How to Start a Medicaid Home Care Agency in New Jersey
Start a Medicaid home care agency in New Jersey: licensing, Medicaid enrollment, HCBS waivers, EVV, disability waiver and VA provider steps.
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Sagar Kumar, COO and Co-Founder, Verveware
New Jersey requires accreditation as part of Health Care Service Firm registration.
Starting a Medicaid home care agency in New Jersey means getting through state licensing, Medicaid provider enrollment, waiver program contracting and electronic visit verification (EVV) before you bill your first visit. I'm Sagar Kumar, COO of Verveware, an EVV and home care software company. Our team builds software for Medicaid home care agencies and works with them every day. This guide sums up what we know about the New Jersey process and links to the official sources. Rules and fees change, so confirm every step with the agency linked.
1. Licensing: Which Agency and What License
Licensing agency: Division of Consumer Affairs (Health Care Service Firm registration); NJ Department of Health (Home Health Agency license).
License type(s): Health Care Service Firm registration; Home Health Agency license; Certified Homemaker-Home Health Aides certified by NJ Board of Nursing.
What this means in New Jersey: Non-medical agencies register as a Health Care Service Firm with the Division of Consumer Affairs, which requires accreditation. Home health agencies are licensed by the NJ Department of Health. Caregivers must be Certified Homemaker-Home Health Aides (CHHA).
Non-medical (personal care, homemaker, companion) and skilled home health are usually regulated separately. Home health that bills Medicare also needs CMS certification, typically through a state survey or an approved accrediting organization. Fees, policy and procedure requirements, administrator qualifications and survey timelines change, so confirm current requirements with the NJ Division of Consumer Affairs (HCSF) or NJ Department of Health.
2. Medicaid Provider Enrollment
Medicaid in New Jersey is run by NJ Department of Human Services, Division of Medical Assistance and Health Services (DMAHS) – NJ FamilyCare. Typical steps:
Form your legal entity, then get an EIN and a Type 2 organizational NPI from NPPES.
Get your state license or certification (see above) before you apply.
Submit the Medicaid provider enrollment application through the state's provider portal, including ownership disclosures, screening and any site visit. Make sure no owner or staff member appears on the HHS-OIG exclusion list.
Get approved or contracted for specific waiver services with the operating agency, and credential with managed care plans where LTSS is delivered through MCOs.
Set up EVV and billing (see below).
Managed care in New Jersey: Long-term services for older adults and adults with physical disabilities run through NJ FamilyCare Managed Long Term Services and Supports (MLTSS) plans.
3. HCBS Waiver Programs in New Jersey
Home- and community-based services (HCBS) waivers pay for most Medicaid personal care in the state. The main programs are:
NJ FamilyCare Managed Long Term Services and Supports (MLTSS), 1115 – administered/operated by DMAHS and MCOs; Division of Aging Services. Funding: Medicaid (federal/state).
Community Care Program and Supports Program (IDD) – administered/operated by Division of Developmental Disabilities (DDD). Funding: Medicaid (federal/state).
Program names and operating agencies change through waiver renewals, so check the current waiver list with the Medicaid agency.
4. Human Services and Aging Programs
The state's human services department is New Jersey Department of Human Services. Aging services are coordinated by Division of Aging Services (DoAS), together with local Area Agencies on Aging. Area Agencies on Aging also run Older Americans Act programs such as homemaker and respite. Funding: these are federal Older Americans Act grants plus state funds. They are not Medicaid. Many agencies combine Medicaid waiver referrals with these programs.
5. Disability Services
In New Jersey, in-home support for people with disabilities is available through the Division of Developmental Disabilities (DDD) and Personal Preference self-direction. Contact NJ Division of Developmental Disabilities (DDD) for provider enrollment. These programs help you serve younger adults with disabilities, not just seniors. Funding: Medicaid waiver (federal/state).
New Jersey also has a vocational rehabilitation program, Division of Vocational Rehabilitation Services (DVRS), NJ Department of Labor, which helps people with disabilities find and keep jobs. VR is funded under the federal Rehabilitation Act, is not Medicaid, and is a minor referral source for most home care agencies.
6. VA Home Care for Veterans (Federal, Not Medicaid)
Veterans may get in-home care through the U.S. Department of Veterans Affairs. Funding: these are federal VA benefits. They are not Medicaid and not a state program.
Homemaker and Home Health Aide (H/HHA) Care: personal care purchased by the VA from community agencies.
Veteran-Directed Care: Veterans manage a budget and hire their own workers, often through an Aging and Disability Network partner.
VA Community Care: the authority the VA uses to buy care from community providers.
How to become a VA provider: join the Community Care Network (CCN) through the regional third-party administrator, or sign a local agreement with your VA medical center. Start at the VA community care provider page.
7. EVV Requirements
The federal 21st Century Cures Act requires EVV for Medicaid personal care services and home health services (CMS EVV guidance). Every visit must record the service type, the member, the date, the location, the worker, and the start and end times. New Jersey EVV system/aggregator: In NJ FamilyCare, HHAeXchange is the state's EVV aggregator, while Horizon NJ Health and Wellpoint (formerly Amerigroup) use CareBridge as their plan EVV aggregator. Agencies can record visits in HHAeXchange, CareBridge, or an integrated EVV system, and visits are routed between the two (NJ DMAHS EVV FAQ). If you use your own EVV system, confirm it can integrate with the aggregators before you go live. Claims without a matching EVV record may be denied.
8. Background Checks and Training
Expect fingerprint-based criminal background checks, state abuse and neglect registry checks, and monthly OIG/state exclusion screening for all direct care staff. Training and competency requirements differ by license type: home health aides need federal 75-hour aide training (42 CFR 484.80), and non-medical caregiver training hours are set by state rule, so confirm current requirements with the NJ Division of Consumer Affairs (HCSF) or NJ Department of Health.
Startup Checklist
Choose your service line (non-medical, skilled or both) and the matching license
Build policies, hire an administrator, and set up insurance and bonding
Get licensed, enroll in Medicaid and contract for waiver services
Connect EVV and billing, then add disability program and VA referral sources
FAQ
Do I need a license to provide non-medical home care in New Jersey?
Non-medical agencies register as a Health Care Service Firm with the Division of Consumer Affairs, which requires accreditation. Home health agencies are licensed by the NJ Department of Health. Caregivers must be Certified Homemaker-Home Health Aides (CHHA). Confirm with Division of Consumer Affairs (Health Care Service Firm registration); NJ Department of Health (Home Health Agency license).
Who pays for home care under New Jersey waivers?
Medicaid (federal/state) through the HCBS programs above. Older Americans Act services, vocational rehabilitation and the VA are separate funding sources.
Is VA home care part of Medicaid?
No. VA Homemaker/Home Health Aide care and Veteran-Directed Care are federal veterans benefits paid by the VA.
Is EVV required for private-pay clients?
The federal EVV mandate covers Medicaid-funded personal care and home health. Many agencies still use EVV for every client to keep operations consistent.
How long does it take to start billing Medicaid?
It typically takes several months to cover licensing, enrollment and waiver contracting. Confirm current processing times with the NJ Division of Consumer Affairs (HCSF) or NJ Department of Health and NJ DMAHS.
Launch Your New Jersey Agency on Verveware
Verveware is home care agency management software built by operators who run a Medicaid home care agency. It brings EVV, scheduling, care plans, billing and state program compliance into one platform. Book a Verveware demo to see how it can help you launch in New Jersey and grow your Medicaid census.
