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Arizona funding jeopardized due to slashing kids' healthcare

Posted On Tue, March 23, 2010

Governor Jan Brewer of Arizona announced last week that a health insurance program for poor children would be eliminated due to budget cuts. That decision may put the state at risk of losing billions of dollars in federal Medicaid funding due to the health care reform bill passed Sunday.

Arizona is the first state to get rid of its Children's Health Insurance Program and the cutbacks will affect 38,000 children. In a letter, Representative Kyrsten Sinema said eliminating the children's health program would violate a "maintenance of effort" requirement of the Senate approved health care bill, the Associated Press reported.

The health care reform bill requires that states keep their current eligibility in tact. If a state doesn't, all of their federal funding for Medicaid is compromised.

Arizona was expected to receive close to $7 billion, the Associated Press reported.

The widely divisive health care reform bill was passed Sunday without any votes from the Republican party. At least 10 states have banded together to file a lawsuit once President Obama signs it into law.ADNFCR-2297-ID-19685380-ADNFCR

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