This bill proposes an increase in the fiscal year 2026 annual appropriation to the Department of Children and Families (DCF) by $16.7 million, specifically aimed at raising the NJ FamilyCare monthly reimbursement rate for care management organizations (CMOs). The current reimbursement rate of $1,032 per client will be increased to $1,200 per client, with a provision for an additional $100 increase in each subsequent fiscal year until the rate reaches $1,500 per client. The bill includes amendments to the annual appropriations act, adjusting the total Grants-in-Aid appropriation for social services programs accordingly.

The bill also modifies the appropriations language to reflect these changes, including an increase in the total Grants-in-Aid appropriation from $1,007,435,000 to $1,024,135,000, and specifies the allocation for care management organizations to be $134,360,000. This funding is crucial for CMOs, which are responsible for providing case management services and coordinating care for youth facing complex behavioral health challenges, substance use disorders, and developmental disabilities. The act is set to take effect immediately upon passage.