LEGISLATIVE FISCAL ESTIMATE
ASSEMBLY, No. 5404
STATE OF NEW JERSEY
222nd LEGISLATURE
DATED: OCTOBER 22, 2026
SUMMARY
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Synopsis: |
Establishes "Midwifery Licensing Act." |
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Type of Impact: |
Annual State cost increases; potential annual State revenue impacts. |
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Agencies Affected: |
Department of Law and Public Safety. |
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Office of Legislative Services Estimate |
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Fiscal Impact |
Year 1 |
Year 2 and Thereafter |
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State Cost Increase |
Indeterminate |
Indeterminate |
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Potential State Revenue Impact |
Indeterminate |
Indeterminate |
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· The Office of Legislative Services (OLS) finds that the bill will result in indeterminate initial workload costs to the State to establish the new State Board of Midwifery and transfer licenses from the State Board of Medical Examiners. Thereafter, additional annual operating expenditures associated with the licensure and regulation of certified midwives, certified nurse midwives, and certified professional midwives would accrue to the new State Board of Midwifery to the extent that its overhead costs are higher than that of the current board overseeing these professions.
· As the board is required statutorily to pay for its operating expenses out of its fee collections, the OLS notes that the board may adjust its license fee amounts, if necessary, to account for any changes in its finances due to establishing the freestanding State Board of Midwifery. The OLS cannot determine what, if any, impact the bill will have on State revenue collections as this will depend on the operating decisions of the newly established board.
BILL DESCRIPTION
This bill modifies the State regulation of midwives. Specifically, the bill repeals the current law requiring approval for licensure of midwives by the State Board of Medical Examiners and establishes a State Board of Midwifery.
The board is to consist of 11 members who will oversee the licensure of certified midwives, certified nurse midwives, and certified professional midwives.
The bill: 1) delineates the responsibilities of the board, which include the approval of licensure applications; maintenance of records of each licensee; and recognition of entities accrediting midwifery education programs and national entities issuing midwifery certifications; 2) establishes continuing education requirements; 3) requires applicants to meet certain standards to qualify for a license; and 4) requires the State Board of Midwifery to grant individuals currently licensed as certified midwives, certified nurse midwives, and certified professional midwives by the State Board of Medical Examiners a license at that same level.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS finds that the bill will result in indeterminate initial workload costs to the State to establish the new State Board of Midwifery and transfer licenses from the State Board of Medical Examiners. Thereafter, additional annual operating expenditures associated with the licensure and regulation of certified midwives, certified nurse midwives, and certified professional midwives would accrue to the new State Board of Midwifery to the extent that its overhead costs are higher than that of the current board overseeing these professions.
State Expenditures: The practice of midwifery is currently licensed and regulated under the State Board of Medical Examiners in the Division of Consumer Affairs. Under current regulations, the Midwifery Liaison Committee under the supervision of the State Board of Medical Examiners oversees the midwifery licensees. Under the provisions of this bill, these responsibilities will be transferred to the newly established State Board of Midwifery. Under current law, members of professional boards are generally compensated on a per diem basis in the amount of $25, or another amount determined by the Office of the Attorney General with the approval of the Department of the Treasury that does not exceed $100 per diem, or $2,500 annually.
State Revenue: The bill will result in continued State revenue collections from licensure and registration fees, fines, and penalties by indeterminate amounts. As of June 2026, there are 25 individuals holding certified professional midwife licenses, 458 individuals holding certified nurse midwife licenses, and 13 individuals holding a certified midwife license. The application fee under the State Board of Medical Examiners is $125. The initial license and renewal fee is $270 and is renewed every two years.
The OLS cannot quantify the fee payments the new board may collect from the licensing and renewal requirements because the bill leaves the setting of specific fee levels to the board’s discretion. Current law requires that certain State regulatory boards are to be self-sustaining from the fees they collect while not operating at a surplus.
The OLS anticipates that the State may annually collect indeterminate fines and penalty payments from violators of statutory and regulatory requirements applicable to the profession, similar to current practice.
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Section: |
Law and Public Safety |
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Analyst: |
Lead Fiscal Analyst |
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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.).