Medicaid spending for Medicine Services and Procedures increases 6% in Decatur in 2024

In 2024, Decatur Medicaid providers charged $9,939 for services grouped under the Medicine Services and Procedures category, according to the U.S. Department of Health and Human Services Medicaid Provider Spending database. This represented a 6% increase over 2023, when providers billed $9,376 for the same services.

Medicaid is a public health insurance program operated by the states with joint federal and state funding, covering low-income individuals, families, seniors, children, and those with disabilities. It remains one of the largest contributors to the U.S. health care system. More detail can be found here.

Since Medicaid is funded through taxpayers, fluctuations in local billing provide insight into how health care resources are distributed within a community.

The “Medicine Services and Procedures” grouping refers to a set of Medicaid-billed services defined by standardized HCPCS and CPT code ranges. In this analysis, each procedure code was classified under a single service grouping for consistency, supporting accurate comparisons and rankings across years while preventing any overlap.

Spending for Medicine Services and Procedures increased alongside other categories, with this category ranking fourth in total Medicaid payments in Decatur for 2024.

Statewide in Tennessee, Medicine Services and Procedures placed fifth among Medicaid payment categories in 2024.

Between 2019 and 2024, Medicaid spending on Medicine Services and Procedures in Decatur grew by $4,779, or 92.6%. The rate of growth picked up in select years, notably in 2023 and 2022 with strong annual increases.

Although spending within this category was distributed throughout the city, payments were heavily concentrated in a small number of ZIP codes. For 2024, ZIP code 37322 accounted for the entire $9,939 billed, representing 100% of Decatur payments tied to this service grouping that year.

Spending was especially focused within certain billing codes inside the Medicine Services and Procedures category.

For comparison, Medicaid payments in this category grew by 6% from 2023 to 2024, while all Medicaid claim categories in the city saw a 33.4% change during the same timeframe.

According to the Centers for Medicare & Medicaid Services, combined state and federal Medicaid expenditures were approximately $871.7 billion in fiscal year 2023, making up about 18% of all U.S. health spending. This was a significant increase from $613.5 billion in 2019, prior to the COVID-19 pandemic.

The shift represents almost 40% growth in a few years, fueled by expanded eligibility and higher service use during and after the COVID-19 period.

Recent federal budget laws under the Trump administration introduced proposals to sharply reduce federal Medicaid outlays and modify program funding. The “One Big Beautiful Bill Act,” signed in 2025, projects more than $1 trillion in federal Medicaid reductions over the next decade, adding measures such as work requirements and higher cost-sharing that could reduce participant coverage and funding. These moves are likely to shift increased financial responsibility to states and restrain growth in federal Medicaid assistance, even as the program continues to cover tens of 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.