New Legislation Update

 This week, the New Jersey legislature passed a number of bills that may significantly affect healthcare. The Governor also appointed two new members to the Board of Medical Examiners, reappointed five others, and failed to reappoint two members. The new appointees are John B. Tedeschi, M.D. (Haddonfield, Camden) and Zeyad Baker, M.D. (Saddle River, Bergen). Reappointed are George Ciechanowski, M.D. (Glen Ridge, Essex), George Scott, DPM, DO (Williamstown, Gloucester), Jacqueline DeGregorio, Esq. (Caldwell, Essex), William D. Stanley, M.D. (Trenton, Mercer), and Steven Mark Lomazow, M.D. (Montclair, Essex). Not reappointed are Joseph Reichman, M.D. and Peter Nussbaum, M.D. Our congratulations to, Drs. Tedeschi, Baker, Ciechanowski, Scott, Stanley and Lomazow and to Ms. DeGregorio. 

According to currently available information, the bills which have now passed both houses of the legislature, but which still require outgoing Governor Corzine’s signature, provide for the following:

* Assembly 4229: Permits prescribers to utilize electronic health record programs to imprint the practitioner’s name and license number or the unique provider number on a blank New Jersey Prescription Blank, for transmission to a pharmacy.   The Act becomes effective 180 days after enactment. 

* Senate 2534: Allows private individuals to initiate a civil action against an individual for violating the New Jersey False Claims Act. This law creates a right similar to the federal legislation which permits whistleblowers to bring Qui Tam actions against an individual for violating the Federal False Claims Act. The federal legislation has been credited for a huge increase in the number of cases brought against physicians under the False Claims Act. The Act becomes effective immediately upon the Governor’s signature.

* Senate 2312: Requires Ambulatory Care Facilities to report the number of patients served at the facility by payment source, including the number of Medicaid-eligible and medically indigent persons served; the number of new patients accepted at the facility; and the number of physicians, physician assistants, and advance practice nurses providing professional services at the facility. 

The bill also requires these facilities to report quarterly (1) process quality indicators of infection control and (2) data on infection rates for the major site categories that define facility-associated infection locations, multiple infections, and device-related and non-device related infections. This information will be made available to the public through the Department of Health and Human Services’ website. The Act takes effect on the first day of the 18th month after the date of enactment.

* Senate 114: Requires carriers that offer a managed care plan to remit payment directly to the health care provider “in the form of a check payable to the health care provider, or in the alternative, to the healthcare provider and the covered person as joint payees, with a signature line for each of the payees.” The Act becomes effective 365 days after enactment, and applies to any health benefits plan in which the carrier has reserved the right to change the premium and which is in effect on or after the effective date.

* Assembly 2029: Expands the role of chiropractors to allow them to use the designation “chiropractic physician” and permits them to provide “nutrition and first aid.” The bill also allows them to order diagnostic and analytical tests including diagnostic imaging, bioanalytical laboratory tests, including reagent strip tests, x-ray, computer-aided neuromuscular testing, and nerve conduction studies. It also permits chiropractors to interpret evoked potentials and provide dietary and nutritional counseling including administering, dispensing and selling nutritional supplements including food concentrates, food extracts, vitamins, minerals, herbs, enzymes, amino acids, homeopathic remedies, and other dietary supplements, including tissue or cell salts, glandular extracts, nutraceuticals, botanicals and other nutritional supplements. Notable is the fact that physicians are not permitted to sell these supplements. 

* Also of note is a provision which prohibits anyone other than a chiropractor from rendering a utilization management decision that limits, restricts or curtails a course of chiropractic care.  The Act takes effect immediately, upon the Governor’s signature.

 * Senate 2944: Expands the role of the Division of Consumer Affairs to investigate and punish the unlicensed practice of medicine or other profession regulated by the Division and increases penalties for unlicensed practice to $10,000 for the first offense and $20,000 for each subsequent offense.