Bill Text: NJ S1368 | 2014-2015 | Regular Session | Introduced


Bill Title: Prohibits incarcerated individuals from receiving Medicaid, Work First New Jersey, or Supplemental Nutrition Assistance Program benefits.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2014-02-27 - Introduced in the Senate, Referred to Senate Health, Human Services and Senior Citizens Committee [S1368 Detail]

Download: New_Jersey-2014-S1368-Introduced.html

SENATE, No. 1368

STATE OF NEW JERSEY

216th LEGISLATURE

 

INTRODUCED FEBRUARY 27, 2014

 


 

Sponsored by:

Senator  JEFF VAN DREW

District 1 (Atlantic, Cape May and Cumberland)

 

 

 

 

SYNOPSIS

     Prohibits incarcerated individuals from receiving Medicaid, Work First New Jersey, or Supplemental Nutrition Assistance Program benefits.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning public benefits for incarcerated individuals, amending P.L.1968, c.413 and P.L.1997, c.14, and supplementing Title 30 of the Revised Statutes.

 

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

 

     1.    (New section)  a.  As used in this section:

     "Department" means the Department of Human Services.

     "Medicaid" means the Medicaid program established pursuant to P.L.1968, c.413 (C.30:4D-1 et seq.).

     "Supplemental Nutrition Assistance Program" means the New Jersey Supplemental Nutrition Assistance Program established pursuant to the federal "Food and Nutrition Act of 2008," as amended through Pub.L.110-246 (7 U.S.C. s.2011 et seq.).

     "Work First New Jersey" means the Work First New Jersey program established pursuant to P.L.1997, c.38 (C.44:10-55 et seq.).

     b.    The department shall establish information sharing procedures with the Department of Corrections, the Administrative Office of the Courts, and individual counties, as necessary, to obtain complete, up-to-date information, on at least a monthly basis, on individuals who are incarcerated in the custody of the State or a county. 

     c.    The department shall compare, on at least a monthly basis, information provided pursuant to subsection b. of this section to its enrollment data for Medicaid, Work First New Jersey, and the Supplemental Nutrition Assistance Program.  The department shall immediately suspend the eligibility of an individual who is incarcerated and is ineligible to receive Medicaid, Work First New Jersey, or the Supplemental Nutrition Assistance Program benefits.

 

     2.    Section 6 of P.L.1968, c.413 (C.30:4D-6) is amended to read as follows:

     6.    a.  Subject to the requirements of Title XIX of the federal Social Security Act, the limitations imposed by this act and by the rules and regulations promulgated pursuant thereto, the department shall provide medical assistance to qualified applicants, including authorized services within each of the following classifications:

     (1)   Inpatient hospital services;

     (2)   Outpatient hospital services;

     (3)   Other laboratory and X-ray services;

     (4)   (a) Skilled nursing or intermediate care facility services;

     (b)   Early and periodic screening and diagnosis of individuals who are eligible under the program and are under age 21, to ascertain their physical or mental defects and the health care, treatment, and other measures to correct or ameliorate defects and chronic conditions discovered thereby, as may be provided in regulations of the Secretary of the federal Department of Health and Human Services and approved by the commissioner;

     (5)   Physician's services furnished in the office, the patient's home, a hospital, a skilled nursing [,] or intermediate care facility, or elsewhere.

     As used in this subsection, "laboratory and X-ray services" includes HIV drug resistance testing, including, but not limited to, genotype assays that have been cleared or approved by the federal Food and Drug Administration, laboratory developed genotype assays, phenotype assays, and other assays using phenotype prediction with genotype comparison, for persons diagnosed with HIV infection or AIDS.

     b.    Subject to the limitations imposed by federal law, by this act, and by the rules and regulations promulgated pursuant thereto, the medical assistance program may be expanded to include authorized services within each of the following classifications:

     (1)   Medical care not included in subsection a.(5) above, or any other type of remedial care recognized under State law, furnished by licensed practitioners within the scope of their practice, as defined by State law;

     (2)   Home health care services;

     (3)   Clinic services;

     (4)   Dental services;

     (5)   Physical therapy and related services;

     (6)   Prescribed drugs, dentures, and prosthetic devices; and eyeglasses prescribed by a physician skilled in diseases of the eye or by an optometrist, whichever the individual may select;

     (7)   Optometric services;

     (8)   Podiatric services;

     (9)   Chiropractic services;

     (10) Psychological services;

     (11) Inpatient psychiatric hospital services for individuals under 21 years of age, or under age 22 if they are receiving such services immediately before attaining age 21;

     (12) Other diagnostic, screening, preventive, and rehabilitative services, and other remedial care;

     (13) Inpatient hospital services, nursing facility services, and intermediate care facility services for individuals 65 years of age or over in an institution for mental diseases;

     (14) Intermediate care facility services;

     (15) Transportation services;

     (16) Services in connection with the inpatient or outpatient treatment or care of drug abuse, when the treatment is prescribed by a physician and provided in a licensed hospital or in a narcotic and drug abuse treatment center approved by the [Department of Health pursuant to P.L.1970, c.334 (C.26:2G-21 et seq.)] Division of Mental Health and Addiction Services in the Department of Human Services and whose staff includes a medical director, and limited to those services eligible for federal financial participation under Title XIX of the federal Social Security Act;

     (17) Any other medical care and any other type of remedial care recognized under State law, specified by the Secretary of the federal Department of Health and Human Services, and approved by the commissioner;

     (18) Comprehensive maternity care, which may include:  the basic number of prenatal and postpartum visits recommended by the American [College of Obstetrics and Gynecology] Congress of Obstetricians and Gynecologists; additional prenatal and postpartum visits that are medically necessary; necessary laboratory, nutritional assessment and counseling, health education, personal counseling, managed care, outreach, and follow-up services; treatment of conditions which may complicate pregnancy; and physician or certified nurse-midwife delivery services;

     (19) Comprehensive pediatric care, which may include: ambulatory, preventive, and primary care health services.  The preventive services shall include, at a minimum, the basic number of preventive visits recommended by the American Academy of Pediatrics;

     (20) Services provided by a hospice which is participating in the Medicare program established pursuant to Title XVIII of the Social Security Act, Pub.L.89-97 (42 U.S.C. s.1395 et seq.).  Hospice services shall be provided subject to approval of the Secretary of the federal Department of Health and Human Services for federal reimbursement;

     (21) Mammograms, subject to approval of the Secretary of the federal Department of Health and Human Services for federal reimbursement, including one baseline mammogram for women who are at least 35 but less than 40 years of age; one mammogram examination every two years or more frequently, if recommended by a physician, for women who are at least 40 but less than 50 years of age; and one mammogram examination every year for women age 50 and over.

     c.    Payments for the foregoing services, goods, and supplies furnished pursuant to this act shall be made to the extent authorized by this act, the rules and regulations promulgated pursuant thereto and, where applicable, subject to the agreement of insurance provided for under this act.  The payments shall constitute payment in full to the provider on behalf of the recipient.  Every provider making a claim for payment pursuant to this act shall certify in writing on the claim submitted that no additional amount will be charged to the recipient, the recipient's family, the recipient's representative, or others on the recipient's behalf for the services, goods, and supplies furnished pursuant to this act.

     No provider whose claim for payment pursuant to this act has been denied because the services, goods, or supplies were determined to be medically unnecessary shall seek reimbursement from the recipient, his family, his representative, or others on his behalf for such services, goods, and supplies provided pursuant to this act; provided, however, a provider may seek reimbursement from a recipient for services, goods, or supplies not authorized by this act, if the recipient elected to receive the services, goods, or supplies with the knowledge that they were not authorized.

     d.    Any individual eligible for medical assistance (including drugs) may obtain such assistance from any person qualified to perform the service or services required (including an organization which provides such services, or arranges for their availability on a prepayment basis), who undertakes to provide the individual such services.

     No copayment or other form of cost-sharing shall be imposed on any individual eligible for medical assistance, except as mandated by federal law as a condition of federal financial participation.

     e.    Anything in this act to the contrary notwithstanding, no payments for medical assistance shall be made under this act, including payments to a Medicaid managed care organization, with respect to care or services for any individual who:

     (1)   Is an inmate of a public institution, including a federal, State, or local correctional facility, (except as a patient in a medical institution); [provided, however, that an individual who is otherwise eligible may continue to receive services for the month in which he becomes an inmate, should the commissioner determine to expand the scope of Medicaid eligibility to include such an individual, subject to the limitations imposed by federal law and regulations, or]

     (2)   Has not attained 65 years of age and who is a patient in an institution for mental diseases [,] ; or

     (3)   Is over 21 years of age and who is receiving inpatient psychiatric hospital services in a psychiatric facility; provided, however, that an individual who was receiving such services immediately prior to attaining age 21 may continue to receive such services until the individual reaches age 22.  Nothing in this subsection shall prohibit the commissioner from extending medical assistance to all eligible persons receiving inpatient psychiatric services; provided that there is federal financial participation available.

     f.     (1) A third party as defined in section 3 of P.L.1968, c.413 (C.30:4D-3) shall not consider a person's eligibility for Medicaid in this or another state when determining the person's eligibility for enrollment or the provision of benefits by that third party.

     (2)   In addition, any provision in a contract of insurance, health benefits plan, or other health care coverage document, will, trust, agreement, court order, or other instrument which reduces or excludes coverage or payment for health care-related goods and services to or for an individual because of that individual's actual or potential eligibility for or receipt of Medicaid benefits shall be null and void, and no payments shall be made under this act as a result of any such provision.

     (3)   Notwithstanding any provision of law to the contrary, the provisions of paragraph (2) of this subsection shall not apply to a trust agreement that is established pursuant to 42 U.S.C. s.1396p(d)(4)(A) or (C) to supplement and augment assistance provided by government entities to a person who is disabled as defined in section 1614(a)(3) of the federal Social Security Act (42 U.S.C. s.1382c (a)(3)).

     g.    The following services shall be provided to eligible medically needy individuals as follows:

     (1)   Pregnant women shall be provided prenatal care and delivery services and postpartum care, including the services cited in subsection a.(1), (3), and (5) of this section and subsection b.(1)-(10), (12), (15), and (17) of this section, and nursing facility services cited in subsection b.(13) of this section.

     (2)   Dependent children shall be provided with services cited in subsection a.(3) and (5) of this section and subsection b.(1), (2), (3), (4), (5), (6), (7), (10), (12), (15), and (17) of this section, and nursing facility services cited in subsection b.(13) of this section.

     (3)   Individuals who are 65 years of age or older shall be provided with services cited in subsection a.(3) and (5) of this section and subsection b.(1)-(5), (6) excluding prescribed drugs, (7), (8), (10), (12), (15), and (17) of this section, and nursing facility services cited in subsection b.(13) of this section.

     (4)   Individuals who are blind or disabled shall be provided with services cited in subsection a.(3) and (5) of this section and subsection b.(1)-(5), (6) excluding prescribed drugs, (7), (8), (10), (12), (15), and (17) of this section, and nursing facility services cited in subsection b.(13) of this section.

     (5)   (a) Inpatient hospital services, subsection a.(1) of this section, shall only be provided to eligible medically needy individuals, other than pregnant women, if the federal Department of Health and Human Services discontinues the State's waiver to establish inpatient hospital reimbursement rates for the Medicare and Medicaid programs under the authority of section 601(c)(3) of the Social Security Act Amendments of 1983, Pub.L.98-21 (42 U.S.C. s.1395ww(c)(5)).  Inpatient hospital services may be extended to other eligible medically needy individuals if the federal Department of Health and Human Services directs that these services be included.

     (b)   Outpatient hospital services, subsection a.(2) of this section, shall only be provided to eligible medically needy individuals if the federal Department of Health and Human Services discontinues the State's waiver to establish outpatient hospital reimbursement rates for the Medicare and Medicaid programs under the authority of section 601(c)(3) of the Social Security Amendments of 1983, Pub.L.98-21 (42 U.S.C. s.1395ww(c)(5)).  Outpatient hospital services may be extended to all or to certain medically needy individuals if the federal Department of Health and Human Services directs that these services be included.  However, the use of outpatient hospital services shall be limited to clinic services and to emergency room services for injuries and significant acute medical conditions.

     (c)   The division shall monitor the use of inpatient and outpatient hospital services by medically needy persons.

     h.    In the case of a qualified disabled and working individual pursuant to section 6408 of Pub.L.101-239 (42 U.S.C. s.1396d), the only medical assistance provided under this act shall be the payment of premiums for Medicare part A under 42 U.S.C. ss.1395i-2 and 1395r.

     i.     In the case of a specified low-income Medicare beneficiary pursuant to 42 U.S.C. s.1396a(a)10(E)iii, the only medical assistance provided under this act shall be the payment of premiums for Medicare part B under 42 U.S.C. s.1395r as provided for in 42 U.S.C. s.1396d(p)(3)(A)(ii).

     j.     In the case of a qualified individual pursuant to 42 U.S.C. s.1396a(aa), the only medical assistance provided under this act shall be payment for authorized services provided during the period in which the individual requires treatment for breast or cervical cancer, in accordance with criteria established by the commissioner.

(cf: P.L.2012, c.17, s.359)

 

     3.    Section 5 of P.L.1997, c.14 (C.44:10-48) is amended to read as follows:

     5.    a.  Only those persons who are United States citizens or eligible aliens shall be eligible for benefits under the Work First New Jersey program.  Single adults or couples without dependent children who are legal aliens who meet federal requirements and have applied for citizenship, shall not receive benefits for more than six months unless (1) they attain citizenship, or (2) they have passed the English language and civics components for citizenship, and are awaiting final determination of citizenship by the [federal Immigration and Naturalization Service] U.S. Citizenship and Immigration Services.

     b.    The following persons shall not be eligible for assistance and shall not be considered to be members of an assistance unit:

     (1)   non-needy caretakers, except that the eligibility of a dependent child shall not be affected by the income or resources of a non-needy caretaker;

     (2)   Supplemental Security Income recipients, except for the purposes of receiving emergency assistance benefits pursuant to section 8 of P.L.1997, c.14 (C.44:10-51);

     (3)   illegal aliens;

     (4)   other aliens who are not eligible aliens;

     (5)   a person absent from the home who is incarcerated in a federal, State, county or local corrective facility or under the custody of correctional authorities [, except as provided by regulation of the commissioner];

     (6)   a person who: is fleeing to avoid prosecution, custody, or confinement after conviction, under the laws of the jurisdiction from which the person has fled, for a crime or an attempt to commit a crime which is a felony or a high misdemeanor under the laws of the jurisdiction from which the person has fled; or is violating a condition of probation or parole imposed under federal or state law;

     (7)   a person convicted on or after August 22, 1996 under federal or state law of any offense which is classified as a felony or crime, as appropriate, under the laws of the jurisdiction involved and which has as an element the possession, use, or distribution of a controlled substance as defined in section 102(6) of the federal "Controlled Substances Act" (21 U.S.C. s.802(6)), who would otherwise be eligible for general public assistance pursuant to P.L.1947, c.156 (C.44:8-107 et seq.); except that such a person who is convicted of any such offense which has as an element the possession or use only of such a controlled substance may be eligible for Work First New Jersey general public assistance benefits if the person enrolls in or has completed a licensed residential drug treatment program.  Eligibility for benefits shall commence upon the person's enrollment in the drug treatment program, and shall continue during the person's active participation in, and upon completion of, the drug treatment program, except that during the person's active participation in a drug treatment program and the first 60 days after completion of a drug treatment program, the commissioner shall provide for testing of the person to determine if the person is free of any controlled substance.  If the person is determined to not be free of any controlled substance during the 60-day period, the person's eligibility for benefits pursuant to this paragraph shall be terminated; except that this provision shall not apply to the use of methadone by a person who is actively participating in a drug treatment program, as prescribed by the drug treatment program.  The commissioner, in consultation with the Commissioner of Health [and Senior Services], shall adopt regulations to carry out the provisions of this paragraph, which shall include the criteria for determining active participation in and completion of a drug treatment program.

     Cash benefits, less a personal needs allowance, for a person receiving general public assistance benefits under the Work First New Jersey program who is enrolled in and actively participating in a licensed residential drug treatment program shall be issued directly to the drug treatment provider to offset the cost of treatment.  Upon completion of the drug treatment program, the cash benefits shall be then issued to the person.  In the case of a delay in issuing cash benefits to a person receiving Work First New Jersey general public assistance benefits who has completed the drug treatment program, the drug treatment provider shall transmit to the person those funds received on behalf of that person after completion of the drug treatment program;

     (8)   a person found to have fraudulently misrepresented his residence in order to obtain means-tested, public benefits in two or more states or jurisdictions, who shall be ineligible for benefits for a period of 10 years from the date of conviction in a federal or state court; or

     (9)   a person who intentionally makes a false or misleading statement or misrepresents, conceals, or withholds facts for the purpose of receiving benefits, who shall be ineligible for benefits for a period of six months for the first violation, 12 months for the second violation, and permanently for the third violation.

     c.    A person who makes a false statement with the intent to qualify for benefits and by reason thereof receives benefits for which the person is not eligible is guilty of a crime of the fourth degree.

     d.    Pursuant to the authorization provided to the states under 21 U.S.C. s.862a(d)(1), this State elects to exempt from the application of 21 U.S.C. s.862a(a):

     (1)   needy persons and their dependent children domiciled in New Jersey for the purposes of receiving benefits under the Work First New Jersey program and food assistance under the federal "Food and Nutrition Act of 2008," [Pub.L.110-234] Pub.L.110-246 (7 U.S.C. s.2011 et seq.); and

     (2)   single persons and married couples without dependent children domiciled in New Jersey for the purposes of receiving food assistance under Pub.L.110-234.

(cf: P.L.2009, c.328, s.1)

 

     4.    The Commissioner of Human Services, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of this act.

 

     5.    This act shall take effect on the first day of the seventh month next following the date of enactment.

 

 

STATEMENT

 

     This act prohibits incarcerated individuals from receiving public benefits from Medicaid, Work First New Jersey, or the Supplemental Nutrition Assistance Program (SNAP).

     In general, current law prohibits incarcerated individuals from receiving benefits under these programs, but due to a lack of information sharing between relevant government agencies, inappropriate payments sometimes occur.  In order to reduce these inappropriate payments, the bill requires the Department of Human Services (which administers the three programs) to establish information sharing procedures with the Department of Corrections, the Administrative Office of the Courts, and individual counties, as necessary, to obtain complete, up-to-date information, on at least a monthly basis, on individuals who are incarcerated in the custody of the State or a county.  The bill also requires the department to compare, on at least a monthly basis, this information to its enrollment data the for Medicaid, Work First New Jersey, and SNAP programs, and immediately suspend the eligibility of any individual who is incarcerated and is ineligible to receive benefits in any of the programs.

     The bill also amends current law to eliminate the authority of the Commissioner of Human Services to extend eligibility for Medicaid to incarcerated individuals in the first month of their incarceration, and to clarify that payments to Medicaid managed care organizations for care or services for an incarcerated individual are prohibited.  The bill also eliminates the commissioner's authority to extend Work First New Jersey eligibility to incarcerated individuals by regulation.

     This bill was inspired by the May 29, 2013 report by the Office of the State Comptroller, which identified improper payments totaling more than $12.6 million in these three programs between July 1, 2009 and April 30, 2011.

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