LEGISLATIVE FISCAL ESTIMATE
ASSEMBLY, No. 3772
STATE OF NEW JERSEY
220th LEGISLATURE
DATED: JANUARY 18, 2023
SUMMARY
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Synopsis: |
Revises certain requirements concerning eligibility for reimbursement from "Emergency Medical Technician Training Fund.” |
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Type of Impact: |
Annual net impact on State expenditures; Annual increase in State revenues. |
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Agencies Affected: |
Department of Health. |
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Office of Legislative Services Estimate |
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Fiscal Impact |
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Annual |
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State Net Cost Impact |
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Indeterminate |
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State Revenue Increase |
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Indeterminate |
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· The Office of Legislative Services (OLS) concludes that the bill will have an indeterminate net impact on annual State expenditures due to countervailing effects of the bill’s provisions affecting the eligibility of ambulance, first aid, and rescue squads to secure reimbursement from the Emergency Medical Technician Training Fund for certain emergency medical technician (EMT) training and testing costs.
· By expanding eligibility for reimbursement from the fund to all ambulance, first aid, and rescue squads regardless of whether the entity charges for the provision of emergency services, and by expanding reimbursement to EMT continuing education courses, the bill will increase annual State expenditures from the fund by an indeterminate amount. By contrast, a provision in the bill that restricts reimbursements to costs associated with training and testing volunteer EMTs, as opposed to both volunteer and paid EMTs as allowed under current law, will reduce annual State expenditures from the fund. The magnitude and direction of these countervailing effects cannot be determined.
· Annual State revenues will likely increase by a marginal amount under the bill, to the extent that the Department of Health secures repayment of EMT training and testing costs, previously reimbursed by the fund, for individuals who stop serving as volunteer EMTs during a three-year certification window. Any revenue increase stemming from this provision would be at least partially offset by higher departmental costs to recoup these monies from these former volunteer EMTs.
BILL DESCRIPTION
This bill revises the requirements to receive reimbursement from the Emergency Medical Technician Training Fund. Under current law, any private entity that is certified by the Department of Health to provide training and testing for ambulance, first aid, and rescue squad personnel who seek initial certification or recertification as an EMT may be reimbursed from the fund for any unreimbursed training and testing costs. Emergency medical services squads are eligible for reimbursement from the fund for eligible training and testing expenditures, provided the squad does not receive any payment for the provision of emergency medical services, regardless of whether the squad pays individual EMTs for their services.
Pursuant to the bill, an emergency medical services squad can seek fund reimbursement from the State for unreimbursed training and testing costs for the squad’s volunteer EMTs but not its paid EMTs, even if the squad charges for the provision of emergency medical services. The bill also allows the fund to cover any unreimbursed costs related to EMT continuing education classes for volunteer EMTs.
The bill provides that each emergency medical services squad is required to notify the Department of Health whenever an individual who received initial EMT training, for which training the squad received reimbursement from the fund, ceases to serve as a volunteer EMT within a three-year certification period. The bill additionally authorizes the department to establish the process by which such recoupment of funds will occur.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS concludes that the bill will have an indeterminate net impact on annual State expenditures due to countervailing effects of the bill’s provisions affecting the eligibility of ambulance, first aid, and rescue squads to secure reimbursement from the Emergency Medical Technician Training Fund for certain EMT training and testing costs. Currently, an emergency medical services squad is eligible for $1,500 in reimbursement from the fund for unreimbursed costs incurred for initial and recertification training and testing for each volunteer and paid EMT, provided the squad does not charge a fee for the provision of emergency medical services. By expanding eligibility for reimbursement from the fund for eligible expenditures to all squads, regardless of whether the squad charges for the provision of basic emergency services, the bill potentially increases annual State expenditures from the fund by an indeterminate amount. In October 2021, the Department of Health’s website listed 397 emergency medical services squads that are currently eligible for reimbursement from the fund.
A provision in the bill limiting fund reimbursement for training and certification costs to volunteer EMTs but not paid EMTs, however, will reduce annual State expenditures from the fund by an indeterminate amount. Under current law, emergency medical services squads may receive fund reimbursement for training and certification costs for both volunteer and paid EMTs. Due to the lack of publicly available data on the number of volunteer versus paid EMTs in the State, and the number of squads that receive payment for the provision of emergency medical services versus those that do not, the OLS cannot quantify the fiscal impact of these two countervailing provisions in the bill.
The bill also provides that the fund may be used to reimburse emergency medical services squads for the unreimbursed costs of continuing education classes for volunteer EMTs, which will increase expenditures from the fund by an indeterminate amount annually. In New Jersey, certified EMTs are required to complete 24 elective continuing education units per three-year certification cycle; however, data on the number of EMTs that complete continuing education classes are not publicly available.
Annual State revenues will likely increase by a marginal amount under the bill, to the extent that the department is successful in pursuing repayment of EMT training, testing, certification, and elective continuing education costs that were reimbursed from the fund for individuals who stop serving as volunteer EMTs within a three-year certification window. Any revenue increase stemming from this provision would be at least partially offset by higher departmental administrative costs incurred to recoup fund monies from these former volunteer EMTs.
The EMT Training Fund is a nonlapsing revolving fund that reimburses emergency medical services squads for the unreimbursed costs associated with the training and testing for EMTs. The fund is the repository for a $1 surcharge added to fines, penalties, and forfeitures for violations of certain statutes regulating motor vehicles and their operation. Revenues into the fund were $2.1 million in FY 2019, $1.6 million in FY 2020, and $1.1 million in FY 2021 compared with expenditures of $628,000, $950,000, and $1.3 million, respectively. The total fund balance was $5.1 million at the end of FY 2021 and is estimated to be $5.0 million at the end of FY 2022 and $4.8 million at the end of FY 2023.
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Section: |
Human Services |
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Analyst: |
Associate Fiscal Analyst |
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Approved: |
Thomas Koenig Legislative Budget and Finance Officer |
This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.
This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).