UPCOMING EVENTS

June 30, 2025

Thinkers Lunch: Political Reporters Roundtable

July 16-July 18, 2025

North Carolina Healthcare Association Summer Meeting

July 20-22, 2025

Association of Executives of North Carolina (AENC) Annual Meeting

October 9-10, 2025

Association of Executives of North Carolina (AENC) Fall Conference

November 13, 2025
Women Lead NC

LEGISLATIVE NEWS

HEALTHCARE WORKFORCE REFORMS BILL WINS APPROVAL

The Senate Judiciary Committee approved a package of changes to healthcare worker regulations called the "Healthcare Workforce Reforms" bill on Tuesday, June 3. Senator Amy Galey (R-Alamance) mentioned that much of the 57-page House Bill 67 contains familiar content from prior bills. According to a summary of the bill, the new aspects focus on employment contracts for healthcare professionals, prohibiting clauses that limit their reporting of illegal or unethical actions.

It would also ban non-compete clauses in contracts, allowing healthcare workers to change jobs without fear of retaliation. Those challenging unenforceable provisions may recover attorney fees. Senator Lisa Grafstein (D-Wake) supported the bill, highlighting that non-compete clauses often force people to leave the state or the profession.

Additionally, the bill includes provisions to join the Interstate Medical Licensure Compact, allow internationally-trained physicians to practice in North Carolina, and permit certain psychological associates and physician assistants to work independently. It also updates licensure provisions for marriage and family therapists.

The bill has been referred to the Senate Finance Committee for further consideration.

Read more at State Affairs Pro

HOUSE BILL 434 ADVANCES

North Carolina has recently been ranked as having the highest healthcare costs in the US. In response, state lawmakers have passed House Bill 434, now known as the “Lower Health Care Costs Act,” to reduce expenses and improve transparency for patients.

House Bill 434 came to the Senate as a measure entitled “The CARE FIRST Act,” which proposed to cut authorization red tape efficiently and facilitate interventions rapidly. Senate committee leaders took the provisions of previously passed Senate Bill 316 and substituted them for the provisions of House Bill 434.

The legislation, as currently rewritten, focuses on reducing healthcare costs by reforming prior authorization processes, ensuring pricing transparency, enhancing billing protections, and changing the state's Certificate of Need (CON) laws, which are seen as limiting competition in healthcare. One key aspect of the bill is the removal of CON requirements for rehabilitation facilities, diagnostic centers, and in-home hospice services, allowing new providers to enter the market more easily. While the bill does not fully repeal CON laws, it indicates a move towards deregulation.

The measure mandates hospitals and surgical centers to report average self-pay charges for common procedures, with penalties for noncompliance affecting executive pay. It also standardizes prior authorization procedures, stipulating that insurers must make timely decisions based on recognized medical standards. Automatic approval of care will occur if insurers fail to respond to requests within set time limits.

Additionally, the bill strengthens protections for patients concerning billing by requiring clear communication about potential out-of-network providers and providing itemized bills before collections. The changes are set to take effect between January and October 2026. However, the North Carolina Healthcare Association opposes these measures, suggesting that existing federal protections are adequate. The state's healthcare costs are currently 28% higher than the national average, making healthcare reform a priority.

House Bill 434, as rewritten, passed the Senate on Wednesday, June 4, by a vote of 42 to 3. The bill now returns to the House and is likely to be referred to a conference committee, where legislators will attempt to resolve the differences.

Read more by The Carolina Journal

NC REINS ACT MOVES TO SENATE RULES

The North Carolina Senate is close to voting on a proposal that requires legislative approval for new regulations with an economic impact exceeding $20 million over five years. This is part of the NC REINS Act, also known as House Bill 402, which received amendments from the Senate Regulatory Reform Committee on Wednesday. The bill now moves to the Senate Rules Committee for further consideration.

The new amendment, presented by Senator Steve Jarvis (R-Davidson), raises the threshold to $20 million over five years, potentially affecting only one to five rules. Previous versions of the bill set the threshold at $1 million per year. Additionally, the Senate committee added a requirement for a two-thirds majority vote for rules with a $1 million impact and a unanimous vote for those with a $10 million impact.

The bill aims to protect taxpayers from hidden costs in regulations and exempts rules mandated by federal law. Concerns about the separation of powers were raised, but supporters like William Allen from the John Locke Foundation claim the bill ensures that significant rules are treated like laws, requiring approval from the General Assembly. If enacted, North Carolina would join other states, like Louisiana, in asserting legislative control over regulatory matters.

Read more by The Center Square
Read more by The Carolina Journal

THE POWER BILL REDUCTION ACT PROPOSED

Republicans, along with Duke Energy and other business groups, introduced a new proposal, Senate Bill 266, on Wednesday that seeks to alter North Carolina's energy policy. Critics of the proposal argue it will increase energy bills, while Republican lawmakers believe it will lower rates in the future. Representative Dean Arp (R-Union) emphasized that the bill is designed to save money for ratepayers.

Duke Energy, which serves most of North Carolina, also did not promise to maintain current rates, stating its commitment is to provide reliable energy at the lowest possible cost amid growing demand. The proposal would allow energy companies to charge customers for power plants that are not yet built, which supporters argue will expedite construction and reduce costs. Advocates suggested that the bill facilitates a necessary transition to cleaner energy sources while ensuring economic growth.