Creates voluntary pilot program to allow certain facilities flexibility in their psychiatric bed status, the official text

ASSEMBLY, No. 5223

STATE OF NEW JERSEY

222nd LEGISLATURE

INTRODUCED JUNE 4, 2026

Sponsored by:

Assemblywoman  LINDA S. CARTER

District 22 (Somerset and Union)

Senator  JOSEPH F. VITALE

District 19 (Middlesex)

Senator  JOHN F. MCKEON

District 27 (Essex and Passaic)

SYNOPSIS

Creates voluntary pilot program to allow certain
facilities flexibility in their psychiatric bed status.

CURRENT VERSION OF TEXT

As introduced.

An Act creating a pilot program to allow certain facilities
flexibility to temporarily change certain psychiatric bed status from adult
acute psychiatric bed to adult closed acute psychiatric bed.

Be It
Enacted by the Senate and General Assembly of
the State of New Jersey:

1.    a. The provisions of
this section shall be implemented as a pilot program for a period of 24 months
from the effective date of this act.

b.    Notwithstanding the
provisions of any law, rule, or regulation to the contrary, a general hospital,
psychiatric facility, or special psychiatric hospital licensed to provide
inpatient psychiatric services may, but shall not be required to, temporarily
utilize any adult acute psychiatric bed as an adult closed acute psychiatric
bed for the involuntary commitment of a patient pursuant to P.L.1987, c.116
(C.30:4-27.1 et al.), as necessary to meet patient care needs.  Nothing in this
section shall be construed to mandate or require a general hospital,
psychiatric facility, or special psychiatric hospital to implement such
flexibility.  This authority shall not be applicable to any short-term care
facility.

c.    An adult acute
psychiatric bed temporarily utilized as an adult closed acute psychiatric bed
pursuant to subsection b. of this section shall retain its licensure
designation and may be returned to that designation without further approval by
the Department of Health.  A temporary utilization of a psychiatric inpatient
bed pursuant to subsection a. of this section shall not:

(1)  constitute a change in
the facility’s licensed bed capacity;

(2)  require a certificate of
need, waiver, or other approval by the Department of Health; or

(3)  require the facility to
obtain a new or modified license.

d.    The Department of Health
shall not impose any fee, assessment, or other charge on a facility for the
temporary utilization of an adult acute psychiatric bed as an adult closed
acute psychiatric bed pursuant to this section.

e.    Nothing in this section
shall be construed to relieve a facility from compliance with all applicable
State and federal laws, rules, and regulations governing patient safety,
staffing ratios, clinical supervision, security, or any other operational or
safety requirements applicable to psychiatric inpatient services.

f.     A facility exercising
the flexibility authorized pursuant to this section shall ensure that
appropriate staffing levels, clinical oversight, and safety protocols required
for the care and treatment of patients receiving inpatient psychiatric services
are maintained at all times.

g.    The Commissioner of
Health may adopt rules and regulations necessary to implement this section;
however, such rules shall not restrict the operational flexibility authorized
herein.

h.    A facility that
exercises the flexibility authorized pursuant to this section shall submit a
quarterly report to the Department of Health starting on the effective date of
this act and ending on the last day of the 24th calendar month following that
effective date, which shall include:

(1)  the patient type for whom
the flexibility was temporarily utilized pursuant to this section;

(2)  the duration of each such
utilization; and

(3)  the number of instances
in which a psychiatric inpatient bed was converted from adult acute psychiatric
bed to an adult closed acute psychiatric bed.

A report submitted pursuant to
this subsection shall be made publicly available within 60 days of receipt of
the report by the department.

i.     (1) At the conclusion
of the 24-month pilot program, the Department of Health shall issue a survey to
all participating facilities to obtain feedback on the implementation of the
program and whether the program should be continued, modified, made permanent,
or expire.  The results of such survey shall be included in a report to the
Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), the
Legislature with recommendations whether to extend, terminate, or make
permanent the pilot program.

(2)  A list of all facilities
participating in the pilot program pursuant to this section shall be published
on the Department of Health’s Internet website for the duration of the pilot
program.

j.     The Commissioner of
Health, not more than 90 days after the end of the pilot program, shall submit
a report to the Governor, and pursuant to section 2 of P.L.1991, c.164
(C.52:14-19.1), the Legislature, which report shall include the results of the
survey conducted pursuant to subsection i. of this section and any recommendations,
including, but not limited to, whether the pilot program should be continued or
made permanent.

2.    This act shall take
effect immediately.

STATEMENT

This bill creates a voluntary
pilot program that would allow licensed inpatient psychiatric facilities to
temporarily use existing adult acute psychiatric beds as adult closed acute
psychiatric beds.  Under the program, the use of such beds would not constitute
a change in the facility’s licensed bed capacity, require approval by the
Department of Health (department), or require a change to the facility’s
licensure status.  The program would initially run for 24 months but the
Commissioner of Health (commissioner) may recommend legislative action to
extend or make permanent the program.  A list of participating facilities would
be published on the department’s Internet website for the duration of the pilot
program.

This bill also requires each
participating facility to submit a quarterly report to the department,
detailing:  (1) the patient type for whom the flexibility was temporarily
utilized; (2) the duration of the utilization; and (3) the number of instances
in which a psychiatric inpatient bed was converted.  The reports are required
to be made public within 60 days of the submission of the report to the
department.  Additionally, within 90 days of the end of the pilot program, the
commissioner would be required to submit a report to the Governor and the Legislature
regarding the pilot program and whether the program should be continued or made
permanent.