If Congress fails to reauthorize a popular health insurance program, it will cost the state big money. But unlike in some other states, New Mexico’s children won’t lose health insurance. The Children’s Health Insurance Program, or CHIP, lapsed on Sept. 30. Since then, Congress has failed to agree on renewing the federally-funded program.
Last week, Colorado became the first state to notify families that children who receive health insurance through the Children’s Health Insurance Program are in danger of losing their coverage. Nearly 9 million children are insured through CHIP, which covers mostly working-class families. The program has bipartisan support in both the House and Senate, but Congress let federal funding for CHIP expire in September. The National Governors Association weighed in Wednesday, urging Congress to reauthorize the program this year because states are starting to run out of money. In Virginia, Linda Nablo, an official with the Department of Medical Assistance Services, is drafting a letter for parents of the 66,000 Virginia children enrolled in CHIP.
Large cuts to safety-net programs will have a large impact on New Mexico, which is near the top of the nation in those on Medicaid and who receive food aid through the Supplemental Nutrition Assistance Program. Over the next ten years, the proposed Trump budget would cut Medicaid spending by $610 billion and SNAP, formerly known as food stamps, by $193 billion. These cuts would come in addition to those from the American Health Care Act. The president has also proposed reducing the Children’s Health Insurance Program, or CHIP, by $5.8 billion over ten years. How agencies will exact the cuts to programs, and what their impacts on states might be, is still unclear.