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Tennessee's SCHIP (CoverKids) Budget Plan FFY ’08 (10/1/07 – 9/30/08)

CoverKids TennCare Total

Federal Fiscal Year Costs Federal Fiscal Year Costs Federal Fiscal Year Costs Enhanced FMAP rate 74.56% 74.56%

Benefit Costs

Insurance payments 83,085,581

83,085,581 Managed care

46,656,570 46,656,570 per member/per month rate @ # of eligibles

Fee for Service

per member/per month rate @ # of eligibles

Total Benefit Costs 83,085,581 46,656,570 129,742,151 (Offsetting beneficiary cost sharing payments)

(2,332,829) (2,332,829) Net Benefit Costs 83,085,581 44,323,741 127,409,322

Administration Costs

Personnel 257,500 0 257,500 General administration 66,950 0 66,950 Contractors/Brokers (e.g., enrollment contractors) 4,401,000 0 4,401,000 Claims Processing 0 4,136,832 4,136,832 Outreach/marketing costs 515,000 0 515,000 Other 0 0 0 Total Administration Costs 5,240,450 4,136,832 9,377,282 10% Administrative Cost Ceiling (net benefit costs ÷ 9) 9,231,731 4,924,860 14,156,591

Federal Share (multiplied by enh-FMAP rate) 65,855,889 36,132,203 101,988,092 State Share 22,470,142 12,328,370 34,798,512 TOTAL COSTS OF APPROVED SCHIP PLAN 88,326,031 48,460,573 136,786,604

Note: The Federal Fiscal Year (FFY) runs from October 1st through September 30th.

* FFY ’08 Enrollment = 30,700 Base Plan 77,207,895 Vision 1,324,426 Dental 4,553,260 Funding for the state match is appropriated from the State’s general fund.

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