MEDIA RELEASE

U.S. Sen. Daniel K. Akaka introduced the Medicaid Restoration for Citizens of Freely Associated States Act (S. 1502) Tuesday to re-establish Medicaid eligibility for citizens of the Compacts of Free Association (COFA) nations living in the United States. Sens. Daniel K. Inouye (D-Hawaii) and Jeff Bingaman (D-New Mexico) were original cosponsors.

Akaka said: “Since 1996, state and territorial governments have had no choice but to serve as the sole sources of funding to meet the social service and public health needs of our growing Compact Migrant population. This is putting an additional strain on states and territories – especially Hawaii and Guam – at a time of severely constrained budgets. Hawaii has deep compassion and aloha for our brothers and sisters across the Pacific. I call on the federal government to make good on its commitments. This bill would restore the federal government’s role in providing needed services for the migrants that it has invited to live in the United States and give relief to the states that have been footing the bill for this federal mandate.”

Inouye said: “The United States allows Compact Migrants to freely enter, reside, and work here. These migrants have added to the culture and diversity of our islands. But since 1996, the federal government has neglected to provide funds to support their basic needs — social services, education, or healthcare. Last year alone the State of Hawaii paid about $150 million to subsidize the Compact Migrants, and this sum is only expected to rise. We are all aware that government funding of any kind is difficult to come by, and my hope is that this legislation will ensure that states like Hawaii are not unfairly burdened with an initiative started by the federal government.”

Gov. Neil Abercrombie said: “The State of Hawaii can no longer absorb the rising costs caused by the agreement between the U.S. and nations of the Compacts of Free Association. The federal government needs to take responsibility for providing adequate support to offset the costs incurred as a direct result of increased migration.” Governor Abercrombie noted that he has asked the Department of Interior to work with the Congress to increase the amount of direct assistance to the State of Hawaii relating to Compacts of Free Association.

COFA countries include the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau. Under these Compacts, the U.S. government agreed to provide economic assistance to Freely Associated States (FAS) citizens, allowed them to enter, reside, and work in the U.S., and authorized their participation in certain federal programs. This included health benefits under Medicaid.

However, when the Personal Responsibility and Work Opportunity Act of 1996 established further restrictions on the eligibility of non-U.S. citizens for certain federal assistance programs, FAS citizens became ineligible to receive federal benefits.

Since then, states with Compact Migrants have been forced to absorb the costs of providing health and social services, education, and public safety in accordance with unfunded federal mandates.

The 2008 census estimated there were 12,215 COFA citizens living in Hawaii, up from 7,297 in 2003. However, State program data suggest these estimates are under-representative of the actual number of COFA migrants residing in Hawaii.

According to a report released by Governor Abercrombie this week, the State of Hawaii spent over $100 million last year alone on needed services for COFA migrants.

Spending included $52.1 million to provide 20,720 clients with financial assistance, medical assistance, and emergency housing outreach, $55.1 million to educate 5,508 students, and $872,820 on 2,117 arrests, 775 convictions, and 249 incarcerations.

Congresswoman Mazie Hirono (D-Hawaii) has introduced a similar bill in the House of Representatives, cosponsored by Reps. Colleen Hanabusa (D-Hawaii), Eni Faleomavaega (D-American Samoa), and Madeleine Bordallo (D-Guam).