In 2024, Medicaid providers in Lynn billed $3,652,726 for services within the Alcohol and Drug Abuse Treatment category, based on figures from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This represents a 10.6% rise from 2023, when claims for the same service category totaled $3,302,740.
Medicaid is a state-administered public health insurance program jointly funded by both federal and state governments together. The program supports low-income families, seniors, children, and people with disabilities, making it one of the largest components of the U.S. health system.
Since Medicaid payments are derived from taxpayer funds, local billing trends demonstrate how public health care financing is used in the community.
The “Alcohol and Drug Abuse Treatment” service grouping covers a defined set of Medicaid services, classified by care type according to standardized HCPCS and CPT codes. Each billing code in this analysis was assigned to a unique service category using uniform code prefixes and ranges, which grouped related services for tracking and ranking while avoiding overlap or duplicate counts over time.
Medicaid spending increased in several service categories, with Alcohol and Drug Abuse Treatment ranking fourth in Lynn for total Medicaid funding in 2024.
Statewide in Massachusetts, Alcohol and Drug Abuse Treatment placed third by overall Medicaid payments in 2024.
Over the five-year period ending in 2024, Medicaid spending on Alcohol and Drug Abuse Treatment in Lynn grew by $2,645,637, or 42%. There were spikes in spending, particularly in 2023 and 2022, showing accelerated year-over-year growth.
Although services in this category were provided citywide, the majority of Medicaid payments in 2024 came from a few ZIP codes. ZIP code 01902 accounted for $3,611,942 and 01901 totaled $40,783, making up 100% of Alcohol and Drug Abuse Treatment category Medicaid payments in Lynn that year.
Payments within the Alcohol and Drug Abuse Treatment category were also focused on a select group of billing codes.
Comparing categories, Medicaid outlays for Alcohol and Drug Abuse Treatment in Lynn rose 10.6% from 2023 to 2024, while total Medicaid claims in the city grew by 10.7% across all categories in the same timeframe.
According to the Centers for Medicare & Medicaid Services, combined state and federal Medicaid expenditures were approximately $871.7 billion for fiscal year 2023—about 18% of total U.S. health spending—up from $613.5 billion in 2019, before the COVID-19 pandemic.
This increase reflects roughly 40% growth over several years, mainly due to higher enrollment and greater service usage during and following the pandemic.
The Trump administration advanced federal budget legislation introducing key proposals to lower federal Medicaid spending and alter the structure of the program. The “One Big Beautiful Bill Act,” signed in 2025, is anticipated to reduce federal Medicaid funding by over $1 trillion during the next decade and establishes measures such as work requirements and increased cost-sharing, potentially affecting coverage and funding for some recipients. This shift is projected to move expenses to states and slow federal Medicaid funding growth while the program continues serving millions nationwide.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $6,298,362 | -31.6% |
| 2021 | $3,698,220 | -41.3% |
| 2022 | $3,672,140 | -0.7% |
| 2023 | $3,302,739 | -10.1% |
| 2024 | $3,652,726 | 10.6% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Temporary National Codes (Non-Medicare) | $30,771,665 | 45.2% |
| 2 | National Codes Established for State Medicaid Agencies | $21,898,977 | 32.2% |
| 3 | Procedures / Professional Services | $4,722,533 | 6.9% |
| 4 | Alcohol and Drug Abuse Treatment | $3,652,726 | 5.4% |
| 5 | Dental Services | $2,152,312 | 3.2% |
| 6 | Medicine Services and Procedures | $1,747,240 | 2.6% |
| 7 | Evaluation and Management | $1,620,089 | 2.4% |
| 8 | Surgery | $954,674 | 1.4% |
| 9 | Pathology and Laboratory Procedures | $358,970 | 0.5% |
| 10 | Ambulance and Other Transport Services and Supplies | $167,179 | 0.2% |
| 11 | Drugs Administered Other than Oral Method | $43,378 | 0.1% |
| 12 | Administrative, Miscellaneous and Investigational | $4,470 | <0.1% |
| 13 | Enteral and Parenteral Therapy | $2,301 | <0.1% |
| 14 | Radiology Procedures | $427 | <0.1% |
| 15 | Vision Services | $364 | <0.1% |
| 16 | Medical And Surgical Supplies | $199 | <0.1% |
| 17 | Temporary Codes | $0 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H2015 | Comp comm supp svc, 15 min | $3,611,942 | 12 |
| H0015 | Alcohol and/or drug services | $40,040 | 3 |
| H0046 | Mental health service, nos | $743 | 2 |
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.
