McCrory: audit of Medicaid program "a concern" - WBTV 3 News, Weather, Sports, and Traffic for Charlotte, NC

McCrory: audit of Medicaid program "a concern"

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RALEIGH, N.C. (AP) - North Carolina Gov. Pat McCrory says he is withholding judgment on whether the state should expand Medicaid under the federal Affordable Care Act until his administration can fix serious mismanagement within the program.

McCrory spoke Thursday as State Auditor Beth Wood released a 70-page critique of the Division of Medical Assistance.

"This audit should be a concern for every North Carolinian," McCrory said in a statement. "Every dollar that is mismanaged at the Department of Health and Human Services for Medicaid is one dollar less that is available for medical services, education or road and bridge repair."

"This information is critical to us in the work we have ahead to reform the Medicaid system in North Carolina," Aldona Vos, Secretary of the Department of Health and Human Services said in a statement released by the Governor's office.  "I am pleased to say that we already are taking proactive steps to address some of these issues – the most important of which is hiring Carol Steckel, a nationally recognized expert in Medicaid, to run our Medicaid program."

The audit found that administrative spending for the state's Medicaid system is significantly higher than nine states of similar size. The audit also found state Medicaid administrators used flawed or incomplete budget forecasting methods, resulting in shortfalls of more than $190 million last year.

Medicaid provides health coverage for more than 1.5 million North Carolina residents - most of them poor children, older adults and the disabled. The program spends about $13 billion in state and federal funds.

To read the audit, please click here.

Copyright 2013 WECT. Material from the Associated Press was used in this report.

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