Audit of North Carolina Medicaid program


Governor Pat McCrory's administration is changing course on its plan to overhaul North Carolina's most expensive health care program. Medicaid serves roughly 1.7 million low-income parents, children, seniors and people with disabilities. McCrory had rolled out a plan that some called a privatization scheme. Now, state leaders are finalizing details on a different approach that they'll present to the General Assembly by March 17.


The North Carolina Department of Health and Human Services has been under fire this week. On Tuesday, the department's secretary received a day-long grilling in legislative committee hearings. That same day, the website North Carolina Health News reported that the McCrory administration and the department had done some extra spin to make the state's Medicaid program look particularly broken.

Kaiser Commission on Medicaid and the Uninsured

Governor Pat McCrory's administration is still working on an overhaul of one of North Carolina's most important – and expensive – health programs.

Medicaid serves about one and a half million low-income or disabled North Carolinians. And it costs the state roughly $36 million a day. McCrory has said the program is broken and inefficient, often pointing to an audit that found North Carolina is horrible at managing costs and budgeting.

An independent audit found North Carolina's Medicaid program has been horribly managed in terms of administrative costs and budgeting.  State Auditor Beth Wood released the report Thursday, which examined how the Department of Health and Human Services has overseen Medicaid the last three years.

Let's start with some perspective on just how big the state's Medicaid program is. More than 1.5 million North Carolinians use it, and it costs the state about $36 million a day.