The House on Wednesday is expected to approve the expansion of the State Children’s Health Insurance Program (SCHIP), through which 4 million more lower-income children in the United States will benefit from health insurance. Currently, the program covers about 7.4 million children in the United States.

 

The expansion, if approved, would be funded by a tobacco tax increase and would increase spending by $31.5 billion over the next four years and a half. The Democrats plan to increase the tax on cigarettes by 61 cents per pack, to 1$ from 39 cents currently.

 

“Many Americans face grave economic uncertainty, and it's critical that we move quickly to pass this legislation and send it to President Obama for his signature,” Sen. Jeff Bingaman, D-N.M., was quoted as saying.

 

If approved on Wednesday, the bill would be sent to President Barack Obama for signature. The legislation would be a victory for President Obama, who said he hoped the Senate would adopt the measure with “the same sense of urgency so that it can be one of the first measures I sign into law when I am president.” He further added that ensuring health care to children is a moral obligation “we hold as parents and citizens.”

 

The SCHIP was created in 1997 to help families who make too much money to qualify for the Medicaid health program for the poor, but don’t have enough money to pay for private insurance. The program is run by the Health and Human Services Department and state governments.

 

Two years ago, President George W. Bush vetoed two similar bills, arguing the measure would bring tax increases and the expansion of government health care.