In 2024, Medicaid payments in Palestine amounted to at least $97,392 for services billed under HCPCS codes directly linked to COVID-19, as detailed in the U.S. Department of Health and Human Services Medicaid Provider Spending database.
Medicaid is a joint federal-state public health insurance program administered by individual states and jointly financed by federal and state governments. It serves low-income residents, seniors, children, and those with disabilities, making it a major component of America’s health care landscape.
Because Medicaid is funded by taxpayers, fluctuations in local billing underscore how public dollars for health care are dispersed across communities.
This analysis defines COVID-19–specific services using HCPCS codes marked or identified as “COVID-19” or “coronavirus”-related in their billing listings, meaning only services clearly labeled related to COVID-19 are captured in the data; other pandemic-related health care billed under broader codes is not reflected here.
Across Texas, Houston posted the largest sum in Medicaid payments for COVID-19–related services in 2024, recording $5,684,946 in such claims.
In Palestine, five providers submitted Medicaid claims for COVID-19–related services during 2024, with COVID Specific making up $86,071 among the most frequently billed codes.
On average, each provider in Palestine received $19,478 from Medicaid for COVID-19–related claims, which is beneath the Texas average payment of $40,722 per provider.
COVID-19–specific billing contributed significantly to increases in Medicaid expenditures in Palestine throughout the pandemic years.
Total Medicaid payments for all other claims rose by $4,042,449 from 2020 through 2024, a jump of 428.6%.
The average annual value of Medicaid payments in the two years before the pandemic in Palestine was $407,382.
According to the Centers for Medicare & Medicaid Services, combined federal and state Medicaid expenditures reached about $871.7 billion in fiscal 2023, representing around 18% of total national health spending and showing a sharp increase from $613.5 billion in 2019, ahead of the COVID-19 pandemic.
This marks approximately 40% growth in just several years, driven mainly by expanded Medicaid enrollment and greater utilization during and after the pandemic period.
Recent federal budget measures enacted during the Trump administration include substantial proposals to reduce federal Medicaid funding and reorganize the program. The “One Big Beautiful Bill Act,” signed in 2025, is expected to reduce federal Medicaid expenditures by more than $1 trillion over the coming decade and establishes policies such as work requirements and higher out-of-pocket costs, which could diminish coverage and lower funding for certain participants. These policy shifts are likely to transfer additional financial responsibility to states and restrain further growth of Medicaid support from the federal level, even as the program continues providing for many millions of Americans.
| Year | COVID-19–Related Payments | COVID-19 Payments % Change (YoY) | Total Medicaid Payments |
|---|---|---|---|
| 2024 | $97,392 | -50% | $5,082,926 |
| 2023 | $194,630 | 61.9% | $6,745,856 |
| 2022 | $120,181 | 12.2% | $5,769,473 |
| 2021 | $107,085 | 768.2% | $4,692,492 |
| 2020 | $12,335 | N/A | $955,420 |
| 2019 | $0 | N/A | $449,151 |
| 2018 | $0 | N/A | $365,613 |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| 87635 | COVID Specific | $86,071 | 1,157 |
| 87811 | Immunoassay | $11,321 | 340 |
Note: Includes HCPCS codes explicitly labeled for COVID-19 services; totals do not represent all pandemic-related health care spending.
Information for this report is sourced from the U.S. Department of Health and Human Services Medicaid Provider Spending database. The source data is available here.

