N.J. Admin. Code § 13:42-1.3

Current through Register Vol. 56, No. 8, April 15, 2024

Section 13:42-1.3 - Employment by a nonprofit bona fide community organization; exemption from licensure

(a) Pursuant to 45:14B-6(a)3, an employee of a nonprofit organization which is a bona fide community agency supported wholly or in major part by public funds who, as part of his or her duties as an employee, does or performs psychological services is exempted from licensure provided the employee is under the direct supervision of a licensed practicing psychologist. For purposes of this section, "direct supervision" shall mean acts performed at a nonprofit bona fide community organization wherein he or she is constantly accessible, either on-site or through electronic communication, and available to render assistance when required and that the licensee shall retain full professional responsibility for client care and treatment.

(b) For purposes of this section, the term "public funds" shall not mean payments by Medicare or Medicaid or other public or private insurance fund on behalf of an individual client to an individual provider (directly or through a professional service corporation) licensed by the Board.

(c) For purposes of this section, the term "non-profit bona fide community organization" shall mean:

1. An entity which is exempt from taxation pursuant to section 501 of the United States Internal Revenue Code and which meets one of the following definitions. The organization shall be:

i. A corporate entity or any community chest, fund or foundation organized and operated exclusively for religious or charitable purposes;

ii. A civic league or organization not organized for profit but operated exclusively for the promotion of social welfare; or

iii. A religious society devoted exclusively to charitable or religious purposes; or

2. An entity which has as its commitment the delivery of mental health services to clients who are amenable to those forms of psychological services customarily provided by the organization and which meets one of the following definitions:

i. The organization receives 50 percent or more of its funding in the form of public monies from a budget line or grant appropriated on a quarterly, twice-yearly, annual or other regular basis; or

ii. The organization has publicly and permanently committed itself to accepting, without numerical restriction, clients whose treatment shall be reimbursed either by Medicaid or Medicare or other public insurance program funding.

(d) Examples of organizations which may be considered bona fide non-profit community organizations under the definition set forth in (c)2 above include private or public non-psychiatric hospitals which are licensed by the New Jersey State Department of Health to provide health and medical care to the general public and which have a designated psychiatric unit.

(e) At the time employment of the employee, who as part of his or her duties as an employee does or performs psychological services, commences, the exempt entity or exempt practitioner shall submit to the Board a notice specifying the following information:

1. The public commitment of the organization and the basis for exemption under this section;

2. The name of the New Jersey licensed psychologist(s) or psychiatrist(s) or other licensed mental health care practitioner authorized by law to render professional mental health services at the organization's facility; and

3. The name of each employee who as part of his or her duties as an employee does or performs psychological services. The employee shall not be an independent contractor.

(f) The exempt entity may submit notice on behalf of the employee(s), and a single annual notice in January of each year shall suffice to retain the exemption for that year. The exempt entity shall update the notice as necessary, and the Board will acknowledge receipt of each notice.

(g) Exemption shall be conditioned upon the employing organization continuing to meet the criteria of this section and 45:14B-6 as it may be affected by other applicable law.

(h) An unlicensed employee who as part of his or her duties as an employee does or performs psychological services shall not identify him- or herself, or be identified by others, as a psychologist.

N.J. Admin. Code § 13:42-1.3

New Rule, R.1995 d.332, effective 6/19/1995.
See: 26 N.J.R. 4738(a), 27 N.J.R. 2422(a).
Amended by R.2000 d.476, effective 12/4/2000.
See: 31 N.J.R. 3218(a), 32 N.J.R. 4260(a).
Rewrote (a).
Amended by R.2009 d.241, effective 8/3/2009.
See: 41 N.J.R. 712(a), 41 N.J.R. 2975(a).
In the introductory paragraph of (e), substituted "At" for "By July 19, 1995 or at", and deleted "whichever is later," preceding "the exempt".
Amended by R.2013 d.011, effective 1/22/2013.
See: 44 N.J.R. 554(a), 45 N.J.R. 130(a).
In (a), substituted "an" for "a psychologist" preceding "employee" and inserted "who, as part of his or her duties as an employee, does or performs psychological services"; in the introductory paragraph of (e) and in (e)3, deleted "unlicensed psychologist" preceding "employee"; in the introductory paragraph of (e), inserted ", who as part of his or her duties as an employee does or performs psychological services,"; in (e)3, inserted "as part of his or her duties as an employee" and deleted "shall" preceding "performs"; and added (h).