MedicaidAdministrativeMedium impact
Newsletter Vol. 4, No. 05
New Jersey Medicaid·Geriatrics·Provider Notice
We identified it
Jun 20, 2026
Summary
Veterans' Improved Pension benefits for surviving spouses without children in nursing facilities are being reduced effective immediately, with the reduced amount becoming their Personal Needs Allowance (PNA) rather than offsetting care costs. Billing teams must monitor for updated PAL forms from County Welfare Agencies and adjust previously paid claims that listed incorrect patient payment amounts.
Action Required
Immediately: Monitor for PAL forms from County Welfare Agencies for veterans and surviving spouses receiving Improved Pension benefits in nursing facilities. For claims already paid with incorrect patient payment amounts, complete MMIS Claim Adjustment Request Form (FD) to adjust patient payment to reflect reduced PAL amounts. Contact County Welfare Agency if you have veterans/spouses meeting criteria but haven't received updated PAL forms. Claims with blank patient payment amounts on original TAD will be adjusted automatically once new PAL is entered in system.