SENATE BUDGET AND APPROPRIATIONS COMMITTEE

STATEMENT TO

SENATE, No. 3610

with committee amendments

STATE OF NEW JERSEY

DATED:  March 17, 2025

      The Senate Budget and Appropriations Committee reports favorably and with committee amendments Senate Bill No. 3610.

      As amended and reported, this bill directs the Director of the Office of Management and Budget in the Department of the Treasury and the Assistant Commissioner of the Division of Medical Assistance and Health Services in the Department of Human Services to annually prepare and submit a report to the Governor and to the Legislature that:  (1) identifies all unencumbered or unallocated State funds that are available to be appropriated in the current fiscal year to the Division of Medical Assistance and Health Services for the purposes of NJ FamilyCare and any program that utilizes Medicaid funds including, but not limited to, school-based health services reimbursed by Medicaid; and (2) evaluates the quality of care for beneficiaries across NJ FamilyCare and compiles a prioritized list of the 12 most urgent policy changes and legislative actions, along with the associated State funds necessary to implement those initiatives, that are required to address any quality of care deficiency identified in the evaluation.  NJ FamilyCare provides health insurance to certain low-income residents of the State via the Medicaid program and the Children’s Health Insurance Program.

This bill directs the Director of the Office of Management and Budget in the Department of the Treasury and the Director of the Division of Family Development in the Department of Human Services to annually prepare and submit a report to the Governor and to the Legislature that:  (1) identifies all unencumbered or unallocated State funds that are available to be appropriated in the current fiscal year to the Department of Human Services for the purposes of providing subsidy payments for child care services; and (2) evaluates the quality of child care services in the State and compiles a prioritized list of the 12 most urgent policy changes and legislative actions, along with the associated State funds necessary to implement those initiatives, that are required to address any deficiency identified in the evaluation.

      The bill defines “child care services” to mean those services provided to eligible children, as certified by the Division of Family Development, for which the division receives and administers State and federal funding to provide subsidy payments to licensed child care providers or registered family day care providers.

COMMITTEE AMENDMENTS:

      The committee amendments expressly include any program that utilizes Medicaid funds, including, but not limited to, school-based health services reimbursed by Medicaid, into the scope of the report on NJ FamilyCare required by the bill.

      The committee amendments also require the Director of the Office of Management and Budget in the Department of the Treasury and the Director of the Division of Family Development in the Department of Human Services to submit a report on child care services and subsidy payments for those child care services.

      The committee amendments define “child care services” to mean those services provided to eligible children, as certified by the Division of Family Development, for which the division receives and administers State and federal funding to provide subsidy payments to licensed child care providers or registered family day care providers.

      The committee amendments revise the title and synopsis of the bill to reflect these changes.

FISCAL IMPACT:

      The Office of Legislative Services (OLS) concludes that the bill will increase annual State salary and benefits costs by approximately $410,000.  This estimate assumes that the following staff will be required to complete the tasks enumerated in the bill: 1.25 full-time equivalent employees, in a senior level fiscal analyst position, within the Department of the Treasury; and 1.25 full-time equivalent employees, in a senior level program specialist position, within the Department of Human Services.