LEGISLATIVE FISCAL ESTIMATE

SENATE, No. 3969

STATE OF NEW JERSEY

220th LEGISLATURE

 

DATED: JUNE 23, 2023

 

 

SUMMARY

 

Synopsis:

Allows for credit against contract cost for primary care services managed by health care provider for public employees and their dependents; allows referrals to other providers that have contractual relationship with such health care provider.

Type of Impact:

Annual revenue increase for local governments.

Agencies Affected:

Local governments.

 

 

Office of Legislative Services Estimate

Annual Fiscal Impact

 

 

Local Government Revenue Increase

Indeterminate

 

 

 

 

·         The Office of Legislative Services (OLS) estimates that the bill will result in an indeterminate annual revenue increase for local governments in the State that operate medical homes and are part of the State Health Benefits Program or the School Employees’ Health Benefits Program. 

 

 

BILL DESCRIPTION

 

      The bill allows a health benefits company that is managing a medical home under contract with a public employer to provide a credit to that public employer toward the cost of the contract for health care services provided by its providers to its public employees and their dependents.  The credits would be derived from medical reimbursements to the providers with whom a health insurance carrier also has a contractual relationship. 

      If provided, the amount of the credit permitted toward the cost of the contract shall not exceed the amount of the payments received by the health benefits company from payments from insurance carriers for claims submitted for provider services rendered to public employees and their dependents.

 

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS estimates that the bill will result in an indeterminate annual revenue increase for local governments in the State that operate medical homes and are part of the State Health Benefits Program or the School Employees’ Health Benefits Program.  The number of local governments affected by the bill is not available.

 

Section:

Commerce, Labor, and Industry

Analyst:

John Gaudioso

Assistant Fiscal Analyst

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.).