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On November 27, 2017, the North Carolina Department of Health and Human Services (DHHS) announced it had temporarily taken over operations of Cardinal Innovations Healthcare, the largest of the state’s seven local management entities/ managed care organizations (LME/MCOs) that function as quasi-governmental entities to manage public behavioral health services. DHHS assumed leadership at Cardinal Innovations Healthcare after a state audit follow-up alleged financial mismanagement by Cardinal’s leadership and Board of Directors regarding executive team compensation and severance payments. During the time that LME functions are temporarily removed from Cardinal’s direct control, DHHS will be . . .

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