ASSEMBLY, No. 945

 

STATE OF NEW JERSEY

 

Introduced Pending Technical Review by Legislative Counsel

 

PRE-FILED FOR INTRODUCTION IN THE 1996 SESSION

 

 

By Assemblyman FELICE

 

 

An Act concerning old age and permanent disability assistance and amending P.L.1973, c.256.

 

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

 

    1. Section 3 of P.L.1973, c.256 (C.44:7-87) is amended to read as follows:

    3. The commissioner shall:

    a. Enter into agreements with the government to secure the administration of supplementary payments by the government for such time and upon such conditions as the commissioner may in his discretion deem appropriate.

    b. Promulgate, alter and amend such rules, regulations and directory orders as are necessary and proper:

    (1) To implement the terms of the agreement with the government for the administration by the government of supplementary payments; and

    (2) To secure social services for eligible persons, and for such other aged, blind or disabled persons as the commissioner may designate.

    c. Transfer State or welfare board funds, or both, currently appropriated for this State's participation in the federal categorical assistance programs of "Old Age Assistance," R.S.44:7-3 to R.S.44:7-37, "Assistance for the Blind," P.L.1962, c.197 (C.44:7-43 to 44:7-49) and "Permanent and Total Disability Assistance," P.L.1951, c.139 (C.44:7-38 to 44:7-42) and any funds which may in the future be appropriated for the payment of supplementary payments, to the government in such amounts and at such times as the commissioner shall deem appropriate in order to provide for supplementary payments to eligible persons in this State; except that the commissioner shall annually increase the State supplementary payments to eligible persons residing in residential health care facilities by a percentage equal to any percentage increase in the federal government's supplemental security income payments.

    d. Pay to the government such funds as are necessary to reimburse the government's expenses in collecting additional information needed for the State to make eligibility determinations for medical assistance under the New Jersey Medical Assistance and Health Services Act, P.L.1968, c.413 (C.30:4D-1 to 30:4D-19).

    e. Require welfare boards to perform such eligibility determinations as the commissioner may deem necessary for the continuation of the New Jersey Medical Assistance Program under the New Jersey Medical Assistance and Health Services Act, P.L.1968, c.413. The commissioner shall pay to the counties a reasonable amount to reimburse the welfare boards for their expenses in making such eligibility determinations.

    f. Assess welfare boards at the beginning of each fiscal year in the same proportion that the counties currently participate in the federal categorical assistance programs in order to obtain the amount of each county's share of supplementary payments for eligible persons in this State based upon the number of eligible persons in the county. The assessment shall be made as of January 1, 1974 for fiscal year 1974. In the event that the assessment against welfare boards in any one year exceeds the amount annually transferred to the government for the counties' portion of supplementary payments, the commissioner shall return the excess to the welfare boards in the same proportion as that used by the commissioner in assessing the welfare boards for the fiscal year involved.

    g. Take appropriate steps to secure maximum federal financial participation in providing assistance to eligible persons residing in residential health care facilities.

    h. Ensure that any eligible person residing in a rooming or boarding house or residential health care facility has reserved to him a monthly amount, from payment received under the provisions of the act to which this act is a supplement or from any other income, as a personal needs allowance. The personal needs allowance may vary according to the type of facility in which an eligible person resides, but in no case shall be less than $25.00 per month.

    i. Ensure that any eligible person who receives medical assistance under subparagraph 4(a) of subsection a. or under subparagraph (11), (13) or (14) of subsection b. of section 6 of P.L.1968, c.413 (C.30:4D-6) receives $10.00 per month, in addition to benefits received pursuant to 42 U.S.C. §1382 (e) (1) (B). If the government cannot administer this $10.00 monthly increase, the commissioner shall administer this increase and shall ensure that this increase is not considered income, for Supplemental Security Income Program purposes. However, if the government increases the benefit level under 42 U.S.C. §1382 (e) (1) (B), the commissioner shall allow the government to administer this increase and shall reduce its payment to an eligible recipient by an equal amount.

(cf: P.L.1991, c.466, s.1)

 

    2. This act shall take effect immediately.

 

 

STATEMENT

 

    This bill requires the Commissioner of Human Services to annually increase the amount of State supplementary payments to individuals residing in residential health care facilities (RHCFs) by the same percentage as any increase in the federal government's supplemental security income (SSI) payments to those individuals.

    Currently, the basic State supplementary payment to individuals residing in RHCFs is $131.30 a month. With the inclusion of the Lifeline utility supplement received by SSI recipients residing in RCHFs, the amount of the State supplementary payment increases to $150.65 a month. The monthly federal SSI payment level for these SSI recipients was increased effective January 1, 1994 from $434.00 to $446.00 (an increase of approximately 2.8%).

    The bill is identical to Assembly Bill No. 778 (Felice) introduced during the 1992-93 session. According to a fiscal note to that bill prepared by the Office of Legislative Services, the Department of Human Services (DHS) estimated its cost at $415,958, $494,045 and $547,271, respectively, over the next three fiscal years, while the Office of Management and Budget (OMB) estimated the cost of implementing the bill at $356,519, $482,561 and $550,984, respectively, over the same period. Both estimates assume the same number of SSI recipients residing in RHCFs. DHS assumed a higher COLA than OMB (4 percent, 4.5 percent and 4.7 percent, respectively, in each of the next three years compared to the 3 percent, 4 percent and 4.5 percent assumed by OMB). DHS also based the COLA on the basic State supplement, excluding the Lifeline supplement, whereas OMB included the Lifeline supplement as part of the State's supplement.

    The fiscal note to Assembly Bill No. 778 indicated that there is some ambiguity as to whether "State supplementary payments" include or exclude Lifeline utility supplements received by SSI recipients residing in RCHFs. DHS excluded Lifeline utility supplements from its calculations, whereas OMB included Lifeline utility supplements in its calculations. The inclusion or exclusion of Lifeline utility supplements would cost or save the State about $60,000 annually (based on a 4 percent COLA and 6,600 SSI recipients).


 

Provides for annual increase in State supplementary payments to residents of residential health care facilities.