ASSEMBLY AGING AND HUMAN SERVICES COMMITTEE

STATEMENT TO

ASSEMBLY, No. 5472

STATE OF NEW JERSEY

DATED:  MAY 8, 2025

      The Assembly Aging and Human Services Committee reports favorably Assembly Bill No. 5472.

      This bill increases income threshold limits for certain Medicaid eligibility groups.  Specifically, the bill increases the income eligibility for the Aged, Blind, and Disabled (ABD) eligibility group from 100 percent of the federal poverty level to 138 percent of the federal poverty level, which, in 2025, would increase the income threshold from $15,650 per year to $21,597 per year for an individual.  The Medicaid ABD pathway provides medical coverage to individuals who are age 65 years or older as well as individuals determined blind or disabled by the federal Social Security Administration or by the State.

      The bill also increases the medically needy income limit, which allows an income ineligible applicant for ABD benefits to deduct certain medical expenses from the applicant’s income in order to become eligible for Medicaid.  Under the bill, this threshold would also be 138 percent of the federal poverty level.  In 2025, the State’s medically needy income limit is $367 per month for an individual, which would increase to $1,800 under the bill.

      Finally, the bill increases the income limit for the Qualified Medicare Beneficiary (QMB) Program from 100 percent of the federal poverty level to 138 percent of the federal poverty level. 

      Under the bill, the Commissioner of Human Services is to apply for such State plan amendments or waivers as may be necessary:  to implement the provisions of this bill; to secure federal financial participation for State Medicaid expenditures under the federal Medicaid program; and to reduce the administrative burden on, and simplify the redetermination process implemented by, the Department of Human Services regarding the Medicaid eligibility groups affected by this bill.