LEGISLATIVE FISCAL ESTIMATE

[First Reprint]

SENATE, No. 3562

STATE OF NEW JERSEY

221st LEGISLATURE

 

DATED: DECEMBER 17, 2024

 

 

SUMMARY

 

Synopsis:

Provides for designation and establishment of Public Health Institute in New Jersey.

Type of Impact:

Annual net impact on State and local government expenditures.

Agencies Affected:

Department of Health, county and local health departments.

 

 

Office of Legislative Services Estimate

 

 

Fiscal Impact

 

Annual

 

 

State Net Cost Impact

 

Indeterminate

 

 

Local Net Cost Impact

 

Indeterminate

 

 

 

 

·         The Office of Legislative Services (OLS) concludes that the net fiscal impact of the bill cannot be determined.

 

·         The State and local health departments may experience indeterminate workload increases relating to the operations of a Public Health Institute in the State.

 

·         The State and local governments may also experience indeterminate savings to the extent the Public Health Institute receives private funding and utilizes those funds for public health programs or services that would otherwise have been provided by the Department of Health or county or local health departments.

 

 

BILL DESCRIPTION

 

      The bill requires the Department of Health to designate a nonprofit entity to serve as the Public Health Institute pursuant to criteria established by the department.  The purpose and objective of the Public Health Institute will be to:

      (1)  coordinate among national, State, and local agencies including, but not limited to local and county health departments and licensed health care facilities, and private organizations, to promote equitable public health services;

      (2)  provide operational and fiscal support to public and private health agencies;

      (3)  develop and implement programs to improve public health outcomes, address racial disparities in public health including the underlying systemic root causes of health disparities and inequities, and bridge gaps between public and private sector health care; and

      (4)  enter into contracts to purchase supplies or therapeutics, or service agreements necessary to help the department protect the public health.

      The department will establish criteria for an entity to be designated as a public health institute, including that the entity be a nonprofit organization, located in New Jersey and recognized by the National Network of Public Health Institutes or any successor accreditation body for public health institutes. 

      An entity designated as a public health institute will agree to: maintain its nonprofit status; consult with and give consideration to the recommendations of the department and local health departments; develop and submit to the department the institute’s startup and operational plans; provide planning documents and progress reports to the department; provide assistance and services, as required by the department to design or implement programs or services that advance the mutual goals of the department and the institute; and report any data collected or maintained by the institute to the department.

      The bill establishes a dedicated, non-lapsing fund in the department, which will be the repository for any State appropriations, donations, or grant awards received to support and fund the creation and maintenance of the institute and any programs or services provided by the institute.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      Although the Department of Health did not provide a fiscal note for the bill, the department stated that it does not anticipate the need for a State appropriation in order to implement the provisions of the bill.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS concludes that the net fiscal impact of the bill cannot be determined. 

      The State and local health departments may experience indeterminate workload increases relating to the operations of a Public Health Institute in the State.  The OLS cannot predict the magnitude and scope of any projects, programs, initiatives, or services that will be undertaken by the institute. 

      The State and local governments may also experience indeterminate savings to the extent the Public Health Institute receives private funding and utilizes those funds for public health programs or services that would otherwise have been provided by the Department of Health or county or local health departments.  Because the OLS has no way to anticipate privately funded institute programs or services that may supplant State, county, or locally funded public health initiatives, the magnitude of any future budgetary savings is uncertain.

 

Section:

Human Services

Analyst:

Anne Cappabianca

Senior Fiscal 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.).