New Jersey Senate Bill S1817

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Revises procedures for processing incomplete Medicaid applications; exempts asset transfers of up to $500 per month during look back period for determining eligibility for long-term care services.

Impact

By allowing these 'de minimis gifts' under $500 to be transferred without penalty, S1817 seeks to reduce the bureaucratic hurdles and uncertainties that applicants face when applying for Medicaid. This is particularly relevant for individuals entering long-term care facilities, who may need to divest assets to meet eligibility criteria. The bill also mandates that if a county welfare agency deems any Medicaid application incomplete, they must inform the applicant of what information is lacking and allow them to rectify the situation before making a decision.

Summary

Senate Bill S1817 aims to amend and supplement the existing Medicaid provisions in New Jersey, specifically focusing on the procedures for handling incomplete Medicaid applications and asset transfers. Under this bill, individuals seeking Medicaid coverage for long-term care services would be allowed to transfer up to $500 in assets per month during the 60-month look-back period without facing a penalty of ineligibility. This change is intended to align New Jersey's policies more closely with federal guidelines regarding acceptable asset transfers and to simplify the eligibility process for applicants.

Contention

One notable point of contention surrounding S1817 could relate to concerns over how the bill might be administratively implemented at the county level. Critics may argue that even with these changes, the adjudication process for Medicaid applications can still be cumbersome, affecting seniors and disabled individuals who rely on timely access to benefits. Additionally, there may be discussions about whether the $500 threshold is sufficient or too generous, impacting the overall budget for Medicaid services in New Jersey.