Medicaid providers in Tallassee billed $401,464 in 2024 for services under the National Codes Established for State Medicaid Agencies category, as reported by the U.S. Department of Health and Human Services Medicaid Provider Spending database. This figure represents a 9.7% increase over 2023, when providers billed $365,977 for the same service category.
Medicaid is a public health insurance program administered by states with joint federal and state funding, covering low-income people, families, seniors, children, and those with disabilities. It is one of the largest segments of the U.S. health care system.
Since taxpayer funds are used for Medicaid payments, shifts in local billing reflect trends in how public dollars are spent on health care in a community.
The “National Codes Established for State Medicaid Agencies” classification includes a set of Medicaid-billed services defined by care type, according to standardized HCPCS and CPT code groupings. Each billing code was categorized by unique prefixes and numerical ranges for this analysis, allowing a focused review of related services, avoiding duplicate counts, and maintaining accurate rankings.
Although Medicaid spending rose in several service classes, National Codes Established for State Medicaid Agencies had the highest total Medicaid payment amount in Tallassee in 2024.
Statewide in Alabama, the National Codes Established for State Medicaid Agencies segment was also ranked first for total Medicaid payments in 2024.
Over the five years through 2024, Tallassee saw Medicaid payments linked to the National Codes Established for State Medicaid Agencies category rise by $322,336, or 407.4%. Significant year-to-year increases appeared in both 2023 and 2020 as spending accelerated at different points within the period.
While these payments were distributed throughout the city, spending was focused within a small number of ZIP codes. In 2024, ZIP code 36078 accounted for $401,463 in Medicaid payments under this category. The top ZIP code represented 100% of all National Codes Established for State Medicaid Agencies Medicaid payments recorded in Tallassee that year.
Within the National Codes Established for State Medicaid Agencies category, Medicaid spending was clustered among a handful of specific billing codes.
Medicaid payments tied to this category in Tallassee rose 9.7% between 2024 and 2023, while across all Medicaid claim types in the city, there was a 25.4% increase for the same period.
According to the Centers for Medicare & Medicaid Services, total federal and state Medicaid spending reached approximately $871.7 billion in fiscal year 2023, making up about 18% of all national health expenditures. This was a sharp rise from roughly $613.5 billion in 2019, before the COVID-19 pandemic.
This surge equals a roughly 40% increase over several years, driven mainly by rising enrollment and increased usage during and after the pandemic.
Recent federal budget laws under the Trump administration have proposed major cuts to federal Medicaid funding and program restructuring. For instance, the “One Big Beautiful Bill Act,” passed in 2025, is forecast to reduce federal Medicaid outlays by more than $1 trillion over the next decade, with additional measures like work requirements and higher cost-sharing that may limit benefits and funding for some recipients. These steps are set to shift greater financial responsibility to states and constrain the growth of federal Medicaid contributions, while the program continues to cover tens of millions across the U.S.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $79,127 | 101.7% |
| 2021 | $141,926 | 79.4% |
| 2022 | $87,946 | -38% |
| 2023 | $365,976 | 316.1% |
| 2024 | $401,463 | 9.7% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | National Codes Established for State Medicaid Agencies | $401,463 | 58.9% |
| 2 | Evaluation and Management | $252,758 | 37.1% |
| 3 | Pathology and Laboratory Procedures | $17,236 | 2.5% |
| 4 | Medicine Services and Procedures | $9,373 | 1.4% |
| 5 | Dental Services | $1,149 | 0.2% |
| 6 | Surgery | $17 | <0.1% |
| 7 | Drugs Administered Other than Oral Method | $5 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| T1015 | Clinic service | $401,463 | 35 |
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.
