State's Medicaid Program Projects Third Straight Year of Cash on Hand

Raleigh, NC

Governor Pat McCrory announced today that the North Carolina Department of Health and Human Services (DHHS) expects to finish the year with approximately $250 million cash on hand in the state’s Medicaid program.

“This accomplishment reflects our team’s unwavering commitment to responsible budgeting and fiscal management,” Governor McCrory said. “Thanks to the hard work of Department of Health and Human Services Secretary Rick Brajer and his team, we have turned the previous administration’s frequent Medicaid shortfalls into three consecutive years of cash on hand.”

When the fiscal year ends in June, this will be the third consecutive year Medicaid has finished with cash on hand. After four years of Medicaid shortfalls totaling $2 billion under the previous administration, the Medicaid program ended Fiscal Year (FY) 2013-14 with $64 million cash on hand and FY2014-15 with $131 million cash on hand. It is now poised to end FY2015-2016 with about $250 million cash on hand.

“Our commitment to operational excellence and fiscal management is strong and we are excited about the Department's work ahead that will benefit our citizens because of the Governor's commitment to funding a Healthy North Carolina,” Secretary Rick Brajer said.

On Monday, Governor Pat McCrory announced his budget priorities to encourage a healthy North Carolina, including funding for mental health and substance use issues; using Medicaid and state funds to expand services for older adults, including those with Alzheimer’s; increasing Medicaid services for people living with developmental disabilities and Autism; and funding to strengthen the state’s child protection systems.

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