Las Cruces Medicaid spending on Medicine Services and Procedures hits $46,880,853 in 2024

Las Cruces Medicaid providers billed $46,880,853 during 2024 for services classified under the Medicine Services and Procedures category, data from the U.S. Department of Health and Human Services Medicaid Provider Spending database show. This amount reflects an 8.1% rise compared with 2023, when billed claims for the same service category totaled $43,385,634.

Medicaid, a public insurance initiative overseen by states and funded by both federal and state governments, covers a range of individuals—including low-income families, seniors, children and people with disabilities. The program accounts for a significant share of overall U.S. health care spending.

Shifts in local Medicaid billing illustrate how taxpayer-funded health care resources are distributed within a community.

The Medicine Services and Procedures category includes a range of Medicaid-billed services defined by the type of care, organized using standardized HCPCS and CPT code groupings. In this data analysis, each code was mapped to a single service category through code prefix and numeric range, supporting proper tracking of related services over time while preventing double counting.

Though spending increased in several categories in 2024, Medicine Services and Procedures held the third-highest position among Medicaid payments by category in Las Cruces.

Statewide, Medicine Services and Procedures was the top Medicaid payment category in New Mexico in 2024.

Between 2019 and 2024, Medicaid payments related to Medicine Services and Procedures in Las Cruces rose by $4,782,291, marking an 11.4% increase. Notable year-over-year growth occurred in 2023 and 2022, accelerating the upward trend.

While payments for Medicine Services and Procedures were distributed citywide, the funds were mainly concentrated within select ZIP codes. In 2024, the ZIPs with the highest Medicaid payments for this category were 88011 at $16,927,152, 88001 with $15,152,796, and 88005 at $13,761,081. Combined, these 3 ZIPs made up 97.8% of Las Cruces Medicaid spending for Medicine Services and Procedures in 2024.

Within the broader Medicine Services and Procedures group, a small set of billing codes accounted for the bulk of Medicaid expenditures.

From 2023 to 2024, Medicaid payments in Las Cruces for Medicine Services and Procedures increased by 8.1%, compared to a 9.3% growth rate for all Medicaid claim categories over the same span.

According to the Centers for Medicare & Medicaid Services, combined state and federal Medicaid spending reached approximately $871.7 billion in fiscal year 2023, making up about 18% of national health expenditures. This figure rose sharply from $613.5 billion in 2019, ahead of the COVID-19 pandemic.

This rise amounts to growth of about 40% within just several years, primarily attributed to expanded enrollment and greater service utilization before, during and after the pandemic.

Recent federal budget legislation from the Trump administration contains significant proposals to reduce federal Medicaid funding and alter the structure of the program. Legislation such as the “One Big Beautiful Bill Act,” passed in 2025, is forecast to cut over $1 trillion from federal Medicaid funding across the next decade while implementing work requirements and greater cost-sharing, which could cut coverage and funding for certain beneficiaries. These shifts are likely to transfer additional costs to states, restricting the pace of federal Medicaid funding growth as the program continues to provide for 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.