Cardin Announces $690,000 Federal Grant To Help Bethlehem Steel Retirees Pay For Health Care

WASHINGTON - U.S. Rep. Benjamin L. Cardin announced today that the Department of Health and Human Services has awarded a grant of $690,000 to Maryland to expand health coverage to "high-risk" residents who are too sick to obtain health insurance. "This grant will go a long way to helping defray the cost of health insurance for Bethlehem Steel Corp. retirees who lost their health coverage when Bethlehem Steel was sold to International Steel Group (ISG)," said the Congressman.

In 2002, the Trade Adjustment Act was enacted to law provide a 65% tax credit to help younger retirees age 55 to 64 purchase health insurance through a state-based mechanism. Bethlehem Steel retirees who are age 65 and older are eligible for Medicare.

In the 2003 session, the Maryland General Assembly enacted the Health Insurance Coverage Availability Act which set up the state-based mechanism necessary to administer this HHS grant.
Maryland will use the grant to establish a new high-risk pool, called the Maryland Health Insurance Plan. The state hopes to begin enrolling eligible residents by July 1.

"We are the first state to receive this grant because Maryland has been on the forefront in establishing top-quality health care. I commend the General Assembly for acting promptly to make sure we could take advantage of this program," said Rep Cardin, who represents thousands of Bethlehem Steel retirees.