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INSTITUTIONS

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Liens for Payment of Institutional Care:

Bill No: A303

Sponsors: Assemblyman Reed Gusciora (D15) and Assemblywomen Loretta D. Weinberg (D37)

Bill No: S202

Sponsors: Senators Diane B. Allen (R7) and Henry P. McNamara (R40)

Summary: Eliminates automatic liens and removes financial liability for certain family members of patients in psychiatric facilities, developmental centers or receiving other residential functional service.

Comments: This bill would amend the law governing liens filed against individuals and their families to secure payment for the care and maintenance of patients in psychiatric facilities and people in State developmental centers or receiving other residential functional services. The bill proposes to eliminate automatic liens and provides instead that any liens filed must be based a sliding scale payment schedule to be established through regulations by the Commissioner of the Department of Human Services. Also, the bill provides that the Commissioner may discharge a lien filed prior to the enactment of the bill. As originally proposed, the bill would also amend N.J.S.A.30:4-66 to eliminate financial liability for the costs of support and maintenance currently imposed on the spouses and children of patients in psychiatric facilities and for children of persons with developmental disabilities receiving treatment in State developmental centers or receiving other residential functional services. However, the Committee substitute reported on November 25, 2002, limits this relief to relatives of patients in psychiatric facilities, and retains financial liability for relatives of people with developmental disabilities.

Additional Information:

A303

Current Status: Committee substitute in Assembly Appropriations Committee

Legislative Activity:
1/8/02 Introduced and referred to Assembly Family, Women and Children's Services Committee

11/25/02 Reported out of committee with committee substitute, referred to Assembly Appropriations Committee

Last Session: A3639 Reported out of committee with committee amendments, referred to Assembly Appropriations Committee

S202

Current Status: Senate Health, Human Services and Senior Citizens Committee

Legislative Activity: 1/8/02 Introduced and referred to Senate Health, Human Services and Senior Citizens Committee

Last Session: S2341

Bill No: A3609

Sponsor: Assemblyman Kevin J. O'Toole (R40)

Summary: Eliminates automatic liens and removes financial liability for spouses of patients in psychiatric facilities

Current Status: Assembly Health and Human Services Committee

Legislative Activity: 5/15/03 Introduced and referred to Assembly Health and Human Services Committee

Bill No: S2212

Sponsor: Senator Shirley K. Turner (D15)

Summary: Establishes new method of establishing financial liability for patients in psychiatric facilities and eliminates financial liability of certain family members.

Comments: This bill amends N.J.S.A. 30:4-80.1, the law governing liens imposed to secure payment for the care and maintenance of patients residing in psychiatric facilities and for the care and maintenance of people who reside in State developmental centers or receive certain other residential services. The bill proposes to eliminate automatic liens, and provides instead that a lien would not be filed unless the party responsible for payment failed to adhere to a sliding scale payment schedule. The sliding scale schedules would be established by regulations promulgated by the Commissioner of Human Services and would be similar to scales used for charity care programs. The bill limits the annual obligation of a parent or patient to $5,000 and a lifetime limit of $10,000. The bill also authorizes the Commissioner to discharge a lien filed prior to the enactment of the bill. The bill also amends N.J.S.A. 30:4-66 to eliminate the imposition of financial liability on spouses and children of patients in psychiatric facilities and on children of people with developmental disabilities who reside in State developmental centers or receive other residential functional services.

Legislative Activity:
1/9/03 Introduced and referred to Senate Health, Human Services and Senior Citizens Committee

1/30/03 Fiscal analysis prepared by the Office of Legislative Services, indicating that the bill could lead to increased expenditures by the State depending on the amounts assessed and collected under the new law.


Closing Institutions & Providing Less Restrictive Settings

Bill No: A2695

Sponsors: Assemblyman Matt Ahearn (D38) and Assemblywoman Loretta Weinberg (D37)

Bill No: S1867

Sponsors: Senator Anthony R. Bucco

Summary: Permits the Legislature to void the closing of a State psychiatric hospital or developmental center

Comments: This bill would require the Commissioner of the Department of Human Services to provide information to the Legislature in any instance in which the closing of a State psychiatric hospital or developmental center, or the privatization of any function or unit of such facility, would result in the abolition of 100 or more non-vacant, full-time positions in the career service at the facility or facilities affected by the decision. The Legislature would then have the authority to void the decision by resolution of both houses. Significantly, the bill would also amend existing law that requires the State Department of Human Services to "provide services by … facilitating the establishment of community-based services." The bill would add the phrase, "while maintaining the State developmental centers … and accepting and placing those persons for whom it has been determined that full-time residential care and services are needed at a State developmental center." In addition, the bill would require notice to families and individuals served by the Department of the availability of institutional placements. Thus, the purpose of the legislation appears to be to ensure the continuation of institutional care for people with developmental and other disabilities. This is the third legislative session in which the bill has been introduced.

Additional Information:

A2695

Current Status: Assembly Health and Human Services Committee

Legislative Activity: 9/19/02 Introduced and referred to Assembly Health and Human Services Committee

Last Session: A1607

S1867

Current Status: Senate Health, Human Services and Senior Citizens Committee

Legislative Activity: 9/19/02 Introduced and referred to Senate Health, Human Services and Senior Citizens Committee


Personal Needs Allowances

Bill No: A834

Sponsors: Assemblyman Jack Connors (D7) and Assemblywoman Loretta Weinberg (D37)

Bill No: S1577

Sponsors: Senators Martha W. Bark (R8) and Anthony R. Bucco (25)

Summary: Increases personal needs allowance to $50 for those persons currently residing in nursing facilities, State hospitals or State developmental centers.

Comments: The sponsors estimate that approximately 26,000 people who reside in nursing facilities, State hospitals or State developmental centers and who are eligible for Medicaid or Supplemental Security Income (SSI) presently receive a $35 personal needs allowance from such funds received by the facility on their behalf. This allowance is used to purchase personal items such as clothing, grooming aids, newspapers and other items not regularly provided by the facility in which they reside. The purpose of this bill is to increase the monthly personal needs allowance to $50. The bill also increases allowances to people who receive SSI public assistance from $10 to $25.

Additional Information:

A834

Current Status: Assembly Health and Human Services Committee

Legislative Activity: 1/8/02 Introduced and referred to Assembly Health and Human Services Committee

Last Session: A631

S1577

Current Status: Senate Health, Human Services and Senior Citizens Committee

Legislative Activity: 5/30/02 Introduced and referred to Senate Health, Human Services and Senior Citizens Committee

Bill No: A610

Sponsors: Assemblyman Michael J. Arnone (R12) and Assemblywoman Bonnie Watson Coleman (D15)

Bill No: S751

Sponsor: Senator Leonard T. Connors Jr. (R9)

Summary: Provides for annual increases in personal needs allowance to $55 for individuals meeting low-income eligibility requirements and who reside in certain facilities; appropriates $4.6 million in State and $3.6 million in federal funds

Comments: The sponsors estimate that approximately 30,000 people who reside in nursing facilities presently receive a $35 monthly personal needs allowance from funds received by the facility on their behalf. In addition to the people covered by the alternate legislative proposal A834/S1577, this legislation would also cover individuals residing in residential facilities served by the Division of Developmental Disabilities or in psychiatric hospitals, who are ineligible for Medicaid but receive other State assistance. These individuals presently receive a $40 monthly personal needs allowance. Such allowances are used to purchase personal items, such as clothing, grooming aids, newspapers and other items not regularly provided by the residential facility. In contrast, people who reside in rooming or boarding houses or in residential health care facilities receive a monthly personal needs allowance of approximately $80, which since 1983 has been increased annually according to the federal cost-of-living increase. The purpose of this bill is to increase the monthly personal needs allowance to $55 for people living in nursing facilities and State developmental centers or psychiatric hospitals and to ensure that, in the future, the allowance is increased annually according to the increase in the federal cost-of-living. The bill also appropriates funds to cover the required payment increases.

Additional Information:

A610

Current Status: Assembly Health and Human Services Committee

Legislative Activity:
1/8/02 Introduced and referred to Assembly Health and Human Services Committee

Last Session: A2825 Reported out of committee with committee amendments, referred to Assembly Appropriations Committee

Bill No: S768

Sponsor: Senator Diane B. Allen (R7)

Summary: Establishes placement trusts for people with developmental disabilities

Comments: This bill authorizes the creation of individual placement trusts for the purpose of accruing sufficient funds to pay the cost of an appropriate residential functional services placement and, if a day program is needed, the cost of an appropriate day program. It additionally allows the Division of Developmental Disabilities in the Department of Human Services (Division) to accept the transfer of funds from placement trusts, community trust funds, or from other sources, including contributions, gifts, bequests or assignments or designations of life insurance proceeds, to pay for residential functional services placements and day programs for a designated person or for any other person eligible for Division services. The sponsor intends the bill to enable the Division to "work collaboratively with families to provide a service at a mutually agreed upon point in time." The intent is also to make placement assistance from the Division available to families that are paying directly for residential care for a fixed period of time.

This bill raises some concern regarding the absence of provisions for trusts to fund community-based services and supports for housing, employment and personal assistance in addition to placement trusts that fund institutional care. As drafted, the bill could leave an individual with no financial option but to live and work in a more segregated and restrictive setting than they desire.

Current Status: Senate Health, Human Services and Senior Citizens Committee

Legislative Activity:
1/15/02 Introduced and referred to Senate Health, Human Services and Senior Citizens Committee

Last Session: S196/A627 Senate bill reported out of committee, 2nd reading in Senate