ASSEMBLY RESOLUTION No. 57
STATE OF NEW JERSEY
INTRODUCED FEBRUARY 15, 1996
By Assemblymen CHARLES, STEELE, Garcia, Gusciora, Assemblywoman Turner, Assemblymen Greenwald, Dalton, Zisa, Cohen, Stanley, Romano, Assemblywomen Quigley, Weinberg, Assemblymen Jones and Caraballo
An Assembly Resolution urging the Governor and the Commissioner of Human Services to refrain from instituting random assignment of Medicaid recipients to HMO's until after the enactment into law of federal Medicaid program changes.
Whereas, The Division of Medical Assistance and Health Services in the Department of Human Services has received a waiver from the United States Secretary of Health and Human Services pursuant to section 1915(b) of the federal Social Security Act to permit the State to institute mandatory managed care for Medicaid recipients in Camden, Essex, Gloucester and Hudson counties as a preliminary step in the adoption of a mandatory managed care program for Medicaid recipients Statewide; and
Whereas, This mandatory program involves the assignment of Medicaid recipients who are enrolled in the program of aid to families with dependent children to HMO's on a random basis in the counties affected, if the recipient does not choose a specific HMO; and
Whereas, The federal government is poised to enact, and the Governor and the Commissioner of Human Services have publicly endorsed, legislation now pending in the United States Congress to dramatically change the Medicaid program by adopting the use of block grants to the states for funding Medicaid services and significantly cutting projected federal assistance to the states for these services; and
Whereas, This conjunction of State and federal Medicaid changes raises disturbing questions about the prospect of achieving cost containment at the expense of health care access and quality for Medicaid recipients, and creating a two-tiered health care system in which the lower tier is denied freedom of choice in the selection of health care providers, while posing the specter of hospitals in this State being overburdened with Medicaid managed care patients at the same time that their Medicaid reimbursement is substantially reduced; and
Whereas, The State needs to evaluate whatever federal Medicaid changes are actually enacted into law in a prudent and responsible manner, and to assess the impact of comparable efforts at Medicaid mandatory HMO assignment in other states before proceeding on its own in this direction; now, therefore,
Be It Resolved by the General Assembly of the State of New Jersey:
1. The Governor and the Commissioner of Human Services are respectfully urged to refrain from instituting random assignment of Medicaid recipients to HMO's until after the enactment into law of federal Medicaid program changes, and until the Commissioner of Human Services has completed a study of the effects of this kind of programmatic effort in other states where it has been tried to date, with respect to access and quality of care for Medicaid recipients, and has submitted the results of this study to the Legislature for its consideration.
2. The Commissioner of Human Services is further respectfully urged to seek alternatives to the random assignment of Medicaid recipients to HMO's which will ensure consumer choice in the selection of HMO's under the Medicaid program.
3. A duly authenticated copy of this resolution, signed by the Speaker of the General Assembly and attested by the Clerk of the General Assembly, shall be forwarded to the Governor and to the Commissioner of Human Services.
STATEMENT
This resolution urges the Governor and the Commissioner of Human Services to refrain from instituting random assignment of Medicaid recipients to HMO's until after the enactment into law of federal Medicaid program changes, and until after the Commissioner of Human Services has completed a study of the effects of this kind of mandatory HMO assignment in other states where it has been imposed, and has submitted the results of this study to the Legislature. The resolution also urges the Commissioner of Human Services to seek alternatives to the random assignment of Medicaid recipients to HMO's which will allow for consumer choice in the selection of HMO's under the Medicaid program.
Urges Governor and Commissioner of Human Services to refrain from randomly assigning Medicaid recipients to HMO's until after enactment of federal Medicaid changes.