Medicaid payments for Alcohol and Drug Abuse Treatment in Highland Park surge to $1,057,590 in 2024

Dr. Mehmet Oz CMS Administrator - Centers for Medicare & Medicaid Services (CMS)
Dr. Mehmet Oz CMS Administrator - Centers for Medicare & Medicaid Services (CMS)
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Medicaid providers in Highland Park billed $1,057,590 for Alcohol and Drug Abuse Treatment services in 2024, as detailed in the U.S. Department of Health and Human Services Medicaid Provider Spending database. This represented an increase of 452.1% over 2023, when providers claimed $191,556 for these services.

Medicaid is a public health insurance program administered by states and financed jointly by federal and state governments. The program covers low-income individuals and families, children, seniors, and people with disabilities, and is a major component of the U.S. health care system.

Because taxpayer dollars fund Medicaid, variations in local billing levels reflect how a community’s public health care funds are distributed.

The “Alcohol and Drug Abuse Treatment” category groups Medicaid-billed services by type, using standardized HCPCS and CPT code families. In this review, each billing code was assigned only one service category using consistent numeric ranges and code prefixes to ensure accurate rankings and eliminate double counting over time.

While Medicaid expenditures rose across several categories, Alcohol and Drug Abuse Treatment was the second-largest category by total Medicaid payments in Highland Park in 2024.

Statewide, Alcohol and Drug Abuse Treatment services accounted for the highest Medicaid payment category in New Jersey in 2024.

Over a five-year period prior to 2024, Highland Park saw Medicaid payments for Alcohol and Drug Abuse Treatment rise by $1,057,590, or 0%. Certain years, including 2022 and 2023, showed particularly rapid growth in spending year-over-year.

Although spending on Alcohol and Drug Abuse Treatment services was distributed citywide, payments were mainly reported in a few ZIP codes; in 2024, ZIP code 08904 accounted for $1,057,589. In total, the top 1 ZIP code made up 100% of Medicaid payments in this category in Highland Park for the year.

Payments within the Alcohol and Drug Abuse Treatment category focused on a small selection of specific billing codes.

Comparatively, Medicaid payments for Alcohol and Drug Abuse Treatment in Highland Park increased by 452.1% from 2023 to 2024, while overall payments across all Medicaid claim categories in the city edged up by 4.5% during the same period.

The Centers for Medicare & Medicaid Services reported that combined state and federal Medicaid spending reached approximately $871.7 billion in fiscal 2023, about 18% of national health expenditures, a significant increase from $613.5 billion in 2019, before the COVID-19 pandemic.

This jump represents about 40% growth in just a few years, due in large part to increased enrollment and higher utilization during and following the pandemic.

Recent federal budget bills under the Trump administration have included major plans to cut federal Medicaid funding and overhaul the program. The “One Big Beautiful Bill Act,” enacted in 2025, is expected to reduce federal Medicaid expenditures by more than $1 trillion over the next decade and includes provisions such as work requirements and increased cost-sharing, potentially restricting coverage and funding for some enrollees. This will likely transfer more financial pressure to states and slow federal Medicaid growth, despite the program still serving tens of millions of Americans.

Medicaid Payments Tied to Alcohol and Drug Abuse Treatment in Highland Park, New Jersey Over Five Years

Year Total Medicaid Payments % Change From Previous Year
2023 $191,555
2024 $1,057,589 452.1%
Top Categories by Medicaid Payments in Highland Park, New Jersey, 2024

Rank Category Medicaid Payments Share of City Total
1 Medicine Services and Procedures $1,995,546 42.9%
2 Alcohol and Drug Abuse Treatment $1,057,589 22.7%
3 National Codes Established for State Medicaid Agencies $815,739 17.5%
4 Evaluation and Management $670,009 14.4%
5 Temporary National Codes (Non-Medicare) $108,628 2.3%
6 Drugs Administered Other than Oral Method $1,610 <0.1%
7 Procedures / Professional Services $0 <0.1%
Top 20 HCPCS Codes Within the Alcohol and Drug Abuse Treatment Category in Highland Park, New Jersey, 2024

HCPCS Code Description Medicaid Payments Claims
H2021 Com wrap-around sv, 15 min $1,021,849 12
H0032 Mh svc plan dev by non-md $35,740 5

Note: HCPCS codes are presented for illustrative purposes within the category. Article totals and rankings are based on standardized service groups, rather than on individual billing codes.

The data in this article is sourced from the U.S. Department of Health and Human Services Medicaid Provider Spending database. Source details can be found here.



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