ASSEMBLY OVERSIGHT, REFORM AND FEDERAL RELATIONS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 782

STATE OF NEW JERSEY

DATED:  FEBRUARY 12, 2026

      The Assembly Oversight, Reform and Federal Relations Committee reports favorably Assembly Bill No. 782.

      As reported by the committee, this bill revises licensure requirements for residential substance use disorders treatment facilities or programs.

     Under the bill, the Department of Health is to require an applicant for licensure to operate as a residential substance use disorders treatment facility or program to submit to the department a financial audit that is conducted by an independent, certified public accountant, who is chosen by the department.  The applicant is to bear the cost of the audit.  The department is to deny an application for licensure if the financial audit reveals business practices or financial activities that are deemed improper or questionable by the department. 

     The bill provides that the department is to require an applicant for licensure to operate as a residential substance use disorders treatment facility or program to complete a criminal history record background check and submit to being fingerprinted.  The department is to deny an application for licensure if the results of the criminal background check reveal a conviction involving dishonesty or fraud.

     Finally, the bill requires the department to periodically conduct unannounced inspections of residential substance use disorders treatment facilities or programs.

      This bill was pre-filed for introduction in the 2026-2027 session pending technical review.  As reported, the bill includes the changes required by technical review, which has been performed.