North CarolinaHB 5462025-2026 SessionHouseWALLET

AN ACT TO REQUIRE TEAM-BASED CARE COORDINATION IN MEDICAID SUBSTANCE USE TREATMENT AND TO MODIFY THE MEDICAID PROGRAM TO SUSPEND RATHER THAN TERMINATE MEDICAID ELIGIBILITY FOR INCARCERATED INDIVIDUALS.

Sponsored By: Allen Chesser (Republican), MD Timothy Reeder (Republican), Heather H. Rhyne (Republican), Donna McDowell White (Republican)

Signed by Governor

CHILD CUSTODYCONTRACTSCORRECTIONAL INSTITUTIONSDEFINITIONSDHHSFOSTER CAREHEALTH SERVICESHOSPITALSINSURANCE, HEALTHMEDICAIDMENTAL HEALTHMINORSPOVERTYPREGNANCYPRESENTEDINMATESPUBLICPUBLIC HEALTHRATIFIEDSESSION LAWSSOCIAL SERVICESTITLE CHANGEWOMENSUBSTANCE ABUSECHAPTEREDFAMILY ISSUESADULT CORRECTION DEPT

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 4 benefits, 1 costs, 2 mixed.

Hospital assessments: base, amounts, timing

Starting April 1, 2024, home and community-based services count in the assessment base. The law sets presumptive service cost amounts: $0 before the effective quarter, $48.75 million times the number of months in the effective quarter, and $146.25 million in the next quarter. Most assessment subsections take effect on the first day of the next assessment quarter after this law becomes law; other parts take effect at enactment. The law also repeals Section 9D.13(c) of S.L. 2021-180.

Adult care homes: personal care option

The state will ask federal CMS to let Medicaid cover personal care for people in licensed adult care homes and special care units. Income must be above the State-County Special Assistance limit but at or below 180% of the federal poverty level (basic rate) or 200% (enhanced rate). DHB must send the request within 90 days. Coverage starts only if CMS approves and the plan is cost-neutral and lawful.

Medicaid paused, not ended, in jail

The state suspends Medicaid when a person is incarcerated instead of ending it. This keeps eligibility active so coverage can restart quickly after release. DHHS works with county jails and NCFAST to share data. DHHS must report progress by October 1, 2025.

Team-based Medicaid care for addiction

Medicaid now offers a team-based service for substance use care. It includes screening, medicines for alcohol and opioid use disorders, recovery support, and case management. The state also runs a campaign to teach and train providers and community leaders. The goal is to add more Medicaid providers and improve access to care statewide.

One statewide plan for foster youth

By December 1, 2025, DHHS must issue an RFP for a single statewide Children and Families specialty Medicaid plan. When the plan starts, children in foster care, adoption assistance recipients, and former foster youth move into that plan under state law. This may change which plan manages services and provider networks for these groups.

Easier Medicaid enrollment for telehealth providers

Providers licensed in North Carolina who offer care only by telehealth can enroll in Medicaid without a physical in-state location. Telehealth-only provider groups also do not need an in-state service address. This removes an enrollment barrier for telehealth businesses.

New rules for psychiatric hospital payments

The state will ask federal CMS to let freestanding psychiatric hospitals join the HASP program for higher reimbursements. These hospitals must also pay new quarterly assessments based on a percentage of their hospital costs. The percentage is set from the related HASP component and total costs for all such hospitals. If CMS approves, higher payments start; assessments apply as set in law.

Sponsors & Cosponsors

Sponsors

  • Allen Chesser

    Republican • House

  • MD Timothy Reeder

    Republican • House

  • Heather H. Rhyne

    Republican • House

  • Donna McDowell White

    Republican • House

Cosponsors

  • Jonathan L. Almond

    Republican • House

  • MD Grant L. Campbell

    Republican • House

  • Becky Carney

    Democratic • House

  • Todd Carver

    Republican • House

  • Maria Cervania

    Democratic • House

  • Charles Smith

    Democratic • House

  • Sarah Crawford

    Democratic • House

  • Brent Jackson

    Republican • Senate

  • Julia Greenfield

    Democratic • House

  • Pricey Harrison

    Democratic • House

  • Donnie Loftis

    Republican • House

  • Jeffrey C. McNeely

    Republican • House

  • Larry W. Potts

    Republican • House

  • Renée A. Price

    Democratic • House

  • Jr. A. Reece Pyrtle

    Republican • House

  • Phil Rubin

    Democratic • House

  • Bill Ward

    Republican • House

  • Shelly Willingham

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 424 • No: 0

House vote 6/25/2025

HB 546: Medicaid Modernization.

Yes: 112 • No: 0 • Other: 5

House vote 6/24/2025

HB 546: Medicaid Modernization.

Yes: 111 • No: 0 • Other: 6

Senate vote 6/19/2025

HB 546: Medicaid Modernization.

Yes: 42 • No: 0 • Other: 8

Senate vote 6/17/2025

HB 546: Medicaid Modernization.

Yes: 46 • No: 0 • Other: 4

House vote 5/6/2025

HB 546: Inmate Medicaid Suspension/Team-Based Care.

Yes: 113 • No: 0 • Other: 7

Actions Timeline

  1. Ch. SL 2025-64

    7/7/2025House
  2. Signed by Gov. 7/7/2025

    7/7/2025House
  3. Pres. To Gov. 6/27/2025

    6/27/2025House
  4. Ratified

    6/26/2025House
  5. Ordered Enrolled

    6/25/2025House
  6. Concurred On 3rd Reading

    6/25/2025House
  7. Concurred On 2nd Reading

    6/24/2025House
  8. Placed On Cal For 06/24/2025

    6/23/2025House
  9. Cal Pursuant 36(b)

    6/19/2025House
  10. Ruled Material

    6/19/2025House
  11. Special Message Received For Concurrence in S Com Sub

    6/19/2025House
  12. Special Message Sent To House

    6/19/2025Senate
  13. Passed 3rd Reading

    6/19/2025Senate
  14. Placed On Cal For 06/19/2025

    6/18/2025Senate
  15. Withdrawn From Cal

    6/18/2025Senate
  16. Passed 2nd Reading

    6/17/2025Senate
  17. Reptd Fav

    6/16/2025Senate
  18. Re-ref Com On Rules and Operations of the Senate

    6/10/2025Senate
  19. Com Substitute Adopted

    6/10/2025Senate
  20. Reptd Fav Com Substitute

    6/10/2025Senate
  21. Re-ref Com On Finance

    6/5/2025Senate
  22. Com Substitute Adopted

    6/5/2025Senate
  23. Reptd Fav Com Substitute

    6/5/2025Senate
  24. Re-ref to Health Care. If fav, re-ref to Finance. If fav, re-ref to Rules and Operations of the Senate

    5/29/2025Senate
  25. Withdrawn From Com

    5/29/2025Senate

Bill Text

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