This bill mandates that NJ FamilyCare reimburse inpatient providers for long-acting injectable antipsychotic drugs at the same rate as those drugs are reimbursed when administered in an outpatient setting. Specifically, the reimbursement for these drugs in an inpatient context will be separate from the standard Diagnostic Related Group (DRG) reimbursement system, which typically does not account for the high costs of these medications. The bill aims to ensure that the reimbursement reflects the actual costs of the drugs, thereby improving access to these essential treatments for patients with serious mental illnesses, such as schizophrenia and bipolar disorder.

Additionally, the bill requires the Commissioner of Human Services to apply for any necessary state plan amendments or waivers to implement these provisions and secure federal financial participation for state Medicaid expenditures. The act will take effect four months after its enactment, although anticipatory administrative actions may be taken beforehand to facilitate its implementation. Overall, the bill seeks to enhance healthcare outcomes by promoting better medication adherence and reducing hospital readmissions for individuals requiring long-acting injectable antipsychotic medications.