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S4030
SENATE, No. 4030
STATE OF NEW JERSEY
222nd LEGISLATURE
�
INTRODUCED MARCH 19, 2026
Sponsored by:
Senator� JOSEPH F. VITALE
District 19 (Middlesex)
SYNOPSIS
���� Designates minimum percentage of residential
substance use disorder treatment facility beds for use by NJ FamilyCare
eligible individuals as condition for licensure.
CURRENT VERSION OF TEXT
���� As introduced.
��
An Act
concerning substance use disorder treatment facilities
and supplementing P.L.1970, c.334 (C.26:2G-21 et seq.).
����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:
���� 1.��� a.� As a condition of
licensure, a new residential substance use disorder treatment facility that
applies for an initial license from the Department of Health after the
effective date of this act shall ensure that no less than 40 percent of the
facility�s beds are for use by NJ FamilyCare eligible individuals. A new
residential substance use disorder treatment facility shall attain the required
NJ FamilyCare utilization rate within 12 months of the date of initial
licensure and shall maintain this utilization rate thereafter.
���� b.��� As a condition of
licensure renewal, a currently licensed residential substance use disorder
treatment facility shall attain the 40 percent NJ FamilyCare utilization rate,
established pursuant to paragraph a. of this section, within 12 months of the
date of the facility�s next license renewal following the effective date of
this act, and shall maintain this utilization rate thereafter.
���� c.���� (1)� In the case of a
new facility that fails to comply with the provisions of paragraph a. of this
section, the Department of Health shall not issue an initial license to operate
until such time as the facility documents compliance with the minimum NJ FamilyCare
utilization rate established pursuant to paragraph a. of this section.
���� (2)� In the case of a
currently licensed residential substance use disorder treatment facility that
fails to comply with the provisions of paragraph b. of this section, the
Department of Health shall not renew the facility�s license to operate until
such time as the facility documents compliance with the minimum NJ FamilyCare
utilization rate established pursuant to paragraph a. of this section.
���� d.��� As used in this section:
���� �License� means a certificate
of approval pursuant to P.L. 1970, c.334 (C.26:2G-21 et seq.).
���� �NJ FamilyCare� means the
program established pursuant to P.L.2005, c.156 (C.30:4J-8 et al.), which
includes the State's Medicaid Program and the Children's Health Insurance
Program.
���� �Residential substance use
disorder treatment facility� means a facility, or a distinct part of a
facility, that provides care for the treatment of substance use disorders, for
24 or more consecutive hours to two or more clients who are not related to the
governing authority or its members by marriage, blood, or adoption.� This term
shall include: halfway houses, extended care facilities, long-term residential
facilities, and short-term residential facilities; and any similar facility
providing substance use disorders treatment services including hospital-based
and non-hospital-based detoxification through a structured recovery environment
involving professional clinical services.
���� 2.��� The Commissioner of
Health shall, in accordance with the "Administrative Procedure Act,"
P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations as necessary
to implement this act.
���� 3.��� This act shall take
effect on the first day of the seventh month next following the date of
enactment.
STATEMENT
���� This bill provides that a new
residential substance use disorder treatment facility that applies for initial
licensure from the Department of Health (DOH) must ensure that at least 40
percent of the facility�s beds are for use by NJ FamilyCare eligible
individuals.� Such a facility will be required to attain this NJ FamilyCare
utilization rate within 12 months of initial licensure and must maintain this
utilization rate thereafter.� In the case of a new facility that fails to comply
with the minimum NJ FamilyCare utilization rate, the bill provides that the DOH
will not issue an initial license to operate as a residential substance use
disorder treatment facility until such time as the facility documents compliance.
���� A residential substance use
disorder treatment facility that currently operates under a DOH license will be
required to meet the 40 percent NJ FamilyCare utilization rate within 12 months
of the date of the facility�s next licensure renewal, and will be required to
maintain this utilization rate thereafter. �If the facility fails to attain the
minimum NJ FamilyCare utilization rate established under the bill, the DOH may
not renew the facility�s license to operate until such time as the facility
documents compliance with this requirement.
���� The bill defines a
�residential substance use disorder treatment facility� as a facility, or a
distinct part of a facility, that provides care for the treatment of substance
use disorders, for 24 or more consecutive hours to two or more clients who are
not related to the governing authority or its members by marriage, blood, or
adoption.� Under the bill, this term includes the following facilities:� halfway
houses, extended care facilities, long-term residential facilities, and
short-term residential facilities; and any similar facility providing substance
use disorders treatment services including hospital-based and
non-hospital-based detoxification through a structured recovery environment
involving professional clinical services.