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S 2340

Relates to making an appropriation for the purpose of establishing and expanding training programs for direct support professionals at boards of cooperative educational services

2025 Regular Session Introduced by George Borrello and 1 co-sponsor

Licensed outpatient SUD programs can lease or own housing and offer housing (with transport) to participants who need both services, separate from treatment contracts.

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Bill Summary · S 2340

Summary — S 2340

Title: Authorizes outpatient substance use disorder treatment programs to make housing available under certain circumstances
Status: Reported out of Senate Committee; 2nd Reading
Introduced: July 17, 2025 (document also shows earlier committee activity and drafting dates)
Subject: Drug abuse; human services

Note on source material: The bill text and statement concern a New Jersey statutory supplement (references to P.L.1970, c.334 and the Commissioner of Human Services). The provided packet also contains unrelated docket text from another jurisdiction (Massachusetts) and a sponsor list that includes federal legislators; the operative statutory language below describes the New Jersey measure.

Purpose

To allow licensed outpatient substance use disorder (SUD) treatment programs to lease, manage, or own housing and to offer that housing (and transportation between housing and treatment) to program participants who need both treatment and housing — while preserving existing prohibitions against paying or receiving remuneration for referrals.

Key provisions

  • Permitted activities (carve-out):
    • Licensed outpatient SUD treatment programs and their owners/officers/directors may lease, manage, and own housing units.
    • They may concurrently provide outpatient SUD treatment services and offer housing units, and may provide transportation between treatment sites and those housing units, to individuals in need of both services.
  • Conditions on housing provision:
    • Housing must be offered under a contract separate from the treatment services contract.
    • The housing contract must state the individual’s acknowledgment of a good‑faith responsibility to repay any discount or subsidy provided in connection with the housing.
    • Individuals must be informed that receipt of housing and receipt of treatment are not conditioned on each other — each may be accepted independently.
    • Housing must comply with applicable State and local zoning, building, and safety laws.
  • Referral remuneration rule preserved:
    • The bill reiterates that neither licensed outpatient SUD programs nor their owners/officers/directors may provide or receive remuneration or anything of value for referring a person seeking SUD treatment (a conduct presently criminalized as a fourth‑degree offense).
  • Implementation and timing:
    • The Commissioner of Human Services may adopt rules under the Administrative Procedure Act to implement the act.
    • The act takes effect immediately upon enactment.

Who is affected

  • Licensed outpatient SUD treatment providers (and their owners/officers/directors) — new ability to operate or contract for housing under specified conditions.
  • Individuals receiving SUD treatment who also need housing — potential new access to program-linked housing and transportation.
  • Local governments and communities — housing operated by treatment programs must meet zoning and safety requirements.
  • Enforcers/regulators — responsibility to promulgate rules and monitor compliance.

Potential impacts and considerations

  • Intended benefit: easier access to stable housing for people in treatment, which can improve treatment retention and recovery outcomes.
  • Safeguards: requirement of separate housing contracts, notice that services are not contingent, and prohibition on remuneration for referrals aim to reduce conflicts of interest and protect choice.
  • Operational issues: programs will need capacity to manage housing, track subsidies/repayments, and ensure compliance with housing, zoning, and healthcare regulations; regulators will need to issue implementing rules and oversight protocols.

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

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