Data from the U.S. Department of Health and Human Services Medicaid Provider Spending database shows that Medicaid providers in Orange billed $15,527,715 for Alcohol and Drug Abuse Treatment services in 2024. This amount reflects a 143.5% rise from 2023, when billings for the same service totaled $6,377,567.
As a state-run public health program funded jointly by federal and state sources, Medicaid serves a broad population, including low-income adults, families, children, seniors, and those with disabilities, making it a significant segment of the U.S. health system.
Changes in local billing patterns for Medicaid, which is supported by taxpayers, reveal how public health care resources are distributed at the community level.
The “Alcohol and Drug Abuse Treatment” category represents services grouped by type of care and tracked using standardized HCPCS and CPT codes. This report assigned each billing code to a single service grouping to ensure related services were reviewed together, avoiding duplicate counts and maintaining reliable rankings over time.
Alcohol and Drug Abuse Treatment ranked fourth in Orange by Medicaid payment totals in 2024, with similar placement among service categories statewide.
Across California, Alcohol and Drug Abuse Treatment also held the fourth spot for Medicaid payments in 2024.
From 2019 to 2024, Medicaid-related payments for Alcohol and Drug Abuse Treatment in Orange grew by $8,397,166, or 117.8%. Spending growth accelerated during some periods, showing significant annual increases especially in 2023 and 2020.
Most Medicaid spending on Alcohol and Drug Abuse Treatment in Orange was concentrated in a few ZIP codes. In 2024, ZIP code 92868 led with $12,787,396, followed by 92865 at $2,414,033 and 92867 with $298,512. Collectively, these 3 ZIP codes represented 99.8% of the year’s total Medicaid payments for this treatment category in Orange.
Payments within this category were also grouped among a limited number of individual billing codes.
Comparing the 143.5% increase in Orange’s Alcohol and Drug Abuse Treatment Medicaid payments between 2024 and 2023 reveals a much sharper rise than the 11% change seen across all service categories citywide for the same period.
As reported by the Centers for Medicare & Medicaid Services, federal and state Medicaid expenditures reached about $871.7 billion for fiscal year 2023, representing around 18% of all U.S. health expenditures. This marks a sharp rise from roughly $613.5 billion in 2019, before the COVID-19 pandemic.
This increase represents around 40% growth over several years, driven in large part by enrollment expansions and higher usage during and after the pandemic period.
Recent federal budget legislation during the Trump administration brought major proposals to reduce federal Medicaid outlays and overhaul the program. For instance, the “One Big Beautiful Bill Act,” enacted in 2025, is expected to reduce federal Medicaid funding by more than $1 trillion over 10 years, introducing measures like work requirements and higher cost-sharing that may reduce access and support for specific beneficiaries. These changes anticipate greater costs at the state level and a slowing of federal Medicaid growth, even as tens of millions of people continue to rely on the program.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $7,130,549 | 27.5% |
| 2021 | $8,117,032 | 13.8% |
| 2022 | $2,715,384 | -66.5% |
| 2023 | $6,377,567 | 134.9% |
| 2024 | $15,527,715 | 143.5% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Evaluation and Management | $39,988,924 | 18.8% |
| 2 | Ambulance and Other Transport Services and Supplies | $26,423,727 | 12.4% |
| 3 | Medicine Services and Procedures | $20,562,188 | 9.6% |
| 4 | Alcohol and Drug Abuse Treatment | $15,527,715 | 7.3% |
| 5 | Anesthesia | $14,739,594 | 6.9% |
| 6 | Temporary National Codes (Non-Medicare) | $14,638,504 | 6.9% |
| 7 | Procedures / Professional Services | $14,539,844 | 6.8% |
| 8 | Radiology Procedures | $14,329,164 | 6.7% |
| 9 | Pathology and Laboratory Procedures | $13,609,715 | 6.4% |
| 10 | National Codes Established for State Medicaid Agencies | $13,405,361 | 6.3% |
| 11 | Drugs Administered Other than Oral Method | $12,069,440 | 5.7% |
| 12 | Surgery | $4,259,733 | 2% |
| 13 | Chemotherapy Drugs | $3,066,065 | 1.4% |
| 14 | Dental Services | $3,014,967 | 1.4% |
| 15 | Medical And Surgical Supplies | $1,087,012 | 0.5% |
| 16 | Temporary Codes | $1,078,431 | 0.5% |
| 17 | Pathology and Laboratory Services | $180,538 | 0.1% |
| 18 | Orthotic Procedures and services | $173,855 | 0.1% |
| 19 | Administrative, Miscellaneous and Investigational | $148,730 | 0.1% |
| 20 | Durable Medical Equipment | $99,935 | <0.1% |
| 21 | Outpatient PPS | $59,828 | <0.1% |
| 22 | Durable medical equipment (DME) Medicare administrative contractors (MACs) | $33,783 | <0.1% |
| 23 | Hearing Services | $22,459 | <0.1% |
| 24 | Enteral and Parenteral Therapy | $21,107 | <0.1% |
| 25 | Coronavirus Diagnostic Panel | $4,053 | <0.1% |
| 26 | Vision Services | $268 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H2019 | Ther behav svc, per 15 min | $10,747,258 | 292 |
| H0032 | Mh svc plan dev by non-md | $4,631,730 | 274 |
| H0031 | Mh health assess by non-md | $87,736 | 10 |
| H1001 | Antepartum management | $41,628 | 19 |
| H0043 | Supported housing, per diem | $14,817 | 2 |
| H1000 | Prenatal care atrisk assessm | $1,692 | 2 |
| H1003 | Prenatal at risk education | $1,557 | 10 |
| H2014 | Skills train and dev, 15 min | $1,275 | 1 |
| H0049 | Alcohol/drug screening | $17 | 1 |
| H0001 | Alcohol and/or drug assess | $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.
