Fayetteville Medicaid providers bill $290,050 for medicine services and procedures in 2024

Fayetteville’s Medicaid providers billed a total of $290,050 for Medicine Services and Procedures in 2024, according to data from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This figure shows a 27.1% rise compared to 2023, when $228,211 in claims were submitted in the same category.

Medicaid is a public health insurance initiative managed by individual states and funded by both federal and state governments. It covers individuals and families with lower incomes, in addition to seniors, children, and people with disabilities, and remains a major component of the U.S. health care system.

Since Medicaid is funded by taxpayers, shifts in local billing amounts highlight how public health care finances are utilized within a community.

The “Medicine Services and Procedures” category includes a range of Medicaid-billed services identified by their care type, based on standardized HCPCS and CPT code groupings. For consistency, each billing code was grouped into a single service category using aligned code prefixes and number ranges. This approach allows related services to be grouped accurately, avoiding double counting and ensuring valid year-over-year ranking comparisons.

Medicaid outlays increased across various categories, but in Fayetteville, Medicine Services and Procedures came in as the second-highest by 2024 total payments.

At the state level, Tennessee ranked Medicine Services and Procedures fifth among all Medicaid payment categories in 2024.

During the five years before 2024, Medicaid payments in Fayetteville for this category grew by $246,125, which equates to 560.3%. Certain periods, such as 2021 and 2023, saw particularly strong increases over prior years.

Though spending for Medicine Services and Procedures was dispersed throughout Fayetteville, most payments were concentrated in a small number of ZIP codes. In 2024, ZIP code 37334 accounted for $290,050 in Medicaid payments, representing all claims in this category for the city that year.

A limited range of billing codes accounted for the bulk of Medicaid payments within the Medicine Services and Procedures category.

Between 2024 and 2023, Medicaid payments in Fayetteville for Medicine Services and Procedures rose by 27.1%, while overall Medicaid claims across all categories in the city reflected a 9.9% change for the same timeframe.

According to the Centers for Medicare & Medicaid Services, total national Medicaid spending, combining federal and state contributions, reached roughly $871.7 billion in fiscal year 2023, accounting for about 18% of national health expenditures. This marked a sharp increase from approximately $613.5 billion in 2019, prior to the COVID-19 pandemic.

This growth signals an increase of about 40% over just a few years, driven in large part by expanded enrollment and greater utilization throughout and following the pandemic period.

Federal budget laws passed during the Trump administration have introduced major proposals for reducing federal Medicaid support as well as restructuring the program. For instance, the “One Big Beautiful Bill Act,” signed into law in 2025, is anticipated to reduce federal Medicaid spending by over $1 trillion in the next decade and establishes policies such as work requirements and higher cost-sharing. These provisions could limit funding and coverage for some beneficiaries and are expected to increase state responsibility for Medicaid-related costs even as the program continues to serve millions nationwide.

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.