Establishes requirements for incentive-based value payment system for home health agencies and health care service firms.

This bill establishes an incentive-based payment system for home health agencies and health care service firms that serve NJ FamilyCare recipients enrolled in Fully Integrated Dual Eligible Special Needs Plans. The system measures performance across nine specific metrics including hospitalizations, emergency care, patient mobility, medication management, and surgical wound care, then ranks agencies based on both absolute performance and improvement over time. Funding distribution will allocate 60% of the $10 million appropriation to agencies ranked in the top 20% for absolute performance and 40% to those ranked in the top 20% for improvement. Participating agencies must implement new protocols for care coordination, discharge follow-up, and medication reconciliation, and designate a single health care professional to coordinate each patient's care. The system will be evaluated annually with public reporting of performance metrics and payment distributions.