Back in Limbo: Trump Reversal Could Endanger the Children’s Health Insurance Program

Just when CHIP recipients thought the health insurance program for children was safe, President Donald Trump cast its future in doubt.

The White House, which has previously signaled support for the program that provides funding to insure about 150,000 Alabama kids and millions nationwide, proposed cutting $7 billion from the Children’s Health Insurance Program.

News reports indicate that $2 billion of the cuts would come from a contingency fund originally designed to backstop shortfalls in state funding. That contingency fund was left standing after Congress authorized funding for CHIP.

The other $5 billion would come from funding that Congress authorized for CHIP but that states haven’t spent yet. CNN quoted one administration official as saying, “This is money that was never going to be spent.”

While the White House is not proposing cuts that would eliminate CHIP, parents and others who support the program have long held that CHIP is too important to endanger or use as a political football.

Read BirminghamWatch’s previous coverage:

The Children’s Health Insurance Program Is Saved for Now. What Happens Next in Alabama Remains in Hands of Congress.

What Happens If CHIP Goes Away? Congress’ Failure to Fund Popular Health Program for Kids Could Leave Thousands in Alabama Uninsured