A bill introduced by Assemblyman John J. Burzichelli and Assemblywoman Pamela R. Lampitt would reduce the ambulatory care facility assessment in New Jersey. ASCs in New Jersey were first assessed in 2004, and currently are assessed 2.95 percent of gross receipts up to a maximum of $350,000.00.
This new bill A-4588 would reduce the assessment rate to 2.28 percent in FY 2016.
At inception, the assessment was earmarked to help fund charity care. Governor Chris Christie however has proposed a 22 percent decrease in total charity care funding due to burgeoning enrollment in the ACA. So from that standpoint, a reduction in the ASC assessment makes sense.
"While most certainly welcome for ASCs who have long loathed this assessment, I find it a bit difficult to understand how a bill like this — Democratic inspired no less — could be supported or passed," commented Jeff Shanton, editor of THE PULSE, a newsletter for ASCs in New Jersey.
"New Jersey has a gaping chasm of a budget deficit, and labor unions which constitute a major source of support for the Democrats are being asked to contribute more toward their health insurance and pensions.
"The Democrats have been espousing a 'millionaires tax' and other ways to fix the budget problem, yet with this bill Democratic leadership is in essence giving doctors/healthcare providers a break over those unions," he notes. "Nonetheless, we applaud Assemblyman Burzichelli, Assemblywoman Lampitt and Senators Sarlo and van Drew (co-sponsors in the Senate) for their efforts on behalf of the industry, and welcome any relief."