WASHINGTON, DC - In an effort to protect over 24,000 Rhode Islanders who depend on SCHIP for their health insurance, U.S. Senator Jack Reed (D-RI) today helped pass a bill providing Rhode Island with an estimated $49 million to close its federal funding gap. Nationwide, the Medicare, Medicaid and SCHIP Extension Act includes a $1.9 billion injection above the current funding level for the State Children's Health Insurance Program (SCHIP) that will keep the program on sound financial footing through March 31, 2009.

In November, Senator Reed led an effort along with 28 other Senators calling on Congress to fix the SCHIP shortfall, which for fiscal year 2008 was about $1.2 billion nationwide, putting 1.6 million people in Rhode Island and 18 other states at risk of losing health insurance. Rhode Island would have been forced to implement contingency plans as early as March 2008, when federal funding was projected to run out.

"This is good news for thousands of Rhode Islanders and millions of Americans across the country who depend on the Children's Health Insurance Program," said Reed, a member of the Health, Education, Labor and Pensions (HELP) Committee. "When a child gets sick or breaks an arm, they should get to see a doctor. SCHIP makes medical care possible for thousands of kids and allows them to lead healthier, more productive lives and do better in school. This program is a vital safety net for many Rhode Island families and a wise investment in our community."

RIte Care is Rhode Island's version of the SCHIP program, which covers children in families that earn too much to qualify for Medicaid, but not enough to afford private insurance. Nationally, SCHIP provides health insurance to over 6 million children in low-income families. In Rhode Island, over 24,000 children, parents, and pregnant women are covered under the SCHIP portion of RIte Care.

The shortfall fix championed by Senator Reed temporarily averts the need for more drastic measures which could include increasing state funding or cutting back RIte Care.

"Extending the current program is vital to keeping Rhode Island's low-income children insured, but it is not the permanent solution we need. President Bush has twice vetoed bipartisan SCHIP legislation that would expand the program to provide health care coverage to millions of America's neediest children. As a result of President Bush's vetoes, 4 million additional children who need health insurance will not be enrolled in the program," concluded Reed. "I will continue to fight for the long-term reauthorization and expansion of SCHIP. Our kids are counting on us. The President should join us in providing more kids with health insurance, a foundation for their education, and the opportunity to proceed forward as good citizens and contributing members of our economy."