This bill establishes a State medical relief program within the Department of Human Services to assist individuals who lose their NJ FamilyCare coverage due to specific provisions of the federal One Big Beautiful Bill Act (OBBBA). Eligible individuals include those disenrolled because of community engagement requirements, more frequent eligibility redeterminations, or changes in immigrant eligibility for Medicaid and the Children's Health Insurance Program (CHIP). The program will provide limited medical relief funds for qualifying outpatient services, such as hospital emergency care, physician visits, prescription drugs, and behavioral health services. Benefits will be distributed via an electronic benefits transfer (EBT) card, with the amount determined annually by the Commissioner of Human Services, and will be available for a 12-month period or until fully expended.

Additionally, the bill creates the New Jersey Medical Relief Fund, a nonlapsing revolving fund in the Department of the Treasury, to manage appropriations for the program, including an initial allocation of $650 million. The Commissioner will automatically enroll eligible individuals in the program on a provisional basis, allowing them to access medical relief benefits until their eligibility is confirmed or they opt out. Participating medical providers must accept these benefits as payment and charge rates equivalent to those under NJ FamilyCare. The provisions of this bill are set to take effect on October 1, 2026, with preparatory actions allowed beforehand.