Lawmakers probe allegations that NC health officials used false information to secure Medicaid funds, tell me about this news today

03-10-2026

North Carolina lawmakers are examining allegations that state health officials submitted false or misleading information to the federal government to secure millions of dollars in federal funding.

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Core Allegations

The issue stems from a recently unsealed federal whistleblower lawsuit brought by former state employees. The complaint claims that officials within the North Carolina Department of Health and Human Services (NCDHHS) misrepresented progress and milestone data regarding the state’s long-delayed overhaul of its Medicaid technology system (NCTracks) to obtain federal funding matches. Although a federal judge recently dismissed the lawsuit, the details revealed in the unsealed filings have prompted legislative scrutiny.

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Legislative Reaction

Key state legislative leaders, including the House Speaker’s office and co-chairs of the Senate Health Care Committee, announced plans to closely investigate the matter. Lawmakers highlighted growing concerns around Medicaid spending oversight, the ongoing millions in taxpayer dollars allocated to keep the legacy IT system running, and the obligation to ensure federal funding submissions are accurate.

Carolina Journal

NCDHHS Position

In response to the allegations, NCDHHS maintained that it is dedicated to protecting the integrity of the Medicaid program and responsibly managing taxpayer resources while continuing to deliver necessary care across the state.

Carolina Journal



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