1. Ensuring State flexibility in offering children’s health insurance buy-in programs (a) Blending risk pools Section 2107 of the Social Security Act ( 42 U.S.C. 1397gg ) is amended by adding at the end the following: (g) Use of blended risk pools (1) In general Nothing in this title (or any other provision of Federal law) shall be construed as preventing a State from considering children enrolled in a qualified children’s health insurance buy-in program and children enrolled in a State child health plan under this title (or a waiver of such plan) as members of a single-risk pool. (2) Qualified children’s health insurance buy-in program In this subsection, the term qualified children’s health insurance buy-in program means a State program— (A) under which children who are under the age of 18 and are not eligible to receive medical assistance under title XIX or child health assistance under this title may purchase coverage through the State that provides benefits that are at least identical to the benefits provided under the State child health plan under this title (or a waiver of such plan); or (B) that is funded exclusively through non-Federal funds, including funds received by the State in the form of premiums for the purchase of such coverage. . (b) Minimum essential coverage (1) In general Section 5000A(f)(1)(A) of the Internal Revenue Code of 1986 is amended— (A) in clause (vi), by striking or at the end; (B) in clause (vii), by striking the period at the end and inserting ; or ; and (C) by adding at the end the following new clause: (viii) a qualified children’s health insurance buy-in program (as defined in section 2107(g) of the Social Security Act). . (2) Effective date The amendment made by paragraph (1) shall apply with respect to taxable years beginning after December 31, 2017.