ASSEMBLY, No. 2347

STATE OF NEW JERSEY

INTRODUCED SEPTEMBER 19, 1996

By Assemblyman BATEMAN

An Act concerning inpatient hospitalization for general assistance recipients and repealing P.L.1950, c.303.

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

    1. Effective July 1, 1996, the State shall pay inpatient hospitalization costs for a recipient of general public assistance pursuant to P.L.1947, c.156 (C.44:8-107 et seq.) who is admitted to a special hospital or psychiatric hospital licensed by the Department of Health and Senior Services which is not eligible to receive a charity care subsidy from the Health Care Subsidy Fund established pursuant to section 8 of P.L.1992, c.160 (C.26:2H-18.58). The State shall pay the inpatient hospitalization costs on the same basis as hospitals are reimbursed for charity care costs pursuant to section 7 of P.L.1996, c.28 (C.26:2H-18.59e).

    2. P.L.1950, c.303 (C.44:8-146 et seq.) is repealed.

    3. This act shall take effect immediately.

STATEMENT

    This bill provides that, beginning in Fiscal Year 1997, the State will pay (from the General Fund) inpatient hospitalization costs for general public assistance (GA) recipients which are incurred by special hospitals and psychiatric hospitals that are ineligible for a charity care subsidy (from the Health Care Subsidy Fund). The bill requires that the State pay these inpatient hospitalization costs on the same basis as hospitals are reimbursed for charity care costs pursuant to section 7 of P.L.1996, c.28 (C.26:2H-18.59e).

    The bill repeals P.L.1950, c.303 (C.44:8-146 et seq.), which requires municipalities in counties of the first class to pay these costs. This repeal accords with the budget language in the annual appropriations acts for Fiscal Years 1992 through 1997, which do not fund hospitalization costs for GA recipients. The repeal also means that municipalities in other counties would no longer have the option to voluntarily pay for these hospitalization costs.

    In Fiscal Year 1991, approximately 300 GA recipients received hospitalization benefits, per month, for a gross State/municipal cost of $34.6 million (the State paid 75% and the participating municipality paid 25% of the cost). Municipalities in Essex, Bergen and Hudson counties were required to participate, but municipalities such as Camden and Atlantic City also paid for hospitalization of their GA recipients.

Eliminates reimbursements by designated municipalities for inpatient hospitalization costs for general assistance recipients.