The bill amends Section 1 of P.L.2021, c.31 (C.2C:40A-6) to strengthen regulations against illegal payments related to referrals for substance use disorder treatment services. It establishes that individuals or entities, including health care providers and facilities, are guilty of a third-degree crime if they make or receive payments, kickbacks, or bribes in connection with patient referrals to licensed treatment facilities. Convictions under this section will result in mandatory restitution and a fine of $50,000. Additionally, the bill clarifies that it is not a violation to receive payments that do not vary based on the number of patients referred or the nature of services provided.

The bill also empowers the Office of Licensing in the Department of Health and the Department of Community Affairs to investigate alleged violations and impose penalties. If violations are found, the Department of Health can suspend or revoke licenses or impose civil penalties of up to $20,000 for each violation, while the Department of Community Affairs has similar authority regarding recovery residences. The definitions of key terms such as "clinical laboratory," "health care facility," "health care provider," and "recovery residence" are also included to provide clarity on the entities affected by this legislation. The act is set to take effect immediately upon approval.

Statutes affected:
Introduced: 2C:40A-6
Advance Law: 2C:40A-6
Pamphlet Law: 2C:40A-6