Bill
Bill > S3523
summary
Introduced
02/19/2026
02/19/2026
In Committee
02/19/2026
02/19/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill directs the Division of Medical Assistance and Health Services in the Department of Human Services to establish the Children's Partial Hospitalization Pilot Program. The goal of this pilot program is to expand the availability of partial hospitalization services for children ages five through 14 by providing reimbursement under the NJ FamilyCare program - the State' s health insurance program for eligible, low-income persons - for partial hospitalization services provided at non-hospital based locations. Children's partial hospitalization services are intensive, highly structured outpatient treatment services that provide individualized, outcomes-oriented psychiatric services designed for youth and young adults and that are intended to minimize the need for inpatient hospitalization. Currently, to qualify for NJ FamilyCare reimbursement, partial hospitalization services must be provided in a hospital setting. Under the bill, the division is to select one applicant to participate in the pilot program. The eligible applicant is required to: demonstrate an established plan for implementation; exclusively provide partial hospitalization services to children ages five through 14; meet all existing federal and State requirements for reimbursement of children's partial hospitalization services under NJ FamilyCare, except that the location of service delivery does not need to be a licensed hospital; and apply to the Department of Children and Families for approval as a provider within the Children's System of Care. The Children's System of Care is New Jersey's public behavioral health system for youth under 21 years of age. No later than 36 months after the division selects the pilot's participant, the division is required to submit to the Governor and to the Legislature, a report that summarizes the implementation of the program to date, as well as recommendations for the continuation of the program. The pilot program shall expire 36 months after the division selects the pilot's participant.
AI Summary
This bill establishes a Children's Partial Hospitalization Pilot Program within the Division of Medical Assistance and Health Services of the Department of Human Services to expand access to intensive, structured outpatient mental health services for children aged five through 14. Currently, these services, known as Children's Partial Hospitalization Services, which are designed to offer psychiatric care to youth and young adults to prevent the need for inpatient hospitalization, are only reimbursed by NJ FamilyCare, the state's health insurance program for low-income individuals, if provided in a hospital setting. This pilot program will allow for reimbursement of these services when delivered at non-hospital locations, with the division selecting one applicant that demonstrates an implementation plan, exclusively serves the target age group, meets federal and state requirements except for the location, and is approved by the Department of Children and Families as a provider within the Children's System of Care, which is New Jersey's public behavioral health system for youth under 21. The program will run for 36 months after a participant is selected, during which time the division must report on its implementation and provide recommendations for its continuation, and the Commissioner of Human Services is directed to seek necessary waivers and adopt regulations to implement the act.
Committee Categories
Health and Social Services
Sponsors (1)
Last Action
Introduced in the Senate, Referred to Senate Health, Human Services and Senior Citizens Committee (on 02/19/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/S3523 |
| BillText | https://pub.njleg.gov/Bills/2026/S4000/3523_I1.HTM |
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