NASW-NC Legislative Session Update: Senate Budget Passes and Action Needed on Telehealth

The North Carolina Senate released details of their budget on Monday, June 21st through SB 105 2021 Appropriations Act. The bill went through two committees and was voted on by Thursday afternoon. Few amendments were allowed. The bill passed with a vote of 32-18 with a few Democrats voting with Republicans. Budget items of note for social workers:

State Employee Pay Raises/Bonuses

In the budget proposal, most state employees will see a 3% pay raise over the next two years. Additionally, employees making under $75,000 will receive a $1,500 bonus and those making more will receive a $1,000 bonus. Staff and employees of 24-hour residential and treatment facilities will also see a $1,500 bonus. Teachers and instructional support staff would get a $300 bonus. Noncertified school staff will see their salaries raised to make $13/hour.

Health and Human Services

A major loss in the Senate budget is that it does not provide for Medicaid Expansion. They do have a provision to extend Medicaid to postpartum birthing parents with incomes equal to or less than 196% of the federal poverty level. Eligibility would cover 12 months postpartum (the state currently provides coverage for 60 days postpartum).

The budget also includes a provision to allow a parent to retain Medicaid eligibility when their child is temporarily placed in foster care. The parent would have to make reasonable efforts to comply with a court-ordered plan of reunification to maintain Medicaid coverage.

Funding is provided to allow an additional 1,000 individuals with intellectual and developmental disabilities to access services through the State's Medicaid Innovations Waiver. The current waitlist is over 15,000 individuals.

The Senate budget provides funds to increase the hourly wages of direct care workers to $15 an hour. The rate increase would be provided to intermediate care facilities for individuals with intellectual disabilities (ICF/IIDs), including ICF/IID-level group homes. This rate increase would be effective July 1, 2022, so long as it is approved by the Centers for Medicare and Medicaid Services. Any provider receiving a rate increase under would be required to use at least 80% of the funding to increase to pay direct care employees.

Public Safety

The state’s eleventh Cabinet Department is established in the Senate budget by creating the Department of Adult Corrections with the following divisions: Division of Prisons, the Division of Alcoholism and Chemical Dependency Treatment Program, Division of Health Services, and the Division of Community Supervision and Reentry.

The Senate budget proposal also seeks to change the name of Drug Courts to Accountability and Recovery Courts to bring the state in line with federal guidelines. This change will draw down more federal funding for the Courts and does not impact current Drug Courts. Each judicial district seeking to establish a Court will form a committee that includes a representative of the local community college or other adjacent secondary educational institution with a school of social work.

School Social Workers

The budget calls for a report that is due by October 15, 2021 on each local school administrative unit’s use of funds for instructional support personnel from the 2020-2021 fiscal year and report the results of its survey to the Joint Legislative Education Oversight Committee.

Another report due no later than May 15, 2022, will study and report the following to the Joint Legislative Education Oversight Committee:

• Policies, practices, standards, and curriculum adopted or implemented, as appropriate, by the State Board of Education, Department of Public Instruction, educator preparation programs, and public-school units for persons to receive training, licensure, and employment as school health support personnel in public school units.
• Barriers persons face when entering each school health support profession because of the policies, practices, standards, and curriculum identified.
• Recommendations and any actions already taken to (i) reduce and eliminate the barriers to entry identified and (ii) improve the number and quality of school health support personnel employed in public school units. This includes information on school social workers.

Emergency funds are identified in the budget and schools can apply for grants. $15,000,000 is directed to establish a grant program to provide contracted school health support services to public school units with a demonstrated need. Public school units receiving the funds shall contract with school health support personnel to provide additional physical and mental health support services for students in response to COVID-19. School social workers are included.

Other Budget Provisions

• $700 million is being set aside for rural broadband.
•  $5 million for a mobile program to assist individuals who need photo identification in order to vote in person.
• $400,000 over two years for outreach, training and other suicide prevention activities to veterans and active-duty military personnel.
• $2,579,576 non-recurring funds to support Adult Protective Services.  

What’s next? The passage of the Senate budget is just part of a long process. NASW-NC anticipates a House budget in mid-July. From there, the House and Senate will select members to work on one budget behind closed doors. We might see a state budget by mid to late August.

Advocacy Opportunity: Advocate for Telehealth Services

Medicaid Transformation

NASW-NC wants to remind providers that the state plans to go live with Medicaid Transformation on July 1, 2021, for beneficiaries with a primary physical health care diagnosis but behavioral health providers are needed in these plans. Under Medicaid Transformation, integrated care is a goal. Standard Plans will serve mild to moderate behavioral health care needs. NASW-NC is assisting members with questions and encouraging members to negotiate rates with Health Plans. NASW-NC members, please do not hesitate to reach out for assistance to Kay Castillo at  kcastillo.naswnc@socialworkers.org.

Helpful links:

• North Carolina Department of Health and Human Services Medicaid Transformation
• Become a Medicaid Provider
• Provider Trainings
• NASW-NC resource on FAQs we’ve received from social workers
• Health Plan Contacts and Resources

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