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North Carolina restricts future Medicaid health plan contracts to statewide coverage and prioritizes provider satisfaction

Original title: Criteria for PHP Contract Procurement.

Last action · April 15, 2025: Serial Referral To Finance Stricken (House action)Sponsors: Tim Reeder and 5 others

Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Would Do

North Carolina requires all future Medicaid contracts to cover the entire state rather than specific regions, caps the number of contracts at four, and gives evaluation preference to provider-led entities and bidders with higher provider satisfaction scores.

Why it matters

Medicaid enrollees and health insurers face a restructured procurement process that eliminates regional contracts for future plan cycles and favors entities with established provider satisfaction metrics.

Background
  • North Carolina operates a Medicaid managed care program known as NC Medicaid Direct and NC Medicaid Managed Care, administered by the Department of Health and Human Services. context
  • Prepaid Health Plans (PHPs) and Provider-Learned Entities (PLEs) contract with the state to deliver comprehensive medical services to enrolled Medicaid beneficiaries. context

Who It Would Affect

Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.

Directly affected

Medicaid recipients

Enrollees will receive coverage through statewide rather than regional Prepaid Health Plan contracts.

Directly affected

Prepaid Health Plans

Bidders and plan operators face a cap of four statewide contracts and new evaluation criteria favoring provider satisfaction.

Directly affected

Provider-Led Entities

PLEs will receive higher evaluation weight in future contract procurements.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Frequently Asked Questions

Will there still be regional Medicaid health plan contracts in North Carolina?
No. For standard benefit plan contracts awarded after the initial contracts, all plans must provide coverage statewide, and regional contracts are eliminated.
How many total contracts are allowed for future Prepaid Health Plans?
There shall be no more than four contracts between the Division of Health Benefits and PHPs for future standard benefit plan contracts.
What criteria will be prioritized when evaluating future contract bids?
Higher weight will be assigned to Provider-Led Entities and bidders with higher provider satisfaction measures reported from existing contracts or similar Medicaid plans.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

Currently in committee. The next step in the legislative lifecycle is Floor Vote.

Procedural history

5 actions
  1. Apr 15, 2025House
    Serial Referral To Finance Stricken
  2. Apr 15, 2025House
    Serial Referral To Insurance Stricken
  3. Mar 31, 2025House
    Ref to the Com on Health, if favorable, Insurance, if favorable, Finance, if favorable, Rules, Calendar, and Operations of the House
  4. Mar 31, 2025House
    Passed 1st Reading
  5. Mar 27, 2025HouseIntroduced
    Filed

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

View official text →

Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Sponsors

Discoveries

1 pattern noticed across the record

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift95% confidence

Elimination of Regional Medicaid Contracts

The legislation phases out regional standard benefit plan contracts in favor of an exclusively statewide contracting model for future procurement cycles.

Connected Entities

Division of Health Benefits
OrganizationDivision of Health Benefits“State agency responsible for managing Medicaid contracts.”Map →

Sources

Analysis Score

0–100
  • Significance65
    How much this matters to a regular citizen
  • Controversy30
    Intensity of disagreement among stakeholders
  • Entertainment5
    Compellingness for a non-policy-wonk reader
  • Buzz25
    Current news / social attention level

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