Press Release

July 22, 1998

Contact:
Lisa McGiffert or Rafael A. Ayuso
(512) 477-4431,
Consumers Union Southwest Regional Office

 

 

Candidates called to task for ignoring the needs of 1 million uninsured Texas children while discussing state budget surplus

Legislative committees set to hear children’s health issue on Thursday

AUSTIN, TX -- While legislative interim committees prepare to address the problem of the more than one million uninsured Texas children, Consumers Union today chastised both Democratic and Republican candidates for higher office for ignoring the health care needs of Texas children while discussing how to parcel out the state’s $3 billion revenue surplus.

"What a travesty of priorities," said Reggie James, director of CU’s Southwest Regional Office. "While spending promises are flowing in every direction and good business sense is touted as a desirable quality in government, not a single candidate is pushing to take full advantage of an extremely generous federal matching plan to help our uninsured kids."

The Children’s Health Insurance Program (CHIP) would offer Texas 74 cents in federal tax dollars for every 26 cents of state tax dollars spent on health insurance for children. "That’s a 300 percent return on investment," James said. "If we squander this opportunity to wisely invest our state funds, the federal share will go to other states with far less needs than Texas."

Staff from the Texas Department of Health have been developing a plan to be presented to the committees. But James said the initial proposal "falls far short" of taking full advantage of the generous federal initiative. CHIP allows states to build their own program for insuring children in working families with annual incomes twice the federal poverty level -- $32,900 for a family of four or an hourly wage of less than $15.82. But, the Texas proposal would make insurance assistance available only to children in families with incomes below $21,879 (33% above the federal poverty level for a family of four).

"It all starts with our elected officials," he said. "There is a lack of will to resolve what has become an embarrassing problem for Texas. Instead, the tendency has been to approach the issue with extreme caution and hesitancy."

"A budget surplus on top of the tobacco settlement offers an ideal opportunity to solidify our infrastructure," said James . "And tomorrow’s Texas starts with our children, from their education to their health care needs. This is the time. Now we need the leadership and the political will."

ADVISORY: The Senate Interim Committee on Children’s Health Insurance, House Public Health Committee and House Appropriations Committee are scheduled to hold a hearing on the CHIP on Thursday (July 23) at 9:30 a.m., in Room E1.031 of the Capitol Annex. The public is invited to testify.

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