Raleigh, NC — Today, the North Carolina House of Representatives approved a fiscally responsible plan that funds the state’s Medicaid rebase while safeguarding teacher and state employee pay raises and avoiding new provider rate cuts.
Senate Bill 403 adds $192 million in funding, bringing this year’s total Medicaid rebase and administration investment to $792 million, on top of $600 million previously approved.
The bill relies on strategic savings and reallocations, including:
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Eliminating vacant positions at NCDHHS.
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A 5% flexible vacant position cut across other gubernatorial state agencies.
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Ending Medicaid coverage of GLP-1 drugs for weight-loss only, while continuing coverage for federally required medical diagnoses.
SB 403 also tightens oversight and accountability by:
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Directing the State Auditor to review SNAP and Medicaid redetermination processes at the state and county levels to clear backlogs.
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Requiring NCDHHS to work with the Auditor’s office to set standards for timeliness and accuracy in Medicaid redeterminations, with enforcement tools to ensure county compliance.
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Expanding Rylan’s Law to include Medicaid redeterminations, ensuring greater consistency and accountability statewide.

