Requires NJ FamilyCare coverage for healthy food prescriptions for certain enrollees.

A4799 ACF Statement 5/7/26

ASSEMBLY CHILDREN, FAMILIES, AND FOOD SECURITY COMMITTEE

STATEMENT TO

ASSEMBLY,
No. 4799

with
committee amendments

STATE
OF NEW JERSEY

DATED:
�May 7,
2026

����� The Assembly Children, Families, and Food Security
Committee reports favorably and with committee amendments Assembly Bill No.
4799.

����� As amended, the bill amends the "Healthy Small
Food Retailer Act" (the act) to newly allow retail pharmacies to
participate in the program to market and sell healthy foods in rural and urban,
low and moderate income areas.� The bill�s amendments permit, to the extent
allowable under the State�s federally-approved Medicaid waiver, NJ FamilyCare
enrollees who have been diagnosed with certain diet-related medical conditions to
fill food prescriptions from licensed health care providers at small food
retailers and retail pharmacies that participate in the �Healthy Corner Store
and Retail Pharmacy Program� (the program).� The amended bill defines
�diet-related medical condition� to mean Type II diabetes, hypertension, or
obesity. �This NJ FamilyCare benefit will be designed to reduce overall NJ
FamilyCare expenditures through improved management of diet-related
conditions.�

����� Retail pharmacies must become authorized Medicaid
providers in order to fill food prescriptions for eligible NJ FamilyCare
enrollees.

����� Under the bill, as amended, a food prescription
includes: fresh fruits, fresh vegetables, culturally-appropriate staple foods, nutritional
supplements as identified by the Commissioner of Human Services in consultation
with the Commissioner of Health, and other medically-appropriate grocery items
as identified by the Commissioner of Human Services in consultation with the
Commissioner of Health.� The bill provides that, in implementing this food
prescription benefit, the Department of Human Services (department) will
prioritize partnerships with local farmers and food suppliers, to the extent
practicable.

����� Where practicable and permissible under federal and
State law, the department will engage community-based organizations and
community health workers to provide educational resources for program
participants, encourage compliance, and facilitate access to prescribed foods.

����� The Commissioner of Human Services will monitor the
number of food prescriptions written for, and filled by, NJ FamilyCare
enrollees who are prescribed healthy foods by a licensed health care provider,
health outcomes for these enrollees, and any improvements in access to healthy
foods for NJ FamilyCare enrollees who participate in the program.

����� In implementing the program, the department will
incorporate program integrity safeguards, including eligibility verification,
utilization review, and periodic audits to prevent waste, fraud, and abuse.

����� The amended bill further amends the act to provide
that retail pharmacies, in additional to corner store owners, may receive
financial assistance from the Healthy Small Food Retailers Fund for
refrigeration, display shelving, or other equipment necessary to stock healthy
foods and fresh produce, and increases the amount that each participating small
food retailer or retail pharmacy may receive to offset such costs from $5,000
to $6,000.� Retail pharmacies will also be eligible to receive mini-grants of
up to $100 to cover the up-front costs to participate in the program.

����� The amended bill directs the department to annually
report to the Governor and to the Legislature concerning the number of food
prescriptions dispensed to NJ FamilyCare enrollees via the program, health
outcomes for these NJ FamilyCare enrollees, State costs to prescribe foods for
NJ FamilyCare enrollees under the program, and any reduction in overall
Medicaid expenditures from the use of food prescriptions.

����� The bill, as amended, appropriates $500,000 from the
General Fund to the department to implement the provisions therein.

COMMITTEE AMENDMENTS
:

����� The committee amended the bill�s title to remove
references to supplementing Title 30 of the Revised Statutes.

����� The committee amendments remove section 9 of the bill
and shift the provisions of the former section 9 to section 5, thereby
establishing NJ FamilyCare coverage for food prescriptions, filled for an
eligible NJ FamilyCare enrollee at a retail pharmacy, under the �Healthy Corner
Store and Retail Pharmacy Program.�

����� The committee amendments renumbered certain sections
of the bill.