Governor Stein calls special legislative session to address North Carolina Medicaid funding

Josh Stein, Governor - Office of the Governor of North Carolina
Josh Stein, Governor - Office of the Governor of North Carolina
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Governor Josh Stein has called for an extra session of the North Carolina General Assembly on November 17, 2025, to address funding for Medicaid. During a press event, Stein was joined by disability advocates Demi Eckhoff and Betsy MacMichael, as well as Dr. Karen Smith, who all spoke about the importance of Medicaid in their lives.

“The stories shared today make crystal clear that Medicaid ensures access to life-saving care,” said Governor Josh Stein. “The General Assembly is using people’s health and well-being as bargaining chips in an unrelated budget dispute, and it’s shameful. The legislature must come back to Raleigh and do its job so that the three million North Carolinians who rely on Medicaid can get the care they need.”

NC Health and Human Services Secretary Dev Sangvai also commented on the issue: “We have spent years building a fiscally responsible, innovative Medicaid program that millions of our residents rely on for life-changing and often life-saving care. NC Medicaid is a critical driver in the health of North Carolinians, and we all agree it needs to be fully funded. Let’s come together and get it done.”

Demi Eckhoff emphasized how crucial direct support professionals are for her independence: “My Direct Support Professionals are my ramp to the world and my community. A pay cut translates into potentially losing direct support professionals, which threatens my independence. If I don’t have my DSPs, I am at risk of going to the hospital, where I can’t work or study. Our disability community is fearful that these cuts will impact our basic needs and life.”

Betsy MacMichael described how vital Medicaid is for her family: “Medicaid literally keeps our daughter alive and well, and it provides her the supports she needs to live her life as independently as possible. Without Medicaid, she would lose the independence she’s fought so hard for.”

Dr. Karen Smith added: “Medicaid is a lifeline from the very beginning right down to the end of life.”

More than three million people in North Carolina use Medicaid for their health coverage. In some rural counties in North Carolina, over half of residents depend on NC Medicaid for coverage. Although healthcare costs are rising nationwide—including private insurance, Medicare, and Medicaid—Medicaid’s cost increases have been lower than those seen elsewhere nationally over recent years.

The North Carolina Department of Health and Human Services notified lawmakers in May 2025 about additional funding needs for Medicaid. Since then, both DHHS and Governor Stein’s office have continued updating legislators with projections regarding these needs.

In September 2025 after advocacy from Governor Stein, both chambers introduced proposals intended to fully fund Medicaid; however no agreement was reached before cuts took effect October 1st. In October Governor Stein sent a letter outlining three options: full recurring funding at $319 million; partial recurring funding at $190 million with delayed cuts until January 1st; or using part of a $500 million contingency reserve.

Under state law during extraordinary circumstances such as this one concerning essential services like healthcare coverage through Medicaid—the governor has authority to convene lawmakers specifically focused on one issue—in this case securing adequate funds for what is known as “the rebase” or recalibration needed due to increased costs.

A copy of Governor Stein’s proclamation calling this extra legislative session can be found here.



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