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of three), and for working parents is 23 percent FPL for a family of three. The eligibility level forpeople on Supplemental Security Income (SSI) is 74 percent FPL. Texas has not implementedthe option offered by the Omnibus Reconciliation Act of 1986 (OBRA ’86), which allows states toextend Medicaid benefits to aged, blind and disabled people with incomes up to 100 percentFPL, including using more flexibility with income and assets tests. 230 Medicaid eligibility forchildren ages 0-1 is 185 percent FPL, ages 1-5 is 133 percent, and ages 6-19 is 100 percentFPL. 231 There are additional limitations on family assets and a requirement that the person be alegal resident of the U.S. for at least five years before obtaining services.Medicaid Financing MethodTexas’ federal matching rate for Medicaid is 63.17 percent for fiscal year 2004, 60.87 percentfor FY2005, and 60.66 percent for FY2006. 232 The state portion of Medicaid funding comesmostly from general revenue, with a small part from tobacco settlement funds, hospitals andFederally Qualified Health Centers. 233 Funding also comes from quality assurance fees paid byICF/MRs (intermediate care facilities for the mentally retarded). 234 Total Medicaid spending inTexas in FY 2003 was $15,280,859,187. The average Medicaid spending per enrollee in FY2000 was $3,284. This varied from an average of $1,666 spent on each child to an average of$9,803 spent per enrollee in the blind and disabled group. 235Medicaid BenefitsMedicaid in Texas offers inpatient and outpatient hospital services, skilled and intermediate carefacilities, religious non-medical health care institution and practitioner services, and services atfreestanding ambulatory surgery centers, federally qualified health centers, and rural healthclinics. The following are types of benefits offered:• Dental services, eyeglasses, hearing aids, and services for speech, hearing andlanguage disorders (not dentures).• Laboratory and X-ray services.• Medical equipment and supplies (not prosthetic and orthotic devices).• Early and periodical screening, diagnosis and treatment services; family planningservices; rehabilitation services (not substance abuse for adults).• Services by these health care providers: physicians, certified registered nurseanesthetists, chiropractors, other medical and remedial care practitioners, dentistsproviding medical surgical services, nurse midwives, nurse practitioners, optometrists,podiatrists and psychologists.• Prescription drugs.• Physical and occupational therapy services.• Ambulance services, non-emergency medical transportation services.• Home health services, hospice services and targeted case management (no personalcare services or private duty nursing services).• Intermediate care facilities for the mentally retarded, nursing facility services (noinpatient institutional services). 236SCHIP CharacteristicsSCHIP is funded by both the federal and state governments like Medicaid. The federal sharefor SCHIP is 72.15 percent in Texas for FFY 2004 and the state share is 27.85 percent of eachC-9