1115 Demonstration Approval Continues Long-Standing Medicaid Programs and Allows New Innovations
TRENTON – The Centers for Medicare and Medicaid Services (CMS) has approved innovative NJ FamilyCare projects designed to address priorities such as housing, integrating behavioral and physical health services, and new and creative approaches to providing care.
CMS signed off on the projects by approving NJ FamilyCare’s Comprehensive 1115 Demonstration renewal. The 1115 demonstration provides the state with federal authority to operate large parts of the NJ FamilyCare program. The approval is in effect from April 1, 2023 through June 30, 2028.
“A holistic approach to supporting the well-being of Medicaid beneficiaries in our state is critical to ensuring better health outcomes for countless New Jersey residents,” Governor Phil Murphy said. “This federal approval further enables Jersey’s efforts to support the mental health, housing, maternal health, and other needs of the families and communities served through NJ FamilyCare. It is our hope these innovative projects will also serve as a model for other states in providing comprehensive services that will benefit residents in communities throughout our country.”
“We are thrilled by this federal approval and look forward to these innovative approaches benefiting NJ FamilyCare members,” Commissioner Sarah Adelman said. “With this approval, we maintain momentum on our existing innovations and enhance our ability to serve individuals and communities with the best possible care. This plan is built around a simple yet vital premise – a healthier New Jersey must include everyone, and must do so with high-quality, integrated and evidence-based care.”
NJ FamilyCare is New Jersey's publicly funded health insurance program that includes CHIP, Medicaid and Medicaid expansion populations. It provides free or low-cost coverage to about 2.2 million New Jerseyans, or about 24 percent of state residents.
The plan includes new programs such as:
“For many Medicaid beneficiaries, the lack of affordable, appropriate housing is frequently a critical barrier to wellness,” Commissioner Adelman said. “This can lead to unnecessary hospitalization, institutionalization, or other avoidable instances of costly care that often come with negative outcomes and chronic conditions. Housing supports can make a particular difference for those with serious mental health concerns or substance use disorders, older adults, people with disabilities, members who were once incarcerated, and individuals and families who have experienced or are at risk for homelessness.”
The plan also includes enhancements to existing programs such as:
“Our plan addresses key social determinants of health, focusing on the greater integration of behavioral and physical health, and the continued availability of appropriate behavioral health services for all Medicaid beneficiaries,” said Assistant Commissioner Jennifer Langer Jacobs who directs the Division of Medical Assistance and Health Services that oversees NJ FamilyCare. “It continues our focus on addressing gaps and improving the quality of care in maternal and child health, while also supporting better access and outcomes for communities of color and individuals with disabilities. We want a healthier New Jersey for everyone, including historically marginalized groups.”
“We thank our many community partners for their input and partnership in helping get this plan approved,” said Greg Woods, the chief innovation officer for New Jersey’s Medicaid program. “We look forward to working with them as we implement these exciting projects.”