State High Risk Pool Funding Extension Act of 2005

State High Risk Pool Funding Extension Act of 2005 - Amends the Public Health Service Act to reauthorize funds for states to create high risk health insurance pools and to operate existing pools. Amends the formula for appropriating funds to states to operate such pools to give one-half of the funds to eligible states equally and apportion the other half based on the number of uninsured individuals in each state and the number of enrollees in the state's qualified high risk pool. (Currently, all funds are allotted based solely on the number of uninsured individuals in the state.) Authorizes appropriations for the program through FY 2009.

Requires the Secretary of Health and Human Services to contract with the Institute of Medicine for a study on the development of a standard model for the certification of individuals as being uninsurable and thereby eligible for health benefits coverage through state high risk pools.

Amends the Internal Revenue Code to increase the tax credit for payment of qualified health insurance.

[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3297 Introduced in House (IH)]






109th CONGRESS
  1st Session
                                H. R. 3297

   To extend Federal funding for operation of State high risk health 
                insurance pools, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 14, 2005

   Mr. Ford introduced the following bill; which was referred to the 
 Committee on Energy and Commerce, and in addition to the Committee on 
   Ways and Means, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
   To extend Federal funding for operation of State high risk health 
                insurance pools, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``State High Risk Pool Funding 
Extension Act of 2005''.

SEC. 2. EXTENSION OF FUNDING FOR OPERATION OF STATE HIGH RISK HEALTH 
              INSURANCE POOLS.

    (a) Extension of Seed Grants.--Section 2745 of the Public Health 
Service Act (42 U.S.C. 300gg-45) is amended--
            (1) in subsection (a), in the subsection heading by 
        inserting ``Extension Of'' before ``Seed''; and
            (2) in subsection (c)(1), by inserting ``and $15,000,000 
        for the period of fiscal years 2005 and 2006'' after 
        ``$20,000,000 for fiscal year 2003''.
    (b) Funds for Operations.--Section 2745 of the Public Health 
Service Act (42 U.S.C. 300gg-45) is amended--
            (1) in subsection (b)--
                    (A) in the subsection heading by striking 
                ``Matching''; and
                    (B) by striking paragraph (2) and inserting the 
                following:
            ``(2) Allotment.--The amounts appropriated under subsection 
        (c)(2) for a fiscal year shall be made available to the States 
        (or the entities that operate the high risk pool under 
        applicable State law) as follows:
                    ``(A) An amount equal to 50 percent of the 
                appropriated amount for the fiscal year shall be 
                allocated in equal amounts among each eligible State 
                that applies for assistance under this subsection.
                    ``(B) An amount equal to 25 percent of the 
                appropriated amount for the fiscal year shall be 
                allocated among the States so that the amount provided 
                to a State bears the same ratio to such available 
                amount as the number of uninsured individuals in the 
                State bears to the total number of uninsured 
                individuals in all States (as determined by the 
                Secretary).
                    ``(C) An amount equal to 25 percent of the 
                appropriated amount for the fiscal year shall be 
                allocated among the States so that the amount provided 
                to a State bears the same ratio to such available 
                amount as the number of individuals enrolled in health 
                care coverage through the qualified high risk pool of 
                the State bears to the total number of individuals so 
                enrolled through qualified high risk pools in all 
                States (as determined by the Secretary).''; and
            (2) in subsection (c)(2), by striking ``$40,000,000'' and 
        all that follows through the period and inserting ``$75,000,000 
        for each of fiscal years 2005 through 2009 to make allotments 
        under subsection (b)(2).''.
    (c) Definitions.--Section 2745 of the Public Health Service Act (42 
U.S.C. 300gg-45) is amended--
            (1) in subsection (d), by inserting after ``2744(c)(2)'' 
        the following: ``, except that with respect to subparagraph (A) 
        of such section a State may elect to provide for the enrollment 
        of eligible individuals through an acceptable alternative 
        mechanism,''; and
            (2) by adding at the end the following:
    ``(e) Standard Risk Rate.--In subsection (b)(1)(A), the term 
`standard risk rate' means a rate--
            ``(1) determined under the State high risk pool by 
        considering the premium rates charged by other health insurers 
        offering health insurance coverage to individuals in the 
        insurance market served;
            ``(2) that is established using reasonable actuarial 
        techniques; and
            ``(3) that reflects anticipated claims experience and 
        expenses for the coverage involved.''.

SEC. 3. IOM STUDY OF DEVELOPING STANDARD MODEL FOR CERTIFICATION OF 
              UNINSURABILITY.

    (a) In General.--The Secretary of Health and Human Services shall 
enter into a contract with the Institute of Medicine for a study on the 
development of a standard model for the certification, for purposes of 
State high risk health insurance pools, of individuals as being 
uninsurable and thereby eligible for health benefits coverage through 
such a pool.
    (b) Report.--Under such contract, the Institute of Medicine shall 
submit a report on the study to the Secretary and to the Congress.

SEC. 4. INCREASE IN TRADE ADJUSTMENT ASSISTANCE REFUNDABLE TAX CREDIT.

    (a) In General.--Sections 35(a) and 7527(b) of the Internal Revenue 
Code of 1986 are each amended by striking ``65 percent'' and inserting 
``80 percent''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply with respect to taxable years beginning after December 31, 2004.
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