Better Health Protection for Mothers and Children Act of 1990

Better Health Protection for Mothers and Children Act of 1990 - Amends title XIX (Medicaid) of the Social Security Act to require States to extend Medicaid coverage to all children under age 19 whose family income is below the Federal poverty level. Eliminates resource eligibility tests for pregnant women and children. Continues a child's coverage for a minimum of one year regardless of any change in family income.

Directs the Secretary of Health and Human Services to develop Medicaid payment methodologies for obstetrical and pediatric services and obstetrical and pediatric inpatient hospital services on the basis of the methodologies used for determining payments for physician and hospital services under title XVIII (Medicare) of the Social Security Act. Requires that the Secretary consider establishing a global fee for pregnancy-related services. Requires States to set Medicaid payment rates for obstetrical services and pediatric services for infants under age one no lower than the rates established under the new payment methodologies. Provides for the partial implementation of the new payment methodologies if the revenues raised pursuant to this Act are not sufficient to cover the additional expenditures caused by this Act's amendments.

Sets the Federal share of additional Medicaid payments resulting from this Act's payment reforms and expansion of Medicaid eligibility at 100 percent through 1993, decreasing such share each year thereafter so that by 1997 the regular Federal-State Medicaid cost allocation will apply.

Increases the Federal excise tax on cigarettes.

Directs the Secretary to enter into agreements with several States for the conduct of demonstration projects testing the effect of alternative strategies on the cost and quality of Medicaid services to pregnant women and children, including: (1) selective contracting with community providers, with financial incentives for the delivery of high quality, cost-effective, managed care; (2) the use of non-physician providers; and (3) the use of case-management techniques to coordinate services for pregnant women.