LEGISLATIVE FISCAL ESTIMATE
[First Reprint]
ASSEMBLY, No. 5792
STATE OF NEW JERSEY
221st LEGISLATURE
DATED: JULY 2, 2025
SUMMARY
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Synopsis: |
Provides for workers' compensation coverage of certain counseling services for first responders and provides that certain mental health related communications are confidential. |
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Type of Impact: |
Annual State and local expenditure increases. |
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Agencies Affected: |
Public entities that employ first responders. |
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Office of Legislative Services Estimate |
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Fiscal Impact |
Annual |
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State Expenditure Increase |
Indeterminate |
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Local Expenditure Increase |
Indeterminate |
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· The Office of Legislative Services (OLS) finds that the bill will result in an indeterminate annual increase in State and local expenditures related to counseling services for first responders involved in critical incidents.
· The OLS notes that the bill will also result in increased premiums for entities that purchase workers' compensation coverage.
BILL DESCRIPTION
This bill requires employers of first responders, including paid 9-1-1 first responder dispatchers, law enforcement officers, paid firefighters, and paid emergency medical services responders, to provide for workers’ compensation coverage of counseling services in certain situations.
Under the bill, an employer of a first responder is required to provide for up to 12 hours of paid confidential counseling compensable under the provisions of the workers’ compensation law with a mental health professional to a first responder who experiences a critical incident in the course of the first responder’s employment. The bill provides that the counseling would be in addition to, and separate from, any benefits already provided by an employer sponsored health plan or a group health insurance trust fund. The bill also permits an eligible first responder to select a mental health professional to provide counseling.
The bill further provides that if a mental health professional determines that the first responder would benefit from additional hours of licensed counseling beyond the initial 12 hours and that the additional hours of licensed counseling are likely to improve the first responder’s condition, the employing agency of the first responder is required to pay for up to an additional 24 hours of licensed counseling.
All of the hours of counseling authorized under the bill are required to be completed within one year after the first responder’s first visit to a mental health professional. The employing agency of the first responder is prohibited from requiring the use of accrued annual or vacation leave, personal leave, sick leave, or any other paid leave if a counseling session scheduled occurs during the first responder’s established work hours.
Under the bill, “critical incident” is defined to include events such as firing a weapon, being involved in an exchange of gun fire, receiving a serious bodily injury, witnessing certain serious bodily injuries and deaths, and being involved in certain investigations related to minors.
Additionally, the bill provides that interactions related to mental health support between a law enforcement officer and a resiliency program officer or a member of a peer support team shall be confidential. A resiliency program officer or a member of a peer support team shall not be required to disclose mental health support related communications with another law enforcement officer, except if the law enforcement officer is reasonably believed to be a risk to themselves or others or when there is evidence of the commission of a crime by the law enforcement officer.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS finds that the bill will result in an indeterminate increase in State and local expenditures related to additional counseling services for first responders involved in critical incidents.
The bill provides for an initial allotment of 12 hours of paid confidential counseling compensable under workers’ compensation provisions. This counseling is in addition to any benefits provided by an employer health plan. If the mental health professional determines that the first responder would benefit from additional counseling, the bill provides for an additional 24 hours of paid professional counseling. These provisions of the bill will likely result in increased claims and costs for workers’ compensation benefits. In order to estimate the expenditures for this program, the OLS would need to estimate the number of first responders who will qualify for the program, the average salary rate for first responders in the program, the average hourly rate for counseling services, along with the average duration in hours of each qualified instance. The OLS lacks the informational basis to make an accurate estimate on the State and local expenditures related to this program.
The OLS does not have access to independent actuarial information to analyze and determine the impact of projected claim increases on workers’ compensation premium calculations and total costs. However, since a majority of public entities are self-insured for workers’ compensation, any increases to the costs of workers’ compensation will be funded directly by these entities.
In summary, although the OLS cannot quantify the cost of this legislation to the State and local public entities, it is likely that there will be an increase in the cost of workers’ compensation claims to self-insured entities and in workers’ compensation premiums for those entities that purchase coverage.
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Section: |
Commerce, Labor and Industry |
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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.).