S3397

An Act concerning the personal needs allowance and amending P.L.1985, c.286 and P.L.1973, c.256.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. Section 1 of P.L.1985, c.286 (C.30:4D-6a) is amended to read as follows:

1. Any person who is eligible for medical assistance and health services under P.L.1968, c.413 (C.30:4D-1.et.seq.) and who receives medical assistance under subparagraph (4)(a) of subsection a. or under paragraph (11), (13) or (14) of subsection b. of section 6 of P.L.1968, c.413 (C. 30:4D-6), who is not eligible for Supplemental Security Income benefits pursuant to 42 U.S.C. s. 1382(e)(1)(B), is entitled to a [$35.00] $100.00 monthly personal needs allowance.

2. Section 3 of P.L.1973, c.256 (C.44:7-87) is amended to read as follows:

3. The commissioner shall:

a. Enter into agreements with the government to secure the administration of supplementary payments by the government for such time and upon such conditions as the commissioner may in his discretion deem appropriate.

b. Promulgate, alter and amend such rules, regulations and directory orders as are necessary and proper:

(1) To implement the terms of the agreement with the government for the administration by the government of supplementary payments; and

(2) To secure social services for eligible persons, and for such other aged, blind or disabled persons as the commissioner may designate.

c. Transfer State or welfare board funds, or both, currently appropriated for this State's participation in the federal categorical assistance programs of "Old Age Assistance," R.S.44:7-3 to R.S.44:7-37; "Assistance for the Blind," P.L.1962, c.197 (C.44:7-43 to 44:7-49) and "Permanent and Total Disability Assistance," P.L.1951, c.139 (C.44:7-38 to 44:7-42) and any funds which may in the future be appropriated for the payment of supplementary payments, to the government in such amounts and at such times as the commissioner shall deem appropriate in order to provide for supplementary payments to eligible persons in this State.

d. Pay to the government such funds as are necessary to reimburse the government's expenses in collecting additional information needed for the State to make eligibility determinations for medical assistance under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 to 30:4D-19).

e. Require welfare boards to perform such eligibility determinations as the commissioner may deem necessary for the continuation of the New Jersey Medical Assistance Program under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413. The commissioner shall pay to the counties a reasonable amount to reimburse the welfare boards for their expenses in making such eligibility determinations.

f. (Deleted by amendment, P.L.1990, c.66.)

g. Take appropriate steps to secure maximum federal financial participation in providing assistance to eligible persons residing in residential health care facilities.

h. Ensure that any eligible person residing in a rooming or boarding house or residential health care facility has reserved to him a monthly amount, from payments received under the provisions of the act to which this act is a supplement or from any other income, as a personal needs allowance. The personal needs allowance may vary according to the type of facility in which an eligible person resides, but in no case shall be less than [$25.00] $100.00 per month.

i. Ensure that any eligible person who receives medical assistance under subparagraph (4)(a) of subsection a. or under paragraph (11), (13) or (14) of subsection b. of section 6 of P.L.1968, c.413 (C.30:4D-6) receives [$10.00] such an amount per month that, in addition to benefits received pursuant to 42 U.S.C. s. 1382(e)(1)(B), the total monthly benefit is $100.00. If the federal government cannot administer this [$10.00] monthly increase, the commissioner shall administer this increase and shall ensure that this increase is not considered income for Supplemental Security Income program purposes. However, if the government increases the benefit level under 42 U.S.C. s. 1382(e)(1)(B), the commissioner shall allow the government to administer this increase and shall reduce its payment to an eligible recipient by an equal amount.

j. Assess welfare boards at the beginning of each fiscal year in the same proportion that the counties currently participate in the federal categorical assistance programs, in order to obtain the amount of each county's share of supplementary payments for eligible persons in this State, based upon the number of eligible persons in the county.

(cf: P.L.1991, c.466, s.1)

3. The Commissioner of Human Services shall apply for such State plan amendments or waivers as may be necessary to implement the provisions of this act and to continue to secure federal financial participation for State Medicaid expenditures under the federal Medicaid program.

4. The Commissioner of Human Services, pursuant to the “Administrative Procedures Act,” P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt such rules and regulations necessary to implement the requirements pursuant to this act.

5. This act shall take effect immediately, except that sections 1 and 2 of this act shall be inoperative until the Commissioner of Human Services receives any necessary approval from the federal government for implementation.

STATEMENT

This bill is to increase the monthly personal needs allowance (PNA) to $100 for residents of nursing homes, State and county psychiatric hospitals, and State developmental centers. Currently, the following states provide a higher PNA than New Jersey’s existing $50 monthly amount: Alaska, Arizona, Colorado, Connecticut, Florida, Georgia, Indiana, Kansas, Maryland, Massachusetts, Michigan, Minnesota, Nebraska, New Hampshire, New Mexico, North Dakota, Oregon, South Dakota, Texas, and Washington.

This allowance is intended for residents to spend at their discretion on items such as telephone expenses, a meal out with friends, cards to send to family, reading materials, or hobbies. The PNA provides residents the opportunity to participate in activities beyond those provided by the facility, to remain connected with family and friends, and to obtain basic items such as clothing and shoes.

According to budget language in the FY 2022 Appropriations Act, despite existing statutory provisions, the minimum monthly PNA provided to persons residing in nursing facilities, State and county psychiatric hospitals, and State developmental centers, who are eligible for Medicaid or Supplemental Security Income (SSI) benefits, is $50. As amended, this bill would double the PNA to $100 per month.

For Medicaid recipients, the PNA is the monthly sum of money that residents may retain from their personal income. Any income above the allowance is applied toward the cost of their care.

In the case of residents eligible to receive SSI public assistance, a federal income supplement program designed to help aged, blind, and disabled people with little to no income, the federal government provides up to $30 a month for small comfort items not provided by the facility. The State currently supplements the federal allowance by $20 to ensure that SSI recipients residing in nursing facilities, State and county psychiatric hospitals, and State developmental centers receive a total PNA per month equal to that of Medicaid recipients, or $50. Under the bill, absent any changes in the federal allowance, the State would be responsible for a $70 per month supplemental payment for each SSI recipient.