New Jersey Assembly Bill A2729

New Jersey 2022-2023 Regular Session

• Introduced: 2/14/22
• Refer: 2/14/22

Caption

Prohibits State from billing counties for cost of psychiatric hospitalization when patient or legally responsible relative is responsible for costs by court order.

Impact

The bill seeks to alleviate the financial burden on counties that are currently liable for costs incurred during the hospitalization of individuals under court orders. Supporters of A2729 believe that it will prevent counties from needing to gather taxpayer funds to settle invoices issued by the State in cases where a patient is already considered responsible for their care. The reform is viewed as a positive step towards efficiency in managing public finances, particularly concerning mental health services.

Summary

Bill A2729 aims to amend the existing law concerning the costs associated with involuntary psychiatric hospitalization. The primary focus of the bill is to mandate that the State of New Jersey will not bill counties for the costs of hospitalization when a court has ordered that the patient or their legally responsible relative is fully accountable for these expenses. This change comes in response to concerns regarding the current billing system where counties are charged upfront, leading to a subsequent crediting process that has been deemed administratively cumbersome.

Contention

There may be some contention surrounding the bill, particularly from advocacy groups focused on mental health care. Critics can argue that removing the billing obligation from the State to the counties could potentially lead to gaps in funding for mental health services or concerns about how costs are monitored and managed at the county level. Furthermore, the potential elimination of the reconciliation process could raise questions regarding the accountability of financial transactions associated with such hospitalizations.