Payson Medicaid spending on National Codes Established for State Medicaid Agencies hits $2,343,912 in 2024

In 2024, Medicaid providers in Payson billed $2,343,912 for services under the National Codes Established for State Medicaid Agencies category, based on data from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This amount represents a 54.3% increase from 2023, when claims for the same service type totaled $1,519,368.

Medicaid is a state-run public health insurance program funded jointly by state and federal governments. The program provides coverage for low-income families and individuals, seniors, children, and people with disabilities, making it a major part of the U.S. health care system.

Because Medicaid is funded by taxpayers, shifts in local billing amounts reflect how health care dollars are distributed within the community.

The “National Codes Established for State Medicaid Agencies” category denotes a group of Medicaid-billed services classified by the nature of care, using HCPCS and CPT code groupings. In this analysis, each billing code was categorized under one service type using defined code prefixes and numeric ranges, which allowed related services to be grouped while preventing duplicate counts and maintaining accurate year-over-year rankings.

Medicaid spending climbed in several service categories, but National Codes Established for State Medicaid Agencies led all categories in Payson for total Medicaid payments in 2024.

Statewide, this category also ranked first in Arizona by Medicaid payments in 2024.

From five years before 2024, Medicaid payments linked to the National Codes Established for State Medicaid Agencies category in Payson grew by $1,445,756, or 161%. Growth accelerated at certain times, with the largest year-over-year increases seen in 2022 and 2021.

Although care spending within this category was distributed across the city, payments were heavily centered in a few ZIP codes. In 2024, the ZIP code with the highest Medicaid payment total in this category was 85541, accounting for $2,343,912. The top ZIP code represented 100% of all Medicaid payments in Payson for this service group during the year.

Within this service category, a small set of individual billing codes accounted for most Medicaid payments.

Looking at year-over-year changes, Medicaid payments for the National Codes Established for State Medicaid Agencies category in Payson rose by 54.3% between 2024 and 2023, while all other Medicaid claim categories in the city saw a combined 1.8% change for the same period.

According to the Centers for Medicare & Medicaid Services, federal and state Medicaid expenditures reached about $871.7 billion in fiscal 2023, representing approximately 18% of total U.S. health care expenses, up from $613.5 billion in 2019, which was before the COVID-19 pandemic.

This growth amounts to a roughly 40% increase in a few years, mainly due to higher enrollment and increased utilization related to the pandemic period.

Recent federal budget actions under the Trump administration have featured plans to scale back federal Medicaid funds and change the program’s structure. The “One Big Beautiful Bill Act,” signed in 2025, is expected to reduce federal Medicaid spending by over $1 trillion in the coming decade and introduces measures like work requirements and increased cost-sharing, which could limit benefits and funding for some recipients. These provisions are anticipated to shift more expenses to states and restrict future federal funding growth as Medicaid continues to serve 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.