Child Health Assurance Act

Child Health Assurance Act - Amends Title XIX (Medicaid) of the Social Security Act to require early, periodic screening of physical and mental defects in children under the age of 21 who are members of families eligible for Aid to Families with Dependent Children.

Establishes a Child Health Assurance Program under Medicaid. Requires State Medicaid plans to include child health assessments and primary care to specified individuals under the age of 21.

Directs that child health care assessments be provided only by a health care provider who enters into an agreement with the State agency responsible for the administration of the Medicaid plan to: (1) provide to specified individuals periodic health assessments; (2) provide a minimum range of diagnostic and treatment services; (3) arrange for referrals where necessary; (4) be readily accessible on an ongoing basis; (5) provide for timely followup services; (6) make required reports to the State or Secretary of Health, Education, and Welfare.

Allows an individual who has received a health assessment to remain eligible for all care and services provided under the State plan for six months after such individual's family has become ineligible for Medicaid or Aid to Families with Dependent Children.

Sets forth requirements which a State Medicaid program must meet in administering a Child Health Assurance Program.

Provides for reimbursement for payments made by the States in providing services under the program. Allows the Secretary to reduce, by 20 percent, a State's Medicaid funds if the State does not comply with the standards promulgated for the Child Health Assurance Program. Allows the Secretary to make additional payments to States that have met specified criteria for good performance of the State's Child Health Assurance Program.

Repeals the previous provision of the Social Security Act relating to appropriations for Child Health Care Assurance programs.