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S 3950

Expands the empire state apprenticeship tax credit to include additional credit for people with disabilities

2025 Regular Session Introduced by Jessica Ramos

NJ S3950 requires independent financial audits and criminal background checks for residential SUD licensure, plus unannounced inspections to strengthen oversight.

REFERRED TO LABOR
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Bill Summary · S 3950

Summary of New Jersey Senate Bill S 3950

Note: The bill’s stated title in the provided information (expanding an apprenticeship tax credit) appears inconsistent with the introduced text. The content actually defines licensure requirements for residential substance use disorder (SUD) treatment facilities or programs in New Jersey. The summary below reflects the introduced version’s provisions.

Overview

  • Bill number: S 3950
  • Title (introduced content): Revise licensure requirements for residential substance use disorders treatment facilities or programs
  • Purpose: Strengthen Department of Health oversight by adding financial and criminal background checks for licensure applicants, plus routine unannounced inspections of residential SUD facilities/programs.
  • Sponsor: Senator Jessica Ramos (primary)
  • Status: Referred to Labor (Introduced 12/12/2024; later actions show referral to Labor on 1/30/2025)
  • Related bills: A 3976 (companion); S 7037 (prior-session)

Key Provisions

  1. Financial audit requirement for licensure applicants

    • The Department of Health (the department) must require an applicant seeking licensure to operate a residential SUD facility or program to submit a financial audit.
    • Audit must be conducted by an independent certified public accountant chosen by the department; applicant bears the audit cost.
    • The department may deny licensure if the financial audit reveals improper or questionable business practices or financial activities.

  2. Criminal history background checks and fingerprinting

    • Applicants must complete criminal history record background checks for each owner and principal and submit to fingerprinting.
    • Applicant bears all costs associated with background checks and processing.
    • The department may exchange fingerprint data with the Division of State Police and the FBI as permitted by law, and will use results to determine licensure eligibility.
    • Licensure can be denied if background checks reveal a conviction involving dishonesty or fraud.
    • If a subject is later convicted of a crime after the background check, the Division of State Police must notify the department, and the department will reassess continued eligibility of that person as an owner or principal.

  3. Additional application standards

    • The department may establish other standards and requirements for licensure as needed.

  4. Unannounced inspections

    • The department must periodically conduct unannounced inspections of licensed residential SUD facilities/programs.

  5. Rulemaking and effective date

    • The Commissioner of Health will adopt rules and regulations to implement the act, in accordance with the Administrative Procedure Act.
    • The act takes effect immediately upon enactment.

Who Is Affected

  • Residential SUD treatment facilities or programs in New Jersey seeking licensure.
  • Owners and principals (defined as individuals or entities with 5% or more ownership).
  • The Department of Health, which will administer audits, background checks, inspections, and licensure determinations.
  • Prospective license applicants, who will incur audit and background check costs.

Procedural and Timeline Aspects

  • Introduced in the Senate on December 12, 2024.
  • Referred to Senate Health, Human Services and Senior Citizens Committee, then to Labor (as of 1/30/2025).
  • Provisions indicate immediate effect upon enactment, with ongoing regulatory rulemaking to follow under the Administrative Procedure Act.
  • Unannounced inspections are to be conducted periodically after licensure.

Additional Context

  • Related legislation includes A 3976 (companion bill), and S 7037 (prior-session reference).
  • The “principal” and facility definitions reference existing NJ regulations (N.J.A.C. 8:111-1.3 or successor).

This bill would notably increase the cost and administrative burden for residential SUD facilities seeking licensure, through mandatory financial audits and criminal history checks, while enhancing ongoing oversight via unannounced inspections.

Compiled from official sources — confirm details with the bill’s official record.

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