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High Impact

New Jersey creates legal framework to appoint receivers for failing developmental disability service providers

Original title: Establishes framework for appointment of receiver for provider of services to individuals with developmental disabilities.

Last action · January 13, 2026: Introduced, Referred to Assembly Aging and Human Services CommitteeSponsors: Carol Murphy and 1 other

Companion · S 3005same policy, Senate version
Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Would Do

The New Jersey Department of Human Services is authorized to petition courts to appoint a for failing or unsafe developmental disability service providers, effective six months following enactment.

Why it matters

Changes accountability measures for residential facilities, sites, and long-term care providers by allowing state intervention to manage operations or transition ownership when health and safety standards are violated.

Background
  • The Department of Human Services in New Jersey oversees various social services, including programs for individuals with developmental disabilities through the Division of Developmental Disabilities. context
  • Receivership frameworks are commonly used in healthcare and residential care settings to maintain operations and resident safety when a provider is financially or operationally failing. context

Who It Would Affect

Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.

Directly affected

Individuals with developmental disabilities

Their care services, living sites, and health protections are managed or transitioned under court orders and receiver oversight.

Directly affected

Service providers and site owners

They are subject to potential receivership, turnover of assets, operational control changes, and ownership transfer orders.

Directly affected

Department of Human Services

The department gains the authority to initiate court motions for receiverships and oversee provider transitions.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Frequently Asked Questions

Who can request the appointment of a receiver under this bill?
The Department of Human Services may file a motion in court for the appointment of a for a provider.
What conditions allow the department to seek a receiver?
The department can seek a if there is a condition, pattern, or practice in substantial violation of health, safety, or recipient care standards, or other conditions dangerous to the life, health, or safety of a recipient.
When does this legislation take effect?
The act takes effect on the first day of the sixth month next following enactment.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

Currently in committee. The next step in the legislative lifecycle is Floor Vote.

Procedural history

1 action
  1. Jan 13, 2026HouseIntroduced
    Introduced, Referred to Assembly Aging and Human Services Committee

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

View official text →

Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Sponsors

Discoveries

1 pattern noticed across the record

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift95% confidence

Expansion of State Intervention Authority

The bill shifts the mechanism of intervention for failing disability service providers from relying solely on provider-initiated actions to empowering the Department of Human Services to seek court-ordered receiverships directly.

Connected Entities

Shama A. Haider, Carol A. Murphy, Department of Human Services and 1 more
PersonShama A. Haider“Assemblywoman”Map →
PersonCarol A. Murphy“Assemblywoman, District 7 (Burlington)”Map →
OrganizationDepartment of Human Services“State department authorized to seek receiverships”Map →
OrganizationDivision of Developmental Disabilities“Division overseeing services for individuals with developmental disabilities”Map →

Sources

Open source document

njleg.state.nj.us

Analysis Score

0–100
  • Significance75
    How much this matters to a regular citizen
  • Controversy40
    Intensity of disagreement among stakeholders
  • Entertainment10
    Compellingness for a non-policy-wonk reader
  • Buzz25
    Current news / social attention level

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