With respect to pregnant women and with respect to children under the age of five (5), the state hereby adopts the optional expanded income and resource eligibility standards set forth in amendments to Title XIX of the federal Social Security Act, 42 U.S.C. § 1396 et seq. Pregnant women and children up to the age of five (5), in accordance with federal regulation, whose income is greater than the AFDC standard but less than the federal poverty level, are hereby declared to be eligible for medical assistance under this chapter.