NC S335

Authorizes the Director of the Budget to adjust the General Fund budget to ensure adequate funding for the State Medicaid Program during the 2012-2013 fiscal year, notwithstanding standard budget procedures.

Establishes a prioritized sequence for budget adjustments: $20.9 million from unexpended funds under S.L. 2012-142; $74 million from drug rebate refunds; minimum $67 million from Department of Health and Human Services reversions; and up to $100 million from other state agency reversions.

Restricts adjustments to paying only 2012-2013 Medicaid Program costs, including federal drug rebates, with any unused funds reverting to the General Fund.

Prohibits the Director of the Budget from creating or increasing financial obligations beyond the 2012-2013 fiscal year and prevents transfers of funds between departments in favor of budget adjustments.

Requires the Office of State Budget and Management and Department of Health and Human Services to report on implementation measures to relevant legislative committees by October 1, 2013.