Fargo Medicaid payments for medical and surgical supplies increase 5.2% in 2024

In 2024, Fargo Medicaid providers billed $795,030 for Medical And Surgical Supplies, as reported by the U.S. Department of Health and Human Services Medicaid Provider Spending database. This was an increase of 5.2% compared to 2023, when claims for the category reached $755,697.

Medicaid operates as a public health insurance initiative managed by states with financial contributions from both federal and state governments, according to the Commonwealth Fund. It provides coverage to low-income adults and families, seniors, children and people with disabilities, ranking among the largest health care programs nationwide.

Because Medicaid is funded by taxpayers, fluctuations in local billing volumes indicate how public funding for health care is distributed within a community.

The “Medical And Surgical Supplies” classification encompasses Medicaid-billed procedures grouped by care type and standardized HCPCS and CPT code ranges. For summary purposes, each billing code was assigned to one service group according to uniform prefixes and numeric ranges, ensuring service categorization accuracy, avoiding double-counting, and maintaining consistent rankings.

Despite overall Medicaid spending growth across multiple areas, Medical And Surgical Supplies placed ninth by total Medicaid payments in Fargo for 2024.

Statewide, this category ranked 12th in North Dakota for total Medicaid payments in 2024.

During the five-year span ending in 2024, Medicaid payments in Fargo related to Medical And Surgical Supplies rose by $421,799, or 113%. Some years saw more rapid spending growth, including noticeable increases in 2023 and 2022.

Though medical and surgical supply spending occurred citywide, payments were led by a few ZIP codes. In 2024, the ZIP codes 58103 and 58104 accounted for all Medicaid payments in this category within Fargo, billing $660,509 and $134,519, respectively.

A similar concentration appeared at the billing code level, where a small number of Medical And Surgical Supplies codes comprised most Medicaid payments.

To compare spending trends, Medicaid payments connected to the Medical And Surgical Supplies category in Fargo grew 5.2% from 2023 to 2024, whereas the city as a whole saw an 8.8% overall rise across all Medicaid claim categories within that period.

Centers for Medicare & Medicaid Services figures show that in fiscal year 2023, total federal and state Medicaid spending reached about $871.7 billion, or approximately 18% of U.S. overall health care expenditures, up from almost $613.5 billion in 2019 before the COVID-19 outbreak.

This increase equates to roughly 40% growth over several years and is attributed to wider enrollment and higher usage during and after the pandemic.

Recent federal budget measures passed under the Trump administration proposed major reductions in Medicaid funding and structural program changes. The “One Big Beautiful Bill Act,” enacted in 2025, projects federal Medicaid reductions of more than $1 trillion over 10 years, imposing rules such as work requirements and increased cost-sharing, which could cut benefits for some recipients and transfer more costs to states, while federal support growth for Medicaid would slow even as it continues to serve tens of millions.

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.