Bill Text: NJ A5830 | 2022-2023 | Regular Session | Introduced


Bill Title: Provides bonuses for certain essential healthcare workers; appropriates $400,000,000.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2023-12-04 - Introduced, Referred to Assembly Health Committee [A5830 Detail]

Download: New_Jersey-2022-A5830-Introduced.html

ASSEMBLY, No. 5830

STATE OF NEW JERSEY

220th LEGISLATURE

 

INTRODUCED DECEMBER 4, 2023

 


 

Sponsored by:

Assemblyman  LOUIS D. GREENWALD

District 6 (Burlington and Camden)

 

 

 

 

SYNOPSIS

     Provides bonuses for certain essential healthcare workers; appropriates $400,000,000.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning bonuses for certain essential healthcare workers and making an appropriation.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    As used in this act:

     "Base salary" means the employee's gross wages with the employer during the vesting period, excluding any bonuses or overtime pay.

     "Director" means the Director of the Division of Medical Assistance and Health Services.

     "Employee" means an individual who received an annualized base salary of $100,000 or less, who provides hands-on health or care services to individuals, or in-person support services to those providers, without regard to whether the person works full-time, part-time, on a salaried, hourly, or temporary basis, or as an independent contractor, including:

     (1)   physician assistants, dental hygienists, dental assistants, psychiatric aides, pharmacists, pharmacy technicians, physical therapists, physical therapy assistants, physical therapy aides, occupational therapists, occupational therapy assistants, occupational therapy aides, speech-language pathologists, respiratory therapists, exercise physiologists, recreational therapists, all other therapists, orthotists, prosthetists, clinical laboratory technologists and technicians, diagnostic medical sonographers, nuclear medicine technologists, radiologic technologists, magnetic resonance imaging technologists, ophthalmic medical technicians, radiation therapists, dietetic technicians, cardiovascular technologists and technicians, certified first responders, emergency medical technicians, advanced emergency medical technicians, paramedics, surgical technologists, all other health technologists and technicians, orderlies, medical assistants, phlebotomists, medical fellows, medical residents, mental and behavioral healthcare workers, all other health care support workers, nurse anesthetists, nurse midwives, nurse practitioners, registered nurses, nursing assistants, and licensed practical and licensed vocational nurses; and

     (2)   to the extent not already included in paragraph (1) of this definition, staff who perform essential healthcare functions or functions in support of the persons included in paragraph (1) of this definition, as determined by the director.  Staff who perform essential support functions shall include, but not be limited to, building service workers, clerks, custodians and sanitation workers, dietary and dining workers, environmental services workers, maintenance workers, security guards, and reception and secretarial workers.

     "Employer" means a provider enrolled in the Medicaid program pursuant to P.L.1968, c.413 (C.30:4D-1 et seq.) that employs at least one employee and that bills for services, via the fee-for service or the managed care delivery system, under the State Medicaid plan established under Title XIX of the federal Social Security Act, or any home and community-based services waivers to that State plan approved by the Centers for Medicare and Medicaid Services, to include:

     (1)   providers and facilities, fiscal intermediaries, pharmacies, or school based health centers, to the extent that these entities are approved to participate in the Medicaid program;

     (2)   programs that participate in the medical assistance program and are funded by the Division of Mental Health and Addiction Services or the Division of Developmental Disabilities; and

     (3)   other provider types determined by the director.

     Unless a provider is subject to a certificate of need process as a condition of State licensure or approval, the provider shall not be an employer pursuant to this act unless at least 20 percent of the provider's patients or persons served are eligible for services under the Medicaid program.

     "Medicaid program" means the program established pursuant to P.L.1968, c.413 (C.30:4D-1 et seq.).

     "Vesting period" shall mean a series of six-month periods between the dates of October 1, 2022 and March 31, 2025 for which employees that are continuously employed by an employer during a six-month period, in accordance with a schedule issued by the director may become eligible for a bonus pursuant to this act.

 

     2.    The Director of the Division of Medical Assistance and Health Services is directed to seek federal approvals as applicable, and, subject to federal financial participation, to support with federal and State funding bonuses to be made available during the State fiscal year of 2024 to recruit, retain, and reward employees pursuant to this act.

 

     3.    a.  The Director of the Division of Medical Assistance and Health Services, in consultation with the Commissioner of Labor and Workforce Development, and subject to any necessary approvals by the federal Centers for Medicare and Medicaid services, shall develop the forms and procedures needed to identify the number of hours employees worked and to provide reimbursement to employers for the purposes of funding employees' bonuses in accordance with hours worked during the vesting period.

     b.    Using the forms and processes developed pursuant to this section, employers shall, for a period of time specified by the director:

     (1)   track the number of hours that employees work during the vesting period and, as applicable, the number of patients served by the employer who are eligible for services under the Medicaid program; and

     (2)   submit claims for reimbursement of employee bonus payments.  In filling out the information required to submit the claim, an employer shall use information obtained from tracking required pursuant to paragraph (1) of this subsection and provide any other information that may be prescribed by the director.  In determining an employee's annualized base salary, the employer shall use information based on payroll records.

     c.     An employer shall be responsible for determining whether an employee is eligible under this section and shall maintain and make available upon request all records, data and information the employer relied upon in making the determination that an employee was eligible.

     d.    An employer shall maintain contemporaneous records for tracking all claims related information and documents required to substantiate claims submitted under this section for a period of no less than six years.  An employer shall furnish any record or information, upon request, to the director or the Commissioner of Labor and Workforce Development.

     e.     The Commissioner of Human Services shall apply for such State plan amendments or waivers as may be necessary to implement the provisions of this section and to secure federal financial participation for State Medicaid expenditures under the federal Medicaid program.

 

     4.    a.  Upon issuance of a vesting schedule by the director, an employer shall pay bonuses to an eligible employee pursuant to the schedule, based on the number of hours worked during the vesting period.  The schedule shall provide for total payments not to exceed $3,000 per employee in accordance with the following:

     (1)   employees who have worked an average of at least 20 but less than 30 hours per week over the course of a vesting period would receive a $500 bonus for the vesting period;

     (2)   employees who have worked an average of at least 30 but less than 35 hours per week over the course of a vesting period would receive a $1,000 bonus for the vesting period;

     (3)   employees who have worked an average of at least 35 hours per week over the course of a vesting period would receive a $1,500 bonus for the vesting period; and

     (4)   full-time employees who are exempt from overtime compensation pursuant to State law over the course of a vesting period shall receive a $1,500 bonus for the vesting period.

     b.    Notwithstanding subsection a. of this section, the director may through regulation specify an alternative number of vesting periods, provided that total payments do not exceed $3,000 per employee.

     c.     An employee shall be eligible for a bonus for no more than two vesting periods per employer, in an amount equal to but not greater than $3,000 per employee across all employers.

     d.    Upon completion of a vesting period with an employer, an employee shall be entitled to receive the bonus and the employer shall be required to pay the bonus no later than the date specified under this section, provided however that prior to that date the employee does not terminate, through action or inaction, the employment relationship with the employer, in accordance with any employment agreement, including a collectively bargained agreement, if applicable, between the employee and employer.

     e.     Any bonus due and payable to an employee under this section shall be made by the employer no later than 30 days after the bonus is paid to the employer.

     f.     An employer shall be required to submit a claim for a bonus to the department no later than 30 days after an employee's eligibility for a bonus vests, in accordance with and upon issuance of the schedule issued by the director.

     g.    No portion of any dollars received from claims under paragraph (2) of subsection b. of section 3 of this act for employee bonuses shall be returned to any person other than the employee to whom the bonus is due, or used to reduce the total compensation an employer is obligated to pay to an employee.

     h.    No portion of any bonus available pursuant to this section shall be payable to a person who has been suspended or excluded under the medical assistance program during the vesting period and at the time an employer submits a claim under this section.

     i.     The use of any accruals or other leave, including but not limited to sick, vacation, or time used under the "Family Leave Act," P.L.1989, c.261 (C.34:11B-1 et seq.), shall be credited towards and included in the calculation of the average number of hours worked per week over the course of the vesting period.

 

     5.    a.  The Director of the Division of Medical Assistance and Health Services shall conduct audits, investigations and reviews of employers required to submit claims under this act.  A claim inappropriately paid shall constitute an overpayment as that term is defined under the regulations governing the Medicaid program.  The director may recover an overpayments to an employer as it would an over-payment under the Medicaid program, impose sanctions up to and including exclusion from the Medicaid program, impose penalties, and take any other action authorized by law where:

     (1)   an employer claims a bonus not due to an employee or a bonus amount in excess of the correct bonus amount due to an employee;

     (2)   an employer claims, receives and fails to pay any part of the bonus due to a designated employee; or

     (3)   an employer fails to claim a bonus due to an employee.

     b.    Any employer identified in subsection a. of this section who fails to identify, claim, and pay any bonus for more than 10 percent of its employees eligible for the bonus shall also be subject to additional penalties available under section 17 of P.L.1968, c.413 (C.30:4D-17).

     c.     Any employer who fails to pay any part of the bonus payment to a designated employee shall remain liable to pay the bonus to that employee, regardless of any recovery, sanction, or penalty the director may impose.

     d.    In all instances recovery of inappropriate bonus payments shall be recovered from the employer.  The employer shall not have the right to recover any inappropriately paid bonus from the employee.

     e.     Where the director sanctions an employer for violations under this section, the director may also sanction any affiliates as defined under the regulations governing the medical assistance program.

 

     6.    There is appropriated $400,000,000 from the General Fund to the Division of Medical Assistance and Health Services for the purpose of providing bonuses and enabling it to implement the provisions of this act.

 

     7.    This act shall take effect immediately, and shall expire when the director determines the purposes of the act have been fulfilled.

 

 

STATEMENT

 

     This bill provides bonuses for certain essential healthcare workers.  The bonuses are provided to individuals who receive an annualized base salary of $100,000 or less, who provide hands-on health or care services to individuals, or in-person support services to those providers, without regard to whether the person works full-time, part-time, on a salaried, hourly, or temporary basis, or as an independent contractor.

     The bill directs the Director of the Division of Medical Assistance and Health Services to seek federal approvals as applicable, and, subject to federal financial participation, to support with federal and State funding bonuses to be made available during the State fiscal year of 2024 to recruit, retain, and reward essential healthcare workers pursuant to the bill.

     The bill requires the Director of the Division of Medical Assistance and Health Services, subject to any necessary approvals by the federal centers for Medicare and Medicaid services, to develop the forms and procedures needed to identify the number of hours employees worked and to provide reimbursement to employers for the purposes of funding employee bonuses in accordance with hours worked during a vesting period.

     The system established by the Director of the Division of Medical Assistance and Health Services requires employers to provide eligible employees with bonuses according to schedules that are to be established pursuant to the bill.  The schedules are to provide for total payments not to exceed $3,000 per employee in accordance with the following:

     (1)   employees who have worked an average of at least 20 but less than 30 hours per week over the course of a vesting period would receive a $500 bonus for the vesting period;

     (2)   employees who have worked an average of at least 30 but less than 35 hours per week over the course of a vesting period would receive a $1,000 bonus for the vesting period;

     (3)   employees who have worked an average of at least 35 hours per week over the course of a vesting period would receive a $1,500 bonus for the vesting period; and

     (4)   full-time employees who are exempt from overtime compensation pursuant to State law over the course of a vesting period are to receive a $1,500 bonus for the vesting period.

     The bill requires the Director of the Division of Medical Assistance and Health Services to conduct audits, investigations and reviews of employers required to submit claims under the bill.

     The bill appropriates $400,000,000 from the General Fund to the Division of Medical Assistance and Health Services for the purpose of providing bonuses and enabling it to implement the bill.

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