Feds want change in kids’ health plan

Thursday, May 7, 1998 | 10:03 a.m.

CARSON CITY -- Gov. Bob Miller's program to provide low-cost insurance to low-income children, which has been slow getting out of the starting gate, has run into another barrier -- this time from the federal government.

The federal government, which supplies 65 percent of the $40 million Nevada Check-Up program, is balking at approving Nevada's plan. This could postpone the planned start of program -- originally set for July 1 -- for up to six months.

Since March, there have been only 3,000 applications received for the statewide program that expects to provide insurance coverage for 45,000 children.

"There's been a slower up-take than anticipated," Chris Thompson, director of the state Division of Health Care Financing and Policy Division, said Wednesday. He added he expects the applications to start coming in faster -- at a pace of 500 to 1,000 a week.

Thompson told the Legislative Interim Finance Committee the federal government wants the state to do an "assets test" on all who apply, but the state wants to make the application process easy.

For instance, a family of four with an income of less than $32,000 would automatically qualify for the program without listing its assets.

The federal government, Thompson said, wants to have the same application rules used in Medicaid applied to the insurance program.

"(But) we want to run a simplified system," with less administration, Thompson said.

If the federal government prevails, Thompson said there will be a significant administrative cost added to the program when it has to be rewritten.

Check-up will pay managed care organizations $1,050 a year to provide medical coverage for children.