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Statewide Children's Health Initiatives to Receive Major Boost in Health Care Funding; $7.5 Million in Grants to Be Awarded to Support Health Insurance Programs for Kids

Posted on: Monday, 24 July 2006, 15:00 CDT

The California Endowment has issued a Request for Proposals to local Children's Health Initiatives (CHI) that will provide up to $7.5 million in grants to support programs dedicated to providing needed health insurance coverage to children across California. Unfortunately, the state recently eliminated a proposal from the state budget that would have provided $23 million in health care funding to support the efforts of CHIs to reduce the number of uninsured children. In addition to curtailing funding for CHIs, the final state budget also did not include a proposal to expand the Healthy Families program to provide health insurance to hundreds of thousands of uninsured children. The Endowment's funds will provide health coverage to uninsured children and is part of their five-year, $45 million Cover California's Kids Program.

"In the past five years, Children's Health Initiatives have proven to be a great success in providing much needed health coverage to children, but we hoped for more progress by the State in crafting a statewide solution for our kids," said Dr. Robert K. Ross, a pediatrician and President and CEO of The California Endowment. "The conversations have been had and the community-driven solutions identified. All that's needed to finish the job is the resolve to cover all of California's kids."

Last year, The Endowment provided grants totaling more than $7.5 million, resulting in health care coverage for 8,000 children to be enrolled directly through a local CHI, and an additional 8,000 children identified as being eligible through either the state's Medi-Cal or Healthy Families program. Since they began in 2001, Children's Health Initiatives have provided direct coverage to more than 88,000 children in 18 counties, and have enrolled an additional 80,000 children eligible for either the state-run Medi-Cal or Healthy Families programs. Today, nearly 90 percent of children in California are insured through either a CHI, public or private health insurance programs. However, based on recent data, the total costs of covering all currently enrolled and waitlisted children in operational CHIs through the end of 2007 could fall short by about $126 million.

"CHIs emphasize efficiencies in outreach and enrollment that should be emulated by our existing state system," said Ted Burke, co-owner of Shadowbrook restaurant in Capitola and an active supporter of the United Way and their Covering California's Children project. "As discussions ensue about how best to sculpt an effective statewide healthcare delivery system for all of California's children, the CHI model should serve as the backbone of future expansions."

Each Children's Health Initiative is a public/private partnership of health care providers, business leaders, advocacy groups, foundations, city and county officials, public health leaders, and educators. CHIs enroll children into Medi-Cal and Healthy Families programs, and also make available a local Healthy Kids program intended for children ineligible for public programs. The Healthy Kids program provides comprehensive health care, including medical, dental, vision, prescriptions and mental health benefits for children from birth to age 18 in families with incomes below 300% of the federal poverty level (400% in San Mateo County) who are ineligible for Medi-Cal and Healthy Families. Without such comprehensive benefits offered by the local CHIs to cover preventive care, a greater number of children would be forced to receive emergency room treatment that is far more expensive to the state and is devoid of the kinds of vital services children need to excel in the classroom and be healthy adults. The programs require a modest premium or enrollment fee and co-pays.

Responses to The Endowment's request for proposal are due on July 28. Funding for the grants will begin November 1, 2006 through October 31, 2007.

About The California Endowment

The California Endowment was established in 1996 to expand access to affordable, quality health care for underserved individuals and communities, and to promote fundamental improvements in the health status of all Californians. The Endowment makes grants to organizations and institutions that directly benefit the health and well-being of the people of California. For more information, visit The Endowment's Web site at www.calendow.org.

Source: Business Wire

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