RALEIGH — Governor Josh Stein announced Tuesday that he has signed House Bill 696 into law, calling the measure a bipartisan step toward stabilizing Medicaid funding while also urging lawmakers to correct what he described as serious flaws in the legislation.
Stein said the bill delivers “certainty and care” for North Carolinians by fully funding Medicaid and protecting coverage for more than 725,000 people enrolled through Medicaid expansion. He called the agreement “a huge win” for families who rely on the program.
The Governor also noted that the bill addresses several items from his Critical Needs Budget, including funding shortfalls at the Department of Adult Correction, the State Bureau of Investigation, and the Division of Motor Vehicles — agencies he said have been strained by rising workloads.
Stein highlighted another provision that ensures scholarships for children of veterans remain secure, saying thousands of families will “be relieved to know their scholarships are no longer in jeopardy.”
Governor Flags Coverage Losses, Delays, and Higher Costs
Despite signing the bill, Stein warned that the legislation contains provisions that could harm vulnerable residents unless lawmakers act during the upcoming short session.
According to the Governor, the bill would eliminate health‑care coverage for nearly 27,000 pregnant women and children who are lawfully present in the United States — including refugees, green card holders, and victims of human trafficking. He said the change could cut women off from care mid‑pregnancy and leave children without coverage during critical developmental years.
Stein also raised concerns about new administrative requirements that could force some residents to wait up to three months to receive benefits — a delay he said is longer than in nearly every other state.
Additionally, the bill increases certain co‑pays for Medicaid expansion recipients at a time when health‑care costs continue to strain working families.
Looking Ahead to the Short Session
Stein said he believes lawmakers intend to fix the coverage issue and pledged to work with the General Assembly to craft a “fiscally responsible, balanced budget” that strengthens the state’s health‑care system.
“Nevertheless, this bill moves North Carolina forward by addressing many critical needs facing state government and the people we serve,” Stein said.
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