SENATE, No. 2062

STATE OF NEW JERSEY

221st LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION

 


 

Sponsored by:

Senator  VIN GOPAL

District 11 (Monmouth)

 

 

 

 

SYNOPSIS

     Requires DCA to conduct investigation into nurse staffing agencies and exorbitant pricing.

 

CURRENT VERSION OF TEXT

     Introduced Pending Technical Review by Legislative Counsel.

  


An Act concerning nurse staffing agencies.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.  a.    The Commissioner of Community Affairs shall conduct an investigation into exorbitant pricing and health care agencies that provide clients nurse staffing services, otherwise known as nurse staffing agencies.  The purpose of this investigation shall be to:

     (1)   in consideration of the current economic recession and inflationary period, the current shortage of nurses, and other economic factors that force price increases, set objective parameters to determine what constitutes a nurse staffing agency engaged in exorbitant pricing, as opposed to a nurse staffing agency that is forced to charge higher prices due to economic factors that are beyond the agency’s control;

     (2)   determine whether certain nurse staffing agencies in this State are engaged in exorbitant pricing as determined pursuant to paragraph (1) of this subsection;

     (3)   determine to what extent nurse staffing agencies are engaged in exorbitant pricing if the commissioner determines that certain nurse staffing agencies are engaged in exorbitant pricing;

     (4)   develop recommendations on how to prevent nurse staffing agencies from engaging in exorbitant pricing if the commissioner determines that certain nurse staffing agencies are engaged in exorbitant pricing;

     (5)   determine the difference between the amount nurse staffing agencies are compensated by health care institutions and the amount nurse staffing agencies pay to contracted nurses, and examine the extent to which nurse staffing agencies could provide more transparency regarding such payments;  

     (6)   examine how federal funds were used to pay nurse staffing agencies during periods workforce shortages related to COVID-19 related, and

     (7)   study the market effects in states that imposed limits on travel nurse pay.

     b.    Within six months after the date of enactment of this act, the Commissioner of Community Affairs shall prepare and submit to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, a report containing any findings and recommendations produced by the investigation.

 

     2.    This act shall take effect immediately and shall expire upon the submission of the report pursuant to subsection b. of section 1.

STATEMENT

 

     This bill requires the Commissioner of Community Affairs (commissioner) to conduct an investigation into nurse staffing agencies and exorbitant pricing.

     Under the bill, the commissioner is to conduct an investigation into exorbitant pricing and health care agencies that provide clients nurse staffing services, otherwise known as nurse staffing agencies. 

     The bill provides that the purpose of this investigation is to:  (1) in consideration of the current economic recession and inflationary period, the current shortage of nurses, and other economic factors that force price increases, set objective parameters to determine what constitutes a nurse staffing agency engaged in exorbitant pricing, as opposed to a nurse staffing agency that is forced to charge higher prices due to economic factors that are beyond the agency’s control; (2) determine whether certain nurse staffing agencies in this State are engaged in exorbitant pricing; (3) determine to what extent nurse staffing agencies are engaged in exorbitant pricing if the commissioner determines that certain nurse staffing agencies are engaged in exorbitant pricing; (4) develop recommendations on how to prevent nurse staffing agencies from engaging in exorbitant pricing if the commissioner determines that certain nurse staffing agencies are engaged in exorbitant pricing; (5) determine the difference between the amount nurse staffing agencies are compensated by health care institutions and the amount nurse staffing agencies pay to contracted nurses, and examine the extent to which nurse staffing agencies could provide more transparency regarding such payments; (6) examine how federal funds were used to pay nurse staffing agencies during periods workforce shortages related to COVID-19 related, and (7) study the market effects in states that imposed limits on travel nurse pay.

     Within six months after the bill’s date of enactment, the commissioner is to prepare and submit to the Governor and Legislature, a report containing any findings and recommendations produced by the investigation.