TRENTON, NJ – A proposal introduced in the New Jersey General Assembly would tighten oversight of long-term care facilities and provide new protections for residents, including restrictions on facility staff serving as legal or financial representatives and standardized admission agreements. Assembly Bill A1888, sponsored by Assemblymen Anthony S. Verrelli (D-15) and Reginald W. Atkins (D-20), was pre-filed for introduction in the 2024 legislative session and is backed by bipartisan co-sponsors.
The measure prohibits owners, administrators, directors, officers, or employees of long-term care facilities—or anyone financially affiliated with them—from acting as a power of attorney or managing a resident’s personal affairs unless appointed by a court. Any power of attorney naming such individuals would be considered invalid under the bill. Courts would consult with the Office of the Public Guardian for Elderly Adults before appointing anyone affiliated with a facility as a guardian.
The bill directs the Department of Health to create a uniform resident admission agreement to be used by all long-term care facilities beginning six months after the law takes effect. Facilities would be barred from requiring residents to sign any additional contracts as a condition of admission or continued stay. Arbitration clauses would be prohibited from inclusion in the standard admission agreement and would instead need to appear in separate, clearly marked documents stating that signing is not required for admission.
In addition, the bill mandates that facilities provide residents and their representatives a written notice at admission explaining their right to seek legal counsel for Medicaid applications. The notice must warn that non-attorney services may pose financial risks and must be prominently displayed in each facility.
The Department of Human Services would also be required to establish training and ethical standards for non-attorney Medicaid application assistors, including defining their permitted scope of work, requiring education on Medicaid rules and confidentiality, and banning them from charging fees for such services.
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Sponsors say the legislation aims to protect elderly and vulnerable residents from conflicts of interest and financial exploitation while promoting transparency during the admission process.
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