Page:United States Statutes at Large Volume 120.djvu/128

 PUBLIC LAW 109–171—FEB. 8, 2006

120 STAT. 97

(ii) by adding ‘‘or’’ at the end of subclause (XVIII); and (iii) by adding at the end the following new subclause: ‘‘(XIX) who are disabled children described in subsection (cc)(1);’’; and (B) by adding at the end the following new subsection: ‘‘(cc)(1) Individuals described in this paragraph are individuals— ‘‘(A) who are children who have not attained 19 years of age and are born— ‘‘(i) on or after January 1, 2001 (or, at the option of a State, on or after an earlier date), in the case of the second, third, and fourth quarters of fiscal year 2007; ‘‘(ii) on or after October 1, 1995 (or, at the option of a State, on or after an earlier date), in the case of each quarter of fiscal year 2008; and ‘‘(iii) after October 1, 1989, in the case of each quarter of fiscal year 2009 and each quarter of any fiscal year thereafter; ‘‘(B) who would be considered disabled under section 1614(a)(3)(C) (as determined under title XVI for children but without regard to any income or asset eligibility requirements that apply under such title with respect to children); and ‘‘(C) whose family income does not exceed such income level as the State establishes and does not exceed— ‘‘(i) 300 percent of the poverty line (as defined in section 2110(c)(5)) applicable to a family of the size involved; or ‘‘(ii) such higher percent of such poverty line as a State may establish, except that— ‘‘(I) any medical assistance provided to an individual whose family income exceeds 300 percent of such poverty line may only be provided with State funds; and ‘‘(II) no Federal financial participation shall be provided under section 1903(a) for any medical assistance provided to such an individual.’’. (2) INTERACTION WITH EMPLOYER-SPONSORED FAMILY COVERAGE.—Section 1902(cc) of such Act (42 U.S.C. 1396a(cc)), as added by paragraph (1)(B), is amended by adding at the end the following new paragraph: ‘‘(2)(A) If an employer of a parent of an individual described in paragraph (1) offers family coverage under a group health plan (as defined in section 2791(a) of the Public Health Service Act), the State shall— ‘‘(i) notwithstanding section 1906, require such parent to apply for, enroll in, and pay premiums for such coverage as a condition of such parent’s child being or remaining eligible for medical assistance under subsection (a)(10)(A)(ii)(XIX) if the parent is determined eligible for such coverage and the employer contributes at least 50 percent of the total cost of annual premiums for such coverage; and ‘‘(ii) if such coverage is obtained— ‘‘(I) subject to paragraph (2) of section 1916(h), reduce the premium imposed by the State under that section in

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