South Gate Medicaid payments for national codes reach $39.3 million in 2024

Medicaid providers in South Gate reported $39,257,583 in billing for services under the National Codes Established for State Medicaid Agencies category during 2024, data from the U.S. Department of Health and Human Services Medicaid Provider Spending database shows. That total is a 45.8% uptick from 2023, when $26,930,439 was paid to providers for the same services.

Medicaid is a state-administered public health insurance program funded in partnership by federal and state governments. It provides coverage to low-income people and families, children, seniors, and those with disabilities, making up a substantial portion of the national health care system.

Since Medicaid payouts are sourced from public funds, shifts in local billing reflect changes in how community health care resources are allocated.

The “National Codes Established for State Medicaid Agencies” grouping encompasses Medicaid services classified by standardized HCPCS and CPT code prefixes and ranges, allowing analysis of related services while avoiding overlap and ensuring reliable rankings year to year.

Although Medicaid increased disbursements in several categories, the National Codes Established for State Medicaid Agencies brought in the largest total Medicaid payments in South Gate for 2024.

This category also ranked first across California in terms of total Medicaid payments for 2024.

Over the five-year stretch prior to 2024, South Gate saw Medicaid payments for this category go up by $25,085,487, or 177%. Periods like 2023 and 2020 recorded significant year-over-year jumps.

Although payments extended across multiple ZIP codes, in 2024, Medicaid disbursements for this category were heavily concentrated, with ZIP code 90280 accounting for the entire $39,257,583 total. The top ZIP code made up 100% of Medicaid payments in this category within the city for the year.

Payments within this service category were also gravitated toward a select group of billing codes.

Compared with the 45.8% amount by which Medicaid payments increased in South Gate for the National Codes Established for State Medicaid Agencies category between 2024 and 2023, all Medicaid claim categories in the city together saw a 33.1% change in the same period.

According to the Centers for Medicare & Medicaid Services, federal and state Medicaid spending was about $871.7 billion in fiscal year 2023, equal to roughly 18% of total U.S. health expenditures and representing an increase from roughly $613.5 billion in 2019, prior to the COVID-19 pandemic.

This rise indicates about 40% growth over several years, primarily attributed to broader enrollment and greater use of services during and following the pandemic.

Recent budget measures under the Trump administration featured significant plans to cut federal Medicaid funding and revise the program’s operation. The “One Big Beautiful Bill Act,” enacted in 2025, is expected to curtail over $1 trillion in federal Medicaid funding across a decade and introduces new provisions such as work requirements and increased cost-sharing, which may limit funding and coverage for certain beneficiaries. These changes are likely to transfer more burden to state governments and could slow federal expenditures even as Medicaid continues covering 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 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.