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$3 million goes to children’s health

The Associated Press
Wednesday December 13, 2000

SAN JOSE — City officials agreed Tuesday to contribute nearly $3 million of tobacco settlement money over the next three years to a new and unprecedented county plan aimed at providing health coverage for all uninsured children. 

The commitment was a key step for the Santa Clara County Children’s Health Initiative, which was approved last week and is expected to begin serving families in February. 

“This is a momentous moment in history,” said Susan Price-Jang, co-chair of People Acting in Community Together, a faith-based organization helping to organize the program.  

“Let us be an example to other communities across America.” 

The county health initiative, which is expected to cost $14 million a year, covers families up to three times the federal poverty level, meaning a Santa Clara County family of four that makes nearly $52,000 is eligible. 

The program is designed to let parents know what local, state and federal health insurance programs their children qualify for, and to make up for any coverage gaps left by those programs. 

More than half the 70,000 children without health insurance in the county are in San Jose, the third-largest city on the West Coast. 

Last spring, San Jose considered spending some of its $10 million annual tobacco settlement funds on a children’s health insurance program, but officials decided to take more time to study the issue. 

Mayor Ron Gonzales said Tuesday he was satisfied with an advisory committee’s suggestion that the city contribute to the county health initiative and use the rest of the settlement money for anti-tobacco programs, education initiatives and youth and senior services.  

The plan was unanimously approved by the City Council. 

In addition to the city’s contribution and $3 million a year from Santa Clara County, the health insurance program is getting $2 million from tobacco taxes and $1 million from a county health maintenance organization. 

The program is still $6.5 million short of the $14 million it needs, but organizers hope to make that up with donations. 

Under the 1998 tobacco settlement, California and 45 other states will split $206 billion over 25 years.  

Four other states settled separately for an additional $40 billion. 

On the Net: 

City: http://www.ci. 

san-jose.ca.us 

County: claraweb.co.santa-clara.ca.us