Philadelphia Inquirer, The - N.J. sues over health-insurance cuts

It began six weeks ago as a volley of words between a few key governors and the Bush administration.
Yesterday, the simmering dispute over taxpayer-funded insurance for middle-class children exploded into a legal war.
Gov. Corzine became the first of the disgruntled governors to sue the Bush administration, accusing it of “illegal” maneuvers and “abuse of . . . discretion” in recent changes that exclude some children of families of modest means from the State Children's Health Insurance Program.
Seven other states, including New York and Maryland, said they would follow Corzine's lead and sue the U.S. Department of Health and Human Services over the restrictive rule changes it made in August to the program that insures six million children nationwide.

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Corzine's lawsuit, filed in Trenton, asked the court to block potential federal sanctions against New Jersey for continuing to insure children …

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