A BILL TO BE ENTITLED
AN ACT to phase out the county share of the nonfederal share of medicaid costs over a SIX‑year period, to provide that the total county share during the phase‑out period shall not exceed the county share paid by each county for the 2004‑2005 fiscal year, and to further provide that in certain counties the county share shall be further reduced based on the number of medicaid‑eligible individuals in the county, AS RECOMMENDED BY THE BLUE RIBBON COMMISSION ON MEDICAID REFORM.
The General Assembly of North Carolina enacts:
SECTION 1.(a)  Notwithstanding any other provision of law to the contrary, and except as otherwise provided in subsection (b) of this section, the county portion of the nonfederal share of Medical Assistance Program costs, excluding administrative costs, is reduced by two and one‑half percent (2.5%) each fiscal year beginning July 1, 2005, until the county portion of the nonfederal share, excluding administrative costs, equals zero percent (0%).  If the reduction in percentage of the county share for each fiscal year under this section results in a higher county share amount than the county share amount paid for the 2004‑2005 fiscal year, then the county share for the fiscal year shall be the reduced share or the amount of the county share paid in the 2004‑2005 fiscal year, excluding administrative costs, whichever is less. Effective July 1, 2010, the nonfederal share of Medical Assistance Program costs, excluding administrative costs, shall be borne by the State.
SECTION 1.(b)  In counties where the number of Medicaid‑eligible individuals in a given fiscal year exceeds twenty‑five percent (25%) of the county population in that fiscal year, the county's share shall be two‑thirds of the reduced share for each year or the county share paid for the 2004‑2005 fiscal year, excluding administrative costs, whichever is less.
SECTION 2.  Effective July 1, 2010, G.S. 108A‑54 reads as rewritten:
"§ 108A‑54.  Authorization of Medical Assistance Program.
The Department is authorized and empowered to establish a Medical Assistance Program from federal and State appropriations and to adopt rules under which payments are to be made in accordance with the provisions of this Part. "
SECTION 3.  This act becomes effective July 1, 2005.