New Jersey Assembly Bill A3001

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Provides for oversight of DHS contracts with providers serving persons with developmental disabilities.

Impact

The bill mandates that service providers submit expenditure reports to the Division of Developmental Disabilities, ensuring accountability in the use of funds allocated for developmental disability services. Should a provider fail to meet reporting requirements, they could face 'negative contracting action,' which encompasses the potential for non-renewals or even termination of contracts. This requirement aims to improve transparency and ensure that state resources are directed towards achieving favorable outcomes for individuals receiving services under the DHS.

Summary

Assembly Bill A3001 aims to enhance the oversight of contracts handled by the Department of Human Services (DHS) for services provided to individuals with developmental disabilities. This initiative originates from a 2009 performance audit conducted by the Office of the State Comptroller which highlighted significant concerns regarding contract management and the effectiveness of service delivery. The legislation sets out defined criteria for provider expenditure reports and introduces limitations on administrative costs, ensuring that a maximum of 10% of state funds can be allocated to general and administrative expenses for service providers.

Contention

A key aspect of the bill involves performance evaluations conducted by the Director of the Division, which will now require unannounced inspections and feedback surveys from staff and the families of those served. While proponents argue that such measures will drive quality improvements and accountability, critics may express concerns regarding the administrative burden placed on providers and whether these evaluations will sufficiently address the service delivery issues identified in past audits. The overarching goal is to enhance service effectiveness and ensure that individuals with developmental disabilities attain their personal habilitation goals.