NCTracks
A Message from NCTracks on Behalf of NC Medicaid Community Partner Webinar - Medicaid Reductions in North Carolina
We want to make you aware of upcoming changes to the Medicaid program in response to funding shortfalls from the NC General Assembly in HB 125. Please find attached a letter from Secretary Sangvai detailing the service eliminations and rate reductions that will take effect on October 1, 2025. These actions are necessary to align with the budget appropriated for Medicaid rebase and administration.
Tomorrow, Thursday, August 14 from 4-5:00 PM, we will hold a virtual briefing and discussion to review this information. Please find the Teams information at the bottom of this email. A calendar invite with the link will also be forthcoming.
HB 125 included $600 million for both the Medicaid rebase and the Medicaid Oversight Fund. Given the program’s administrative requirements, this appropriation results in only $500 million for the rebase, and effectively $82 million for the Medicaid Oversight Fund, leaving a $319 million shortfall for rebase, and a $33 million shortfall for the Medicaid Managed Care Oversight Fund.
NCDHHS takes pride in effectively managing the Medicaid program we have built together. As we enter into a difficult budgeting period, we want to be transparent with you about our plans for addressing the budget shortfalls. We recognize there will be many questions about this, so we have set aside time to discuss this with you. Again, we will hold a virtual briefing tomorrow August 14th at 4 PM (teams link below) to review this information and answer questions. We understand this is short notice, so we welcome additional outreach and discussion, please reach out to Medicaid.NCEngagement@dhhs.nc.gov.