LEGISLATIVE FISCAL ESTIMATE

[First Reprint]

SENATE, No. 2976

STATE OF NEW JERSEY

217th LEGISLATURE

 

DATED: DECEMBER 26, 2017

 

 

SUMMARY

 

Synopsis:

Requires health benefits coverage for donated human breast milk under certain conditions.

Type of Impact:

State and local expenditure increase

Agencies Affected:

Division of Pensions and Benefits, Department of the Treasury; local boards of education; local government entities.

 

 

Office of Legislative Services Estimate

Fiscal Impact

FY 2018 

FY 2019

FY 2020

 

State Cost

Indeterminate increase - See comments below

 

Local Cost

Indeterminate increase - See comments below

 

 

 

 

·         According to bill comments made during the discussion of the bill at the October 2015 Pension and Health Benefits Review Commission meeting, this bill will increase annual costs to the State Health Benefits Program (SHBP) and the School Employees’ Health Benefits Program (SEHBP) by $4.3 million to provide health benefits coverage for donated human breast milk under certain conditions as required.  No data is available to the Office of Legislative Services (OLS) with which to update this estimate.

 

·         Local government entities not participating in the SHBP and SEHBP will also experience indeterminate annual cost increases.  No data is available with which to estimate the amount of increase.

 

 

BILL DESCRIPTION

 

      Senate Bill No. 2976 (1R) of 2016 requires health insurers (health, hospital and medical service corporations, commercial individual and group health insurers; health maintenance organizations, health benefits plans issued pursuant to the New Jersey Individual Health Coverage and Small Employer Health Benefits Programs, the SHBP, and the SEHBP) to provide health benefits coverage for any expenses incurred in the provision of pasteurized donated human breast milk, which may include human milk fortifiers if indicated by the prescribing licensed medical provider provided that:

      (1)  the covered person is an infant under the age of six months;

      (2)  a licensed medical practitioner has issued an order for an infant who is medically or physically unable to receive maternal breast milk or participate in breast feeding or whose mother is medically or physically unable to produce maternal breast milk in sufficient quantities or participate in breast feeding despite optimal lactation support;

      (3)  a licensed medical practitioner has issued an order for an infant that meets any of the following conditions:

      (a)  a body weight below healthy levels determined by the licensed medical practitioner;

      (b)  a congenital or acquired condition that places the infant at a high risk for development of necrotizing enterocolitis; or

      (c)  a congenital or acquired condition that may benefit from the use of donor breast milk as determined by the Department of Health; and

      (4)  the milk is obtained from a human milk bank that meets quality guidelines established by the Department of Health.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

According to bill comments made during the discussion of the bill at the October 2015 Pension and Health Benefits Review Commission meeting, this bill will increase annual costs to the SHBP and the SEHBP by $4.3 million to provide health benefits coverage for donated human breast milk under certain conditions as required. No data is available to the OLS with which to update this estimate.

Local government entities not participating in the SHBP and SEHBP will also experience indeterminate annual cost increases.  No data is available with which to estimate the amount of increase.

 

 

Section:

State Government

Analyst:

Kimberly M. Clemmensen

Senior Fiscal Analyst

Approved:

Frank W. Haines III

Legislative Budget and Finance Officer

 

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).