Bill Text: NJ A4797 | 2020-2021 | Regular Session | Introduced
Bill Title: Revises accreditation requirements for health care service firms that do not receive State funding; exempts from minimum wage requirements compensation paid to homemaker-home health aides.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2020-10-19 - Introduced, Referred to Assembly Regulated Professions Committee [A4797 Detail]
Download: New_Jersey-2020-A4797-Introduced.html
Sponsored by:
Assemblyman RONALD S. DANCER
District 12 (Burlington, Middlesex, Monmouth and Ocean)
SYNOPSIS
Revises accreditation requirements for health care service firms that do not receive State funding; exempts from minimum wage requirements compensation paid to homemaker-home health aides.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning health care service firms and homemaker-home health aides and amending P.L.2002, c.126 and P.L.1967, c.89.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 1 of P.L.2002, c.126 (C.34:8-45.1) is amended to read as follows:
1. a. Notwithstanding any other law or regulation to the contrary, an employment agency required to be licensed pursuant to P.L.1989, c.331 (C.34:8-43 et al.), or any other firm, company, business, agency, or other entity that is not a home health care agency licensed pursuant to P.L.1971, c.136 (C.26:2H-1 et seq.) or a hospice licensed pursuant to P.L.1997, c.78 (C.26:2H-79 et seq.), which [employs,] places [,] or arranges for the placement of [, or in any way refers,] an individual to provide companion services, health care services, or personal care services in the personal residence of a person with a disability or who is age 60 or older, regardless of the title by which the provider of the services is known, shall be registered as a [Health Care Service Firm] health care service firm and shall be subject to the rules and regulations governing [Health Care Service Firms] health care service firms adopted by the Division of Consumer Affairs in the Department of Law and Public Safety. [The Division of Consumer Affairs is authorized to enforce the health care service firm registration requirement, and the provisions of P.L.1989, c.331 (C.34:8-43 et al.), upon any person whose operations are subject to this section, whether the operations include the direct employment of individuals, the use of an Internet website or application, or any other process or business model.]
As used in this section:
"Companion services" means non-medical, basic supervision and socialization services which do not include assistance with activities of daily living, and which are provided in the individual's home. Companion services may include the performance of household chores.
"Health care services" means any services rendered for the purpose of maintaining or restoring an individual's physical or mental health or any health-related services, and for which a license or certification is required as a pre-condition to the rendering of such services.
"Personal care
services" means services performed by licensed or certified personnel for
the purpose of assisting an individual with activities of daily living that may
involve physical contact. Services include, but are not limited to, bathing,
toileting,
transferring, dressing, grooming, and assistance with ambulation, exercise, or other aspects of personal hygiene.
b. (Deleted by amendment, P.L.2014, c.29)
c. (1) As a condition of being registered under P.L.1989, c.331 (C.34:8-43 et al.), a health care service firm shall obtain within 12 months of registration accreditation from an accrediting body that is recognized by the Commissioner of Human Services as an accrediting body for homemaker agencies participating in the Medicaid program, as set forth at N.J.A.C.10:60-1.2. For purposes of accreditation pursuant to this subsection, the accrediting body shall apply the standards set forth in N.J.A.C.13:37-14.1 et seq. and N.J.A.C.13:45B-13.1 et seq., as applicable.
(2) Notwithstanding paragraph (1) of this section, a health care service firm that is not receiving State funding either through the Medicaid program or through any other State subsidized program shall not be required to receive accreditation from an accrediting body that is recognized by the Commissioner of Human Services as an accrediting body for homemaker agencies participating in the Medicaid program as set forth at N.J.A.C.10:60-1.2. As a condition of being registered under P.L.1989, c.331 (C.34:8-43 et al.), these health care service firms shall be required to pay an annual registration fee of no more than $1,500 and shall be subject to inspection requirements as established by the Division of Consumer Affairs in the Department of Law and Public Safety.
d. As a condition of registration under P.L.1989, c.331 (C.34:8-43 et al.), every health care service firm that is required to be accredited pursuant to subsection c. of this section shall submit to the director an audit the third calendar year after registration and every third year thereafter. The audit shall be conducted by a certified public accountant licensed by the State of New Jersey and shall encompass an examination of the subject firm's financial records, financial statements, the general management of its operations, and its internal control systems. The audit shall include an audit report with an unqualified opinion and shall be accompanied by any management letters prepared by the auditor in connection with the audit commenting on the internal controls or management practices of the health care service firm. The audit shall be divided into two components: compliance and financial. The compliance component of the audit shall evaluate the firm's compliance with relevant laws and regulations governing health care service firms. The financial component shall include an audit of the financial statements and accompanying notes, as specified in the Statements on Auditing Standards issued by the American Institute of Certified Public Accountants.
e. In addition to any other penalty provided by law, a person shall be liable for a penalty of $500 per day for each day that the person continues to operate a firm without registering as required under this section. The penalty shall be collected by the Director of the Division of Consumer Affairs in a summary proceeding in accordance with the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
(cf: P.L.2019, c.48, s.1)
2. Section 1 of P.L.1967, c.89 (C.34:11-56a4.1) is amended to read as follows:
1. a. The provisions of [the act to which this act is a supplement in] P.L.1966, c.113 (C.34:11-56a et seq.) with respect to minimum wages and compensation for overtime work shall not be applicable during the months of June, July, August or September of the year to summer camps, conferences and retreats operated by any nonprofit or religious corporation or association.
b. The provisions of P.L.1966, c.113 (C.34:11-56a et seq.) with respect to minimum wages and compensation for overtime work shall not be applicable to wages and compensation paid to homemaker-home health aides as that term is defined in section 1 of P.L.1947, c.262 (C.45:11-23).
(cf: P.L.1968, c.58, s.1)
3. This act shall take effect immediately.
STATEMENT
This bill provides that health care service firms that are not receiving State funding either through the Medicaid program or through any other State subsidized program are not required to receive accreditation by an accrediting body for homemaker agencies participating in the Medicaid program. Rather, these health care service firms would be required to pay an annual fee, of no more than $1,500, and be subject to inspection requirements, as established by the Division of Consumer Affairs in the Department of Law and Public Safety. Additionally, this bill excludes health care service firms that are not accredited from the State requirement that the firm submit an audit to the Director of the Division of Consumer Affairs every three years.
The bill revises the current law to remove the registration requirement for any health care service firm that employs or in any way refers an individual to provide companion services, health care services, or personal care services in the personal residence of a person with a disability or who is age 60 or older.
It is the sponsor's intent to relieve those health care service firms that do not receive State funding of burdensome audit requirements under current law.
In addition, this bill exempts homemaker-home health aides from the requirement that they, as employees, be paid the minimum wage and overtime compensation under the "New Jersey State Wage and Hour Law," P.L.1966, c.113 (C.34:11-56a et seq.). Homemaker-home health aides receive meals and shelter in the household for which they provide services, which are considered a portion of their compensation.
