In 2024, Medicaid providers in Paw Paw billed a total of $8,201,856 for services classified under the Alcohol and Drug Abuse Treatment category, according to data from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This amount represented a 1.2% uptick from 2023, when local providers billed $8,103,575 for the same category of services.
Medicaid operates as a public health insurance program administered by states and funded by both federal and state governments. It covers low-income residents, the elderly, children, and individuals with disabilities, making it a cornerstone of the U.S. health care system.
Because Medicaid is funded by taxpayers, fluctuations in local billing offer insights into how communities allocate public health care funds.
The “Alcohol and Drug Abuse Treatment” label designates a set of Medicaid-billed care types identified by standardized HCPCS and CPT codes. For this report, every billing code was placed within a single service grouping using consistent code prefixes and number ranges to ensure related services were analyzed together, preventing double counts while maintaining accurate annual comparisons.
Alcohol and Drug Abuse Treatment was the leading Medicaid spending category in Paw Paw for 2024, amid growth seen across various service types.
Statewide in Michigan, the Alcohol and Drug Abuse Treatment category also led in total Medicaid payments during 2024.
Between 2019 and 2024, Medicaid payments connected to Alcohol and Drug Abuse Treatment services in Paw Paw grew by $1,718,629, or 26.5%. Accelerated yearly increases were noted especially in 2023 and 2021.
Spending for Alcohol and Drug Abuse Treatment care was distributed throughout Paw Paw, but payments were heavily concentrated in a small number of ZIP codes. In 2024, ZIP code 49079 compiled $8,201,855 of the category’s Medicaid payments, with the single top ZIP code contributing to 100% of these payments within the city for the year.
Medicaid funds within this category were further concentrated among just a few individual billing codes.
When compared, Alcohol and Drug Abuse Treatment Medicaid payments in Paw Paw rose 1.2% from 2023 to 2024, while overall Medicaid claims in the city increased by 3.4% over the same span.
According to the Centers for Medicare & Medicaid Services, total Medicaid spending at the federal and state level reached approximately $871.7 billion in fiscal year 2023, making up about 18% of all national health expenditures, a significant rise from $613.5 billion in 2019 prior to the COVID-19 pandemic.
This jump represents roughly 40% growth in only a few years, largely due to broader enrollment and greater use of services during and after the pandemic era.
Recent federal budget policies under the Trump administration have introduced key proposals aimed at reducing federal Medicaid disbursements and overhauling the program. Notably, the “One Big Beautiful Bill Act,” signed into law in 2025, is expected to reduce federal Medicaid spending by over $1 trillion during the next decade and implements measures like new work mandates and higher cost-sharing, which could decrease both coverage levels and funding for some beneficiaries. These shifts are set to increase states’ financial responsibilities while capping future federal Medicaid growth as the program continues to aid millions of Americans.
| Year | Total Medicaid Payments | % Change From Previous Year |
|---|---|---|
| 2020 | $6,483,227 | -12.6% |
| 2021 | $6,828,004 | 5.3% |
| 2022 | $7,168,482 | 5% |
| 2023 | $8,103,575 | 13% |
| 2024 | $8,201,855 | 1.2% |
| Rank | Category | Medicaid Payments | Share of City Total |
|---|---|---|---|
| 1 | Alcohol and Drug Abuse Treatment | $8,201,855 | 46.4% |
| 2 | National Codes Established for State Medicaid Agencies | $3,299,637 | 18.7% |
| 3 | Medicine Services and Procedures | $2,509,673 | 14.2% |
| 4 | Evaluation and Management | $1,613,361 | 9.1% |
| 5 | Ambulance and Other Transport Services and Supplies | $928,024 | 5.3% |
| 6 | Surgery | $432,159 | 2.4% |
| 7 | Radiology Procedures | $283,226 | 1.6% |
| 8 | Pathology and Laboratory Procedures | $273,908 | 1.5% |
| 9 | Temporary National Codes (Non-Medicare) | $60,620 | 0.3% |
| 10 | Vision Services | $31,954 | 0.2% |
| 11 | Procedures / Professional Services | $19,974 | 0.1% |
| 12 | Dental Services | $10,530 | 0.1% |
| 13 | Drugs Administered Other than Oral Method | $7,538 | <0.1% |
| 14 | Administrative, Miscellaneous and Investigational | $0 | <0.1% |
| 14 | Temporary Codes | $0 | <0.1% |
| HCPCS Code | Description | Medicaid Payments | Claims |
|---|---|---|---|
| H2015 | Comp comm supp svc, 15 min | $6,467,766 | 22 |
| H0039 | Asser com tx face-face/15min | $664,036 | 11 |
| H2021 | Com wrap-around sv, 15 min | $376,080 | 11 |
| H0036 | Comm psy face-face per 15min | $243,180 | 11 |
| H0032 | Mh svc plan dev by non-md | $207,750 | 11 |
| H2000 | Comp multidisipln evaluation | $54,040 | 9 |
| H2014 | Skills train and dev, 15 min | $41,940 | 3 |
| H0002 | Alcohol and/or drug screenin | $39,420 | 10 |
| H2023 | Supported employ, per 15 min | $36,596 | 11 |
| H0001 | Alcohol and/or drug assess | $24,900 | 9 |
| H2030 | Mh clubhouse svc, per 15 min | $23,482 | 4 |
| H0046 | Mental health service, nos | $14,400 | 9 |
| H2011 | Crisis interven svc, 15 min | $4,450 | 2 |
| H2025 | Supp maint employ, 15 min | $3,217 | 4 |
| H0038 | Self-help/peer svc per 15min | $596 | 1 |
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.
