Virginia sees $510 million in Medicaid payments for Temporary National Codes (Non-Medicare) in 2024

In 2024, Medicaid payments for services grouped under the Temporary National Codes (Non-Medicare) category totaled $510,021,586 across Virginia, according to the U.S. Department of Health and Human Services Medicaid Provider Spending database. This represented a 55.3% rise over 2023, when claims for these services totaled $328,368,992.

Medicaid is a state-run, public insurance program funded collaboratively by federal and state governments. It assists low-income individuals and families, older adults, children, and people with disabilities, making it one of the nation’s most significant health coverage programs.

Since Medicaid funds are sourced from taxpayers, shifts in local billing reveal how public health care resources are used in each community.

The “Temporary National Codes (Non-Medicare)” category refers to groups of Medicaid-billed services, identified by standardized HCPCS and CPT code sets. In this analysis, each billing code was grouped into one service category by matching code prefixes and ranges, which allowed related services to be reviewed together, ensured accurate annual rankings, and avoided double counting.

Some categories may include several related services. When this occurs, the group combines common, commonly-billed Medicaid care, such as office visits, diagnostic work, and therapy procedures.

Looking over the five years before 2024, Medicaid payments attributed to the Temporary National Codes (Non-Medicare) category grew by $387,594,013, or 316.6%. The rate of growth picked up during certain periods, with significant increases seen year over year in 2021 and 2022.

While these Medicaid payments were distributed throughout Virginia, particular ZIP codes saw higher concentrations. In 2024, ZIP Code 23707 led with $120,473,483 (23.6% of the total), followed by ZIP Code 23009 with $38,512,516 (7.6%), and ZIP Code 24333 with $23,532,622 (4.6%).

Together, these top three ZIP codes represented 35.8% of Virginia’s Medicaid payments for Temporary National Codes (Non-Medicare) services during the year.

In contrast, Medicaid spending for all service categories across the state increased by 3.6% from 2023 to 2024.

Even as Medicaid spending rose across various service groups, the Temporary National Codes (Non-Medicare) category ranked in the state’s five largest categories by payment total in 2024.

The Centers for Medicare & Medicaid Services reports that nationwide federal and state Medicaid spending reached about $871.7 billion in fiscal year 2023. This accounted for close to 18% of all U.S. health spending and was a notable jump from $613.5 billion in 2019, before the COVID-19 pandemic.

This increase—around 40% over a few years—was largely propelled by rising enrollment and greater use of services during and after the pandemic.

Recent federal budget bills during the Trump administration have featured major proposals to decrease federal Medicaid contributions and change the structure of the program. The “One Big Beautiful Bill Act,” passed in 2025, is set to cut over $1 trillion from federal Medicaid funding over the next decade. The law introduces new policies, including work requirements and increased cost-sharing, which could reduce benefits and federal aid for some enrollees. These adjustments are anticipated to increase the fiscal responsibility on states and slow federal support, despite the program’s continuing role serving millions of Americans.