PUBLIC LAW 106-113—APPENDIX F 113 STAT. 1501A-399 TITLE VII—STATE CHILDREN'S HEALTH INSURANCE PROGRAM (SCHIP) SEC. 701. STABILIZING THE STATE CHILDREN'S HEALTH INSURANCE PROGRAM ALLOTMENT FORMULA. (a) IN GENERAL. —Section 2104(b) (42 U.S.C. 1397dd(b)) is amended— (1) in paragraph (2)(A)— (A) in clause (i), by striking "through 2000" and inserting "and 1999"; and (B) in clause (ii), by striking "2001" and inserting " 2000"; (2) by amending paragraph (4) to read as follows: " (4) FLOORS AND CEILINGS IN STATE ALLOTMENTS.— "(A) IN GENERAL. —The proportion of the allotment under this subsection for a subsection (b) State (as defined in subparagraph (D)) for fiscal year 2000 and each fiscal year thereafter shall be subject to the following floors and ceilings: "(i) FLOOR OF $2,000,000.— A floor equal to $2,000,000 divided by the total of the amount available under this subsection for all such allotments for the fiscal year. " (ii) ANNUAL FLOOR OF 10 PERCENT BELOW PRE- CEDING FISCAL YEAR'S PROPORTION. —^A floor of 90 percent of the proportion for the State for the preceding fiscal year. "(iii) CUMULATIVE FLOOR OF 30 PERCENT BELOW THE FY 1999 PROPORTION.—^A floor of 70 percent of the proportion for the State for fiscal year 1999. " (iv) CUMULATIVE CEILING OF 45 PERCENT ABOVE FY 1999 PROPORTION. —^A ceiling of 145 percent of the proportion for the State for fiscal year 1999. " (B) RECONCILIATION.— " (i) ELIMINATION OF ANY DEFICIT BY ESTABLISHING A PERCENTAGE INCREASE CEILING FOR STATES WITH HIGHEST ANNUAL PERCENTAGE INCREASES. —To the extent that the application of subparagraph (A) would result in the sum of the proportions of the allotments for all subsection (b) States exceeding 1.0, the Secretary shall establish a maximum percentage increase in such proportions for all subsection (b) States for the fiscal year in a manner so that such sum equals 1.0. " (ii) ALLOCATION OF SURPLUS THROUGH PRO RATA INCREASE. —To the extent that the application of subparagraph (A) would result in the sum of the proportions of the allotments for all subsection (b) States being less than 1.0, the proportions of such allotments (as computed before the application of floors under clauses (i), (ii), and (iii) of subparagraph (A)) for all subsection (b) States shall be increased in a pro rata manner (but not to exceed the ceiling established under subparagraph (A)(iv)) so that (after the application of such floors and ceiling) such sum equals 1.0.
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