ASSEMBLY AGING AND SENIOR SERVICES COMMITTEE

STATEMENT TO

ASSEMBLY, No. 5520

STATE OF NEW JERSEY

DATED:  JUNE 2, 2021

      The Assembly Aging and Senior Services Committee reports favorably Assembly Bill No. 5520.

This bill increases the income eligibility limits established in the Pharmaceutical Assistance to the Aged and Disabled (PAAD) program to $38,769 for single persons and $45,270 combined income for married couples. Under the Senior Gold Prescription Discount Program, income eligibility limits are $10,000 higher than PAAD income eligibility limits. Therefore, this bill will increase income eligibility limits under the Senior Gold Prescription Discount program to $48,769 for single persons and $55,270 combined income for married couples.

Currently, the PAAD income limits for 2021 are $28,769 for single persons and $35,270 combined income for married couples.  Although the PAAD law states that income eligibility limits are $16,624 and $20,383 for single persons and married couples, respectively, an annual cost-of-living increase in income eligibility limits was adopted effective January 1, 1996, which has increased these eligibility levels each year. This bill retains the annual cost-of-living increase, but raises the overall income eligibility levels for the program, effective January 1, 2022.