Medicaid spending for Medicine Services and Procedures up 31.8% in Maywood for 2024

Data from the U.S. Department of Health and Human Services Medicaid Provider Spending database show that in 2024, Medicaid providers in Maywood billed $441,861 for Medicine Services and Procedures, a marked increase of 31.8% over the $335,305 billed in 2023 for the same service type.

Medicaid, which ranks among the largest U.S. health care programs, is a public insurance initiative operated by the states and funded by both federal and state sources. The program offers coverage to low-income families and individuals, children, seniors, and people with disabilities.

Since Medicaid is funded by taxpayers, shifts in local claims activity indicate how community health dollars are distributed in public health care.

The “Medicine Services and Procedures” category includes various Medicaid-billed services defined by the specific care delivered, as outlined by standardized HCPCS and CPT codes. For this review, analysts consistently assigned each billing code to a unique service category using set code prefixes and numerical groupings, ensuring accurate aggregations and comparisons while avoiding double counting.

While numerous categories saw increases in Medicaid expenditures, Medicine Services and Procedures ranked as the second-largest category by total Medicaid payments in Maywood for 2024.

Across New Jersey, the Medicine Services and Procedures category placed fourth among all Medicaid payment categories in 2024.

Medicaid payments in Maywood linked to Medicine Services and Procedures climbed by $98,979, or 18.3%, over the five years through 2024. Certain intervals saw pronounced spending jumps, with significant year-on-year increases recorded for 2020 and 2022.

Spending related to the Medicine Services and Procedures category occurred throughout Maywood but was concentrated in only a few ZIP codes. In 2024, the 07607 ZIP code accrued $441,861 in Medicaid payments under this category. Together, the top 1 ZIP code accounted for all Medicaid payments in the city for this service category that year.

Payments in the Medicine Services and Procedures group were further focused around a relatively small set of billing codes.

In comparison, the 31.8% increase in Medicaid payments for Medicine Services and Procedures in Maywood outpaced a 6.2% rise across all Medicaid claim types in the city for the same timeframe.

According to the Centers for Medicare & Medicaid Services, federal and state Medicaid expenditures combined to total about $871.7 billion in fiscal year 2023, which represented around 18% of all national health care expenditures, an increase from $613.5 billion in 2019 before the COVID-19 pandemic.

This reflects a roughly 40% expansion over just a few years, prompted mostly by growth in program enrollment and greater utilization during and following the pandemic.

Recent federal budget changes under the Trump administration feature substantial moves to lower federal Medicaid funding and overhaul its structure. The “One Big Beautiful Bill Act,” enacted in 2025, is expected to reduce federal Medicaid support by more than $1 trillion over a decade, introducing policies such as stricter work requirements and enhanced cost-sharing, which could limit coverage and reduce funding available to some Medicaid enrollees. These measures are anticipated to allocate more financial responsibility to states and may restrict the pace of federal Medicaid growth, even as millions continue relying on the program.

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.