New Jersey Statutes Title 26. Health and Vital Statistics 26 § 2H-93

a. It is in the public interest of this State for its nursing home industry to continue to provide high-quality services to those frail and vulnerable citizens who critically need nursing home care;

b. Presently, New Jersey has the lowest Medicaid reimbursement rate in the region for nursing home services provided;

c. Additional reductions in federal funding, together with the current budget crisis facing the State, are likely to deepen the nursing home industry's funding shortfall;

d. This funding crisis leads directly to caregiver staffing problems, high staff turnover, reduced staffing levels, and, in turn, a diminution in the quality of nursing care services;

e. By establishing an appropriate assessment on nursing homes, in accordance with federal regulations set forth at 42 C.F.R. s.433.68(f), additional funding will be made available to improve the quality of care by increasing Medicaid reimbursement for services delivered to those senior citizens and other persons residing in New Jersey nursing homes;

f. It is, therefore, appropriate to establish a “Nursing Home Quality of Care Improvement Fund” by using investment contributions from nursing home providers to attract federal matching funds; and

g. This innovative approach would allow New Jersey to improve nursing home services by using available federal dollars in the best manner possible.