ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

[First Reprint]

ASSEMBLY, No. 3853

STATE OF NEW JERSEY

DATED:  DECEMBER 16, 2024

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 3853 (1R).

      The bill updates section 11 of P.L.2021, c.310 to extend, from December 31, 2024 until July 1, 2026, the requirement that health benefits plans in the State cover and pay for health care services delivered to a covered person through telemedicine or telehealth at a provider reimbursement rate that equals the reimbursement rate for the same services when delivered on an in-person basis in New Jersey, provided the services are covered by the health benefits plan when delivered on an in-person basis in the State. 

FISCAL IMPACT:

      The Office of Legislative Services (OLS) concludes that the bill will result in an indeterminate 18-month increase in State expenditures and revenues. NJ FamilyCare expenditures will increase by an indeterminate amount in order to extend by 18 months the statutory requirement that NJ FamilyCare reimburse for telemedicine and telehealth services at a rate that equals the provider rate paid when the same services are delivered on an in-person basis, provided the services are otherwise covered when delivered in person in the State.

      Any increase in NJ FamilyCare expenditures will result in additional State revenues, in the form of federal reimbursements for eligible State expenditures under the federal Medicaid program.