Bill > A6062

Introduced Session

This bill establishes the NJ FamilyCare Stabilization Fund, a nonlapsing, revolving fund in the Department of the Treasury. NJ FamilyCare is the State's publicly funded health insurance program for low-income individuals, which includes Medicaid and the Children's Health Insurance Program. The bill directs that five percent of the State's unreserved - undesignated General Fund balance, as determined upon the enactment of the annual appropriations act at the start of each State fiscal year, is to be annually appropriated to the NJ FamilyCare Stabilization Fund. For reference, the FY 2026 Annual Appropriations provides an unreserved - undesignated fund balance $6.7 billion for the State. Under this bill, $335 million of those funds would be transferred to the newly established NJ FamilyCare Stabilization Fund in FY 2026. The resources in the fund are to be used by the Division of Medical Assistance and Health Services in the Department of Human Services to maintain existing NJ FamilyCare services and benefits in any given fiscal year in which revenues from federal reimbursements of NJ FamilyCare expenditures are anticipated to decrease by 15 percent or greater when compared to the previous fiscal year. In any given fiscal year, the bill limits disbursement from the fund to 60 percent of the fund balance as of July 1 of the applicable fiscal year. The bill requires that, commencing on January 1 next following the first appropriation into the fund, and annually thereafter: 1) the State Treasurer is to provide a report to the Department of Human Services and the Legislature on the status of the NJ FamilyCare Stabilization Fund; and 2) the Department of Human Services is to provide a report to the Legislature documenting expenditures of monies from the fund in the previous calendar year, identifying the reasons why these expenditures were necessary to maintain existing NJ FamilyCare services and benefits, and providing projections for the use of monies from the fund in the current calendar year. On July 4, 2025 the federal law known as "The One Big Beautiful Bill Act" was adopted. This law makes sweeping changes to the Medicaid Program regarding eligibility and financing, which changes are projected to significantly reduce the amount of federal funding supporting the NJ FamilyCare Program in the coming years. This bill aims to help the State prepare for this and any future funding changes to the NJ FamilyCare Program as a means to ensure that the State's most vulnerable residents can continue to have access to comprehensive health benefits.

AI Summary

Committee Categories

Shanique Speight (D)*, 

Introduced, Referred to Assembly Aging and Human Services Committee (on 11/17/2025)

Official Document