Federal Legislative Update:
Children’s Health Care, Food Stamps & Heating Assistance
Congress and the President Fail to Agree on Final SCHIP Reauthorization Bill
The State Children’s Health Insurance Program (SCHIP) was up for reauthorization in 2007. After months of work,
Congress passed a strong bill that would have invested $35 billion more in children’s health coverage over five
years. This would have covered nearly 4 million more uninsured children through Medicaid and SCHIP. It would have
reduced the number of uninsured children nationwide by close to one half.
Unfortunately, the President vetoed Congress’s SCHIP bill. The President argued that the bill cost too much
money. He proposed increasing SCHIP funding by just $4.8 billion. Even though Congress passed their bill with
strong bipartisan support, it did not have the votes in the House of Representatives to override the veto.
By the middle of December, it became clear that Congress and the President were not going reach agreement on a
final SCHIP bill in 2007. Congress then passed a bill that continued funding for SCHIP until March 2009. The bill
included just enough funding to continue the program and cover the shortfalls that states, including Maine, will
face in their programs this year. This means that there will be enough money to serve all eligible Maine children
until March 2009.
Maine’s entire Congressional Delegation – Senators Snowe and Collins and Representatives Allen and Michaud –
actively supported a strong SCHIP reauthorization bill. They should be thanked for their efforts to expand
access to health care.
Funding for LIHEAP Passes
The final appropriations bill signed by the President at the end of December included funding for the
Low-Income Home Energy Assistance Program (LIHEAP). Maine initially received $27.5 million.
Since the passage of the bill, Maine has been told that it will get $8.8 million more in LIHEAP funding. This
falls short of the request by Maine State Housing for more funding. This extra money will mean an increase in the
average benefit from $579 to $750. This benefit will provide about 229 gallons of fuel oil. Maine State Housing
estimates that this is enough fuel for approximately 35 days. Maine’s Congressional Delegation is continuing to
push for more LIHEAP funding.
Improvements to Food Stamps in Current Versions of the Farm Bill
Congress has not passed a final version of the 2007 Farm Bill that will reauthorize the food stamp program.
Both the House and Senate have bills that include some positive changes to the food stamp program. These
improvements include:
- Increasing both the $10 minimum monthly food stamp benefit and the standard deductions for households of three
or fewer. These two benefits would also increase yearly with inflation;
- Lifting the cap on the child care deduction. This means that many families with child care costs will receive
more food stamps to help offset the burden that those costs place on the family budget; and
- Raising food stamp household asset limits and then indexing those limits so they will increase each year to
reflect the higher costs that families face.
In the middle of January, Congress was working to finalize a Farm Bill that will be sent to the President once it
passes the House and the Senate.

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