The Balanced Budget Act of 1997 established a new state Children's Health Insurance Program (S-CHIP), under which federal funds will be made available to states either to expand Medicaid eligibility or to assist uninsured low-income children with the costs of public or private coverage meeting certain minimum requirements. The new program builds on a variety of existing state children's health insurance initiatives, including extensions of Medicaid eligibility beyond federally mandated minimums, development of public insurance plans, or assistance with private plan premiums.