- Associated Press - Tuesday, June 23, 2015

RALEIGH, N.C. (AP) - The House has approved its model to overhaul North Carolina’s Medicaid system, contrasting starkly with a proposal incorporated in the Senate’s budget.

House members voted 105-6 on Tuesday for the measure, which like the Senate’s plan directs Medicaid to give a fixed amount of money to medical organizations for each patient treated. Medicaid now reimburses hospitals and doctors for every medical procedure they perform.

The House plan directs these new organizations be comprised of local medical provider networks. But the Senate proposal also would require managed-care insurance companies to run these organizations as well. Senate Republicans also want to put Medicaid in the hands of a new “benefits authority,” and out of the Department of Health and Human Services.

The two chambers will attempt to find a compromise.

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