Payson Medicaid spending on Medicine Services and Procedures increases to $4,495 in 2024

According to data from the U.S. Department of Health and Human Services Medicaid Provider Spending database, Medicaid providers in Payson billed $4,495 for services under the Medicine Services and Procedures category in 2024. This represented a 16.6% increase over 2023, when providers submitted $3,856 in claims for the same services.

Medicaid, a public health insurance program managed by states with joint federal and state funding, covers low-income individuals and families, seniors, children, and people with disabilities, making it one of the core components of the U.S. health care system. Additional details are available through the Commonwealth Fund.

Since Medicaid payments rely on taxpayer funding, fluctuations in local billing reflect how public health care resources are distributed within a community.

The “Medicine Services and Procedures” category includes a standardized group of Medicaid-billed services, defined by HCPCS and CPT code groupings. For this analysis, each billing code was categorized into a single service group based on code prefixes and numeric ranges to ensure related services were summarized together, to avoid double counting, and to produce accurate rankings year by year.

While Medicaid spending increased across different service categories, Medicine Services and Procedures ranked as Payson’s top category for total Medicaid payments in 2024.

Across Illinois, Medicine Services and Procedures placed fifth statewide by total Medicaid payments in 2024.

Medicaid payments for the Medicine Services and Procedures category in Payson climbed by $2,122, or 89.4%, over the five years leading to 2024. The pace of this increase was especially pronounced during 2021 and 2023, as noted by sharp year-over-year jumps.

Payments for Medicine Services and Procedures were distributed citywide, but most dollars were concentrated in a small set of ZIP codes. In 2024, ZIP code 62360 accounted for $4,495, making up 100% of Payson’s Medicaid payments for this category.

Within Medicine Services and Procedures, a limited set of billing codes accounted for much of the Medicaid payments.

Comparatively, Medicaid payments for the Medicine Services and Procedures category in Payson increased 16.6% from 2023 to 2024, a rate that matched the 16.6% change seen across all Medicaid claim categories during that time in the city.

According to the Centers for Medicare & Medicaid Services, total federal and state Medicaid expenditures reached about $871.7 billion in fiscal year 2023, which was approximately 18% of overall national health care spending. This is a significant rise from roughly $613.5 billion in 2019, before the onset of the COVID-19 pandemic.

This growth of about 40% in just a few years has been attributed mainly to expanded enrollment and greater utilization during and after the pandemic period.

Federal budget measures under the Trump administration have contained key proposals to lower federal Medicaid funding and adjust the structure of the program. For instance, the “One Big Beautiful Bill Act,” enacted in 2025, aims to reduce federal Medicaid spending by more than $1 trillion over the next decade. The law introduces new requirements, such as work standards and increased cost-sharing, which could restrict coverage and funding for some beneficiaries. These changes are expected to shift additional financial burdens to states and may slow the growth of federal support, though the program continues to serve tens of millions of Americans.

Note: HCPCS codes are shown for context within the category. Category totals and rankings in this article are based on standardized service groupings rather than individual billing codes.

Information in this article was obtained from the U.S. Department of Health and Human Services Medicaid Provider Spending database. The source data can be found here.