North Carolina Medicaid rate cuts threaten care
North Carolina officials say Medicaid reimbursement rates will be cut beginning Oct. 1, 2025 after a funding impasse in the Republican-controlled legislature left a $319 million shortfall. Governor Josh Stein announced reductions ranging from about 3% (home health, ambulance) to 10% (hospitals, nursing homes, hospice), warning the cuts could prompt providers to leave the program and worsen access for 3.1 million enrollees—particularly in rural and underserved communities—while legislators debate competing funding bills.
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North Carolina Medicaid patients face care access threat as funding impasse continues
New information:
- North Carolina Medicaid covers about 3.1 million people; the administration says it faces a $319 million shortfall.
- Rate reductions are scheduled to begin Oct. 1, 2025 and range from roughly 3% (home health, ambulance) to 10% (hospitals, nursing homes, hospice).
- Legislators passed competing proposals this week that would add about $190 million annually, but no final measure was agreed before lawmakers recessed; the Senate bill also proposes allocating $208.5 million of federal funds to a Wake County children's hospital/rural investments.