State Flexibility Act

State Flexibility Act - Amends the Patient Protection and Affordable Care Act (PPACA) and the American Recovery and Reinvestment Act of 2009 (ARRA) to repeal certain state Medicaid and State Children's Health Insurance Program (CHIP) maintenance of effort requirements under titles XIX and XXI of the Social Security Act.

(Under "maintenance of efforts" a state is prohibited from having eligibility standards, methodologies, or procedures under its state Medicaid or CHIP plan that are more restrictive than those in effect on on July 1, 2008, under ARRA or on March 23, 2010, under PPACA.)

[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 868 Introduced in Senate (IS)]

112th CONGRESS
  1st Session
                                 S. 868

  To restore the longstanding partnership between the States and the 
          Federal Government in managing the Medicaid program.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 3, 2011

  Mr. Hatch (for himself, Mr. Alexander, Mr. Barrasso, Mr. Burr, Mr. 
Coburn, Mr. Cornyn, Mr. Johanns, and Mr. Kyl) introduced the following 
  bill; which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
  To restore the longstanding partnership between the States and the 
          Federal Government in managing the Medicaid program.

    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 Flexibility Act''.

SEC. 2. REPEAL OF MEDICAID AND CHIP MAINTENANCE OF EFFORT REQUIREMENTS 
              UNDER ARRA AND PPACA.

    (a) Repeal of ARRA Medicaid MOE.--Subsection (f) of section 5001 of 
the American Recovery and Reinvestment Act of 2009 (Public Law 111-5) 
is amended by striking paragraph (1).
    (b) Repeal of PPACA Medicaid MOE.--Section 1902 of the Social 
Security Act (42 U.S.C. 1396a) is amended by striking subsection (gg).
    (c) Repeal of PPACA CHIP MOE.--Section 2105(d)(3) of the Social 
Security Act (42 U.S.C. 1397ee(d)(3)) is amended--
            (1) by striking subparagraph (A);
            (2) by redesignating subparagraphs (B) and (C) as 
        subparagraphs (A) and (B), respectively; and
            (3) in the paragraph heading, by striking ``Continuation of 
        eligibility standards for children until october 1, 2019'' and 
        inserting ``Continuity of coverage''.
    (d) Conforming Amendments.--
            (1) Section 1902(a) of the Social Security Act (42 U.S.C. 
        1396a(a)) is amended by striking paragraph (74).
            (2) Effective January 1, 2014, the paragraph (14) of 
        section 1902(e) added by section 2002(a) of Public Law 111-148 
        is amended by striking the third sentence of subparagraph (A).
    (e) Effective Date.--Except as provided in subsection (d)(2), the 
amendments made by this section shall take effect on the date of the 
enactment of this Act.
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