House Health Committee hears Rep. Nye's Medicaid relief bill

County officials from across the state trekked into Raleigh on a slushy St. Patrick’s Day to show their support for H.B. 132, a Medicaid relief bill sponsored by Rep. Edd Nye (Bladen) that was heard by the House Health Committee.

Nye’s bill would phase out the county share over a six-year period, cap county Medicaid costs at 2004-05 levels, and, for counties where the number of Medicaid-eligible individuals exceeds 25 percent of the population, reduce the county Medicaid share to two-thirds of the reduced share or two-thirds of the share paid in 2004-05, whichever is less. The proposal represents the top legislative priority adopted by counties and mirrors the recommendations of the Blue Ribbon Commission on Medicaid Reform.

“It’s an effort to get the counties out of the Medicaid business,” said Nye, who also pointed out to the committee that five counties – Bertie, Columbus, Graham, Robeson and Swain – spend more on Medicaid than any other budget item.

It was the only bill heard by the committee, which is chaired by Rep. Thomas Wright of New Hanover County. The committee did not take a vote on the bill.

Several committee members, including former Forsyth County Commissioner Earline Parmon, spoke in support of eliminating the county share of Medicaid payments.

Lee County Commissioner Amy Stevens, Mecklenburg County Manager Harry Jones and Northampton County Social Services Director Dr. Al Wentzy all addressed the committee in support of county Medicaid relief.

Stevens said that Lee County, which is allocating 6 percent of its 2004-05 budget for Medicaid, will experience a $400,000 increase in Medicaid expenses this year. She also told committee members that Medicaid is having an even larger impact on counties located in the northeastern part of the state, such as Bertie.

“They are terribly burdened,” she said.

Nye said phasing out the county share would cost the state around $100 million in year one, and $600 million in five years’ time.

H.B. 149, introduced by Rep. Julia Howard (Davie), is scheduled to be heard by the House Health Committee on Thursday, March 24. The House Health Committee meets in Room 544 of the Legislative Office Building, two blocks from the Albert Coates Local Government Center. Howard’s bill calls for a five-year phaseout of the county share of Medicaid while also capping county costs at 2004-05 levels.

If possible, please arrange for a county official from your county to attend the committee hearing. It is important that the NCACC support all approaches to Medicaid relief. Please remember to check the House calendar before coming to Raleigh to make sure the meeting has not been cancelled or rescheduled.