NC Medicaid Probes Autism Provider Compleat Kidz Following Report of Billing, Safety Issues
North Carolina Medicaid has opened an investigation into Compleat Kidz, one of the state's largest autism therapy chains, following a May 23 report from The New York Times. The report, based on interviews with former employees, alleged the company billed for services while children napped, prescribed therapy hours beyond clinical need, and was the subject of 12 police reports for child abuse at its facilities since 2023.
According to the source material, the investigation could lead to suspended payments or the company's removal from the Medicaid program. Compleat Kidz has collected approximately $130 million from North Carolina Medicaid since 2019, and more than 80% of its patients are covered by the program. In 2025, the company billed Medicaid $51.1 million for applied behavior analysis (ABA) services.
The probe comes as North Carolina implements new rules under its 2026 Medicaid budget that increase oversight of ABA therapy. The new regulations require state or health plan pre-approval for any therapy plan exceeding 16 hours per week, with re-approval needed monthly. The budget also tightens telehealth rules and establishes a penalty structure for noncompliance, including payment recoupment and potential multi-year billing suspensions.