LEGISLATIVE FISCAL ESTIMATE

ASSEMBLY, No. 3007

STATE OF NEW JERSEY

221st LEGISLATURE

 

DATED: FEBRUARY 19, 2025

 

 

SUMMARY

 

Synopsis:

Increases maximum age for pediatric long-term care facility residents to 26.

Type of Impact:

Potential State expenditure and revenue increase.

Agencies Affected:

Department of Human Services.

 

 

Office of Legislative Services Estimate

Fiscal Impact

Annual

 

Potential State Expenditure Increase

Indeterminate

 

Potential State Revenue Increase

Indeterminate

 

 

 

 

·         The Office of Legislative Services (OLS) concludes that this bill may result in an indeterminate State expenditure increase under the NJ FamilyCare Program due to enrollees between the ages of 20 and 26 being permitted to receive services from participating pediatric long-term care facilities, which generally receive a higher reimbursement rate than the participating adult facilities. 

·         Any increased costs concomitantly will grow annual State revenue in the form of federal cost reimbursements for eligible NJ FamilyCare expenditures.

 

 

BILL DESCRIPTION

 

      This bill authorizes pediatric long-term care facilities licensed by the Department of Health to admit and provide services to residents who are age 26 or younger.  Currently, the maximum age is 19 for pediatric long-term care residents.

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS concludes that this bill may result in an indeterminate State expenditure increase under the NJ FamilyCare Program due to enrollees between the ages of 20 and 26 being permitted to receive services from participating pediatric long-term care facilities, which generally receive a higher reimbursement rate than participating adult facilities.  NJ FamilyCare provides health care coverage for individuals who qualify for the Children’s Health Insurance Program or Medicaid.  Any increased costs concomitantly will grow annual State revenue in the form of federal cost reimbursements for eligible NJ FamilyCare expenditures, albeit by an indeterminate amount.

      Currently, of the State’s four pediatric long-term care facilities that participate in the NJ FamilyCare program, three receive a higher reimbursement rate than the average reimbursement rate of $707 per diem of the participating adult facilities:

    

 

Pediatric Facility Name

Number of Pediatric Beds

FY 2025 Per Diem Base Rate

Children’s Specialized Hospital - Mountainside

50

$1,024.81

Voorhees Pediatric Facility - Voorhees

119

$965.97

Children’s Specialized Hospital - Toms River

26

$947.27

The Phoenix Center for Rehabilitation and Pediatrics - Haskell

92

$623.91

     

      The OLS cannot predict the number and acuity of the NJ FamilyCare enrollees between the ages of 20 and 26 who would choose to receive care at a pediatric facility under the bill, as well as the availability of beds at pediatric facilities for enrollees in this age range.  Moreover, the specific expenditure and revenue increase per enrollee will vary depending on the adult facility that the enrollee would have used, absent the bill.  The reimbursement rates for adult facilities range from a low of $472.72 per diem to a high of $985.82, depending on the level of care provided at the facility. 

 

Section:

Human Services

Analyst:

Sarah Schmidt

Principal research 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.).