Economic impact

Full practice authority aligns North Carolina’s healthcare framework with proven models in other states to improve access, expand workforce capacity and reduce structural inefficiencies.

The business case for modernization

Independent modeling by health economist Dr. Chris Conover projects that modernization could generate at least $934 million in annual healthcare savings in North Carolina, with upper-bound estimates reaching $6.4 billion. These projections reflect updated healthcare cost trends from 2023 to 2025 and are intentionally conservative.

As healthcare costs rise, the economic impact of modernization increases.

Modernization reduces structural inefficiencies in the healthcare delivery system. Savings are driven by:

• Reduced administrative supervision costs
• Increased provider supply easing access bottlenecks
• Expanded primary and preventive care capacity
• Reduced reliance on higher-cost emergency settings
• Greater delivery flexibility across rural and community settings

This represents savings driven by workforce supply economics — not reduced quality, reduced scope or reduced oversight. When workforce supply increases, access stabilizes. When access stabilizes, downstream costs decrease.

Modernizing practice authority is not only a healthcare policy decision — it is an economic competitiveness decision.

Who benefits
Economic impact extends across stakeholder groups:

• Taxpayers
  Lower projected Medicaid and State Health Plan expenditures
• Employers
  Reduced premium pressure and improved employee access
• Hospitals
  Greater staffing flexibility and recruitment competitiveness
• Communities
  More stable local care with fewer patients leaving for care

This is not a single-sector issue — it is a statewide economic stability issue.

Healthcare access is an economic issue
North Carolina has almost 700,000 newly insured residents following Medicaid expansion — without proportional provider expansion.

When access is delayed:

• Employers experience lost productivity
• Patients defer care until conditions worsen
• Emergency utilization increases
• Costs rise across the system

Expanding workforce flexibility improves economic efficiency without expanding infrastructure spending.

Modernization and competitiveness

Twenty-six states and the District of Columbia operate under full practice authority.

States that modernized have seen:

• Measurable workforce growth
• Rural provider expansion
• Increased healthcare entrepreneurship
• Greater deployment flexibility

Modernization aligns North Carolina’s regulatory framework with national standards — supporting business recruitment, rural sustainability and healthcare workforce competitiveness.