Mar. 14, 2018: Murphy’s First Budget Maintains Key Healthcare Funds


Gov. Murphy’s first budget proposal, unveiled in an address to the Legislature, includes stable funding for key healthcare programs including charity care and graduate medical education.

The highly anticipated speech laid out the administration’s $37.4 billion proposed budget, $2.7 billion more than last year. Key line items for healthcare include:

    • Charity care will remain at last year’s level of $252 million in state and matching federal funding.
    • Graduate medical education will remain at last year’s level of $218 million in state and matching federal funding, distributed to the state’s 42 teaching hospitals.
    • The Delivery System Reform Incentive Payment (DSRIP) fund will remain at last year’s level of $166.6 million.
    • The Mental Health Subsidy Fund will be held at the same level as last year at $24.7 million.

The official fiscal year 2019 Budget in Brief has been posted on the state’s Treasury website.

“We appreciate Gov. Murphy’s focus on good health by continuing critical funding for key healthcare initiatives,” said NJHA President and CEO Cathy Bennett, who attended the budget address. “It’s vitally important that we maintain charity care funding for the underserved in all communities; graduate medical education to support the graduates of New Jersey’s medical schools who are the next generation of healthcare professionals; incentive programs that promote safe, quality healthcare; and care for our most frail individuals in nursing homes.”

In other healthcare items, Murphy reiterated his support for the Affordable Care Act and ensuring access to affordable healthcare, accomplishing out of network legislation and signing earned sick leave legislation. The Governor also pledged an additional $100 million in a coordinated effort to combat the opioid epidemic, $8.5 million in autism spectrum disorder services, $2 million for gun violence research and $19.8 million for developmental disability services. The budget continues funding for family planning services at $7.5 million.

There were no specific numbers available in the budget of funding for nursing homes, assisted living or the Long Term Services and Supports (MLTSS) program. It is anticipated that these numbers will be available as the budget process continues.

“Good health is not just clinical care – now more than ever it’s about what’s occurring in our communities,” said Bennett. “We applaud the Governor’s commitment of $100 million to fight the state’s opioid crisis and additional budget items that support good health not just in our facilities but in the communities where we live, work and play.”