This bill establishes a three-year pilot program aimed at providing NJ FamilyCare benefits to children with special needs who live in their family homes but would otherwise be ineligible due to their parents' income and assets. It defines a "child with special needs" as a child under 21 who meets the federal criteria for being blind or disabled under the Supplemental Security Income (SSI) program. The Department of Human Services (DHS) is tasked with annually redetermining each child's eligibility based on their continued qualification as blind or disabled. If a child is found no longer eligible, their NJ FamilyCare benefits will be terminated, but an appeals process will be established for families affected by such decisions.

At the conclusion of the pilot program, the DHS Commissioner is required to report to the Governor and the Legislature on the number of children who gained eligibility for NJ FamilyCare benefits, the total costs incurred by the state for these benefits, and the administrative costs of the pilot program. The report will also include recommendations on whether the benefits should be made permanent. The pilot program will expire upon the submission of this report, and the Commissioner will also seek any necessary state plan amendments or waivers to implement the program and secure federal funding.