S4044

An Act concerning rental assistance benefits under NJ FamilyCare and supplementing Title 30 of the Revised Statutes.

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

1. a. No later than six months after the effective date of this section, the Division of Medical Assistance and Health Services in the Department of Human Services shall apply to the Centers for Medicare and Medicaid Services in the United States Department of Health and Human Services for approval to amend the State’s federal waiver under section 1115 of the “Social Security Act,” 42 U.S.C. s.1315, to include the provision of rental assistance benefits to certain NJ FamilyCare beneficiaries, who are not currently receiving other similar benefits under a different government assistance program, for up to six months. NJ FamilyCare populations eligible for these benefits under the approval request shall be limited to those individuals: who are homeless, at risk of homelessness as defined by 24 C.F.R. 91.5, or transitioning out of an emergency shelter as defined by 24 C.F.R. 91.5; and who have been diagnosed with a serious mental illness or substance use disorder.

b. Upon receipt of approval to amend the State’s federal waiver from the Centers for Medicare and Medicaid Services, the division shall immediately begin implementation of a NJ FamilyCare rental assistance benefit, as described in subsection a. of this section.

c. As used in this section:

“Rental Assistance Benefits” means vouchers, subsidies, or other forms of financial assistance issued to a housing provider that allow an eligible NJ FamilyCare beneficiary to secure or maintain housing for up to six months.

“NJ Family Care” means the program established pursuant to P.L.2005, c.156 (C.30:4J-8 et al.), which includes the Children’s Health Insurance Program and the Medicaid Program

2. The Commissioner of Human Services shall adopt rules and regulations pursuant to the "Administrative Procedure Act" P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the purposes of this act.

3. This act shall take effect immediately.

STATEMENT

This bill directs the Division of Medical Assistance and Health Services in the Department of Human Services, no later than six months after the effective date of the bill, to apply to the Centers for Medicare and Medicaid Services in the United States Department of Health and Human Services for approval to amend the State’s federal waiver under section 1115 of the “Social Security Act” to include the provision of rental assistance benefits to certain NJ FamilyCare beneficiaries for up to six months.

In New Jersey, this federal waiver is known as the NJ FamilyCare 1115 Comprehensive Demonstration and, with federal approval, it governs the operations of significant components of New Jersey’s Medicaid program and Children’s Health Insurance Program. New Jersey’s current waiver provides certain housing related services to a variety of populations, but does not provide for direct payment of rental subsidies. Populations eligible for the existing benefits include individuals who are: transitioning from an institution to the community setting, being released from correctional facilities, transitioning out of high-risk or unstable housing situations, and homeless or at risk of becoming homeless; however, the waiver does not cover direct housing subsidies.

This bill would expand the services provided under the waiver to include rental assistance benefits, which the bill defines as financial assistance issued to a housing provider that allow an eligible NJ FamilyCare beneficiary to secure or maintain housing for up to six months. However, unlike the existing benefits, eligible beneficiaries would be limited to those who are homeless, at risk of homelessness, or transitioning out of an emergency shelter; and who have been diagnosed with a serious mental illness or substance use disorder.