The Senate version of the health care bill is now law, and as this New York Times blog post explains, a few key provisions go into effect right away. Most notably, states cannot tighten their eligibility requirements for Medicaid or the Children's Health Insurance Program. So what does this have to do with education? See here:
The provision could prove crucial given that states are facing big budget shortfalls because of the recession. Arizona, for instance, just dropped its CHIP in a budget bill signed by Gov. Jan Brewer just last week, a move that will 47,000 low-income children uninsured.
Note the phrase "big budget shortfalls." Among the largest line items in state budgets are Medicaid, CHIP, and education. If they can't squeeze costs out of the first two, it will mean even bigger hits for the schools.
The irony is that many education groups, as part of the "Broader/Bolder" coalition, have lobbied for greater investments in health care. Good for them. But now they are going to have to deal with a smaller piece of the public revenue pie. It will be interesting to see how that turns out.
-Mike Petrilli
P.S. Speaking of health care, Steve Sawchuk turns in a great bit of reporting about teachers' "Cadillac" health plans, which, under the reconciliation bill, won't be taxed until 2018. The delay is a shame, because health care costs are killing many a school district, and an earlier deadline would have encouraged everyone to shift to less generous health plans, and more generous starting salaries, right away. An opportunity lost.
