Innovative Healthy Homes Initiative Focuses on Wellness of Medicaid Members in Need of Housing

TRENTON - Human Services Commissioner Sarah Adelman and Community Affairs Commissioner Jacquelyn A. Suárez today announced developers can apply for funding to provide affordable housing for NJ FamilyCare members.

Under the Healthy Homes partnership, the $95 million available will be used to produce up to 200 low-rent housing units for NJ FamilyCare members who are homeless, at risk of homelessness, or living in an institution. NJ FamilyCare is New Jersey’s Medicaid program.

“Access to safe, stable, and affordable housing is a necessity that New Jerseyans deserve to see fulfilled, and it directly impacts an individual’s overall health and wellness,” Governor Phil Murphy said. “By making $95 million available through the Healthy Homes Initiative, we are building on the life-changing benefits made available to New Jersey families through NJ FamilyCare and taking decisive steps to bolster health and housing equity. I commend Commissioners Adelman and Suárez for their leadership on this issue and look forward to seeing the impact of this program.”

“Housing is one of the primary social determinants of health, and research has shown that inadequate housing is often a critical barrier to wellness that can also raise health care costs,” Human Services Commissioner Sarah Adelman said. “New Jersey’s Healthy Homes program aims to provide affordable, community-based housing to NJ FamilyCare members in need, which ensures long-term housing stability for tenants and, importantly, advances health equity. We believe investing these one-time funds in safe and affordable housing for the Medicaid population will help us serve people the best way possible.”

“New Jersey recognizes that good housing leads to improved physical and mental wellness,” Community Affairs Commissioner Jacquelyn A. Suárez said. “Therefore, the state has developed programs like New Jersey Healthy Homes to tackle rising health care costs by addressing a root cause – a lack of affordable housing. With the New Jersey Healthy Homes program now open, we urge developers and landlords to apply and join in the state’s efforts to build permanent, affordable housing for people of limited financial means, in this case NJ FamilyCare members who are experiencing or at risk of experiencing homelessness.”  

Human Services will fund and oversee the program, ensuring it meets member needs and abides by funding requirements.

Community Affairs will support program oversight and disburse the Healthy Homes funding.

Developers and landlords will construct the homes and ensure they are maintained.

Funding for the program comes from the American Rescue Plan Act and is supplemented with state funding from the Affordable Housing Trust Fund. It can be used for:

- Construction of new units of renovation of existing units;
- Housing needs, such as refrigerators, stoves, and bedframes; and
- Ongoing maintenance and upkeep of the unit and common infrastructure.

Visit here to learn more about the program, and visit here for application instructions.

In addition to supporting members through the construction of Healthy Homes housing units, NJ FamilyCare is also adding Housing Support Services to members’ benefits under the program. Delivered in coordination with managed care partners, these services will support members in need of pre-tenancy and tenancy sustaining services, as well as those in need of home modifications or housing transition support. 

Authorized by the Centers for Medicare and Medicaid Services (CMS) through New Jersey’s Comprehensive 1115 Demonstration Waiver, these services will be independent of the affordable units created by the Healthy Homes program, but may work together to support a member if they qualify for both programs.

These additions will help move NJ FamilyCare closer to the goal of whole-person care, allowing care managers to address the physical and behavioral health challenges a member may face along with their housing needs, coordinating care across the needs of the member and breaking down silos that can negatively impact health outcomes.

Healthy Homes is part of expansive plans by Human Services to focus on home- and community-based care through creative approaches designed to address priorities such as housing, integrating behavioral and physical health services, and new approaches to providing care.