ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

[First Reprint]

ASSEMBLY, No. 14

STATE OF NEW JERSEY

DATED: DECEMBER 5, 1996

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 14 (Aca).

      Assembly Bill No. 14 (Aca) is part of a legislative package, along with Assembly Bills 12, 13, and 15, that establishes the "Work First New Jersey" program in the Department of Human Services as the State's consolidated public assistance program, replacing the current programs of aid to families with dependent children (AFDC), AFDC emergency assistance, general assistance (GA), GA emergency assistance, the GA employability program, and the Family Development Initiative.

      This bill deals with: the eligibility for program benefits of care givers to dependent children and the eligibility of children in households with stepparents; program requirements to provide supportive services to program recipients; the eligibility of single adults and couples without dependent children for medical assistance for inpatient or outpatient hospital care or long-term care under the program; reports by the Commissioner of Human Services to the Legislature and Governor on the program; establishment of a standard of need with an annual update; and amendments to the "motor voter" law to update references to reflect the “Work First New Jersey” program. For a more detailed description of this bill, the Assembly Policy and Regulatory Oversight Committee statement of this date, should be consulted.

FISCAL IMPACT:

      The overall costs of the legislative package cannot be determined at this time because the impact of many of the provisions will not be known until the program is implemented.

      During a hearing on the Senate version of these bills, the Commissioner of Human Services stated that the overall gross cost of the programs under "Work First New Jersey Program” is now approximately $1.3 billion and it is the intention of the department to maintain at that level for several fixed years. Submission of a State plan to the federal government (which has been done) followed by enactment of the “Work First New Jersey” program to comply with the new federal mandates qualifies the State for the federal Temporary Assistance to Needy Families Block Grant in the amount of $404 million annually, approximately $50 to $60 million more than the State recently received under existing programs.

      The commissioner stated that he would present a revised summary budget for Fiscal Year 1997 for the programs being consolidated, reflecting the changes in revenues, costs and requirements necessitated by the new federal law and the proposed bills.