A. The legislature hereby creates a TEFRA option program in order to protect and promote public health and well-being in this state. The department shall, subject to the approval of the federal Centers for Medicare and Medicaid Services, begin a program to provide healthcare services via the state's Medicaid program for the population contemplated under Section 134 of the Tax Equity and Fiscal Responsibility Act of 1982 (P.L. 97-248). B. The TEFRA option shall offer coverage exclusively through the Medicaid fee-for-service system unless the department determines that offering TEFRA option coverage to persons enrolled in the Medicaid managed care program would be more cost-effective.
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