Medicaid payments tied to state-established national codes jump 149.5% in Richmond in 2024

In 2024, Medicaid providers in Richmond billed $1,884,351 for services classified under the National Codes Established for State Medicaid Agencies category, based on figures from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This figure represented an increase of 149.5% over 2023, when providers billed $755,354 for these services.

Medicaid, a state-administered public health insurance program funded jointly by federal and state governments, covers low-income individuals, families, seniors, children, and people with disabilities. It is one of the most significant components of the U.S. health care system.

Since Medicaid payments rely on taxpayer funding, shifts in local billing levels highlight how public dollars for health care are used by the community.

The “National Codes Established for State Medicaid Agencies” classification includes a set of Medicaid-billed services defined by the nature of the care provided and based on standardized HCPCS and CPT code groupings. For this analysis, each billing code was assigned to one service category through consistent code prefixes and numeric designation, ensuring related services could be examined collectively without double counting and maintaining accurate rankings over time.

While Medicaid spending increased among various service classes, the National Codes Established for State Medicaid Agencies category placed first in Richmond in total Medicaid payments for 2024.

Statewide in New York, National Codes Established for State Medicaid Agencies was also the top category by payment total in 2024.

During the five years prior to 2024, Medicaid payments associated with the National Codes Established for State Medicaid Agencies category in Richmond rose by $1,884,351, or 0%. Some periods saw a higher growth rate, with notable annual jumps in 2023 and 2022.

Spending on services in the National Codes Established for State Medicaid Agencies category, although found throughout the city, was most pronounced in just a handful of ZIP codes. In 2024, Medicaid payments were highest in ZIP code 11419, which accounted for $1,884,350. The leading ZIP code made up 100% of Medicaid payments for this service category in Richmond during the year.

Within this service group, Medicaid spending was largely concentrated among a small number of specific codes.

For additional context, Medicaid payments connected to the National Codes Established for State Medicaid Agencies category in Richmond increased by 149.5% from 2023 to 2024—the same percentage change observed across all Medicaid billing categories in the area during this period.

Data from the Centers for Medicare & Medicaid Services shows combined federal and state Medicaid spending reached about $871.7 billion for fiscal year 2023. That represented roughly 18% of overall national health expenditures and was a significant increase from approximately $613.5 billion in 2019, the year prior to the COVID-19 pandemic.

This change marks about 40% growth over just a few years, much of it attributed to increased enrollment and higher usage surrounding the pandemic.

Recent federal budget actions under the Trump administration have put forward major changes aimed at reducing federal Medicaid funding. The “One Big Beautiful Bill Act,”, which became law in 2025, is expected to cut federal Medicaid expenditures by more than $1 trillion over 10 years and introduces requirements such as work mandates and higher cost-sharing—policy changes that could reduce both coverage and funding for certain beneficiaries. These reforms are forecast to shift more financial responsibility to states and curb growth in federal support, even as Medicaid remains a critical program for 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 for this article is sourced from the U.S. Department of Health and Human Services Medicaid Provider Spending database. The underlying data is available here.