Bill Text: NJ S598 | 2010-2011 | Regular Session | Introduced
Bill Title: Requires federal transition funds received by State under Medicare prescription drug program to be used for purposes specified in federal law.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2010-02-01 - Withdrawn from Consideration [S598 Detail]
Download: New_Jersey-2010-S598-Introduced.html
STATE OF NEW JERSEY
214th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2010 SESSION
Sponsored by:
Senator BILL BARONI
District 14 (Mercer and Middlesex)
SYNOPSIS
Requires federal transition funds received by State under Medicare prescription drug program to be used for purposes specified in federal law.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel
An Act concerning the use of federal transition funds received under the Medicare prescription drug program and supplementing Title 30 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. There is established the "New Jersey Medicare Transitional Revenues Fund" in the Department of the Treasury. The fund shall be a nonlapsing, dedicated fund into which all federal Medicare transition funds provided to the State pursuant to the "Medicare Prescription Drug, Improvement, and Modernization Act of 2003," Pub.L.108-173, shall be deposited. Interest earned on the monies in the fund shall be credited to the fund.
b. The monies in the fund shall be appropriated by the Legislature solely for the purposes specified in the "Medicare Prescription Drug, Improvement, and Modernization Act of 2003" and section 2 of this act.
c. The monies in the fund shall be invested and reinvested by the Director of the Division of Investment in the Department of the Treasury as are other trust funds in the custody of the State Treasurer in the manner provided by law.
2. Federal Medicare transition funds received by the State pursuant to the "Medicare Prescription Drug, Improvement, and Modernization Act of 2003," which establishes the Medicare Part D prescription drug program, shall only be used for any of the following purposes, as specified by federal law:
a. Educating Part D eligible individuals enrolled in the Medicare program about the prescription drug coverage available through State prescription drug programs;
b. Providing technical assistance, phone support and counseling for such enrollees to facilitate selection and enrollment in State prescription drug programs; and
c. Other activities designed to promote the effective coordination of enrollment, coverage and payment between the Medicare prescription drug program and State prescription drug programs.
3. This act shall take effect immediately.
STATEMENT
This bill ensures that revenue received by the State as a result of the Medicare prescription drug program will be protected from misuse and will only be used as it is intended, for State prescription drug programs such as the Pharmaceutical Assistance to the Aged and Disabled program (PAAD) and the Senior Gold program.
Under the "Medicare Prescription Drug, Improvement, and Modernization Act of 2003" (Pub.L.108-173), which establishes the Medicare Part D prescription drug program, states may receive federal Medicare transition funding to offset costs of making the transition from State programs to the Part D benefits. As specified by the act, federal Medicare transition funds received by a state may be used for the following: educating those enrolled in Medicare Part D about state prescription drug coverage available; providing technical assistance to facilitate enrollment in state prescription drug programs; and other activities that promote effective coordination of enrollment, coverage and payment between Medicare Part D coverage and state prescription drug programs.
The bill also creates a fund in the Department of the Treasury to further ensure that all federal Medicare transition funds are dedicated to the purposes specified by the "Medicare Prescription Drug, Improvement, and Modernization Act of 2003."
