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Date: Tuesday, August 19, 1997
FOR IMMEDIATE RELEASE
Contact:  HCFA Press Office (202) 690-6145

Health and Human Services Secretary Donna E. Shalala today announced approval of a Medicaid waiver that should allow Arkansas to provide health care coverage to 52,000 uninsured children.

The "ARKids First" program will cover individuals age 18 and younger, mostly teenagers who now do not qualify for Medicaid, at or below 200 percent of the federal poverty level. That would include a family of four with an income of up to $31,200.

"ARKids First will bring health care coverage primarily to children whose parents work but still can't afford to buy insurance on their own," said Shalala. "This is a common-sense solution to an all too-common problem for working families and we're pleased to be able to approve it."

ARKids will match each child with a primary care physician who will keep track of the child's needs and oversee care. Immunizations, preventive screenings, family planning and prenatal care all will be covered without copayments or coinsurance.

The ARKids program differs somewhat from the state's traditional Medicaid program. It will provide benefits comparable to those in the State Employees and State Teachers insurance program. It will require copayments and coinsurance for some services, for example $5 for prescription drugs, $10 for physician office visits, and 20 percent of the cost for the first day of hospitalization. However, care cannot be denied if a patient cannot afford the copayment.

"By focusing on immunizations and prevention, ARKids will address problems before they become serious and reduce the use of expensive, inefficient emergency room visits," said Bruce C. Vladeck, Administrator of the federal Health Care Financing Administration which oversees Medicaid. "This is a wise use of our health care dollars."

The state plans to launch an extensive outreach campaign to let Arkansans know about the ARKids program. Television and radio ads will tell people how and where to apply for the program, and applications will be accepted as early as September 1.