SENATE, No. 1605

STATE OF NEW JERSEY

INTRODUCED OCTOBER 24, 1996

By Senator SINAGRA

An Act concerning certificate of need and amending P.L.1992, c.160.

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

    1. Section 19 of P.L.1992, c.160 (C.26:2H-7a) is amended to read as follows:

    19. Notwithstanding the provisions of section 7 of P.L.1971, c.136 (C.26:2H-7) to the contrary, the following are exempt from the certificate of need requirement:

    Community-based primary care centers;

    Outpatient drug and alcohol services;

    Ambulance and invalid coach services;

    Mental health services which are non-bed related outpatient services;

    Changes in residential health care facility services;

    Assisted living residences and comprehensive personal care homes;

    Mandatory renovations to existing facilities;

    Mandatory replacement of fixed or moveable equipment;

    Transfer of ownership interest except in the case of an acute care hospital, or a long-term care facility in which the owner does not satisfy the Department of Health's review of the owner's prior operating experience as well as any requirements established by the federal government pursuant to Titles XVIII and XIX of the Social Security Act;

    Change of site for approved certificate of need within the same county;

    Relocation or replacement of a health care facility within the same county, except for an acute care hospital;

    Continuing care retirement communities authorized pursuant to P.L.1986, c.103 (C.52:27D-330 et seq.);

    Acquisition by a hospital of a magnetic resonance imager that is already in operation in the State by another health care provider or entity;

    Adult day health care facilities;

    Pediatric day health care facilities; and

    Chronic renal dialysis facilities.

(cf:P.L.1992, c.160, s.19)

    2. This act shall take effect immediately.

STATEMENT

    This bill amends section 19 of P.L.1992, c.160 (C.26:2H-7a) to exempt assisted living residences and comprehensive personal care homes from the requirement of obtaining a certificate of need (CON).

    Assisted living residences and comprehensive personal care homes promote "aging in place" in a homelike setting, primarily for frail elderly persons. Residents receive supportive health and social services as they are needed to enable them to maintain their independence, individuality, privacy and dignity in an apartment-style living unit.

    The CON requirement imposes an artificial limitation on the immediate development of what is essentially senior citizen housing, and unnecessarily restricts the right of those persons who need or desire this type of residence to choose where they prefer to live. Because of a lack of these alternative residential settings, many senior citizens in this State are compelled to live in more restrictive nursing facilities at a much higher cost.

Exempts assisted living residences and comprehensive personal care homes from certificate of need.