Includes whereas clauses.

Directs the Department of Health and Human Services (DHHS) to increase the Personal Needs Allowance (PAN) from $30 to $70 for individual Medicaid recipients who are institutionalized and from $60 to $140 for married couples who are Medicaid recipients when both spouses are institutionalized. Requires DHHS to deduct the applicable increased PAN from the total monthly income taken into consideration when applying the individual's or couple's income to the cost of institutionalized care. Requires DHHS to develop a plan to increase the PAN at the start of each State fiscal year by an inflation factor determined by the DHHS in rule or in the NC Medicaid State Plan. Sets forth submission requirements for any amendments the NC Medicaid State Plan necessary to implement the act. The rate increases are effective only upon approval and as of the effective date approved.

Appropriates from the General Fund to DHHS, Department of Health Benefits (DHB), the sum of $4.73 million in recurring funds for each year of the 2023-25 fiscal year to implement the PAN increases specified above. Specifies that the funds will provide a State match for an estimated $9.6 million in recurring federal funds for each year of that biennium. Appropriates those federal funds to DHB to pay for the costs associated with the rate increases set forth above. 

Effective July 1, 2023.