Governor Stein Highlights NC Medicaid’s Vital Role in Rural Communities Amid Proposed Federal Cuts

Governor Josh Stein and North Carolina Health and Human Services Secretary Dev Sangvai joined rural health providers and community leaders at UNC Health Nash for a roundtable discussion emphasizing the critical importance of NC Medicaid to rural communities. The event underscored the program’s role as a lifeline, particularly as Congress considers significant cuts that could disproportionately affect rural areas.

“NC Medicaid is an innovative and fiscally responsible program that has thrived with bipartisan support and helps keep North Carolinians healthy, especially in rural communities,” Governor Stein said. “We must protect this life-changing health care that gives more than 3 million North Carolinians peace of mind and that strengthens our rural hospitals.”

The discussion highlighted that in some rural counties, over half the population relies on NC Medicaid for affordable health coverage. The program also serves as a major funding source for rural hospitals, many of which face financial challenges. By reducing the burden of uncompensated care, Medicaid helps stabilize these facilities. Across the state, Medicaid covers 3 million people—1 in 4 North Carolinians—including children, older adults, people with disabilities, and working adults. Since expansion, more than 230,000 rural residents have enrolled, gaining access to check-ups, prescriptions, and other essential services.

“NC Medicaid saves lives by providing preventive screenings, care during and after pregnancy, mental health support, substance use treatment, low-cost prescriptions, and so much more,” Secretary Sangvai said. “North Carolinians know the value and importance of what NC Medicaid does for communities and our state.”

Hosted by UNC Health Nash, a nonprofit serving several eastern North Carolina rural counties, the roundtable came at a pivotal moment. Federal proposals threaten to slash Medicaid funding, potentially stripping coverage from 640,000 working North Carolinians overnight. Such cuts could worsen health outcomes, drain billions from the state’s economy, and increase costs for employers while hitting rural areas hardest.

“Hospitals like Nash see first-hand every single day how Medicaid provides patients with access to critical services that keep them healthy and able to work and contribute to society,” said L. Lee Isley, president and CEO of UNC Health Nash. “Any cuts to Medicaid or the direct payment programs that reimburse hospitals for their services to these patients would have catastrophic and unintended consequences,” including reduced patient access and the potential closure of essential rural hospital services.

Participants also included Reuben Blackwell, CEO of OIC Family Medical Center and Rocky Mount City Council member; Dr. Joanna Dauber, a family medicine provider at UNC Health Nash; and Tyronda “Ty” Whitaker, Regional Long Term Care Ombudsman with the Upper Coastal Plain Council of Governments. Together, they stressed the urgent need to preserve Medicaid to safeguard North Carolina’s rural health infrastructure and the well-being of its residents.