Medicaid payments for Surgery services in Fayetteville surged to $985 in 2024

In 2024, Medicaid providers in Fayetteville billed a total of $985 for services within the Surgery category, based on information from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This represented a 1196.1% jump from 2023, when claims for the same service type totaled $76.

Medicaid is a publicly funded health insurance program managed by the states with financial support from both federal and state governments. It serves low-income individuals and families, seniors, children, and people with disabilities, making it a cornerstone of the American health care system.

Since Medicaid payments are taxpayer-funded, local shifts in billing reflect how public health dollars are distributed in a community.

The “Surgery” category represents a set of Medicaid-billed services that are grouped by the nature of medical care provided, using standardized HCPCS and CPT code classifications. For this review, each code was matched to one service category using consistent prefixes and numbers, which ensured related services were analyzed together without duplication, preserving trends over time.

Though Medicaid spending rose in multiple service lines, Surgery ranked as the fourth-largest category by total Medicaid payments in Fayetteville for 2024.

The Surgery category placed 16th by total payments at the state level in Pennsylvania during 2024.

Over the five-year span prior to 2024, Medicaid spending for Surgery services in Fayetteville rose by $240, or 32.2%. Certain intervals showed larger year-over-year gains, especially in 2021 and 2022.

Surgery-related spending was distributed throughout Fayetteville, though the majority was concentrated in just a few ZIP codes. For 2024, ZIP code 17222 received $985 in Medicaid payments for Surgery services. This ZIP code accounted for all Surgery-related Medicaid payments reported in Fayetteville that year.

Within the Surgery category, payments were focused on a small subset of billing codes.

To compare, Medicaid payments for Surgery services in Fayetteville jumped 1196.1% from 2023 to 2024, compared with a 152.8% rise across all Medicaid categories in the city for the same period.

According to the Centers for Medicare & Medicaid Services, combined federal and state Medicaid expenditures hit approximately $871.7 billion in fiscal 2023, making up about 18% of national health spending—a significant increase from $613.5 billion in 2019 before the COVID-19 pandemic.

The sharp increase amounts to growth of nearly 40% over several years, influenced by broader enrollment and greater utilization during and after the pandemic.

In recent years, federal budget measures under the Trump administration have introduced notable proposals to curtail federal Medicaid funding and reorganize program structures. The “One Big Beautiful Bill Act,” enacted in 2025, is expected to reduce federal Medicaid spending by more than $1 trillion over the next decade, introducing policies such as work requirements and higher cost-sharing. These changes could decrease coverage and funding for some recipients, shifting more financial responsibility to states and constraining federal support while Medicaid continues serving tens of millions of people.

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.