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Duplin County DSS warns HR 1 will cut FNS administrative reimbursement; county exploring options
Summary
Miss Annie Murrell told the board HR 1 will reduce Food and Nutrition Services administrative reimbursement from 50% to 25% effective Oct. 1, 2026, and that Medicaid changes (work requirements and six‑month redeterminations) are expected Jan. 1, 2027; county leaders said the Association of County Commissioners is seeking solutions.
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Duplin County Department of Social Services (DSS) briefed the consolidated human services board on programmatic changes tied to the federal HR 1 bill and on county staffing levels.
"So effective 10/01/2026, the reimbursement for all FNS activities will be reduced to 25%, from a 50%," Miss Annie Murrell told commissioners, explaining that the change will affect administrative reimbursement for the Food and Nutrition Services program. She said Medicaid program changes will take effect Jan. 1, 2027, and include implementation of work requirements and a shift to six‑month redeterminations for certain Medicaid caseloads that previously had 12‑month redeterminations.
Murrell said Duplin County DSS is meeting state memorandum‑of‑understanding benchmarks and remains in compliance across program areas. She reported staffing shortages: 16 vacancies plus five positions on hold (the transcript identified the five on-hold positions as child support roles). Murrell gave a program‑level vacancy breakdown: five vacancies in food and nutrition, one interpreter position, seven Medicaid positions, one daycare position and two foster‑care/services positions.
Commissioners asked what steps DSS and county leadership were taking to address the reimbursement reduction. Murrell said she is in ongoing dialogue with upper management and will relay details to the interim manager. A county representative said the Association of County Commissioners is actively working with the state to explore options that may shift some additional costs away from counties.
No formal board action was taken; commissioners and DSS staff said they will continue to monitor the state and association-level responses to the federal changes.
