STATE OF NEW JERSEY
221st LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION
Sponsored by:
Senator LINDA R. GREENSTEIN
District 14 (Mercer and Middlesex)
Senator JOSEPH F. VITALE
District 19 (Middlesex)
Senator VIN GOPAL
District 11 (Monmouth)
Co-Sponsored by:
Senators Schepisi, Johnson, Zwicker, Cruz-Perez, Singer, Turner, Diegnan, McKnight and Burgess
SYNOPSIS
Establishes annual cost of living adjustment based on Consumer Price Index for programs providing mental health services, substance use disorder treatment services, or services to persons with developmental disabilities.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning certain social services programs and supplementing Title 30 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. Notwithstanding any other provision of law to the contrary, the terms of a contract entered into between the Division of Mental Health and Addiction Services in the Department of Human Services or the Division of Developmental Disabilities in the Department of Human Services and a program providing mental health services, substance use disorder treatment services, or services to persons with developmental disabilities on or after the effective date of this act shall include an annual increase in the cost of living adjustment received by the organization. The cost of living adjustment shall be based on the Consumer Price Index for the previous 12-month period beginning October 1 and ending September 30, as published by the United States Department of Labor.
b. On October 1 of each year, the department shall announce the rate of the increase in the cost of living adjustment received by a program providing mental health services, substance use disorder treatment services, or services to persons with developmental disabilities pursuant to subsection a. of this section.
c. As used in this section, a program providing mental health services, substance use disorder treatment services, or services to persons with developmental disabilities shall include State programs partially funded or fully funded by Medicaid and licensed or approved by the Commissioner of Human Services or other appropriate State licensing entities.
2. The Commissioner of Human Services, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations to effectuate the purposes of this act.
3. This act shall take effect immediately.
STATEMENT
This bill stipulates that the terms of a contract entered into on or after the effective date of the bill between the Division of Mental Health and Addiction Services in the Department of Human Services (DHS) or the Division of Developmental Disabilities in the DHS and a program providing mental health services, substance use disorder treatment services, or services to persons with developmental disabilities, include an annual increase in the cost of living adjustment received by the organization.
The cost of living adjustment is to be based on the Consumer Price Index for the previous 12-month period beginning October 1 and ending September 30, as published by the United States Department of Labor. The DHS will be required to announce the rate of the increase on October 1 of each year.
The bill provides that a program providing mental health services, substance use disorder treatment services, or services to persons with developmental disabilities includes State programs partially funded or fully funded by Medicaid and licensed or approved by the Commissioner of Human Services or other appropriate State licensing agencies.