenance of effort" protections help kids maintain health coverage amid tough state budget climates
(1) Federal protections, notably the Affordable Care Act (ACA)'s 'maintenance of effort' provision, have helped bring uninsured rates for kids down to historic lows. Today, the only state in the country not subject to this protection is Arizona--without the MOE, the state virtually eliminated its Children's Health Insurance Program (CHIP), underscoring the importance of the federal protection in keeping kids coverage off the state negotiating table. (2) Even seemingly small changes to eligibility and enrollment procedures can have significant and lasting implications for families and coverage for children. (3) Without federal protections on eligibility requirements, history shows that some states will almost certainly respond to tough fiscal environments by scaling back health coverage for children. Federal actions that cut or fundamentally restructure CHIP would compound the likelihood of state moves to cut children's coverage.
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