Dearborn Medicaid providers reported $28,702,902 in billed services for the Alcohol and Drug Abuse Treatment category in 2024, data from the U.S. Department of Health and Human Services Medicaid Provider Spending database shows. This represents an increase of 6.1% compared with 2023, when providers billed $27,059,208 for these services.
Medicaid is a public insurance program operated by each state and funded by federal and state governments together. It provides health coverage for low-income residents, seniors, children, and those with disabilities, making it a core component of the U.S. health care system.
Because Medicaid is financed by taxpayer dollars, changes in local billing help reflect how public health funding is distributed within a particular area.
The “Alcohol and Drug Abuse Treatment” category covers services billed to Medicaid as identified by specific types of care and defined groupings of HCPCS and CPT codes. Each billing code was organized into a respective service group for analysis, using standardized code prefixes and ranges to avoid overlap and ensure accurate category rankings across time.
While Medicaid spending grew in several service areas, Alcohol and Drug Abuse Treatment ranked as Dearborn’s second-largest category by Medicaid payments in 2024.
At the state level, Alcohol and Drug Abuse Treatment was the leading Medicaid payment category in Michigan in 2024.
Looking at the five years preceding 2024, Dearborn Medicaid payments for Alcohol and Drug Abuse Treatment rose by $14,944,447, a 108.6% increase. Periods of rapid spending growth were particularly notable in 2021 and 2022.
Within Dearborn, payments for Alcohol and Drug Abuse Treatment care were unevenly distributed, with the largest sums coming from a select group of ZIP codes. In 2024, ZIP code 48120 billed $14,467,657; 48124, $11,835,008; and 48126, $2,400,235. These top 3 ZIP codes combined for 100% of Medicaid payments for this service type in the city that year.
A significant share of Medicaid payments within this care category was linked to just a few specific billing codes.
Comparing Medicaid payments in Dearborn from 2024 to 2023, the Alcohol and Drug Abuse Treatment category saw a 6.1% increase, while all Medicaid categories combined rose by 12.9% in the city during the same span.
Centers for Medicare & Medicaid Services data show that federal and state Medicaid spending totaled about $871.7 billion in fiscal year 2023, accounting for nearly 18% of all U.S. health expenditures. That figure was roughly $613.5 billion in 2019, ahead of the COVID-19 pandemic.
This increase amounts to approximately 40% growth in several years, driven mainly by increased Medicaid enrollment and higher service use during and after the pandemic.
Recent budget bills during the Trump administration included major proposals to decrease federal Medicaid funding and alter how the program is structured. For instance, the “One Big Beautiful Bill Act,” enacted in 2025, is expected to reduce federal Medicaid spending by over $1 trillion over the next 10 years, introducing measures such as work requirements and greater cost-sharing. These changes are projected to increase the financial burden on states and limit future federal Medicaid funding growth, even as the program continues to serve millions.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $13,758,455 | -27.4% |
| 2021 | $17,449,843 | 26.8% |
| 2022 | $21,905,340 | 25.5% |
| 2023 | $27,059,208 | 23.5% |
| 2024 | $28,702,901 | 6.1% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Evaluation and Management | $56,383,712 | 37.7% |
| 2 | Alcohol and Drug Abuse Treatment | $28,702,901 | 19.2% |
| 3 | Medicine Services and Procedures | $23,788,225 | 15.9% |
| 4 | National Codes Established for State Medicaid Agencies | $12,347,577 | 8.3% |
| 5 | Radiology Procedures | $7,836,935 | 5.2% |
| 6 | Pathology and Laboratory Procedures | $7,749,944 | 5.2% |
| 7 | Dental Services | $4,253,353 | 2.8% |
| 8 | Surgery | $3,938,473 | 2.6% |
| 9 | Procedures / Professional Services | $1,521,654 | 1% |
| 10 | Temporary National Codes (Non-Medicare) | $1,399,838 | 0.9% |
| 11 | Ambulance and Other Transport Services and Supplies | $956,130 | 0.6% |
| 12 | Orthotic Procedures and services | $141,731 | 0.1% |
| 13 | Administrative, Miscellaneous and Investigational | $113,117 | 0.1% |
| 14 | Durable Medical Equipment | $104,187 | 0.1% |
| 15 | Vision Services | $98,927 | 0.1% |
| 16 | Drugs Administered Other than Oral Method | $64,118 | <0.1% |
| 17 | Temporary Codes | $35,068 | <0.1% |
| 18 | Medical And Surgical Supplies | $13,556 | <0.1% |
| 19 | Coronavirus Diagnostic Panel | $5,956 | <0.1% |
| 20 | Pathology and Laboratory Services | $1,890 | <0.1% |
| 21 | Durable medical equipment (DME) Medicare administrative contractors (MACs) | $1,844 | <0.1% |
| 22 | Chemotherapy Drugs | $1,540 | <0.1% |
| 23 | Other Services | $0 | <0.1% |
| 23 | Outpatient PPS | $0 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H2015 | Comp comm supp svc, 15 min | $16,096,329 | 53 |
| H2014 | Skills train and dev, 15 min | $7,370,745 | 11 |
| H2023 | Supported employ, per 15 min | $2,450,787 | 23 |
| H0032 | Mh svc plan dev by non-md | $1,296,816 | 59 |
| H2030 | Mh clubhouse svc, per 15 min | $755,853 | 11 |
| H0031 | Mh health assess by non-md | $669,986 | 44 |
| H2000 | Comp multidisipln evaluation | $38,085 | 12 |
| H0046 | Mental health service, nos | $20,132 | 12 |
| H0038 | Self-help/peer svc per 15min | $4,165 | 10 |
| H0033 | Oral med adm direct observe | $0 | 6 |
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.
