New Jersey Administrative Code › Title - EXECUTIVE ORDERS › Title 55 - CHRIS CHRISTIE › Section - Executive Order No. 217 (2021)

Current through Register Vol. 56, No. 14, July 15, 2024
Governor Philip D. Murphy
Executive Order No. 217 (2021)
An Order Advancing Health Care Affordability Efforts
Issued: January 28, 2021.
Effective: January 28, 2021.
WHEREAS, access to quality health care is critical to the physical, mental, and economic well-being of the residents, families, communities, and businesses in the State; and
WHEREAS, New Jersey has taken important steps to improve access to quality and affordable health insurance for our residents under the Affordable Care Act, including by establishing a State-based marketplace, a reinsurance program, and a shared responsibility requirement, implementing out-of-network reforms, and providing eligible residents with additional financial subsidies in addition to federal subsidies when purchasing coverage on the State-based marketplace; and
WHEREAS, health care and prescription drug cost growth continue to be a challenge for New Jersey residents, families, and employers, including the State, and threaten to outpace the growth of the State's economy and wages; and
WHEREAS, the steadily increasing costs of health care and prescription drugs have limited access to quality health care for lower- and middle-income citizens and elderly citizens alike; and
WHEREAS, the novel Coronavirus disease 2019 (COVID-19) pandemic and the economic fallout it has caused have underscored the importance of equitable and affordable access to quality health care services, treatments, and prescription drugs, while also highlighting inequalities in health outcomes and critical disparities in health care and coverage access, particularly with respect to minority communities and the underserved; and
WHEREAS, at a time when many of our residents have been impacted by job loss and housing and food insecurity, access to more affordable health care has never been more critical; and
WHEREAS, planning for improved consumer affordability, health care quality, integration of health care delivery, reform of payment systems to reward value, cost transparency, and taxpayer savings, achieved through coordination among State agencies, is essential to effectively manage costs and improve health care delivery; and
WHEREAS, in 2020, the Office of Health Care Affordability and Transparency was formed to help guide my Administration's work on health care affordability and price transparency; and
WHEREAS, the Office of Health Care Affordability and Transparency works with the Departments of Banking and Insurance, Health, Human Services, and the Treasury to advance affordability, accessibility, and transparency in the health care system; and
WHEREAS, there is a growing recognition that efforts to advance affordability, accessibility, and transparency in the health care system are aided and informed by incorporation of whole-person systems change, and that alignment of alternative payment models can improve quality and reduce the cost of care; and
WHEREAS, in recognition of the fact that this is a transformative moment for health care in our State, a comprehensive review of health care access, affordability, and transparency is necessary to identify and align health care affordability goals and policies that will be shared by the public and private sectors to improve the health care system for all residents; and
WHEREAS, such a review should be conducted by State officials and stakeholders who represent a variety of perspectives and who have the expertise to develop innovative solutions; and
WHEREAS, the establishment, monitoring, and implementation of an annual health care cost growth benchmark and health insurance affordability standards are appropriate means to achieve the goal of improved health care quality at reduced cost; and
WHEREAS, through the development of a plan to collect and use health care cost, quality, and outcome data, the State can implement strategies to contain growth in health care costs and promote better health quality and health outcomes;
NOW, THEREFORE, I, PHILIP D. MURPHY, Governor of the State of New Jersey, by virtue of the authority vested in me by the Constitution and by the Statutes of this State, do hereby ORDER and DIRECT:
1. There is hereby created an Interagency Health Care Affordability Working Group ("Working Group") that will report directly to the Office of the Governor.
2. The Working Group, which shall be advisory in nature, shall be chaired by the Director of the Office of Health Care Affordability and Transparency in the Office of the Governor.
3. In addition to the Director of the Office of Health Care Affordability and Transparency, the Working Group shall consist of the Commissioner or other agency head of the following Executive Branch departments and agencies, or a named designee:
a. The Department of Banking and Insurance;
b. The Department of Human Services;
c. The Department of Health;
d. The Division of Consumer Affairs; and
e. The Department of the Treasury.