{"id":53742,"date":"2025-07-10T09:21:11","date_gmt":"2025-07-10T09:21:11","guid":{"rendered":"https:\/\/www.europesays.com\/us\/53742\/"},"modified":"2025-07-10T09:21:11","modified_gmt":"2025-07-10T09:21:11","slug":"how-the-big-beautiful-bill-will-affect-health-care-in-n-c","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/53742\/","title":{"rendered":"How the \u2018Big Beautiful Bill\u2019 will affect health care in N.C.\u00a0"},"content":{"rendered":"<p><strong>By Jaymie Baxley and Anne Blythe<\/strong><\/p>\n<p>On Tuesday evening, just days after President Donald Trump signed into law the new <a href=\"https:\/\/www.congress.gov\/bill\/119th-congress\/house-bill\/1\/text\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">federal budget<\/a> passed by Congress, several dozen people took a seat in the Pullen Park Community Center in Raleigh.<\/p>\n<p>Two of the capital city\u2019s Democratic state lawmakers \u2014 Sen. Jay Chaudhuri and Rep. Tim Longest \u2014 were holding a town hall with Heba Atwa, director of legislative advocacy and campaigns for the nonprofit, nonpartisan <a href=\"https:\/\/ncbudget.org\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">NC Budget and Tax Center<\/a>.<\/p>\n<p>The sweeping legislation, which GOP legislators named the One Big Beautiful Bill Act, was top of their agenda. It significantly cuts Medicaid and food assistance programs while cutting taxes for the wealthiest and having many other impacts on health and safety net programs.<\/p>\n<p>Trump <a href=\"https:\/\/www.whitehouse.gov\/articles\/2025\/07\/president-trumps-one-big-beautiful-bill-is-now-the-law\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">has described the new law<\/a> as \u201ca once-in-a-generation piece of legislation that makes good on his campaign promises and puts America first.\u201d His critics quickly point out that it also breaks his promise that \u201c<a href=\"https:\/\/www.nbcnews.com\/politics\/trump-administration\/read-full-transcript-president-donald-trump-interviewed-meet-press-mod-rcna203514\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">we\u2019re not cutting Medicaid<\/a>.\u201d\u00a0<\/p>\n<p>In North Carolina, elected officials, state policymakers, administrators and others are working to boil down the thousand-plus pages into plainspoken snippets that might be easier for the public to understand.<\/p>\n<p>Devdutta Sangvai, secretary of the state Department of Health and Human Services, spoke bluntly last week, just hours before the U.S. House of Representatives took their <a href=\"https:\/\/clerk.house.gov\/Votes\/2025190\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">218-214 vote<\/a> on July 3 to concur with the U.S. Senate\u2019s version of the bill.<\/p>\n<p>The barriers to food and health care, Sangvai warned, would have far-reaching consequences that will \u201cshow up elsewhere in our schools, our justice system and our housing programs.\u201d<\/p>\n<p>\u201cThese changes would hurt not only individuals and families, but also North Carolina\u2019s economy and workforce,\u201d Sangvai said <a href=\"https:\/\/www.northcarolinahealthnews.org\/wp-content\/uploads\/2025\/07\/NCDHHS-Media-Availability-July-1-2025-Recording.mp4\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">during a July 1 news briefing<\/a>. \u201cWhen people can\u2019t meet basic needs, we all feel the impact.\u201d<\/p>\n<p>How quickly the state will feel the impact is not yet clear \u2014 the new law cuts Medicaid, adds work requirements to the program and creates administrative changes that will be phased in mostly after the 2026 elections.<\/p>\n<p>With the state budget process at a stalemate, it\u2019s not clear whether the General Assembly will adopt a fiscal plan that has the state taking on any of the\u00a0 financial burden resulting from federal cuts to safety net programs. If the state doesn\u2019t choose to shoulder those costs, then the financial strain and hardships could <a href=\"https:\/\/www.newsobserver.com\/opinion\/article308469285.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">end up in the laps of counties<\/a>, some of which might resort to raising property tax rates to generate the revenue needed, Atwa explained.<\/p>\n<p><strong>\u2018Billions of dollars in lost funding\u2019<\/strong><\/p>\n<p>Those were just some of the issues that came up at the town hall held Tuesday by Chaudhuri and Longest.<\/p>\n<p>\u201cFiscal policy is foundational to well-being and to the things that we care about \u2014 and to our day-to-day lives,\u201d Atwa told the crowd. \u201cI think that\u2019s becoming clearer and clearer to all of us.\u201d<\/p>\n<p>As she flipped through slide after slide, Atwa added: \u201cThese federal cuts are going to hurt North Carolina, they\u2019re going to hurt people\u2019s well-being, they\u2019re going to hurt our economy.\u201d<\/p>\n<p><a href=\"https:\/\/governor.nc.gov\/news\/press-releases\/2025\/07\/02\/governor-stein-urges-north-carolina-congressional-delegation-oppose-reconciliation-bill\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Here\u2019s the shorthand<\/a>, according to the governor\u2019s office:<\/p>\n<ul class=\"wp-block-list\">\n<li>More than half a million people stand to lose their health care because of changes to Medicaid and the Affordable Care Act Marketplace.<\/li>\n<li>Changes to the Supplemental Nutrition Assistance Program, or SNAP, could leave 1.4 million North Carolina residents \u2014 600,000 of whom are children \u2014 without food assistance.<\/li>\n<li>Tens of thousands of the 100,000-plus North Carolinians employed in the clean energy industry could lose their jobs due to the loss of clean energy tax credits.<\/li>\n<li>Some households could see their annual electricity bills increase by 18 percent because of the removal of tax credits for solar and wind energy.<\/li>\n<\/ul>\n<p>Gov. Josh Stein, a Democrat, called the megabill \u2014 supported by every congressional Republican from North Carolina with the exception of U.S. Sen. Thom Tillis \u2014 a \u201cdisgrace.\u201d<\/p>\n<p>Tillis made national news last week when he balked at supporting the Senate version of the federal budget legislation. Part of his rationale was what it would do to health care in his state.<\/p>\n<p>\u201cIt would result in tens of billions of dollars in lost funding for North Carolina, including our hospitals and rural communities,\u201d <a href=\"https:\/\/www.tillis.senate.gov\/2025\/6\/tillis-statement-on-senate-reconciliation-vote\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Tillis said in a statement<\/a> before announcing the next day that he <a href=\"https:\/\/www.tillis.senate.gov\/2025\/6\/statement-from-senator-thom-tillis\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">would not seek reelection<\/a> in 2026. \u201cThis will force the state to make painful decisions like eliminating Medicaid coverage for hundreds of thousands in the expansion population, and even reducing critical services for those in the traditional Medicaid population.\u201d<\/p>\n<p><strong>What\u2019s happening with Medicaid?\u00a0<\/strong><\/p>\n<p>One of the law\u2019s most consequential provisions is a work requirement for Medicaid.\u00a0<\/p>\n<p>Beginning Dec. 31, 2026, most able-bodied adults participating in the government-funded health insurance program must prove they are working, attending school or volunteering for at least 80 hours a month. State officials estimate that more than 255,000 North Carolinians will lose coverage under the requirement, with many of them being kicked off the rolls \u2014 not because they\u2019re unemployed, but because of red tape and paperwork.\u00a0<\/p>\n<p>Jay Ludlam, head of Medicaid for North Carolina, said implementing the requirement will force the state to develop a costly, complex new system to check beneficiaries\u2019 employment status. It will also increase strain on local and county Department of Social Services offices, many of which are already struggling with large backlogs of cases and staffing shortages.\u00a0<\/p>\n<p>\u201cThe concern in North Carolina is that the support that county offices are going to need, the testing that they\u2019re going to need and the time frames that they\u2019re given will just simply be insufficient,\u201d he said. \u201cWorking, predominantly rural North Carolinians will lose coverage and will lose their eligibility that they otherwise would have had because of these time frames and extra burdens that are put on North Carolina.\u201d\u00a0<\/p>\n<p>The law does not provide the state with federal funding to implement the work requirement. In fact, it limits North Carolina\u2019s ability to offset the requirement\u2019s cost by reducing the cap on taxes the state imposes on providers to draw down federal matching funds for Medicaid.<\/p>\n<p>North Carolina currently collects a 6 percent tax on providers\u2019 net revenue from patients. The law lowers the rate to 3.5 percent, which Ludlam said will result in billions of dollars in lost funding for the state.<\/p>\n<p>The combination of the work requirement and lower provider tax cap, he said, will likely undo the expansion of Medicaid that North Carolina lawmakers <a href=\"https:\/\/www.northcarolinahealthnews.org\/2023\/03\/29\/amid-medicaid-expansion-celebration-advocates-reflect\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">approved in 2023<\/a>.\u00a0<\/p>\n<p>Expansion increased the state\u2019s previously strict income threshold for Medicaid up to $21,597 for an individual or $36,777 for a family of three. This opened the program to many low-wage workers who previously made too much money to qualify. More than 673,000 people, or about 21 percent of the state\u2019s total Medicaid enrollment, have gained coverage through the measure.<\/p>\n<p>Ludlam said all of those beneficiaries are now at risk of losing coverage because of a financial \u201ctrigger\u201d that the N.C. General Assembly tied to its passage of expansion. The <a href=\"https:\/\/www.ncleg.gov\/BillLookUp\/2023\/H76\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Access to Healthcare Options Act<\/a> includes a clause that discontinues expansion if the state is forced to pick up any costs.\u00a0<\/p>\n<p>\u201cWe use provider taxes to help pay for the administrative costs of expansion,\u201d Ludlam explained. \u201cWe are not permitted under local statute to pay for those costs using state general funds. Therefore, there\u2019s only one way to really get it, and that is through these provider taxes.\u201d<\/p>\n<p>The loss in taxes, he said, leaves the state with \u201cfew financial mechanisms to pay for\u201d expansion, let alone the cost of checking the employment status of expansion beneficiaries, effectively <a href=\"https:\/\/www.northcarolinahealthnews.org\/2025\/06\/27\/bill-could-unravel-expansion\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">tripping the trigger<\/a>.\u00a0<\/p>\n<p>Maintaining expansion will require intervention from the state legislature, which will need to modify or get rid of the clause. A potential fix has been proposed by Rep. Sarah Crawford (D-Raleigh), who in March introduced<a href=\"https:\/\/www.ncleg.gov\/BillLookUp\/2025\/H619\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"> a bill<\/a> that would \u201celiminate the statutory trigger for discontinuation\u201d of expansion.\u00a0<\/p>\n<p>\u201cI think my bill is certainly one way forward,\u201d she said in an interview with NC Health News. \u201cWe\u2019re talking about the livelihoods of over 650,000 people, and I\u2019d like to believe that my colleagues in the legislature understand the impact that expansion has had on the lives of people.\u201d<\/p>\n<p>But Crawford\u2019s bill has not moved since she introduced it, and there\u2019s no guarantee that a majority of state lawmakers will support the trigger\u2019s removal. State Rep. Donny Lambeth (R-Winston Salem) has said the General Assembly would not have approved expansion in the first place without it. In conversations with NC Health News, he has also said there\u2019s likely little appetite in his caucus for changing the trigger.\u00a0<\/p>\n<p><strong>Taking away food benefits\u00a0<\/strong><\/p>\n<p>In North Carolina, there are more than 1.4 million participants in the SNAP program, Karen Wade, the state Department of Health and Human Services policy director, said during <a href=\"https:\/\/www.northcarolinahealthnews.org\/wp-content\/uploads\/2025\/07\/NCDHHS-Media-Availability-July-1-2025-Recording.mp4\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">the July 1 media briefing<\/a>. The federal legislation expands work requirements that already are part of the program, she added.<\/p>\n<p>\u201cOur programs serve a range of populations, including older adults, veterans, individuals with disabilities and children, and it\u2019s also important to note that these are working families, with an average of 80 percent of SNAP households including someone who\u2019s working,\u201d <a href=\"https:\/\/www.northcarolinahealthnews.org\/wp-content\/uploads\/2025\/07\/NCDHHS-Media-Availability-July-1-2025-Recording.mp4\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Wade said<\/a>.<\/p>\n<p>Since SNAP\u2019s establishment as a countrywide program 50 years ago, the benefits have been 100 percent federally funded. Wade noted, though, that the new federal law shifts hundreds of millions of dollars annually in costs to the state and counties in North Carolina \u2014 \u201ca new unprecedented mandate.\u201d<\/p>\n<p>That could add at least $425 million in new costs for the state under the final version of the law. The state is also on the hook for an additional $65 million for program administration \u2014 now that the law increases the state\u2019s responsibility from 25 percent to 50 percent.<\/p>\n<p>The state now faces tough choices, which could include:<\/p>\n<ul class=\"wp-block-list\">\n<li>Shifting state budget funds to cover the federal gap.<\/li>\n<li>Reducing enrollment to lower costs.<\/li>\n<li>Withdrawing from the SNAP program.<\/li>\n<\/ul>\n<p>If the state were to withdraw from SNAP, Wade told reporters on July 1, \u201chunger and poverty would increase, along with worsening health outcomes.\u201d<\/p>\n<p>\u201cSNAP is also an important economic driver to our state,\u201d Wade added.<\/p>\n<p>According to DHHS estimates, North Carolina stands to lose $2.8 billion in annual federal funds that generate $4.2 billion in economic impact. Rural grocery stores that depend on SNAP for revenue would be at risk of closure, and jobs generated by those would be at risk across the state.<\/p>\n<p>Administrators of food assistance programs that rely on SNAP funds have said private philanthropy will not be able to make up the difference.\u00a0<\/p>\n<p>\u201cThere\u2019s no amount of fundraising that we can do that\u2019s going to make up for the funds we\u2019ve lost,\u201d Melissa Driver Beard, executive director of CORA, a Chatham County food assistance program, <a href=\"https:\/\/www.northcarolinahealthnews.org\/2025\/06\/05\/snap-cuts-trouble-food-assistance-programs\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">told NC Health New<\/a>s last month. \u201cAt some point we can\u2019t accommodate everything.\u201d<\/p>\n<p><strong>More<\/strong> <strong>care at stake<\/strong><\/p>\n<p>While much of the focus has been on what the federal bill does to Medicaid and SNAP, other parts of it will affect nursing homes, Planned Parenthood funding and Affordable Care Act insurance premiums.<\/p>\n<p>Kody Kinsley, the state\u2019s former DHHS secretary, told NC Health News on Wednesday that while many refer to this \u201cbill, now law\u201d as a comprehensive budget, \u201cit\u2019s also a sweeping health care bill.\u201d<\/p>\n<p>One thing not in the new law that could have a major impact on who remains insured in North Carolina is whether the enhanced Affordable Care Act premium tax credits that have been in effect since 2021 will be allowed to sunset. While the bill doesn\u2019t address the fate of the premium tax credits, it does include provisions that tighten eligibility requirements through requiring more verification.<\/p>\n<p>If those credits expire, Kinsley, who is working as a consultant now, along with other health care policy analysts say insurance premiums are likely to skyrocket. That could lead to an estimated 250,000 North Carolinians who buy coverage on the ACA marketplace losing coverage because they won\u2019t be able to afford insurance, <a href=\"https:\/\/tcf.org\/content\/commentary\/house-passed-tax-cuts-for-wealthy-people-and-corporations-come-at-a-cost-to-americans-health\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Kinsley estimated<\/a> in a piece he cowrote for progressive think tank The Century Foundation.<\/p>\n<p>Kinsley used an example of a retired couple, both 60 years old, who make a combined $82,000 a year. Their premiums would increase by $19,000 a year without the extended tax cuts, forcing a decision that would leave many to abandon coverage.<\/p>\n<p>The federal legislation, Kinsley said, will erase a lot of progress that North Carolina made in an effort to extend health care to hundreds of thousands more people.<\/p>\n<p>\u201cWe\u2019re definitely going backwards,\u201d Kinsley said. \u201cWe\u2019re looking down a sad road.\u201d<\/p>\n<p><strong>Messaging for the people<\/strong><\/p>\n<p>\u201cSad\u201d was the mood at the town hall in Raleigh Tuesday night.<\/p>\n<p>Many in the audience, though, urged each other to keep calling and writing their lawmakers at the state and federal level in attempts to make their voices heard. Several suggested that all their calls could have played a part in Tillis being unwilling to go along with his Republican colleagues in the Senate.<\/p>\n<p>Chaudhuri and Longest also encouraged the audience to share what they learned at the town hall with others \u2014 particularly in rural areas \u2014 who might not be as well-versed about what\u2019s in the sweeping legislation.<\/p>\n<p>\u201cI think we\u2019re in one of those moments where it is very chaotic,\u201d Chaudhuri said. \u201cBut with the chaos we have to find opportunity. And I like to think there are things we can do.\u201d<\/p>\n<p>Republish This Story<\/p>\n<p><a class=\"license\" rel=\"noreferrer license nofollow noopener\" target=\"_blank\" href=\"https:\/\/creativecommons.org\/licenses\/by-nd\/4.0\/\"><img loading=\"lazy\" decoding=\"async\" width=\"88\" height=\"31\" alt=\"Creative Commons License\" style=\"border-width:0\" src=\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2025\/06\/cc-by-nd-4.0.png\"\/><\/a><\/p>\n<p>Republish our articles for free, online or in print, under a Creative Commons license.<\/p>\n","protected":false},"excerpt":{"rendered":"By Jaymie Baxley and Anne Blythe On Tuesday evening, just days after President Donald Trump signed into law&hellip;\n","protected":false},"author":3,"featured_media":53743,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[7023,18007,39910,39911,69,30509,210,1141,1142,39912,39913,39914,39915,39916,21919,39917,6974,67,132,68],"class_list":{"0":"post-53742","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-health-care","8":"tag-affordable-care-act","9":"tag-big-beautiful-bill","10":"tag-clean-energy-credits","11":"tag-dev-sangvai","12":"tag-donald-trump","13":"tag-general-assembly","14":"tag-health","15":"tag-health-care","16":"tag-healthcare","17":"tag-kody-kinsley","18":"tag-medicaid-enrollment","19":"tag-medicaid-expansion","20":"tag-medicaid-work-requirements","21":"tag-nc-dhhs","22":"tag-nc-general-assembly","23":"tag-provider-taxes","24":"tag-snap","25":"tag-united-states","26":"tag-unitedstates","27":"tag-us"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/114828206606617568","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/53742","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=53742"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/53742\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/53743"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=53742"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=53742"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=53742"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}