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Bill > S318


NJ S318

NJ S318
Establishes annual cost of living adjustment based on Consumer Price Index for certain children, youth, and family services organizations.


summary

Introduced
01/09/2024
In Committee
01/09/2024
Crossed Over
Passed
Dead

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill stipulates that, on or after the effective date of the bill, the terms of a contract entered into between the Department of Children and Families (DCF) and a children, youth, and family organization are to include an annual increase in the cost of living adjustment received by the organization. The cost of living adjustment would be based on the Consumer Price Index for the previous 12-month period beginning October 1 and ending September 30, as published by the United States Department of Labor, and DCF would be required to announce the rate of the increase on October 1 of each year. As used in the bill, a "children, youth, and family organization" means an organization that provides programs and services to children, youth, and families through contracts entered into with DCF including, but not limited to, programs partially or fully funded by the State Medicaid program. DCF contracts with children, youth, and family organizations to provide child protective and treatment services through a competitive bidding process whereby a fixed rate is established for the provision of services. The fixed rate includes all the costs associated with the delivery of services including, but not limited to, salary, wages, and compensation for the staff of the organizations who provide the direct services to children, youth, and families. Such staff members continually face increases in their living expenses, but the rates provided to children, youth, and family organizations contracted with DCF are not automatically adjusted for cost of living increases. This bill would establish a statutory mechanism for providing annual cost of living adjustments to children, youth, and family organizations contracted with DCF.

AI Summary

This bill establishes an annual cost of living adjustment (COLA) based on the Consumer Price Index (CPI) for children, youth, and family services organizations that have contracts with the New Jersey Department of Children and Families (DCF). The COLA would be announced by DCF on October 1 of each year and applied to the contract terms. The bill aims to ensure that these organizations, which provide essential services to children, youth, and families, are able to adequately compensate their staff and maintain the provision of services despite rising costs and inflation.

Committee Categories

Health and Social Services

Sponsors (3)

Last Action

Introduced in the Senate, Referred to Senate Health, Human Services and Senior Citizens Committee (on 01/09/2024)

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